(a) A Grantee shall save the City harmless from all loss sustained by the City on account of any suit, judgment, execution, claim or demand whatsoever against the City resulting from negligence on the part of the Grantee in the construction, operation or maintenance of its cable television system in the City. For this purpose, a Grantee shall carry property damage and personal injury insurance, including comprehensive automobile liability, with some responsible insurance company or companies qualified to do business in the State of Michigan. The amounts of such insurance to be carried for liability due to property damage shall be one million dollars ($1,000,000) as to any one occurrence, and for liability due to injury to or death of a person, five hundred thousand dollars ($500,000) as to any one person and one million dollars ($1,000,000) as to any one occurrence. The City shall notify a Grantee, in writing, within ten days after the presentation of any claim or demand, either by suit or otherwise, made against the City on account of any negligence as aforesaid on the part of the Grantee. Where any such claim or demand against the City is made by suit or other legal action, written notice thereof shall be given by the City to the Grantee not less than five days prior to the date upon which an answer to such legal action is due or within ten days after the claim or demand is made upon the City, whichever notice period yields the Grantee the largest amount of time within which to prepare an answer.
(b) A Grantee shall post a performance bond with the City, written by a responsible corporate surety, in the amount of fifty thousand dollars ($50,000), guaranteeing the Grantee's continued operation of the cable television system within the City, and the Grantee shall observe, fulfill and perform each term and condition of the bond. The bond required may be reduced in face amount to twenty-five thousand dollars ($25,000) at such time that the cable television system is available to seventy-five percent of the households in the City. The bond may be cancelled when the cable system is 100 percent completed and operational. The bond shall contain a provision that it shall not be terminated or otherwise allowed to expire prior to sixty days after written notice to that effect is given to the City.
(c) A Grantee shall file certificates of all insurance coverage required and of all bonds required, with the City, and in a form satisfactory to the City.
(d) A Grantee shall carry Workers' Compensation insurance, with statutory limits, and Employer's Liability insurance with limits of no less than one hundred thousand dollars ($100,000), which shall cover all operations to be performed by the company as a result of this chapter.
(Res. 96-355. Passed 6-24-96.)