Common use of Continuity of Service Mandatory Clause in Contracts

Continuity of Service Mandatory. (a) It shall be the right of all subscribers to continue receiving service as long as their financial and other obligations to the Grantee are honored. If the Grantee elects to over build, rebuild, modify or sell the system, or the Village gives notice of intent to terminate or fails to renew the franchise, the Grantee shall act so as to ensure that all subscribers receive continuous, uninterrupted service regardless of the circumstances for a period not to exceed six months after the franchise has terminated. (b) If there is a change of franchise, or if a new operator acquires the system, the Grantee shall cooperate with the Village, new franchisee and operator in maintaining continuity of service to all subscribers. During such period, the Grantee shall be entitled to the revenues for any period during which it operates the system. (c) If the Grantee fails to operate the system for three consecutive days without prior approval of the Village or without just cause, the Village may, at its option, operate the system or designate an operator until such time as the Grantee restores service under conditions acceptable to the Village or a permanent operator is selected. If the Village is required to fulfill this obligation for the Grantee, the Village shall be entitled to all revenues for any period during which it operates the system and shall be entitled to draw on the letter of credit and cash security deposit established pursuant to Section 14 of this chapter to recover all of its costs and damages in excess of such revenues, and, in any event, the Grantee shall be obligated to reimburse the Village for all costs or damages incurred by the Village resulting from the Grantee's failure to perform that the Village does not recover from such revenues or said letter of credit or cash security deposit.