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HomeMy WebLinkAboutWarner Bros TVORDINANCE NO. 2 G a AN ORDINANCE OF THE CITY OF NEWPORT BEACH AMENDING ORDINANCE NO. 11.97 WHICH GRANTED A NON- EXCLUSIVE FRANCHISE TO CONSTRUCT, MAINTAIN AND OPERATE A COMMUNITY ANTENNA TELEVISION SYSTEM TO WARNER BROS. TV SERVICES, INC., A PREDECESSOR OF NEWPORT BEACH CABLEVISION, INC., THE EXISTING FRANCHISE HOLDER The City Council of the City of Newport Beach does ain as follows: SECTION 1. Section 1 of Ordinance No. 1197 is hereby ,.-,ended to read as follows: "SECTION 1. Definitions. Wherever in this ordinance the following words or phrase's are used, they shall have the respective meanings assigned to them in the following definitions; and words or phrases not defined in this section which are defined in any franchise document shall have the same meaning in this ordinance assigned to them in such franchise document, unless the context in which they are used shall clearly indicate a different meaning: (a) 'City' shall mean the City of Newport Beach in its present incorporated form or in any later recognized, consolidated, enlarged or reincorporated form. (b) 'Council' shall mean the present governing body of the City, or any future board constituting the legislative body of the City. (c) 'Person' shall mean any individual, firm, partnership, association, corporation, company or organization of any kind. (d) 'Grantee' shall mean Newport Beach Cablevision, Inc., its employees, agents, successors and assigns. (e) 'Community Antenna Television System' or -1- 0 0 'CATV System' shall mean a system of antennae, coaxial cables, wave guides,, poles, wires, underground conduits, manholes and other conductors, equipment or facilities designed, constructed or used for the purpose of providing television, radio or other service by cable or through its facilities as herein contemplated. CATV shall not mean or include the transmission of any special program or event for which a separate and distinct charge is made to the subscriber in the manner commonly known and referred to as 'pay television.' (f) 'Subscribers' shall mean any person or entity receiving for any purpose the CATV service of the Grantee herein. (g) 'Gross Annual Receipts' shall mean any and all compensation in the form of gross rental and /or service receipts, with the exception of initial installation charges, received directly or indirectly from subscribers or users in payment for CATV services and shall also include al-1 revenues received for advertising. Gross annual receipts shall not include any taxes on services furnished by the Grantee imposed directly on any subscriber or used by any city, state or other govern- mental unit and collected by the Grantee for such governmental unit. (h) 'Franchise Area' shall mean the territory within the City throughout which Grantee shall be authorized to construct, maintain and operate its system and shall include any enlargements thereof and additions thereto. (i) 'Franchise Documents' shall mean and shall include all of the following: (1) Article XIII of the Charter of the City Of Newport 'Beach. -2- E Ll (2) Chapter 5.44 of Title 5 of the Newport Beach Municipal Code as the same now exists or as it may hereafter be amended. (3) Any and all rules and regulations governing the operation of CATV Systems within the City of Newport Beach which are adopted by the City Council. (4) The written acceptance of CATV Franchise filed with the City by the Grantee. (j) 'Street' shall mean the surface of and the space above and below any public street, road, highway, freeway, lane, path, alley, court, sidewalk, parkway, or right of way whether or not improved, now or hereafter existing as such throughout the City." SECTION 2. Section 4 of Ordinance No. 1197 is amended read as follows: "SECTION 4. Term of Franchise The term of this franchise shall be twenty -five (25) years, commencing on January 27, 1967." SECTION 3. Section 12 of Ordinance No. 1197 is amended a read as follows: "SECTION 12. Annual Franchise Fee The Grantee shall pay annually to the City during the life of this franchise for the privilege of operating a CATV system under this franchise the following percentages of gross receipts: Gross Receipts On the first $2.00,000 On the next $100,000 On the next $100,000 On the next $100,000 In excess of $500,000 Percentage Pavable 3% 3 -1/2% 4°% 4 -1/2% 5% SECTION 4. This ordinance shall be published once in '_'•?e official newspaper of the City, and the same shall be -3- W yet`:.•.. _2ctive 30 days after the date of its adoption. This ordinance was introduced at a regular meeting of City Council of the City of Newport Beach held on the 23rd of November , 1970, and was adopted on the 14th day December , 1970, by the following vote, to wit: +`?ST: Clerk O OI ?•4L AND ".:'r':F: D AS TO PUnICAT10N ,JAN 18 1970 .. ......................... _..... n Li , G T'! Ct t� w &T BEACH AYES, COUNCILMEN: McInnis, Kymla, Rogers, Hirth, Croul, Dostal, Parsons NOES, COUNCILMEN: None ABSENT COUNCILMEN: None zz-"�z Mayor we THS:mh 11/19/70 AHS ::aem ,,.V/7,/66 ORDINANCE NO. 1197 AN ORDINANCE OF THE CITY OF NEWPORT BEACH- GRANTING TO WARNER BROS. TV SERVICES, INC. A NONEXCLUSIVE FRANCHISE TO CONSTRUCT, MAINTAIN AND OPERATE A COMMUNITY ANTENNA TELEVISION SYSTEM WITHIN SAID CITY The City Council of the City of Newport Beach does ordain as follows: SECTION 1. Definitions. Wherever in this ordinance the following words or phrases are used, they shall have the respective meanings assigned to them in the following definitions; and words or phrases not defined in this section which are defined in any franchise document shall have the same meaning in this ordinance assigned to them in such fran- chise document, unless the context in which they are used shall clearly.indicate a different meaning: i (a) "City" shall mean the City-of Newport Beach in its present incorporated form or in any later recognized, consolidated, enlarged or reincorporated form. (b) "Council" shall mean the present governing body of the City, or any future board constivating the legislative body of the :City. (c) "Person" shall mean any individual, firm, partner- ship, association, corporation, company or organization of any kind. (d) "Grantee" shall mean Warner. Bros. TV Services, Inc., a Delaware corporation, its employees, agents, successors and assigns. (e) "Community Antenna Television System" or "CATV System" shall mean a system.of antennae, coaxial cables, wage guides, poles, wires, underground conduits, manholes and other conductors, equipment or facilities designed, constructed or used for the purpose of providing television, radio or other service by cable or through its facilities as herein contemplated. CATV shall rot mean or include the transmission of any special program or event for which a separate and distinct charge is made to the subscriber in the manner commonly known and referred to as pay television. (f) "Subscribers" shall mean any person or entity receiving for any purpose the CATV service of the Grantee herein. (g) "Gross Annual Receipts" shall mean any and all com- pensation in the form of gross rental and /or service receipts, including initial installation charges, received directly or in- directly from subscribers or users in payment for CATV services received within the City. Gross annual receipts shall not include any taxes on services furnished by the Grantee imposed directly on any sub- scriber or used by any city, state or other governmental unit and collected by the Grantee for such governmental unit. e (h) "Franchise Area" shall mean the territory within the City throughout which Grantee shall be authorized to construct, maintain and operate its system and shall include any enlargements thereof and additions thereto. (i) "Franchise Documents" shall mean and shall. include all of the following: (1) Article XIII of the Charter of the City of Newport Beach. (2) Chapter 5.44 of Title 5 of the Newport Beach- Municipal Code as the same now exists or as it may hereafter be amended. (3) Any and all rules and regulations governing the operation of CATV Systems within the City of Newport Beach which are adopted by the City Council. (4) The written acceptance of CATV Franchise All filed with the City by the Grantee. (j) "Street" shall mean the.surface of and the space above and below any public street, road, highway, freeway, lane, 2. r path, alley, court, sidewalk, parkway, or right of way whether or not improved, now or hereafter existing as such throughout the City. SECTION 2. Grant of Franchise. There is hereby granted to Warner Bros. TV Services, Inc., a Delaware corporation, by the City a nonexclusive franchise to con- struct, erect, operate and maintain, in, upon, along;, across, above, over and under the public streets, alleys, public ways and public places, now or in the future dedicated for public use in the City, poles, wires, cables, underground conduits, manholes and other "tele- vision conductors, appurtenances and fixtures necessary or convenient for the maintenance and operation in the City of a community antenna television system to transmit television and FM radio signals, within the franchise area described as follows: All of the territory within the boundaries of the City of Newport Beach as such boundaries exist on the effective date of this ordinance, with the exception of the following ter- ritory