(A) A franchisee shall provide the city with written notice of any transfer or assignment of the franchise. A franchisee shall not sell, assign, sublet, dispose of or otherwise transfer a franchise (or any of the rights or privileges granted by the franchise), the franchisee's system, or control of the franchisee, to another entity other than by operation of law or to an entity controlling, controlled by, or under common control with the franchisee, without the prior written consent of the city.
(B) No such consent shall be required, however, for a transfer in trust, by mortgage, by other hypothecation, or by assignment of any rights, title, or interest of the franchisee in the franchise or system to secure indebtedness. The city’s consent to such a transfer shall not be withheld if the acquiring entity would have qualified for an original franchise had it applied, and if the acquiring entity demonstrates it has the same or equivalent insurance coverage and bonds in place as is required of the original franchisee.
(C) Nothing in any approval by the city of any transfer pursuant to this section shall be construed to waive, release or delegate any rights or powers of the city to hold the original franchisee liable for any violation of its franchise.
(Ord. 4, Series 2020, passed 10-8-2020)