§ 5-10.07. Franchise: Bonds: Indemnification: Insurance.

(a)

Performance bonds: Surety agreements. Upon being granted a franchise the grantee shall file with the City Clerk and shall thereafter, annually, during the entire term of such franchise, maintain in full force and effect a corporate surety bond or other surety agreement in such amount and kind as shall have been required and approved by the Council.

The bond or agreement shall be so conditioned that, in the event the grantee shall fail to comply with any one or more of the provisions of this chapter or of such franchise, there shall be recoverable, jointly and severally from the principal and surety, any damages, losses, or costs suffered or incurred by the City as a result thereof, including the full amount of any compensation, indemnification, cost of removal or abandonment of any property, or other costs which may be in default, up to the full principal amount of such bond. Such condition shall be a continuing obligation during the entire term of such franchise and thereafter until the grantee shall have satisfied in full any and all obligations to the City which arise out of or pertain to such franchise. Neither the provisions of this section, nor any bond accepted by the City pursuant to the provisions of this section, shall be construed to excuse faithful performance by the grantee, or limit the liability of the grantee, under any franchise issued pursuant to the provisions of this chapter or for damages, either to the full amount or the bond, or otherwise.

(b)

Hold harmless agreements. The grantee shall defend, indemnify and hold harmless the City and its officers, boards, commissions, agents, and employees against and from any and all claims, demands, causes of actions, actions, suits, proceedings, damages (including, but not limited to alleged civil rights or other constitutional rights, violations, defamation, damages to City property, damages arising out of copyright infringements, and damages arising out of any failure by the grantee to secure consents from the owners or authorized distributors or licensees of programs delivered by the grantee's cable television system), costs, or liabilities of every kind and nature whatsoever, including, but not limited to, damages for injuries or deaths or damages to persons or property, caused by any act or omission of the grantee and its officers, agents, and employees in the exercise of any of its rights or privileges under its franchise granted pursuant to the provisions of this chapter.

(c)

Expense of litigation. In the event of any legal action between the grantee and the City arising out of any alleged breach by the grantee of any term or condition or provision of its franchise, the obtaining of any relief whatsoever, even if less than that requested shall entitle the City to recovery of reasonable attorney's fees and court costs related to the litigation.

(d)

Insurance. Upon being granted a franchise, the grantee shall file City approved endorsements or a copy of insurance policies with the City Clerk and shall thereafter, during the entire term of such franchise, maintain in full force and effect at its own cost and expense general liability and automobile insurance in the amount of Five Million and no/100ths ($5,000,000.00) Dollars, for bodily injury or property damage from any one occurrence. The City, its officers, employees, and agents shall be named as additional insureds in any of such insurance policies. Said policies shall be written on an occurrence form and shall not be subject to cancellation or material modification except upon not less than thirty (30) days written notice to the City Clerk by certified mail. Aggregate limits policies or endorsements shall be accompanied by a listing of prior claims to enable the City to ascertain the adequacy of the pro-offered coverage.

(§ 2, Ord. 719, eff. January 4, 1990, as amended by § 1(C), Ord. 764, eff. December 19, 1991)