That portion of Blocks 51, 55, 56, 57, 92, 93, and 96 of Irvine`s Subdivision in the City of Newport Beach, County of Orange, State of California, as per map recorded in Book 1, Page 88 of Miscellaneous Record Maps in the office of the County Recorder of said County, described as follows: Beginning at the West corner of said Block 96; thence Southeasterly along the Southwesterly line of said Block 96 to the Easterly corner.of Tract No. 673 as. per map recorded in Book 20, Pages 17 and 18 of Miscellaneous Maps, said corner being also an angle point in the boundary of the 'Harblor View Annexation to the City of Newport Beach as established by City Ordinance No. 896, thence Northeasterly along said boundary to an angle point in the boundary of Annex- ation No. 57 to the City of Newport Beach as estab- lished by Resolution No. 6203, dated August 9, 1965, of the City of Newport Beach Council and amended by Resolution No. 6247, dated November 8, 2965, said point being the Southwesterly terminus of that certain course described therein as "North 44® 56° 20" East 114.30 feet "; thence generally Northeasterly and North- westerly along said boundary to the Easterly right of way line of MacArthur Boulevard, 100.00 feet wide as described in the deed recorded in Book 10 &7, Page .557 of Official'Records; thence generally Northerly along said Easterly right of way line being also the boundary of Annexation No. 50 tz the City of Newport 3. � f.. Beach as established by City Ordinance No, 999 to the Southeasterly line of said Block 55; thence South- westerly along said Southeasterly line being also said boundary of Annexation No. 50 to the Westerly right of way line of said MacArthur Boulevard; thence Northerly along said Westerly right of way line being also the boundary of the Jamboree Road Annexation to the City of Newport Beach as established by City Ordinance No. 840 to the center line of Palisades Road, 80.00 feet wide, as described in the deed re- corded in Book 1677, Page..98 of Official Records; thence Westerly and Northwesterly along said center line to the center line of Jamboree Road, 132.00 feet wide, as described in the deed recorded in Book 6135, Page 155 of Official Records, thence generally South- westerly along said center line of Jamboree Road to the center line of State of California Highway Route ORA. 60 -B, 100.00 feet wide, as described in the deed recorded in Book 487, Page 3 of Official Records; thence Easterly along said State Highway center line to the Southwesterly line of said Block 55; thence Southeasterly along said Southwesterly line and the Southwesterly line of said;Block'93 to the point of beginning. The CATV system herein franchised shall be used and operated solely and exclusively for the purposes expressly authorized.by ordinance of the City of Newport Beach and no other purposes whatsoever. SECTION 3. Nonexclusive Grant. The right to use and occupy said streets, alleys, public ways and places for the purposes herein set forth shall not be exclusive, and the City reserves the right to grant a similar use of said'streets, alleys, public ways and places to any person at any time during the term of this franchise. SECTION 4. Term of Franchise. The term of this franchise shall be fifteen (15) years and shall commence at 12 :01 P.M. on the effective date of this ordinance, provided that the Grantee has filed written notice of acceptance in accordance with the requirement of Section 10 of this ordinance. SECTION 5. Inclusion of Franchise Documents. All of the franchise documents applicable to this fran- chise are hereby incorporated -by reference and made a part of this ordinance. By acceptance of this franchise Grantee agrees 4. to be bound by all of the terms,. provisions and conc_tions contained in said franchise documents. SECTION 6. Indemnificaticn of the City- Grantee agrees that it shall indemnify and hold harmless the City, its officers, boards, commissions, agents and employees against and from any and all claims, demands, actions, suits, liabilities and judgments of every kind and nature and regardless of the merit of the same, arising out-of or related to the exercise or enjoyment of this franchise by Grantee, including claims, demands, actions, suits, liabilities and judgments based upon copyright infringement; Grantee further agrees that it will reimburse City for any costs and expenses incurred by City in defending against any such claim or claims, includirg attor- neys' fees, accountant fees, expert witness or consultant fees, court cos�s, per diem expense, travel and living expense; Grantee further agrees that upon demand of the City it will appear in and defend any and all suits, actions, or other legal proceedings whether judicial, quasi - judicial, administrative, legislative, or otherwise, brought by third persons or duly constituted authori- ties against or affecting the City, its officers, boards, commis- sions, agents or employees and arising out of or pertaining to the exercise or enjoyment of such franchise, or the granting thereof by the City; the foregoing obligations shall exist and continue without reference to or limitation by the amount of any bond, policy of insurance, deposit, undertaking or other security required required hereunder; provided that neither Grantee nor City shall make or enter into any compromise or settlement of any claim, demand, action or suit for monetary damages without first, giving the other ten (10) days' prior written notice of its intention to do so. SECTION 7. Right of City to Adopt Additional Rules and Regulations. The right is hereby reserved to the City to adopt, in - - -- - - - -- 5. addition to the provisions contained in this ordinance and in any other applicable ordinances and resolutions, such additional regu- lations as it shall determine to be necessary or convenient in the exercise of the police power. SECTION 8. Prohibited Activities of Grantee. Grantee shall be prohibited from directly or indirectly doing any of the .following: (a) Engaging in the business of selling at retail, leasing, renting., repairing or servicing of television sets, radios or other receiving apparatus, or any part or component thereof. (b) Providing any repair service to its subscribers, for a fee or otherwise, which extends beyond the connection of its service and the determination by Grantee of the quality of its signal to its subscribers. A (c) Soliciting, referring, or causing or permitting the solicitation or referral of any subscriber to any specific named persons, . firms or corporations engaged in any business which Grantee is prohibited from engaging in by the provisions hereof.. (d) Transmitting or presenting any programs or events for which a separate and distinct charge is made to the subscribers in the manner commonly known and referred: to as "pay television and the Grantee shall not maintain or operate on any television set a coin box or any other device or means for the collection of money for individual programs. SECTION 9. Transfer of Franchise. This franchise shall not be sold, transferred, assigned, leased or otherwise disposed of in whole or in part by voluntary or involuntary sale, merger, consolidation, or otherwise, without the prior consent of the City Council expressed by resolution, and then upon such terms and conditions as the Council may pre- scribe. No sale, transfer or assignment shall be effective until 6. the vendee, assignee or lessee has filed in the offi_e of the City Clerk an instrument, duly executed and approved as to form and content by the City Attorney, reciting the fact of such transfer, sale, assignment or lease, accepting the terms of the franchise, and agreeing to perform all the conditions thereof, including any additional conditions required by the City Council. SECTION 10. Acceptance of Franchise. This franchise shall not 'become effective for any pur- pose unless and until written acceptance thereof shall have been filed with.the City Clerk; and such written acceptance shall be in form and substance as shall be prescribed by the City Attorney and shall be and operate as an acceptance of each and every term, condition and limitation contained herein, or otherwise specified by ordinance or resolution of the City Council. Said written acceptancie shall be filed by the Grantee not later than 12:01 P.M. of the fifteenth (15th) day next following the date of the adoption by the Council of this ordinance„ and, in default of the filing of such written acceptance as herein required, Grantee shall: be deemed to have rejected and repudiated the same; and thereafter,, the acceptance of any such Grantee shall not be re- ceived by the City Clerk, and such Grantee shall have no rights, remedies, or redress in the premises, unless and until the City Council shall, by resolution, determine that such acceptance be received or filed, and then upon such terms and conditions as the Council may impose. SECTION 11. Acceptance Fee. The Grantee shall, upon the acceptance of.this franchise, pay to the City, in consideration of the granting of this fran- chise, the sum of $2,000. SECTION 12. Annual Franchise Fee. The Grantee shall pay annually to the City during the 7. iliok life of this franchise for the privilege of operating a CATV system under this franchise a sum equivalent to three per cent (3%) of the annual gross receipts derived from its operations within the City. SECTION 