§ 11-36-305 — Consent to use bonds as payment for assessments.

The registered holder of any outstanding bonds issued to pay for a street improvement may file his consent in writing with the municipal clerk to use the bonds to pay for an assessment, or installment thereof, which has been levied by the governing body. The written consent shall be binding upon any transferee or assignee of the bonds, and upon all of the registered owners signing the consent, as to all payments and discharges made for such assessment until written notice be filed with the clerk by the registered holder, transferee or assignee, of the bond terminating his consent thereto. After the written consent is filed and until written notice of termination is given, the owner of any property in the street improvement district may present, with the written consent of the registered holder or holders, to the clerk the bonds bearing the lowest serial numbers of the bonds outstanding in the series as payment for the assessment, or any installment thereof, upon the owner's property, whether delinquent or unmatured, with all interest and penalty thereon. The clerk shall endorse upon each bond the amount of the installment, and interest and penalty thereon, for which the bond is tendered as payment. The clerk shall then issue a receipt to the owner of the property for the amount of the installment, together with interest and penalty, for which credit has been endorsed upon the bonds. Whenever the credits upon any bond so endorsed equals the principal amount of the bond, together with all matured interest, the bond, together with all matured interest, whether due or to become due, shall be canceled by the clerk.

Legislative History

Amended by Laws 1983, c. 170, § 16, eff. July 1, 1983.