Moral Obligation Bonds. Municipal Bonds may also include "moral obligation" bonds, which are normally issued by special purpose public authorities. If an issuer of moral obligation bonds is unable to meet its obligations, the repayment of such bonds becomes a moral commitment but not a legal obligation of the state or municipality in question.
Appears in 4 contracts
Samples: Shares Fee Agreement (Bank of America Corp /De/), Shares Fee Agreement (Bank of America Corp /De/), VRDP Shares Purchase Agreement (Bank of America Corp /De/)