13. Effective Date This ordinance shall become effective 30 days from and after the date of its adoption; provided, however, that the fran- chise hereby granted shall not become effective unless and until the Grantee files written acceptance thereof in the manner specified in Section 10 of this ordinance and delivers to the City all bonds and insurance policies required to be furnished in accordance with.the requirements of Chapter 5.44 of Title 5 of the Newport Beach Municipal Code. SECTION 14. Publication, This ordinance shall be published once in the official newspaper of the City. This ordinance was introduced at a regular meeting of the City Council of the City of Newport Beach held on the I2th day of December 1966,, and was adopted on. the 27th day of December , 1966 , by the following vote, to wit: ATTEST, AYES, COUNCILMEN^ Parsons, Rogers, Marshall For >git, Shelton NOES, COUNCILMEN: Noce ABSENT COUNCILMEN: Cook, Gniber City Clerk s. Mayor CDR: nt ORDINANCE NO. AN ORDINANCE OF THE CITY OF NEWPORT BEACH ADDING CHAPTER 9.5 TO ARTICLE VI OF THE NEWPORT BEACH MUNICIPAL CODE PROVIDING FOR CITY REGULATION AND USE OF COMMUNITY ANTENNA TELEVISION SYSTEMS, AND SETTING FORTH CONDITIONS ACCOMPANYING THE GRANT OF FRANCHISE The City Council of the City of Newport Beach does ordain as follows: SECTION 1. Chapter 9.5 is added to Article VI of the Newport Beach Municipal Code to read: "Chapter 9.5 COMMUNITY ANTENNA TELEVISION SECTION 6950. Definitions. For the purpose of this chapter, the following terms, phrases, words and their deri- vations shall have the meaning, given herein. When not inconsistent with the context, words used in the present tense include. the future, words in the plural number include the singular number, and words in the singular number include the plural number. The word 'shall' is 'always mandatory and not merely directory. (1) lCityl shall mean the City of Newport Beach,.Cali- fornia; in its present incorporated form or in any later, recognized, consolidated, enlarged or reincorporated form. (2) 'Council' shall mean the present governing body of the City, or any future board constituting the legislative. body of the City.. (3) 'Person' shall mean,any individual, firm, partner - ship, association, corporation, company or organization of any kind: (4) 'Grantee' shall mean the person, firm or corporatior, to whom or which a franchise under this chapter is granted by the Council, and the lawful successor or assignee of said person, firm or corporation_. (5) 'Community Antenna Television System' or 'CATV' shal mean a system of antennae, coaxial cables, wave guides, poles, wires, underground conduits, manholes and under conductor S, equipment or facilities designee, constructed or i.sed for the purpose of providing television, radio or other service by cable or throubh its facilities as herein contemplated. 'CATV' shall not mean or include the transmission of any special pro- gram or event for which a separate and distinct charge is made to the subscriber in the manner commonly known and referred to as 'pay television'.. (6) 'Subscribers' shall mean any person or entity receiv- ing for any purpose the CATV service of the grantee herein. (7) 'Gross annual receipts' shall mean any and all compen- sation in the form of gross rental and /or service receipts, including initial installation charges, received directly or indirectly from subscribers or users in payment for CATV services received within the City. Gross "annual receipts shall not include any taxes on 'services furnished by the grantee imposed directly on any C. subscriber or user by any city, state or other governmental unit and collected by the.grantee for such governmental unit. SECTION 6951. Franchise to Operate. A franchise to construct,. operate and maintain a community antenna television system within all or any portion of the incorporated area of the City of Newport Beach may be granted by the Council to any person, firm or corporation,whether operating under an existing franchise or not, offering to furnish and provide such system pursuant to the terms and provisions of this chapter. Such a franchise shall not be exclusive, and the City reserves the right to grant a similar franchise to any person at any time. No provision of this chapter may be construed as to require the granting of a franchise when in the opinion of the Council it is in the public interest to restrict the number of grantees Cto one or more or to refrain from granting any franchise at that time. - ..._. 2. SECTION 6952. Uses- Permitted. Any franchise granted pur- suant to the provisions of this chapter shall authorize and per- mit the grantee to engage in the business of operating and pro- viding a CATV system in the City of Newport Beach and for that purpose to erect, install, construct, operate, repair, replace, reconstruct, maintain and retain in, on, over, under, upon, across and along any public highway, street, alley, public way or public place, such poles, wires, cable, conductors, ducts, conduits, vaults, manholes,.amplifiers, appliances, attachments and other property as may be necessary and appurtenant to the CATV system; and, in addition, so to use - ,,operate and provide similar facilities on properties rented or leased from other persons, firms or corporations including, but not limited to, a public utility or other grantee franchised or permitted to do business in the City of Newport Beach. The grantee shall have the authority to promulgate such rules, regulations, terms and conditions governing the conduct ' of its business as shall be reasonably necessary to enable it to exercise its rights and perform its obligations under the franchise, and to insure an uninterrupted service to each and all of its customers; provided, however, that such rules, regu- lations, terms and conditions shall not be in conflict with the provisions hereof or of the laws of the City of Newport Beach, the State of California or the United States of America. The grantee shall have authority to trim trees upon and overhanging streets, alleys, sidewalks and public places of the City so as to prevent the branches of such trees from com- ing in contact with the wires and cables of grantee, all trimming to be done under the supervision and direction of the City and at the expense of grantee. The grantee may make a charge to subscribers for connection { to its CATV system and a fixed monthly charge, both as filed ani approved as herein provided. Razes charged by the grantee for g, GDR:aem 3/4/66 service hereunder shall be fair and reasonable and designed to meet all necessary costs of the service, including a fair rate of return on the net valuation of its properties devoted thereto, under efficient and economical management. For unusual circumstances, such as underground cable required, or more than 150 feet of distance from cable to connection of service to subscribers, an additional installation charge over that normally charged for installation as specified in the applicant's proposal may be charged, with easements to be supplied by subscribers; For remote, relatively inaccessible subscribers within the City, service will be made available on the basis of cost of materials, labor, and easements if required. Rates to be charged by the grantee to subscribers for installation and services shall be approved by the City Council.when the franchise is granted, and may not be increased, without prior approval by the City Council. Said rate changes shall not be initiated by the City Council. SECTION 6953. Duration of Franchise. Any franchise, granted by the City Council pursuant to this chapter, shall be for a term of fifteen (15) years following the date of accept7 ante of such franchise by the grantee or renewal thereof. Any such franchise may be terminated prior to its date of expir- ation by the City Council in the event that said Council shall have found, after thirty (30) days. notice of proposed termina- tion and public hearing, that (a) the grantee has failed to comply with any provision of this chapter, or has, by act or omission, violated any term or condition of its franchise or permit issued under this chapter; or (b) any provision of this chapter has become invalid or unenforceable, and the Council further finds that such provision constitutes a consideration ( material to the grant of said franchise; or (c) the City l acquires the CATV property of grantee. SECTION 6954. Franchise Payment. Any grantee granted a franchise under this chapter shall pay annually to the City, 4. GDRcaem 3/4/66 0 " during the life of such franchise, and at t4-7-es hereinafter specified, a sum equal to three per cent (3 %,) of the gross annual receipts of the grantee. The grantee shall file with the City, within thirty (30) days after the expiration of any calendar -year during which such franchise is in force, a financial statement prepared by a certified - public accountant showing in detail the gross annual receipts, as defined herein, of grantee, its successors and assigns, during the preceding calendar year. It shall be the duty of grantee to pay to the City, within ten (10) days after the time for filing such statement, any unpaid balance for the calendar year covered by such statement. In the event that the above payment is not received by the City within the specified time, grantee shall pay to the City a penalty of two per cent (2 %) per month on