Loading...
(A) If a grantee fails to perform any obligation under a franchise awarded hereunder, or fails to do so in a timely manner, the grantor may at its option, and in its sole discretion:
(1) Assess against a grantee monetary damages up to the limits established in a franchise agreement for material franchise violations, which a grantee hereby agrees to pay, said assessment to be levied against the security fund, herein above provided, and collected by the grantor immediately upon said assessment. The grantor and a grantee agree that the amount of such assessment shall be deemed, without proof, to represent liquidation of damages actually sustained by the grantor by a reason of a grantee’s failure to perform. Such assessment shall not constitute a waiver by the grantor of any other right or remedy it may have under a franchise awarded hereunder or under applicable law, including without limitation, its right to recover from a grantee such additional damages, losses, costs, and expenses, including actual attorney fees, as may have been suffered or incurred by the grantor by reason of or arising out of such breach of a franchise awarded hereunder. This provision for assessment of damages is intended by the parties to be separate and apart from the grantor’s right to enforce the provisions of the construction and performance bonds provided for in §§ 114.105 through 114.110 and is intended to provide compensation to the grantor for actual damages;
(2) As may be provided in a franchise awarded hereunder, violations considered by the grantor to have materially degraded the quality of service, order and direct a grantee to issue rebates or reduce its rates and/or charges to users, in an amount solely determined by the grantor and provided for within a franchise awarded hereunder, to provide monetary relief substantially equal to the reduced quality of service resulting from a grantee’s failure to perform;
(3) Require, subject to existing federal law and FCC rules, that a grantee cure all defaults and breaches of its obligations hereunder before a grantee is entitled to increase any rate or charge to users hereunder as may be specified within a franchise awarded hereunder; and/or
(4) Terminate a franchise awarded hereunder, for any of the causes stated within this chapter.
(B) No remedy shall be imposed by the grantor against a grantee for any violation of this franchise without a grantee being afforded due process of law, as provided within this chapter.
(C) The grantor may, in its sole judgment and discretion, impose any or all of the above enumerated measures against a grantee, which shall be in addition to any and all other legal or equitable remedies it has under this franchise or under any applicable law.
(2011 Code, § 14.04.160) Penalty, see § 114.999
(A) In the event that the grantor determines that a grantee has violated any provision of a franchise awarded hereunder, any rule or regulation promulgated pursuant hereto or any applicable federal, state, or local law, the grantor may make a written demand on a grantee as provided within a franchise awarded hereunder, that it remedy such violation.
(B) If the violation, breach, failure, refusal, or neglect is not remedied to the satisfaction of the grantor within 30 days following such demand, the grantor shall determine whether or not such violation, breach, failure, refusal, or neglect by a grantee was excusable or inexcusable, in accordance with the following procedure.
(1) A public hearing shall be held and a grantee shall be provided with an opportunity to be heard upon 30 days’ written notice to a grantee of the time and place of the hearing provided and the allegations of franchise violations.
(2) If, after notice is given and, at a grantor’s option, a full public proceeding is held, the grantor determines that such violation, breach, failure, refusal, or neglect by a grantee was excusable as provided within this chapter, the grantor shall direct a grantee to correct or remedy the same within such additional time, in such manner, and upon such terms and conditions as the grantor may direct.
(3) If, after notice is given and, at a grantor’s option, a full proceeding is held, the grantor determines that such violation, breach, failure, refusal, or neglect was inexcusable, then the grantor may assess a penalty or remedy in accordance with § 114.045 above.
(4) If, after notice is given and, at a grantor’s option, a full public proceeding is held, the grantor declares a franchise awarded hereunder or any renewal thereof breached, the parties may pursue their remedies pursuant to a franchise or any other remedy, legal or equitable.
(2011 Code, § 14.04.170) Penalty, see § 114.999
In the event a grantee’s performance of any of the terms, conditions, obligations, or requirements of a franchise awarded hereunder is prevented or impaired due to any cause beyond its reasonable control or not reasonably foreseeable, such inability to perform shall be deemed to be excused and no penalties or sanctions shall be imposed as a result thereof, provided a grantee has notified the grantor in writing within 30 days of its discovery of the occurrence of such an event. Such causes beyond a grantee’s reasonable control or not reasonably foreseeable shall include, but shall not be limited to, acts of God and civil emergencies.
(2011 Code, § 14.04.180)
GRANT OF FRANCHISE
Loading...