{"data":{"id":"us-nc/n.c.-gen.-stat.-159d-11","jurisdiction":"us-nc","citation":"N.C. Gen. Stat. § 159D-11","heading":"Financing agreements.","body":"(a)\tEvery financing agreement shall provide that:\n(1)\tRepealed by Session Laws 1987, c. 517, s. 7.\n(2)\tThe amounts payable under the financing agreement shall be sufficient to pay all of the principal of and interest and redemption premium, if any, and interest on the bonds issued by the agency to pay the cost of the project as they respectively become due;\n(3)\tThe obligor shall pay all costs incurred by the agency in connection with the financing and administration of the project, except as may be paid out of the proceeds of bonds or otherwise, including, but without limitation, insurance costs, the cost of administering the financing agreement and the security document and the fees and expenses of the fiscal agent or trustee, paying agents, attorneys, consultants and others;\n(4)\tThe obligor shall pay all the costs and expenses of operation, maintenance and upkeep of the project; and\n(5)\tThe obligor's obligation to provide for the payment of the bonds in full shall not be subject to cancellation, termination or abatement until payment of the bonds or provision for payment has been made.\n(b)\tThe financing agreement may be in the nature of:\n(1)\tA sale and leaseback,\n(2)\tA lease purchase,\n(3)\tA conditional sale,\n(4)\tAn installment sale,\n(5)\tA secured or unsecured loan,\n(6)\tA loan and mortgage, or\n(7)\tAnother similar transaction.\n(c)\tThe financing agreement, if in the nature of a lease agreement, shall either provide that the obligor has an option to purchase, or require that the obligor purchase, the project upon the expiration or termination of the financing agreement subject to the condition that payment in full of the principal of, and the interest and any redemption premium on, the bonds, or provision for payment has been made.\n(d)\tThe financing agreement may provide the agency with rights and remedies in the event of a default by the obligor under it including, without limitation, any one or more of the following:\n(1)\tAcceleration of all amounts payable under the financing agreement;\n(2)\tReentry and repossession of the project;\n(3)\tTermination of the financing agreement;\n(4)\tLeasing or sale or foreclosure of the project to others; and\n(5)\tTaking whatever actions at law or in equity may appear necessary or desirable to collect the amounts payable under, and to enforce covenants made in, the financing agreement.\n(e)\tThe agency's interest in a project under a financing agreement may be that of owner, lessor, lessee, conditional or installment vendor, mortgagor, mortgagee, secured party or otherwise, but the agency need not have any ownership or possessory interest in the project.\n(f)\tThe agency may assign all or any of its rights and remedies under the financing agreement to the trustee or bondholders under the security document.\n(g)\tThe financing agreement may contain any additional provisions the agency considers necessary or convenient to effectuate the purposes of this Article. (1977, 2nd Sess., c. 1198, s. 1; 1987, c. 517, s. 7; 2000-179, s. 2.)","path":["Chapter 159D The North Carolina Capital Facilities Financing Act.","Article 1. Industrial And Pollution Control Facilities Financing."],"source_url":"https://www.ncleg.gov/EnactedLegislation/Statutes/HTML/BySection/Chapter_159D/GS_159D-11.html","current_through":"S.L. 2026-30","vintage":"","retrieved_at":"2026-08-27T18:25:12Z","sha256":"cedbaf60d55969ec9420e9e8faa3d2f4182d00f7ab68bcdb1abc4cb559a3a6f5","source_id":"us-nc","stale":false,"prev":"us-nc/n.c.-gen.-stat.-159d-10","next":"us-nc/n.c.-gen.-stat.-159d-12"},"notice":"GroundRules: Original legal text. Not legal advice."}