Section 27-843. CLOSING REQUIREMENTS REGARDING EQUITY AND DEVELOPMENT PARTICIPATION

 

843.1    The closing documents executed in connection with any Covered Project shall contain provisions indicating there can be no change of the Equity Participant or Development Participant, no dilution of a participant’s Equity Participation or Development Participation, and no material alteration of the determination of returns for the Equity Participant without the Director’s express written consent. 

 

843.2 The closing documents shall expressly covenant and agree that the Department shall have third-party beneficiary rights to enforce the provisions, for and in its own right. 

 

843.3 The agreements and covenants in the closing documents shall run in favor of the Department for the entire period during which the agreements and covenants shall be in force and effect, without regard to whether the District was or is an owner of any land or interest therein or in favor of which the agreements and covenants relate. 

 

843.4 The Department shall have the right, in the event of a breach of the agreement or covenant in the closing documents, to exercise all the rights and remedies, and to maintain any actions or suits, at law or in equity, or other proceedings to enforce the curing of the breach of agreement or covenant to which it may be entitled.

 

 

authority

Section 2372 of the Small, Local, and Disadvantaged Business Enterprise Development and Assistance Act of 2005 (Act), effective October 20, 2005 (D.C. Law 16-33; D.C. Official Code § 2-218.72)(2009 Supp.) and Mayor’s Order 2009-58, dated April 15, 2009.

source

Final Rulemaking published at 39 DCR 9052 (December 4, 1992); as amended by Final Rulemaking published at 56 DCR 8439 (October 23, 2009), incorporating by reference text of Proposed Rulemaking published at 56 DCR 5622, 5651 (July 10, 2009).