Utah Code 17D-2-405. Default under a lease agreement

If a local entity fails to pay a lease payment due to a local building authority under a lease agreement:

(1)	the local entity shall immediately quit and vacate the project;

Lease: A contract transferring the use of property or occupancy of land, space, structures, or equipment in consideration of a payment (e.g., rent). ^{Source: OCC}
Local entity: means a county, city, town, school district, special district, or special service district. See Utah Code 17D-2-102
Obligation: An order placed, contract awarded, service received, or similar transaction during a given period that will require payments during the same or a future period.
Project: means an improvement, facility, property, or appurtenance to property that a local entity is permitted under law to own or acquire, whether located inside or outside the local entity's boundary, including:

(a)	a public building or other structure of any kind; and

(b)	a joint or partial interest in the improvement, facility, property, or appurtenance to property. See Utah Code 17D-2-102
(2)	the local entity’s lease payment obligation under the lease agreement terminates; and

(3)

the local building authority may immediately lease the project according to the provisions of:

(a)	the proceeding under which bonds to fund the project were authorized; and

(b)	any mortgage given to secure the bonds.

Enacted by Chapter 360, 2008 General Session