(A) Every cable communications company shall, within 30 days after the grant of its franchise, pursuant to this chapter, file with the Village Clerk, and at all times thereafter maintain in full force and effect for the term of the franchise, at its expense, a corporate surety bond, or such other surety arrangement as the village may approve, in the amount of $10,000, conditioned upon the faithful performance by the cable communications company of its obligations under its franchise as herein set forth, and upon the further condition that if the cable communications company shall fail to comply with any provision of this chapter, there shall be recoverable jointly and severally from the principal and surety of the bond any damages or loss suffered by the village as a result thereof, including the full amount of any compensation, indemnification, or cost of removal of any property of the cable communications company as provided in this chapter plus attorney's fees and costs, up to the full amount of the bond, the condition to be a continuing obligation for the duration of any franchise granted under this chapter and any renewal thereof and thereafter until the cable communications company has liquidated all of its obligations to the village which may have arisen under the franchise or from the exercise of any privilege or right granted thereby. Any bond provided under this section shall provide that at least 30-days' prior notice of any intention not to renew, to cancel or make a material change therein shall be filed with the Village Clerk. Nothing herein shall be construed to excuse faithful performance by any cable communications company or in any way limit its liability for damages or otherwise. The bond required hereunder may be reduced by the Village Council in face amount to $1,000 at the time as the franchisee is actively providing cable communications service to 175 or more subscribers within the village. The reduction shall be deemed a "material change" in the bond.
(B) Within 30 days of the grant of a franchise pursuant to this chapter, the franchisee shall file with the Village Clerk, in addition to the bond as hereinbefore set forth: proof of a general comprehensive liability insurance policy and an automobile liability insurance policy issued by a company licensed to do business in this state protecting the village, its officers, boards, commissions, agents, and employees against liability for loss or damage for personal injury, death, and property damage, occasioned by the installation, construction, maintenance, or operation of a cable communications system in the village with minimum liability limits of $500,000 for personal injury or death of any one person and $1,000,000 for personal injury or death of two or more persons in any one occurrence, and $500,000 for the damages to property resulting from any one occurrence and the policy shall contain a provision that a written notice of cancellation, or material change or reduction in coverage, shall be given to the Village Clerk at least 30 days in advance of the effective date thereof; and proof of any insurance of the franchisee required under the Michigan Workers Compensation Law.
(C) No franchise hereunder shall be effective until the provisions of divisions (A) and (B) above have been complied with. Failure to file with the Village Clerk within 30 days after grant of a franchise, the bond, proof of general comprehensive liability insurance policy, proof of automobile liability insurance policy, and proof of adequate workers compensation insurance, or any of them as required by divisions (A) and (B) above shall render the franchise null and void without notice or further proceedings.
(D) The franchisee shall indemnify and hold harmless the village at all times during the term of the franchise granted hereby and specifically pay all damages and penalties which the village may be legally required to pay as a result of granting the franchise. The damages and penalties shall include, but not be limited to, damages arising out of the installation, operation, or maintenance of the installation, operation, or maintenance of the cable communications system authorized herein, whether or not any act or omission complained of is authorized, allowed, or prohibited by the franchise and shall also include the part of the cost of repair or replacement of streets, alleys, bridges, and other public places and ways as shall arise from construction or maintenance of the cable communications system. In this case, suit shall be filed against the village either independently or jointly with the franchisee to recover for any claim or damages, the franchisee, upon notice to it by the village, shall defend the village against the action and, in the event of a final judgment being obtained against the village, either independently or jointly with the franchisee, solely by reason of the acts of the franchisee, the franchisee will pay the judgment and all costs, and hold the village harmless therefrom.
(Ord. 83, passed 8-4-1980)