the unpaid balance in addition thereto. In any year or portion thereof commencing at the conclusion of the first year that service is provided during which payments to grantee for-installation and services amount to less than fifteen hundred dollars ($1500) per month, grantee shall pay to the City a minimum amount of twenty -five dollars ($25) per month. The right is reserved to the'City of audit and recomputa- tion of any and all amounts paid under this chapter, and no acceptance of any payment shall be construed as a release or as an accord and satisfaction of any claim the City may have for further or additional sums payable under this chapter or for the performance of any obligation thereunder. In the event of any holding over after expiration or other termination of said franchise, without the consent of the t City, the grantee shall pay to the City damages of not less than twenty per cent (20 %) of its gross profits during said period. c i._ GDRsaem r 3/4/66 SECTION 6955. Limitations of Franchise -. (a) No privilege or exemption shall be granted or con- ferred by a franchise granted pursuant to this chapter except those specifically prescribed herein. (b) The grantee is subject to all requirements of the ordinances, rules,, regulations, fees and specifications of the City heretofore or hereafter enacted or established,.including, but not limited to, those °concerning street work, street exca- vation, use, removal, and relocation of property within a street, and other street work. (c) All transmission and distribution structures, lines and equipment of the grantee within the City shall be so located as to cause minimum interference with the proper use of streets, alleys and other public ways and places, and to cause minimum i�terferencc with the rights or reasonable convenience of :property owners who adjoin any of the said streets, alleys or other public ways_and places. ( (d) In case of any disturbance of pavement, sidewalk, driveway or other surfacing, the grantee shall, at its own cost and expense and in a manner apprcved by the Public Works Depart- ment of the City, replace and restore all paving, sidewalk, driveway or surface of any street or alley disturbed, in as good condition as before said work was commenced and shall maintain the restoration in an approved condition for the duration of the franchise. (e) The grantee 'shall, at its expense, protect, support, temporarily disconnect, relocate or remove from any public street, alley or other public way, any property of the grantee when required by the Director of Public Works of the City by reason of traffic conditions, public safety, street vacation, freeway and street construction, change or establishment of ( street grade, installation of sewers, drains, water pipes, 6. GDR:aem 3/4/66 power lines, signal lines, and tracts or other type of structures or improvements by governmental agencies when act- ing in a governmental or proprietary capacity, or any other structures or public improvements; provided, however, the grantee shall in all cases have the privieges and be subject to the obligations to abandon any property of the grantee in place, as provided in Section 6959 hereof. (f) Whenever it is necessary to shut off or interrupt service for the purpose of making repairs, adjustments, alter- ations or installations„ the grantee shall do so at such time as will cause the least amount of inconvenience . to its Customer and unless such interruption is unforeseen and immediately necessary, it shall give reasonable notice thereof to its customers. (g) Any such franchise shall be a privilege to be held in trust by the original grantee. it cannot in any event be sold, transferred, leased, assigned or disposed of, in whole or in part, either by force or involuntary sale, merger, con- solidation or otherwise, without prior consent of the Council expressed by resolution, and then only under such conditions as may be therein prescribed. The grantee shall file with the Council within thirty (30) days after any sale, transfer, assignment, or lease of the franchise or any part thereof, or any of the rights or privileges granted thereby, written evi- dence of the transaction certified to by the grantee or its dul authorized officers. The proposed assignee must shown financiz responsibility and must agree to comply with all provisions of this chapter. No such consent shall be required for a transfei in trust, mortgage or other hypothecation as a whole, to secure an indebtedness. (h) Time shall be of the essence of any such franchise granted. The grantee shall not be relieved of his obligation 7 Al GDR:aem ? i 3/4/66 comply promptly with any of the provisions of this chapter by failure; of the City to enforce prompt.compli2nce. (i) Any right or power in, or duty impressed upon any officer, employee, department or board of the City shall be sub- ject to transfer by the City to any other officer, employee, department or board of the City. (j) The grantee shall have no recourse whatsoever against the City for any loss, cost, expense or damage arising out of any provisions or requirements of this chapter or its enforcement, (k) Any such franchise granted shall not relieve the grantee of any obligation involved in obtaining pole space from any department of the City, utility company, or from others main- taining poles in streets. (1) Any franchise granted hereunder shall be in lieu of any and all other rights, privileges, powers, immunit ,'_.s, and authorities owned, possessed, controlled, or exercisable by grantee, or by any successor to any interest of grantee, of or pertaining to the construction, operation, or maintenance of any CATV system in the City; and the acceptance of any franchise hereunder shall operate, as between grantee and the City, as an abandonment of any and all of such rights, privileges, powers, immunities, and authorities within the City,, to the effect that, as between grantee and the City, any and all construction, oper- ation and maintenance by any grantee of any CATV system in the City shall be, and shall be deemed and construed in.all instan- ces and respects to be under and pursuant to said franchise, and not under or pursuant to any other right, privilege, power, immunity, or authority whatsoever -, in lieu of all of which, is and shall be granted any franchise hereunder. SECTION 6956. Rights Reserved to the City, (a) No franchise granted under this chapter in any way impairs or affects the right of the City to acquire the property of the grantee by purchase or condemnation. 8. Fool (b) No franchise granted under this ch_:;ter shall ever be given any value before any court or other pudic authority in any proceeding of any character in excess of the cost to the grantee of the necessary publication and any other sum paid by it to the City therefor at the time of acquisition. (c) There is hereby reserved to the City every right and power which is required to be herein reserved or provided by any ordinance or resolution of the City, and the grantee, by its acceptance of any franchise, agrees to be bound thereby and to comply with any action or requirements of the City in its exercise of such rights or power, heretofore or hereafter enacted or established. (d) Neither the granting of a franchise hereunder nor any of the provisions contained herein shall be construed to prevent the City from granting any identical, or similar, fran- chise to any other person, firm or corporation, either within or without the designated area of the franchise, (e) The City Council may do all things which are necessary and convenient inn the exercise of,its jurisdiction under this chapter and may determine any question of fact which may arise during the existence of any franchise issued under the pro- visions of this chapter. The City Manager of the City of Newport Beach is hereby authorized and empowered to. adjust, settle, or compromise any controversy or charge arising from the operations of any grantee under this chapter, either on behalf of the City, the grantee, or any subscriber, in the best interest of the public. Either the grantee or any member of the public who may be dis- satisfied with the decision of the City Manager may appeal the matter to the Council for hearing and determination. The Council may accept, reject or modify the decision of the.City Manager, and the Council may adjust, settle or compromise any controversy or cancel any charge arising from the operations of any grantee or from any provision of this chapter.' 