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<br /> <br /> <br /> <br /> <br /> <br /> (c) Title. The Issuer has or will obtain lawful title to the lands, buildings, structures, and <br /> facilities constituting the System, that it warrants that it will defend the title to all the <br /> aforesaid lands, buildings, structures, and facilities, and every part thereof, for the benefit <br /> of the holders and owners of the Bonds, and any Revenue Bonds, against the claims and <br /> demands of all persons whomsoever, that it is lawfully qualified to pledge the Net Revenues <br /> to the payment of the Bonds, and any Revenue Bonds in the manner prescribed herein, and <br /> has lawfully exercised such rights. <br /> <br /> (d) Liens. The Issuer will from time to time and before the same become delinquent <br /> pay and discharge all taxes, assessments, and governmental charges, if any, which shall be <br /> lawfully imposed upon it, or the System, that it will pay all lawful claims for rents, royalties, <br /> labor, materials, and supplies which if unpaid might by law become a lien or charge thereon, <br /> the lien of which would be prior to or interfere with the liens hereof, so that the priority of <br /> the liens granted hereunder shall be fully preserved in the manner provided herein, and that <br /> it will not create or suffer to be created any mechanic's, laborer's, materialman's, or other <br /> lien or charge which might or could be prior to the liens hereof, or do or suffer any matter <br /> or thing whereby the liens hereof might or could be impaired; provided, however, that no <br /> such tax, assessment, or charge, and that no such claims which might be used as the basis <br /> of a mechanic's, laborer's, materialman's, or other lien or charge, shall be required to be <br /> paid so long as the validixy of the same shall be contested in good faith by the Issuer. <br /> <br /> (e) Operation of S,ystem; No Free Service. While the Bonds, and any Revenue Bonds <br /> are outstanding and unpaid the Issuer shall continuously and efficiently operate the System, <br /> and shall maintain the System, or cause the System to be operated and maintained in good <br /> condition, repair, and working order, all at reasonable cost. No free service of the System <br /> shall be allowed, and should the Issuer or any of its agencies, instrumentalities, lessors, or <br /> concessionaires make use of the services and facilities of the System, payment monthly of <br /> the standard retail price of the services provided shall be made by the Issuer or any of its <br /> agencies, instrumentalities, lessors, or concessionaires out of funds from sources other than <br /> the revenues of the System, unless made from surplus Net Revenues as permitted by Section <br /> 22(b) hereof. <br /> <br /> (f) Further Encumbrance. While the Bonds, and any Revenue Bonds are outstanding <br /> and unpaid, the Issuer shall not additionally encumber the Net Revenues in any manner, <br /> except as permitted in this Ordinance in connection with Revenue Bonds, unless said <br /> encumbrance is made junior and subordinate in all respects to the liens, pledges, covenants, <br /> and agreements of this Ordinance and any ordinance authorizing the issuance of Revenue <br /> Bonds; but the right of the Issuer to issue revenue bonds payable from a subordinate lien <br /> on surplus Net Revenues is specifically recognized and retained. <br /> <br /> (g) Sale or Disposal of Propertv. While the Bonds, and any Revenue Bonds are <br /> outstanding and unpaid, the Issuer shall not sell, convey, mortgage, encumber, lease, or in <br /> any manner transfer title to, or dedicate to other use, or otherwise dispose of, the System, <br /> (except as permitted in paragraph (n) hereof) or any significant or substantial part thereof; <br /> <br /> 29 <br />