Arkansas Code Title 14. Local Government § 14-91-1003. Purchase requirements

(2)(A) If the purchaser desires to assume an amount of bonds equal to the purchase price outstanding against the plant, he shall give to the city or town an indemnifying bond in some good surety company, conditioned for the payment of the interest and the retiring of the bonds, so assumed by the purchaser, as they may become due and payable.

(B) Should the purchaser desire to take up the amount of bonds that may be adjudged against the waterworks, as shown by the purchase price, he may do so by making the necessary arrangements for retiring them with the holders of the bonds.

(b)(1)(A) The transfer of the properties shall be evidenced by a deed of conveyance in the usual form and with the usual covenants of warranty.

(B) A lien against the property sold shall be retained in the deed for all of the unpaid sale price with the right upon default of payment of any interest or indebtedness when it falls due to declare all of the unpaid sale price due and payable and to proceed with a foreclosure of the lien so retained.