9. GDR: aem 3/4/66 SECTION 6957. Perm`:;, Installation and S^rvice. (a) Within thirty (30) days after ecceptarce of any fran- chise the grantee shat' proceed with due diligence to obtain all, necessary permits and authorizations which are required in the conduct of its business, including but not limited to any util- ity joint use attachment agreements, microwave carrier licenses, and any other permits; licenses, and authorizations to be granted by duly constituted regulatory agencies having jurisdiction over the operation of CATV systems, or their associated microwave transmission facilities. (b) Within ninety (90) days after obtaining all necessary permits, licenses and authorizations, grantee shall commence con- struction and installation of the CA.TV system, (I(c) Within ninety (90) days =after the commencement of con- struction and installation of the system, grantee shall proceed to render service to the subscribers, and the completion of the construction and installaticn shall be pursued with reasonable diligence thereafter. (d) Failure to do any of the foregoing shall be grounds for termination of the franchise;. (e) The City Manager may extend the time for obtaining necessary permits and authorizations and for beginning construe- tion and installation for additional periods in the event the grantee, acting in good faith, experiences delays by reason of circumstances beyond his control. SECTION 6958. Location of Grantee's Properties, (a) Any pole's, wires, cable lines, conduits, or other properties of the grantee to be constructed or installed in streets, alleys or other public places shall be so constructed or installed only at such locations and in such manner as shall C be approved by the Director of Public Works of the City acting in the exercise of his reasonable discretion. (b) The grantee shall not install or erect any facilities or apparatus on public property or rights -of-way within the 10. City, except those installed or erected upc- public utility facilities now existing, without written approval of the Dir- ector of Public Works of the City. (c) In those areas and portions of the City where both the transmission and distribution facilities of the,public utility providing telephone service and those of the utility providing electric service are underground or hereafter may be placed underground, then the grantee shall likewise construct, operate, and maintain all of its transmission and distribution facilities underground. Amplifiers in grantee's transmission and distribution lines may be in appropriate housings upon the surface of the ground as approved by the Director of Public Works of the City. SECTION 6959. Removal or Abandonment of Property of Grantee.. (a) In the event that the use of any part of the CATV system is discontinued for any reason for a continuous period of . three (3) months, or.in the event such system or property has been insta- led,in any street, alley or public place with- out complying with the requirements of its franchise or ordi- nance, or the franchise has beert terminated, cancelled or has expired, the grantee shall promptly, upon being given thirty (30) days' notice, remove from the streets, alleys or public places all such property and "poles of such system other than any which the Director of Public Works may permit to be abandoned in such place. In the event of any such removal, the grantee shall promptly restore the street, alley or other area from which such property has been removed, to a condition sat- isfactory to the Director of Public Works. (b) Any property of the grantee remaining in place ninety (90) days after the termination of the franchise shall be con- ( sidered permanently abandoned. The City Manager may extend such time not to exceed an additional thirty (30) days, llo 7 (c) Any property of the grantee to be abandoned in place shall be abandoned in such manner as the Director of Public Works shall prescribe. Upon permanent abandonment of the property of { the grantee in place, the property shall become that of the City, and the grantee shall submit to the City Council an instrument, to be approved by the City Attorney, transferring to the City the ownership of such property.. SECTION 6%0. Failure to Perform Street Work. Upon fail- ure of the grantee to commence, pursue, or complete any work required by law or by the provisions of this chapter; or by its franchise to be done in any street, alley or other public places within the time prescribed, and to.the satisfaction of the Dir- ector of Public Works, the City Manager may at.his option cause such work to be done and the grantee shall pay to`the City the cost thereof in the itemized amounts reported by the City Man- ager to the grantee within ten (10) days after receipt of such itemized report. SECTION 6961. Faithful Performance Bond. (a) The,..grantee.shall, concurrently with the filing of an 'acceptance of 'award of the franchise granted under this chapter, file with the City Clerk and at all times thereafter maintain in full force and effect for the term of such franchise or renewal thereof, at grantee's sole expense, a corporate surety bond in a company approved by, and in a form to be approved by, the City Attorney, in the amount of - 'Uenty -five thousand dollars renewable annually, and conditioned upon the faithful perform- ance of grantee, and upon the further condition that in the event grantee shall fail to comply with any one or more of.the provis ions of this chapter or of the franchise issued to the grantee hereunder, there shall be recoverable jointly and severally from the principal and surety of such bond any damages or loss suffered by the City as a result thereof, including the full amount of any compensation, indemnification, or cost of removal 12. CDR:aem 3/4166 or abandonment of any property of the gra7ttn as prescribed hereby which may be in default, plus a reasonable allowance for attorney's fees and costs, tip to the full am ^ant of the bond, said 'condition to be a continuing obligation for the duration of such franchise or any renewal tbereof, and thereafter until the grantee has liquidated all of its obligations with the City that may have arisen from the acceptance of said franchise by the grantee or from its exercise of any pri�Tilege therein granted. The bond shall provide that thirty (30) days prior written notice of intention not to renew, cancellation, or material change, be given to the City. (b) Neither the provisions of this section, nor any bond accepted by the City pursuant thereto, nor any damages recovered by the City thereunder, shall be construed to excuse faithful performance by the grantee or limit the liability of the grantee. under any franchise issued heround^_r or for damages, either to the full amount of the bond or otherwise. SECTION 6962. Indemnification of the Citr. (a) The grantee shall, at all times during the existence of any franchise issued hereunder, maintain in full force 'and effect, furnish to the City, and file with the City Clerk, at Lts own cost and expense, a general comprehensive liability insur- ance policy, in protection of the City, its officers, boards, commissions, agents and employees, in a company approved by the City Manager and in a form satisfactory to the City Manager, protecting the City and all persons against liability for loss or damage for personal injury, death and property damage, occas- ioned by the operations of grantee under such franchise, with minimum combined singly` limits of liability coverage in the amount of one *_pillion dollars (j1,000,00C) for personal injury or death of any person, or damage to property resulting from any occurrence, 13. (b) The policies mentioned in the foregoing paragraph shall name the City, its officers, boards, ccu missions, agents and employees, as additional insured and shall contain a pro- vision that a written notice of any cancellation, modification or reduction in coverage of said policy shall be delivered to .he City Clerk thirty (30) days in advance of the effective date thereof; if such insurance is provided in either case,by a pol- icy which also covers grantee or any other entity or person other than those above named, then such policy shall contain the standard cross- liability endorsement. (c) No franchise granted under this chapter shall be effective unless and 'until each of the foregoing policies of insurance as required in this section has been delivered to the City Clerk, 4 SECTION 6953. Inspection of Property and Records, I (a) At all reasonable times, the grantee shall permit any duly authorized representative of the City to examine all prop- erty of the grantee, together with any appurtenant property of { the grantee situated within or without the City, and to examine and transcribe any and all maps and other records kept or main - tained by the grantee or under its control which deal with the operations, affairs, transactions or property of the grantee with respect thereto. If any of such maps or records are not kept in the City, or upon reasonable request made available in the City, and if the City Manager shall determine that an exam- ination thereof is necessary or appropriate, then all travel and maintenance expense necessarily incurred in making such examination shall be paid by the grantee. (b) The grantee shall prepare and furnish to the City Manager and /or the Director of Finance at the times and in the form prescribed by either of said ,officers, such reports with respect to its operations, affairs, transactions or property, as may be reasonably necessary or appropriate to.the perform- ance of any of the rights, functions or duties of the City or any of its officers in connection with the franchise. 