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(a) The city council may revoke a franchise or reduce the term of a franchise if it finds, after notice of proposed revocation and an opportunity for a hearing, that a franchisee has violated its franchise or this chapter; has defrauded or attempted to defraud the city or subscribers; or has attempted to evade the requirements of its franchise or this chapter. Except as to violations that are impossible to cure, and as provided in Sections 2.10.070(b) and 2.10.070(c), the franchise may be revoked only if the franchisee is given written notice of the default and thirty days to cure the default, and the franchisee fails to cure the default, or to propose a written schedule for curing the default acceptable to the city, where it is impracticable to cure the default within thirty days.
(b) No opportunity to cure is required for willful violations or where repeated violations demonstrate a pattern of non-compliance, and fraud and attempted fraud shall be deemed incurable. The city may declare a franchise forfeited without an opportunity to cure where a franchisee voluntarily ceases providing service that it is required to provide or transfers the franchise without the prior written consent of the city.
(c) A franchise will terminate automatically by operation of law 120 days after an assignment for the benefit of creditors or the appointment of a receiver or trustee to take over the business of the franchisee, whether in a receivership, reorganization, bankruptcy, assignment for the benefit of creditors, or other action or proceeding. However, the franchise may be reinstated within that 120-day period, if: (1) such assignment, receivership or trusteeship has been vacated; or (2) such assignee, receiver or trustee has fully complied with the terms and conditions of this chapter and the franchise, and has executed an agreement, approved by any court of competent jurisdiction, assuming and agreeing to be bound by the terms and conditions of this chapter and the franchise. In the event of foreclosure or other judicial sale of any of the facilities, equipment or property of a franchisee, the city may revoke the franchise following a public hearing before the council. The city shall serve notice upon the franchisee and the successful bidder at the sale, in which event the franchise and all rights and privileges thereunder will be revoked and will terminate thirty days after serving such notice, unless the city has approved the transfer of the franchise to the successful bidder, and the successful bidder has promised and agreed with the city to assume and be bound by the terms and conditions of the franchise and this chapter.
(d) Upon the termination or forfeiture of a franchise, whether by action of the city as provided above, or by passage of time, a franchisee must stop using its cable communications system for the purposes authorized by the franchise. The city may take possession of some or all of franchisee's facilities consistent with 47 U.S.C. § 547, or require the franchisee or its bonding company to remove some or all of the franchisee's facilities from the areas of the city, and restore the affected property and the public rights-of-way to their same or better condition. This provision shall not permit the city to remove facilities that are used to provide another service for which the franchisee holds a valid franchise or other authorization issued by the city or other governmental authority, as applicable.
(e) The remedies provided for under this chapter, or under a franchise, shall be cumulative. The recovery by the city of any amounts under insurance, the performance bond, the security fund or the letter of credit, shall not limit a franchisee's duty to indemnify the city, or relieve a franchisee of its franchise obligations or limit the amounts owed to the city.
(Ord. 4636 § 8, 2000)