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(a) In the case of a foreclosure or other judicial sale or termination of lease of the plant, property or equipment of the licensee and franchisee, or any part thereof, or any rights under the license and franchise agreement, the licensee and franchisee shall serve written notice upon the city of any such event; and the city may serve written notice of termination upon the licensee and franchisee and the successful bidder at such sale, in which event the license and franchise and the license and franchise agreement and all rights and privileges of the licensee and franchisee thereunder shall cease and terminate thirty (30) days after service of such notice, unless:
(1) The mayor and council have approved the transfer of ownership of the license and franchise, in accordance with all pertinent provisions of section 7B-21 ("Transfers and Assignments"); and
(2) Such successful bidder shall have covenanted and agreed with the city, in writing in a form approved by the city attorney, to assume and be bound by all the terms and conditions of this chapter and the license and franchise agreement.
(b) The city shall have the right to terminate the license and franchise agreement one hundred twenty (120) days after the appointment of a receiver, or trustee, to take over and conduct the business of the licensee and franchisee, whether in receivership, reorganization, bankruptcy or other related action or proceeding, unless such receivership or trusteeship shall have been vacated prior to the expiration of one hundred twenty (120) days, or unless:
(1) Within one hundred twenty (120) days after their election or appointment, such receiver or trustee shall have fully complied with all the provisions of this chapter and the license and franchise agreement, and remedied any and all defaults or breaches thereunder; and
(2) Such receiver or trustee, within one hundred twenty (120) days, shall have executed an agreement, in a form approved by the city Attorney and duly approved by the court having jurisdiction over the proceedings, whereby such receiver or trustee assumes and agrees to be bound by each and every provision of this chapter and the license or franchise agreement.
(c) Failure to comply with the provisions of paragraph (a) of this section shall be deemed an unauthorized transfer pursuant to the provisions of section 7B-21 ("Transfers and Assignments").
(Ord. No. 8522, § 1, 6-12-95)