Section 9-941 - Principal and interest; maturity; form; negotiability; registration; reconversion.
§ 9-941. Principal and interest; maturity; form; negotiability; registration; reconversion.
(a) Principal and interest.- An authority shall pay the principal of and interest on its bonds only from the funds from which this subtitle authorizes payment.
(b) Date of issue, maturity, and redemption of bonds.- For any bond that an authority issues, the authority:
(1) Shall place the date of issue on the bond;
(2) Shall set the maturity date for the bond, which shall be any time up to 40 years from the date of issue; and
(3) May provide for the redemption of the bond before maturity:
(i) At the option of the authority; and
(ii) At a price and on terms and conditions that the authority fixes before it issues the bond.
(c) Validity of bonds or coupons signed by former officer.- A bond or certificate that otherwise conforms to this section is valid and sufficient for all purposes whether or not the officer whose signature or a facsimile of whose signature is on the bond or certificate is still an officer when the bond or certificate is delivered.
(d) Form of bonds.- An authority:
(1) Shall determine the form of its bond; and
(2) May issue its bonds in coupon or registered form or both.
(e) Manner of execution, denomination, and place of payment of bonds.- An authority shall determine:
(1) The manner of execution of its bonds;
(2) The denominations of its bonds; and
(3) The places for payment of the principal of and interest on its bonds, which may be any bank or trust company.
(f) Negotiability.- A bond issued under this subtitle is fully negotiable as provided in Title 8 of the Commercial Law Article.
(g) Registration and reconversion of bonds.- An authority may provide for:
(1) The registration of any coupon bond as to:
(i) Principal only; or
(ii) Both principal and interest; and
(2) The reconversion into a coupon bond of any bond that is registered as to both principal and interest.
[1985, ch. 173, § 2.]