14. _. ... (c) The grantee shall, at all times, rake and keep in the City full and complete plans and records showing the exact location of all CATV system equipment installed or in use in { streets, alleys and public places in the City. The grantee shall file with the Director of Public Works, on or before the last day in March of each year, a current set of maps.drawn to scale showing all CATV system equipment installed and in place in streets, alleys and other public places of the City during the previous year. SECTION 6964. Operational Standards. The CATV system shall be installed and maintained in accordance with the high- est and best accepted standards of the industry to the effect that subscribers shall receive the highest possible service. In determining the satisfactory extent of such standards the following shall be considered; (a) The system shall be installed using all band equip- ment capable of passing the entire VHF and FM spectrum, and it { shall have the further capability of converting UHF for dis- tribution to subscribers on the VHF band. (b) The system, as installed, shall be capable of pass- ing standard color TV signals without the introduction of mater- ial degracs:-ion on color fidelity and intelligence. (c) The system and all equipment shall be designed and rated for 24 -hoi., per day continuous operation. (d) The system shall provide a signal level of 2000 microvolts at the input terminals of each TV receiver. (e) The system signal -to -noise rate shall be not less than 46 decibels. (f) Hum modulation of the picture signal shall be less than 5%. (g) The system shall use components having a VSWR of 14 or less. 15. GDR:aem 3/4/66 SECTION 6965. Miscellaneous Provisio„ - w (a) All matters herein provided to be 4:iled with the City shall be filed with the City Clerk. (b) The rate schedule for any connection fee or monthly service charge, or change thereto, to subscribers must have written approval of the City Council. (c) The grantee must pay to the City a sum of money sufficient to reimburse it for expenses incurred by it in publishing legal notice and ordinances in connection with the granting of a franchise pursuant to the provisions of this chapter; such payment to be made within thirty (30) days after the City shall furnish such grantee with a written statement of such expense. (d) The grantee shall maintain a toll free'telephone numbe wLhin the City of Newport Beach so that CATV maintenance servic shall be promptly available to subscribers. (e_) No person, firm or corporation in the existing service C area of grantee shall be arbitrarily refused service; provided, however, that grantee shall not be required to provide service to any subscriber who does not pay tl_^ applicable connection fee or the applicable monthly service charge„ (f) The City Council may, upon finding that extraordinary circumstances applying to the land, buildings or CATV system do exist, waive any or all of the requirements of this chapter. (g) Any CATV system existing in the City prior to the adoption of this chapter shall, within sixty (60) days after the effective date of this chapter make application for a franchise. Said system may continue its existing operations, but may not enlarge or expand same without first securing a franchise from the City. SECTION 6966.. Application for Franchise. C_ (a) Application for a franchise hereunder shall be filed with the City Clerk in a form approved by the City and shall contain the following information: - w e GDR;aem 3/4/5 (1) The name and address of applicants (2) A general description of applicant's proposed CATV operation, including a tentative map of areas to be servec (3) A statement or schedule in a form.approved by the City of proposed rates and charges to subscribers for install- ation and services, and a copy of proposed service agreement between the grantee and its subscribers shall accompany the application. (4) A copy of any contract or permit, if existing, between the applicant and any public utility providing for the use of facilities of such public utility, such as poles, lines, or conduits, (5) A statement of the organization of "applicant, including the names and addresses of its c €ficers, directors a associates, and also including the names of subsidiary companic with a listing of other areas being served by CATV or similar systems.. If a franchise is granted to a person, firm, group o3 corporation posing as a front or representative for another person, firm, group, or corporation, and such information is not disclosed in the original application, such franchise may be revoked by the City Council. (6) Applicant shall also furnish a financial state- ment as to the company's or corporation's financial ability to complete installation and operation of the CATV system. (7) Upon consideration of any such application, the City Council may grant a franchise for CATV to such applicant as may appear from said application to be in its opinion qual- ified to render proper and efficient CATV service to tele- vision viewers and subscribers in the City. If favorably con- sidered, the application submitted shall constitute and form a { part of the franchise as granted. (8) Prior to the granting of a franchise pursuant to this chapter, the Council shall pass a resolution declaring its intention to grant the same,- stating the name of the pro- 17. CDR. acm 3/x;/66_; posed grantee, the characccr of the franc. sv and the terns and conditions upon which it is prcposed to ba _ranted. Such resolution shall fix and set forth the day, hour and place when and where any p^rsons b_tvin- any interest therein or any objection to the granting thereof may appear before the Council and be heard *_hereon. It shall direct the City Clerk to pub- lish said resolution at least once within fifteen (15) days of the passage thereof in the official newspaper. said notice shall be published at least ten (10) days prior.to the date of hearing. At the time set for the bearing the Council shall pro- ceed to hear and pass upon all protests and its decision thereon shall be final and conclusive. Thereafter it may by ordin=ance grant the franchise on the terms and conditicna specified in the resolution of intention to grant same, subject to the right of referendum of' the people, or it may deny the same. If the ,I Council shall determine that changes should be made in the terms and conditions upon which the franchise is proposed to be granted, a new resolution of intention shall be adopted and lilt- proceedings had thereon. (9) ",Any franchise issued Pursuant to this chapter shall include the following conditions: 'The CATV system herein franchised shall be used and operated solely and exclusively for the purpose expressly authorized by ordinance of the City of Newport Beach and no other purpose whatsoever.' The inclusion of the foregoing statement in any such franchise shall not be deemed to limit the authority of the Cit to include any other reasonable condition, limitation or restriction which it may deem necessary to impose in connection with such franchise pursuant to the authority conferred by this chapter. SECTION 6967. Franchise R- nnval. Any franchise granted under this chapter is renewable at the application of the grantee, its lawful successors or assignee for such period. of _ -. _... 18. GDR;aem" 3/4/66 61` time as the Council and the applicant may s -ree upon by nebatiation. SECTION 6968. Violations. (a) It shall be unlawful for any person, firm or corpor- ation to make any unauthorized connection in physical contact with any part of a franchised CATV system within this City for the purpose of taking or receiving or enabling himself or other to receive any television signals, radio signals, pictures, programs or sound., (b) It shall be unlawful for any person, without the con- sent of the owner, to wilfully tamper with, remov- or injure an cables, wires or equipment used for distributicn of television signals, radio signals, pictures, programs or sot±nd. (c) From and after the effective date of this chapter, it shall be unlawful for any person to construct, install or maintain within any public street in the City or within any other public property of -the City or within any privately owned area within the City which has not yet become a publ.e street but is designated or delineated as a proposed public street on any tentative subdivision map . approved by the City any equipment or facilities for distributing any tclev.ision signals or radio signals through a CATV system unless a franchise authorizing such use of such street or property or area has first been obtained pursuant to the provisions of this chapter and unless such franchise is in full force and effect," SECTION 2. This ordinarka shall be published once in the official newspaper of the City, and the same shall be effective 30 days after the date of its adoption. This ordinance was introduced at a regular meeting of the City Council of the City of Newport Beach held on the 7qZlq. day of i 1966, and was adopted on the �— da y of �, , 1966, by the following vote, to wit: 19. AYES, COUNCILMEN: NOES, COUNCILMEN: ABSENT COUNCILMEN- ATTEST: City Clerk Mayor 20. EXIHIBIT A LIST OF FRANCHISE DOCUMENTS FRANCHISE FRANCHISE GRANTED GRANTED DATE EXPIRATION AUTHORITY DOCUMENT(S) BY TO DATE 1. P C.i f Newport Beach Ordinance 1197 City of Newport Beach Warner Bros. T.r. 12/07/66 01/26/82 s IS Services, Phc.: City of Newport Beach Resolution 6488 City of Newport Beach Warner Bros. T.V. 12/_27/66 Services,, Inc. City of Newport Beach Resolution 6759 City of Newport Beach Pacific Cable 04/22/68 01/26/82 Services'; Iftc . City of Newport Beach Resolution 6945 City of Newport Beach Newport Beach 03/10/69 01/26/82 {, Cablevision, Inc. City of Newport Beach Ordinance 1364 City of Newport Beach Newport Beach 12/14/70 Cablevision,, Inc. City of Newport Beach Ordinance 1365 City of Newport Beach Newport Beach 12/14/70 01/26/92 Cablevision, Inc. Ci c Newport Beach Resolution 7379 City of Newport Beach Teleprompter Corp., 03/29/71 01/26/92 City of Newport Beach Resolution 8614 City of Newport Beach Teleprompter Corp. 10/28/75 01/26/92 City of Newport Beach Resolution 8706 City of Newport Beach Teleprompter Corp. 02/23/76 01/26/92 City of Newport Beach Resolution 10019 City of Newport Beach Westinghouse Broadeast'04 /13/81 01/26/92 City of Newport Beach Ordinance 1890 City of Newport Beach Westinghouse Broadcast 11/23/81 01/26/92 'City I of Newport Beach Resolution 82 -51 City of Newport Beach Group W Cable, In¢4 04/12/82 01/26/92 City of Newport Beach Chapter 544 City of Newport Beach Cable Operators ORDINANCE 110 AN MIN' '('E OF THE GUY OF NM4PORT BEAMT G7R.M1°ING TO tIARNNEPI BROS. TV SERVICES, INC. A NON-EXCLUSIVE FRANCUISE TO CONSTRUCT, IA- INT.AT:N AND OPER,15E A C'01- r.