Common use of Non-Litigation Clause in Contracts

Non-Litigation. Other than claims challenging the Municipality’s charter, legislative authorities and police powers that lack any reasonable merit, there is no controversy, suit or other proceeding of any kind pending or threatened wherein or whereby any question is raised or may be raised, questioning, disputing or affecting in any way: (1) the legal organization of the Municipality; (2) its boundaries; (3) the right or title of any of its officers to their respective offices; (4) the collection of revenues of the Utility; or (5) the imposition and collection of rates, fees and charges for use of the Utility; which if decided adversely to the Municipality could materially and adversely affect the transactions contemplated hereby or the validity or enforceability of the Loan or this Loan Agreement. There is no controversy, suit or other proceeding of any kind pending or threatened wherein or whereby any question is raised or may be raised, questioning, disputing or affecting in any way: (1) the legality of any official act taken in connection with obtaining the Loan; (2) the constitutionality or validity of the indebtedness represented by the Loan Agreement; (3) any of the proceedings had in relation to the authorization or execution of this Loan Agreement; (4) the pledging of Net Revenues to pay the principal of and interest on the Loan; or (5) the ability of the Municipality to make all Loan Repayments or otherwise observe and perform its duties, covenants, obligations and agreements under this Loan Agreement.