Section 1230-N. Remedies of bondholders

Subject  to  any resolution or
  resolutions adopted pursuant to this title:
    1. In the event that the authority shall default  in  the  payment  of
  principal  of  or  interest  on  any issue of 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
  the authority shall fail or refuse to comply with the provisions of this
  title  or  shall  default  in any agreement made with the holders of any
  issue  of  bonds,  the  holders  of  twenty-five  percent  in  aggregate
  principal  amount  of  the  bonds  of  such  issue  then outstanding, by
  instrument or instruments filed in the offices of the clerk of the city,
  secretary  of  the  water  board  and  the  authority  and   proved   or
  acknowledged  in the same manner as a deed to be recorded, may appoint a
  trustee to represent the holders of such bonds for  the  purpose  herein
  provided.
    2.  Such  trustee  may  and,  upon  written  request of the holders of
  twenty-five percent in principal amount of such bonds outstanding, shall
  in his, her or its own name:
    (a) by action or proceeding in accordance with the civil practice  law
  and rules, enforce all rights of the bondholders, including the right to
  require  the authority to require the water board to collect fees, rates
  and charges adequate to carry out any agreement as  to,  or  pledge  of,
  such  fees,  rates and charges and to require the authority to carry out
  any  other  agreements  with  the  water  board,  the  city  and/or  any
  municipality  and/or  the  holders  of  such bonds to perform its duties
  under this title;
    (b) bring an action or proceeding upon such bonds;
    (c) by action or proceeding, require the authority to account as if it
  were the trustee of an express trust for the holders of such bonds;
    (d) by action or proceeding, enjoin any acts or things  which  may  be
  unlawful or in violation of the rights of the holders of such bonds; and
    (e)  declare all such bonds due and payable, and if all defaults shall
  be made good, then with  the  consent  of  the  holders  of  twenty-five
  percent  of  the  principal amount of such bonds then outstanding, annul
  such declaration and its consequences.
    3. Such trustee shall in addition to the foregoing  have  and  possess
  all  of  the  powers  necessary  or  appropriate for the exercise of any
  functions specifically set forth  herein  or  incident  to  the  general
  representation of bondholders in the enforcement and protection of their
  rights.
    4.  The  supreme  court  shall  have  jurisdiction  of  any  action or
  proceeding by the trustee on behalf of such bondholders.  The  venue  of
  any such action or proceeding shall be laid in Niagara county.
    5.  Before  declaring  the  principal  of  bonds  due and payable, the
  trustee shall first give thirty days notice in writing to the authority.
    6. Any such trustee, whether or not the issue of bonds represented  by
  such  trustee has been declared due and payable, shall be entitled as of
  right to the appointment of a receiver of  any  part  or  parts  of  the
  properties  the  revenues  of  which are pledged for the security of the
  bonds of such issue, and,  subject  to  any  pledge  or  agreement  with
  holders  of  such  bonds, such receiver may enter and take possession of
  such part or parts of the properties and shall take  possession  of  all
  moneys  and  other  property  derived  from  such  part or parts of such
  properties and proceed with any construction thereon or the  acquisition
  of  any  property,  real  or personal, in connection therewith which the
  authority is under obligation  to  do,  and  to  operate,  maintain  and
  reconstruct such part or parts of the properties and collect and receive
  all  revenues thereafter arising therefrom subject to any pledge thereof

  or agreement with bondholders relating thereto and  perform  the  public
  duties  and  carry  out  the agreements and obligations of the authority
  under the direction of the court. In any suit, action or  proceeding  by
  the  trustee,  the fees, counsel fees and expenses of the trustee and of
  the receiver, if any, shall constitute  taxable  disbursements  and  all
  costs  and disbursements allowed by the court shall be a first charge on
  any revenue derived from the properties.