- `UNITY ANTENNA TEIEVISIOI SYSTEM WITHIN SAID CITY The City Council of the City of Newport Beach c -=, ^rdain as follows: SECTIOU 1. Definitions. Wherever In this ordinance the following :. wards of , -rases are used, they shall have the respective meanings ass gne'd L4 them in the following definitions; and words or phrases not de -d in this section which are defined in any franchise document _.al.? have the same meaning in this ordinance Assigned to them in such fran- chise document, unless the context in which they are used ahall .early indicate a different mearin;: (a) "City" shall mean the City of Newport Beach in its present incorporated form or in any later recognized, consolidated, enlarged or reincorporated form. (b) "Council" shall mean the present governing body of the City, "or any future board constituting the lagislative body of the City. (c) "Fe-rson" shell mean any individual, firm, partuer- ship, association, corporation, company or organization of any kind. (d) "Grantee" shall mean Warner Eros'. TV Services, Inc., ek Delaware corporation, its employees, agents, successors and assigns. (e) "C;p4unit7 Antenna Television System" or "CrIV System" shat! mean a system of antennae, em3:tiial c;.bles, wave guides, poles -, ises, andergr.un.d conduits, manholes and other conductors, equ ip=erit or facilities designed, constructed or used for the purpose -f providing television, radio or other service by cable- or _ h its fz.cii:ities as h contanip late d. CATV shall not mean or include the transmission of any special program t i P :vent for which a separate and distinct charge is made co the :eriber in the n.anner commonly known and referred to as -,ay :vision. (f) "Subscribers" shall mc-aa any person or cnt _• giving for any purpose the CATV service of the Grantee in> (g) "Gross Annual Receipts" shall mean any and a_b con - sation in the form of gross rental and %or service rece f._ luding initial installation charges, received directly or in- ectly from subscribers or users in payment for CATV ser•iCe:9 eived within the City. Gross annual receipts shall not include any tares on vices furnished by the Grantee imposed directly on any s:b- •iber or used by any city, state or other governmental unit and .lected by the Grantee for such governmental un=it, (h) "Franchise Area" shall mean. the territory within the _y throughout which Grantee shall be acthcriaed to construct_, Lntain and operate its syst e m and shall include any enlargements areof and additions thereto. (2) "F ranC:hise DoCu,-aents" shall near. and shall ii2Clude 1 of the following- (s) Article XTII of the Charter of the City of Newport Beach. (? Chapter 5.44 of Title 5 of the Newport Beach Munic i pal C c E as the same now exists or as it may hereafter be amended, ('l Any and all rules and regulations governing the op Gtic of CATV Systems within the City of Neu-port Beach whic ^_ are adopted by the City Council, 4) The z- :riteen acceptance of CATV Franchise filed with `a City by the Grantee. (j) "S..ree-t- shall mean the surface of and the space bove and below ar; public street, raid, highway, freeway, lane, 0. r 7 T t s r i s 3 I P 2 s i i r p,, alley, court, sidewalk, part_-way, or right of way whethcr or 2:Jt 1tPLV _ y . c:u, no-.: nr crca. _ter ?�} :. 1} r" n as such throughout the city SECTION 2. Grant of Franchise. There is hereby granted to Warner Bros. TV � _es, Inc., Delaware corporation, by the City a nonexclusive fr i v to con -• ,truc:t, erect, operate and maintain, my upon, al=ng, n -__:'Ss, above,. ,ver and under the public streets, alleys, public wayS and Public :;aces, now or in the future dedicated for public use in. the City, poles, Mires, cables, undergro? =nd conduits, manhmles and, Dt- er te:.am vision conductors, appurtenances and fixtures necessary or = ouvenie-at _ar the ma:.ntenanc.e and operation in the City of. a. cv :n=— _ty antenna -LalevisiOn system to transmit television and F-M radio s- agn-a?s, within .e franchise area described as follows- All of the territory within the boundaries of the City of Newport Beach as such boundaries exist on the effective date of this ordinance, with the exception of the following ter - ritory. That portion of Blocks 51, 55, 56, 57, 92, 93,:, , a 96 of Irvine's Subdivision in the City of Ne4pzort Beach, County of Orange, State of California, as per map recorded in Book 1, Page 83 of Miscellaneous Record. Yl ps in the office of the County Recorder of said County, descr, -bed as follows: Beginning at the West comer, of said Block 96, thence Southeasterly along the Southwesterly line of said Block 06 to the Easterly corner of Tract No. 673 as per man recorded in Bock 20, !ages 17 and 18 of Miscellaneous 11aps, said corner being also an angle point in the boundary of the Farb --r Lieu Annexatio_i to the City of Newport Beach as established by City Ordinanf-le No. 896, thence Nort..heasteHy. along said be *und=7 to an angle point in the boundary of Arm e°,° atio n 'o. 57 to the City of Newport Beach as estab- lished by Resolution ?Zoo 6203, dated August 9, 1465. of t' a City of Nevport Beach Council and amended by Resolut_on No, 6247, dated November 8, 19655 said point .Being the Southwesterly ter*ninus of that certain cour described therein as `North 44° 56° 20" East 114.30 feet ", thence generally Northeasterly and ;•orth- westa -- y along said boundary to the Easterly right of way line of MacArthur Boulevard, 1.00.00 feet oxide as w_iba_d in the deed recorded in Bool, 1047, Page 55 ficial Records; thence generality Northerly alcn ­-d Easterly right of way line being also t ^c bou of- Annexation' No. 50 to the City of Neoz?•ort 3. Leach as established by City Ordinance No, 999 to the S- utheasterly line of said hl -rck 56e thence South- westerly along said Southeasterly Tina being also said bouncary of Annexaticn J�o. JO i.0 the, W`stcrly right of way lire of said MacArthur Boulevard; thence _ Northerly along said ,desterly right of way line being also the boundary of the .Jamboree Road AnneY_ri0n to tl:e city of Newport Leach as estabiishad , °- City Ord - _=.nce No,. 840" to the center line of P tii.-ar_4as Road, 50.00 feet "wide, as described in the c eu re- corded in Bock 16779 Page 98 of Official Recd thence Westerly and Northwesterly along said meter line to the center line of jamb -or'ee Road, i feet aide,; as described in the deed recorded in 5135, Page 155 of Official Records, thence gener._2' South- westerly along said center Line of Tambor -ee loal to the center line of State of California Higha :Cate ORA. 60-B� 100." feet '-aide, as 'described in e deed recorded in Book 487, Page J of Offici__ R, =cords; thence Easterly along said State Highway ce: z line to the Southwesterly line of said Block 55:; en'ce Southeasterly along s:a.id. Southrgesterl sine amd the Southwesterly line of s.r,id Block 93 to the pii t of b Eg ini ing , t CA_V system herein franchised shall be used and -operated solely ;c. exclusively for the purposes expressly authorized by ordinance z .he City of idewper t Beach and r:c other purpose >s cvhataoever. t SECTION 30 Nonexclusive Grant, s The right to use and occupy said streets. alleys; public : ::£ and places for the purposes herein set forth shAl' not ._?usive9 and the City reserves the right to grant a similar use said streets, alleys, public wEys and places to any person at time during the term of this franchise. SrCTiON 4. Term of Franchise. The term of this franchise shall be fifteen. 0 5 years c:: shall commerce at 12:01 P.M. on the effective date of this nance� provided that the .Grantee has filed written notice < captarc_. in ace-rdance with the reruire ent of Section 10 Zhis ore -,nee, Z__;. Or 5o Inclusion of Franchise Doc m ant: Al_ of the .frarchise documents applicable to this fran- e are re'uy incorporated by reference and made a part of s crdir_a:.c , By acceptance of this franchise Gran ee agrees { ®: i S 4, ®: i by all of the terms, provisions and conditions contai i� franchise documents. SECTION 6. Indemnification of the City. Grantee agrees that it shall iinewmni=y and hold harmles i- ­ its officers, boards, commissions, �� ^ <s and employees e ;t and from any and all claims, demands, uzs, suits, _iities and judgments of every 'Kind and nar,:-.:e and regardless -r rerit of the same, arising out of or re and to the , -,:_se or enjoyment of this franchise by Grantee, iscl.ding -;, demands, actions, suits, liabilities and judgments based :.