(A) Any franchise herein granted shall, at the option of the grantor, cease and terminate 120 days after the appointment of a receiver or receivers or trustee or trustees to take over and conduct the business of the grantee whether in a receivership, reorganization, bankruptcy, or other action or proceeding unless such receivership or trusteeship shall have been vacated prior to the expiration of the 120 days, or unless:
(1) Such receivers or trustees shall have, within 120 days after their election or appointment, fully complied with all the terms and provisions of this chapter and the franchise granted pursuant hereto, and the receivers or trustees within the 120 days shall have remedied all defaults under the franchise; and
(2) Such receivers or trustees shall, within the 120 days, execute an agreement duly approved by the court having jurisdiction in the premises, whereby such receivers or trustees assume and agree to be bound by each and every term, provision, and limitation of the franchise agreement.
(B) In the case of a foreclosure or other judicial sale of the plant, property, and equipment of the grantee, or any part thereof, the grantor may serve notice of termination upon the grantee and the successful bidder at such sale, in which event the franchise and all rights and privileges of the grantee hereunder shall cease and terminate 30 days after service of such notice, unless:
(1) The grantor shall have approved the transfer of the franchise, as and in the manner in this chapter provided; and
(2) Such successful bidder shall have covenanted and agreed with the grantor to assume and be bound by all the terms and conditions of the franchise agreement.
(Prior Code, § 115.031) (Ord. D-1485, § 4.12, passed 6-3-1985, effective 6-13-1985)