If a Grantee should materially breach any of the terms, conditions or provisions of a franchise, or become insolvent or unable or unwilling to pay its debts, is adjudged a bankrupt, makes an assignment for the benefit of creditors, engages in fraud, deceit or deception upon the City or fails to comply with any reasonable provisions of any ordinance of the City regulating the use by a Grantee of the streets, alleys, public utility easements or public ways of the City, and should a Grantee further continue to violate or fail to comply with the same for a period of sixty days after the Grantee shall have been notified in writing by the City to cease and desist from any such violation or failure to comply so specified, then the Grantee may be deemed to have forfeited and annulled, and shall thereby forfeit and annul, all the rights and privileges granted by a franchise. However, such forfeiture shall be declared only by written decision of the City Council after an appropriate public proceeding before the City Council affording the Grantee due process and a full opportunity to be heard and to respond to any such notice of violation or failure to comply. Further, the City Council may, in its discretion and upon a finding of a violation or failure to comply, impose a lesser penalty than forfeiture of a franchise or excuse the violation or failure to comply upon a showing by the Grantee of mitigating circumstances. A Grantee shall have the right to appeal any finding of a violation or failure to comply and any resultant penalty to any court of competent jurisdiction. In the event that forfeiture is imposed upon a Grantee, it shall be afforded a period of six months within which to sell, transfer or convey its cable television system to a qualified purchaser at fair market value. During this six-month period, which shall run from the effective date of the final order or decision imposing forfeiture, including any appeal, a Grantee shall have the right to operate its cable television system pursuant to the provisions of this chapter.
(Res. 96-355. Passed 6-24-96.)