2002 FEBRUARY - Laserfiche WebLink

6.52.040 2. A franchise granted hereunder may be renewed upon application by the grantee pursuant to the provisions of applicable state and federal law. D. Franchise Territory: Any franchise shall be valid within all the municipal limits of the city, and within any area added to the city during the term of the franchise, unless otherwise specified in the franchise agreement. E. Federal Or State Jurisdiction: This chapter shall be construed in a manner consistent with all applicable federal and state laws, and shall apply to all franchises granted or renewed after the effective date hereof to the extent per- mitted by applicable law. F. Franchise Nontransferable: 1. Grantee shall not sell, transfer, lease, assign or dispose of, in whole or in part, either by forced or involuntary sale, or by ordinary sale, contract, con- solidation or otherwise, the franchise or any of the rights or privileges therein granted, without the prior consent of the council, which consent shall not be unreasonably denied, withheld or de- layed; provided, however, that the prior consent of the council shall not be re- quired for an intracorporate or intra- company transfer from one wholly owned subsidiary to another wholly owned subsidiary. Any attempt to sell, transfer, lease, assign or otherwise dispose of the franchise without the consent of the council shall be null and void. The granting of a security interest in any grantee assets, or any mortgage or other hypothecation or by assign- ment of any right, title or interest in the cable system in order to secure indebt- edness, shall not be considered a trans- fer for the purposes of this section. 2. The requirements of subsection F1 of this section shall apply to any change in control of grantee. The word "control." as used herein includes major- ity ownership, and actual working con- trol in whatever manner exercised. In the event that grantee is a corporation, prior consent of the council shall be required where ownership or control of more than twenty percent (20%) of the voting stock of the grantee is acquired by a person or group of persons acting in concert, none of whom own or con- trol the voting stock of the grantee as of the effective date of the franchise, singularly or collectively. 3. Grantee shall notify grantor in writing of any foreclosure or any other judicial sale of all or a substantial part of the franchise property of the grantee or upon the termination of any lease or interest covering all or a substantial part of said franchise property. Such notification shall be considered by grantor as notice that a change in con- trol of ownership of the franchise has taken place and the provisions under this section governing the consent of grantor to such change in control of ownership shall apply. 4. For the purpose of determining whether it shall consent to such change, transfer, or acquisition of control, grantor may inquire into the qualifica- tions of the prospective transferee or controlling party, and grantee shall assist grantor in such inquiry. In seek- ing grantor's consent to any change of ownership or control, grantee shall have 192-3 (Pleasanton February 2002)