Transfer

(a)

A franchise granted under this chapter shall be a privilege to be held in personal trust by the grantee. It shall not be assigned, transferred, sold or disposed of, in whole or in part, by voluntary sale, sale and leaseback, merger, consolidation, or otherwise or by forced or involuntary sale, without prior consent of the mayor, as authorized by resolution of the city council, and then on only such conditions as may be therein prescribed. Any sale, transfer or assignment not made according to the procedures set forth in this chapter shall render the franchise void. The sale, transfer or assignment in bulk of the major part of the tangible assets of the grantee shall be considered an assignment and shall be subject to the provisions of this section.

(b)

Any sale, transfer or assignment authorized by the city shall be made by a bill of sale or similar document, an executed copy of which shall be filed with the city within thirty (30) days after any such sale, transfer or assignment. The city shall not withhold its consent unreasonably; provided that the proposed assignee agrees to comply with all the provisions of this chapter and the franchise and reasonable amendments thereto, and the assignee must be able to provide proof of legal, technical, financial and character qualifications as determined by the city.

(c)

No consent shall be required for a transfer in trust, mortgage or other instrument of hypothecation, in whole or in part, to secure an indebtedness except when the hypothecation shall exceed seventy-five (75) percent of the fair market value (as defined in section 7-3) of the property used by the grantee in the operation of its cable television system. Prior consent of the city shall be required for such transfer, and the consent shall not be withheld unreasonably.

(d)

Prior approval of the city shall be required where ownership or control of ten (10) percent or more of the right of control of the grantee is acquired during the term of the franchise in any transaction or series of transactions by a person or group of persons acting in concert, none of whom owned or controlled ten (10) percent or more of such right of control, singularly or collectively, on the effective date of the franchise. By its acceptance of the franchise, the grantee specifically grants and agrees that any such acquisition occurring without prior approval of the city shall render the franchise void.

(e)

The consent of the city to any sale, transfer, lease, trust, mortgage or other instrument of hypothecation shall not constitute a waiver or release of any of the rights of the city under this chapter and the franchise.

(Code 1971, § 52-45; Ord. No. 7864-A, § 1(Art. IV, § 15), 1-28-82)

Secs. 7-71—7-85. - Reserved.

ARTICLE IV. - SUBSCRIBER FEES AND RECORDS