(A) It is expressly understood and agreed upon by and between the grantee and the city that the grantee shall save the city harmless from all loss sustained by the city on account of any suit, judgment, execution, claim, or demand whatsoever arising out of the construction, operation, maintenance, or removal of the system or any portion thereof by the grantee.
(B) The grantee shall maintain, and by its acceptance of this franchise specifically agrees that it will maintain, throughout the terms of this franchise liability insurance insuring the city and the grantee with regard to all damages mentioned in division (A) above in the following minimum amounts.
(1) $500,000 for bodily injury or death to any one person, within the limit, however, of $1,000,000 for bodily injury or death resulting from any one accident.
(2) $250,000 for property damage resulting from any one accident.
(3) $250,000 for all other types of liability.
(C) The grantee shall maintain, and by its acceptance of this franchise specifically agrees that it will maintain, throughout the terms of this franchise a faithful performance bond running to the city with at least two good and sufficient sureties approved by the city, in the penal sum of $100,000 conditioned that the grantee shall well and truly observe, fulfill, and perform each term and condition of this franchise and that in case of any breach, the amount shall be recoverable from the principal and sureties thereof by the city for damages proximately resulting from the failure of the grantee to well and faithfully observe and perform any provision of this franchise including a reasonable allowance for attorney's fees and costs to the prevailing party.
(D) The insurance policy and bond obtained by the grantee in compliance with this section have herewith been filed with and approved by the City Council, and the insurance policy and bond, along with written evidence of payment of required premiums, shall be filed and maintained with the City Clerk during the term of this franchise. The bond shall provide for 30 days prior written notice to the city of any intention on the part of the grantee to cancel, fail to renew, or otherwise materially alter its terms.
(Ord. 130, passed 3-26-81)