(a) Personal Appearance.
(1) All Transferees or Administrator applicants seeking to operate a transferred Medallion must appear in person as directed by the Chairperson.
(2) If the Transferee applicant is a Business Entity, the following Business Entity Persons must appear in person before the Commission:
(i) All individual shareholders of a corporate entity
(ii) All general partners of a partnership entity
(iii) All members of a Limited Liability Company.
(3) Exception to Personal Appearance Requirement. A power of attorney can appear and represent any Applicant or Business Entity Person of a Business Entity Applicant who:
(i) Holds an existing, continuing License from the Commission, and
(ii) Has an electronic fingerprint record on file with the Commission, made not earlier than one year prior to the date of the transfer.
(b) Transfers During and After Pending Judgment.
(1) No voluntary transfer or sale of an interest in a Taxicab License can be made if a judgment docketed with the clerk of court of any county within the City of New York remains unsatisfied against the Licensee and in favor of any state, federal or New York City government agency unless:
(i) A bond is filed in an amount sufficient to satisfy the judgment,
(ii) All the judgment creditors of a Licensee file written permission for the transfer, or
(iii) The proceeds from the transfer are paid into court or held in escrow, on terms and conditions approved by the Commission, to protect the rights of all parties that can have a legitimate interest.
(2) An Owner's interest a Taxicab License can be transferred involuntarily and disposed of by public or private sale in the same manner as personal property. In that event:
(i) Owner's License will be immediately cancelled,
(ii) A new License will be issued to the new owner when the Transfer is properly approved and the transfer is effective, and
(iii) If the transfer is by reason of a tort judgment against the involuntary Transferor, no bond need be provided with respect to that judgment.
(c) Voluntary Transfer During Revocation Proceedings.
(1) The Owner must not transfer his Taxicab License after the commencement of revocation proceedings without the written permission of the Chairperson.
(2) The Chairperson can also require that no relative of the Medallion Owner or any other person or entity affiliated with the Owner receive the Taxicab License.
(3) The Chairperson can also require an escrow be held in an amount to be determined by the Chairperson after an approved closing in order to satisfy any fines subsequently levied against the Owner.
(d) Preserve Medallion Category.
(1) A transfer of an Independent Medallion will be made only to an approved individual or Business Entity that does not own any interest in any other Medallion; similarly, the transfer of a Minifleet Medallion will be made only to a Transferee approved to own and operate a Fleet or Minifleet.
(2) An Independent Medallion Owner must not have a financial interest in any other Taxicab.
(3) A Minifleet Medallion Owner must not have a financial interest in any Independent Medallion Taxicab.
(4) For the purpose of this subdivision (d), "financial interest" will mean an ownership interest or an interest received as a pledge or security or subject to a security agreement to secure financing.
(e) Additional Requirements for Transfers Made by Conditional Sales Agreements. Where an interest in a Medallion is acquired through a conditional sales agreement, the following requirements apply:
(1) The parties must provide the Commission with a disclosure statement indicating the terms of the agreement.
(2) The seller must remain liable for any fines or penalties imposed against the Taxicab License for violations occurring during the term of the agreement, unless they are paid by the purchaser.
(3) The seller must notify the Commission in writing if the seller repossesses the Taxicab within 72 hours of the sale (exclusive of weekends and holidays).
(4) The parties to a conditional sales agreement are subject to the Lease Cap provisions in 35 RCNY § 58-21.
(5) No conditional transfer shall be effective until the parties have completed all the requirements for transfer required by this Chapter.