§ 1317 — Revenues as trust funds; pledge or assignment of revenues; security interest

Delaware § 1317

• Jurisdiction: Delaware
• Title: 2
• Part: Transportation Department
• Ch. 13: DELAWARE TRANSPORTATION AUTHORITY

Text

All moneys received pursuant to this chapter, whether as proceeds from sale of bonds, from grants or other contributions or other revenues, shall be trust funds, to be held and applied solely as provided in this chapter. A resolution authorizing the issuance of bonds and/or the execution and delivery of a trust agreement securing such bonds shall provide that any officer with whom, or any bank or trust company with which, such moneys shall be deposited shall act as trustee of such money and shall hold and apply the same for the purposes hereof subject to such regulations as this chapter and such resolution or trust agreement may provide.

Any pledge or assignment of or other security interest in revenues and any other moneys, earnings, income, accounts, contract rights, general intangibles, instruments, chattel papers or other personal property, including motor fuel taxes, and annual motor carrier registration fees, made or created by the Authority shall be valid, binding and perfected from the time when such pledge, assignment or other security interest is created, without any physical delivery of the collateral or further act. The lien of any such pledge, assignment or other security interest shall be valid, binding and perfected as against all parties having claims of any kind in tort, contract or otherwise against the Authority irrespective of whether or not such parties have notice thereof. No instrument by which such a pledge, assignment or other security interest is created nor any financing statement need be recorded or filed. This paragraph shall apply notwithstanding the Uniform Commercial Code.

Legislative History

62 Del. Laws, c. 164, §§ 1, 2 ; 63 Del. Laws, c. 179, § 33 ; 63 Del. Laws, c. 387, § 42(g)