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A. Notice Of Violation: The city shall provide licensee with a detailed written notice of any license violation upon which it proposes to take action, and a ninety (90) day period within which licensee may: 1) demonstrate that a violation does not exist or to cure an alleged violation; or 2) if the nature of the violation prevents correction of the violation within ninety (90) days, to initiate a reasonable plan of action to correct such violation (including a projected date by which it will be completed) and notify the city of such plan of action.
B. Default: If licensee fails to disprove or correct the violation within ninety (90) days or, in the case of a violation which cannot be corrected in ninety (90) days and licensee has failed to initiate a reasonable plan of corrective action and to correct the violation within the specified time frame, then the city may declare the licensee in default, which declaration must be in writing. In the event that the city declares licensee in default, the city shall have the right to institute legal proceedings to collect damages from the date of declaration of default, or to exercise any other rights and remedies afforded to the city in law or equity; provided, however, that the city may institute revocation proceedings against licensee only after declaration of default, pursuant to subsection F of this section and only on the grounds set forth therein.
C. Hearing Available To Licensee: Within fifteen (15) days after receipt of a written declaration of default from the city, licensee may request, in writing, a hearing before the city or its agent, in a full public proceeding affording due process. Such hearing shall be held within thirty (30) days of the receipt of the request therefor and a decision rendered within ten (10) days after the conclusion of the hearing. Any decision shall be in writing and shall be based upon written findings of fact.
D. Appeal Of Default: Licensee may appeal a declaration of default to arbitration.
E. Procedures Applicable To Arbitration: Any arbitration held pursuant to this chapter or the license shall be conducted as follows:
1. Licensee and the city each shall, within fifteen (15) days of the decision to proceed to arbitration, appoint one arbitrator experienced in the cable television business, which arbitrators shall mutually select a third arbitrator of similar qualifications.
2. Within thirty (30) days after appointment of all arbitrators and upon fifteen (15) days' written notice to the parties to the arbitration, the arbitrators shall commence a hearing on the dispute.
3. The hearing shall be recorded and may be transcribed at the request of either the city or licensee.
4. At the close of the hearings and within thirty (30) days, the arbitrators shall prepare written findings and serve such decision upon the city and licensee.
5. The decision of a majority of the arbitrators shall be binding upon the parties to the arbitration.
6. Either party may seek judicial relief to the arbitrators' decision under the following circumstances:
a. Either party fails to select an arbitrator;
b. The arbitrators fail to select a third arbitrator;
c. One or more arbitrator is unqualified;
d. Designated time limits have been exceeded;
e. The arbitrators have not proceeded expeditiously; or
f. Based upon the record, the arbitrators' decision is arbitrary, capricious, unsupported by substantial evidence, an abuse of discretion, or based upon a mistake of law.
g. All costs of arbitration shall be borne equally by the parties to the arbitration unless otherwise ordered by the arbitrators.
F. Revocation: The city may revoke the license only after declaration of default and only for defaults by licensee arising from the following circumstances:
1. Material misrepresentation by licensee to the city in information required to be provided under the license.
2. Licensee wilfully or persistently violates any material orders or rulings of any regulatory body having jurisdiction over the license.
3. Licensee wilfully fails to acquire the insurance required by this chapter.
G. Procedures Governing Revocation:
1. The city shall give written notice to the licensee of its intent to revoke the license and the lawful grounds therefor. Licensee shall have ninety (90) days from such notice to object, in writing, and to state its reasons for such objection. In the event the city has not received a response satisfactory to it, it may then proceed to place its request for termination of the license at a council meeting. The city shall cause to be served upon the licensee, at least ten (10) days prior to the time and place of such meeting, a written notice of this intent to request such termination, and the time and place of the meeting, notice of which shall be published by the city at least once, ten (10) days before such meeting in a newspaper of general circulation within the city.
2. In addition to the licensee's right to appeal any declaration of default to arbitration under subsection D of this section, if the city orders the termination of the license, the licensee shall have the right to appeal the determination of the city within thirty (30) days to any agency or court of competent jurisdiction for de novo review. The city's determination to terminate the license shall not be effective pending final resolution of all appeals under this section.
3. The council may, at its sole discretion, take any other lawful action, which it deems appropriate to enforce the city's rights under the license in lieu of revocation of the license.
H. Jurisdiction And Venue: Any legal action, whether in law or equity, and including any arbitration or other alternative dispute resolution, commenced by either party to the license, shall be commenced in the superior court of the state in the state of Arizona, Pinal County. This subsection shall not apply to criminal actions for violations set forth herein, which may be prosecuted in any court of competent jurisdiction, including the Eloy municipal court. (Ord. 05-589, 5-23-2005)