- co- yright infringement; Grantee further _roes that it , -I - eimburse City for any costs and expenses incurred by City t eezending against any such claim or claims, including attor- fees, accountant fees, expert witness or consultant fees, :;t costs, per diem expense, travel and living expense; Grante s ^ar agrees that upon demand of the City it will- appear in anc t:eZTG any and all suits, actions, or other legal proceedings -e-=_e judicial, .quasi - judicial, administrative, legislative, ox erwise, brought by third persons or duly constituted authori- ±es against or affecting the City, its officers, boards, commis - g z..:as, agents or employees and arising out of or pertaining to ' -e e.�arcise or enjoyment of such franchise, or the granting ® ecf by the City; the foregoing obligations shall exist and -. ue without reference to or limitation by the amount of any '•, policy of insurance, deposit, undertaking or other securit .- -ed hereunder; provided that neither Grantec nor City shal' or enter into any compromise or settlement of any claim, ?, action or suit for monetary damages without first giving Other ter. (10) days' prior written notice of its intention r, - so. SECTION 7. Right of City to Adopt Additional. Rules an The right is hereby reserved to the City to adopt, in 5. OA/ � d the provisions contained in this ordinance an'f jtv i9/U�l A.. - P applicable ordinances and resolutions, such addit-ional regu gas it shall do tarmine •to be necessary or conser ent in U�, ,_ecise o� the police power. x SECTION: 8. Prohibited Activities of Grantee. Grantee shall be prohibited from directly or 4-n _ectly ;- any of the following- (a) Engaging in the business of selling at r-tail, r renting, repairing or servicing of television Sete, radios .her receiving apparatus, or any part or Component tier -of. (`o) Providing any repair service to its subscribers, a fee or otherwise, which extends beyond the connection of its - -.--ice and the determination by Grantee of.the duality of its -a2 to its si scribe s. (c) Soliciting, referring, or causing or permitting the `citation or referral of any subscriber to any specific named -:so;cs, firms or corporations engaged in any business which rz-:-Iee is prohibited from engaging in by the provisions hereof. (d) Transmitting or presenting any programs or events �ihich a separate and distinct charge is made to the subscribers he manner con'vz;only known and referred to as. "pay television ", =the Grantee shall not maintain or operate on any television a coin box or any other device or means for the collection of 0 y for i`�1.717idual pro.-rams. S "Il'vN 9. Transfer of Franchise. Ti 1i franchise shall not be sold, transferred, assigned, 14,E:d or orI-ervJise disposed of in whole or in part by voluntary 01-u airy sale, merger, consolidation, or otherwise, without i­-Prior c =^_nt of the City Council expressed by resolution, t ~ Bien upon such ' '� terms and conditions as the Council may pre - F saie, transfer or assignment shall be effe ctive until F G. s E t1le vendee, as81 nC:e Or iessae: 1-Las filo,,d in the Dffiae (]f t! - -' City C14 an instrument, duly executed and approved as to form and ecntent by the City Attorney, reciting the fact of such tra_s -er, sale, assignment or lease, accepting the terms of the franc =se, and agrecing to perform all the conditions thereof, includi: any additional conditions required by the City Council. SECTION 10. Acceptance of Franchise. This franchise shall not become effective for and pup pose unless and until written acceptance thereof shall have filed with the City Clerk; and such written acceptance shall be in form and substance as shall be prescribed by the City Att _ >ey and shall be and operate as an acceptance of each and ever; te=-, cOdition and limitation contained herein, or othe-Ase specif ieA" by ordinance or resolution of the City Council. Said written acceptance shall be filed by the Grantee not later than 12.01 ?.M. of the fifteenth (15th) day next following the date of the adoption by the Council of this ordinance; and, in default of the filing of such written acceptance as herein required, Grantee shall be deemed to have rejected and repudiated the same; and thereafter, the acceptance o--'-" any such Grantee shall not be re- ceived by the City Clerk, and such Grantee shall have no rights, remedies, or redress in the premises, unless and until the City guacil shall, by resolution, determine that such acceptance be received or fined,, and then upon such terms and conditions as the Council sway i:-ose. __, Aecvz)tance Fee. The G_a -tee shall, upon the acceptance of this franchise; pzy to the City; is consideration of the granting,of this fran- chise, the sum of $2,000. SECT v' 1?. Annual Franchise Fee. The Cr _-ee shall pay annually to the City during the 7 i ,ife of this franchise for the privilege of operating a CATiI system under this franchise a sum Gquival.ent to three per ce_t (30) of the annual gross receipts derived from its operations ,ithin the City. SECTION 13. Effective Date. This ordinance shall become effective 30 days from ^ad after the date of its adoption; provided, however, that the 1"ran- :hire hereby granted shall not become effective unless and until :he Grantee files written acceptance thereof in the wanner specified in Section 10 of this ordinance and delivers to to City, all bonds and insurance policies required to be furnished in accordance with the requirements of Chapter 5.44 of Title 5 of the Newport Beach Municipal Code. SECTION 14. Publication. This ordinance shall be published once in the official newspaper of the City, This ordinance was introduced at a regular meeting of the City Council of the City of Newport Beach held on the day of of , 1966, and was adopted on the >s, day of - , 156 L by the followi g .vote, to wi-t: AYES, COUNCILMEN. c4a1L Es -c t. Shelton NOT -IS, COUNCIIIIEN. �- ABSENT COUNCILMEN: tTTEST: i C e mayor 8. A6 TELEPROMPTER 50 WEST 44th STREET • NEW YORK, NEW YORK 10036 • Cable Address: TELEPROMPT • Telephone: (212) 986 -7500 April 11, 1973 City Clerk City Hall Newport Beach, California Gentlemen Enclosed you will find bond # A -Y- 71061 -68 -31 and bond # A- Y- 71061- 68 -39. These bonds replace Travelers bond # 1718596 and 1718597. The replacement is caused by a change insurance carries; and we would appreciate your incorporating these bonds within your records. Very truly yours, Claire Feldman Assistant Secretary CF:ll cc: James Harper - Newport Beach California � 11 � I r .j ti STATE .OF NV W YORK NEW YORK ss.: COUNTY OF On this 29th day of March 19 73 _, before me personally appeared m*+Tr�+r,�R,Y j.GA D AR M1 Attorney -in -fact of the AMER- ICAN EMPLOYERS' INSURANCE COMPANY with whom I am personally acquainted, who being by me duly sworn, said that he resides 1dEW YORA NF7 YAR% ; that he is an attorney -in -fact of the AMERICAN EMPLOYERS' INSURANCE COMPANY, the Corp- oration described in and which executed the within instrument; that he knows the corporate seal of said Corporation; that the seal affixed to the within instrument is such corporate seal; that it was affixed by order of the Board of Directors of said Corporation, and that he signed said instrument as an Attorney -in- fact of said Corporation by like authority, and that the Superintendent of Insurance of the State of New York has, pursuant to Chapter 882 of the Laws of the State of New York for the year 1939 constituting Chapter 28 of the Consolidated Laws of the State of New York known as the Insurance Laws, issued to the AMERICAN EMPLOYERS' INSURANCE COMPANY his certificate that said Corporation is qualified to become and be accepted as surety or guarantor on all bonds, undertakings; recognizances, guaranties and other obligations required or permitted by law; and that such certificate has not been revoked. NOTARY PU ' 7C STATE OF NEW YORK Notary Public. No. 2'E -S528 1CO @u'+ ``'' >' Caerty Financial Statement, December 31, 1971 30, 1974 as Filed with New York Insurance .Department ASSETS Bonds amortized and Stocks valued on basis approved by the National Association of Insurance Commissioners . $181,847,686.44 Cash in Office, Banks and Trust Companies . 3,888,960.98 Agents' Balances or Uncollected Premiums; not over 90 days due 10,922,231.11 Due from Reinsuring Companies 464,070.57 Real Estate 7,636;279.70 Interest and Dividends Due and .Accrued 1;654;278.14 Other Assets 5;267,968.64 $211,681;475.58 LIABILITIES Reserve for Losses and Loss Expenses $ 87,655,911.91 Reserve for Unearned Premiums 44;579;454.64 Reserve for Expenses and Taxes Due. and Accrued : 4,890,145.25 Borrowed Money 5,947,500.00 Miscellaneous Reserves . 9,495,957.12 Contingency Reserve $ 3,273,152.57 Capital Paid Up 2,000,000.00 Surplus 53,839,324.09 Surplus as regards Policyholders 59,112,506.66 $211,681,475.58 Contingency Reserve, represents differences between . total values carried in assets for all bonds and stocks owned and total values based on December 31, 1971 market quotations. Securities carried at $1,939,920.49 in the above statement are deposited as required by law. I, the undersigned, Vie President of the .American Employers' Insurance Company, certify that. to the best of my knowledge ,end belief, the foregoing is a true and correct statement of the financial condition of the said Company, as of December 31, 1971. Given under my hand and the seal of the Corporation, in the City of Boston, Commonwealth of Massachu- setts this 15th day of March, 1972.. Acknowledgment and } \\ \� \)\ \ \\® % k / & � \ \ ® ( »$J \ §\y ® � l w £ 7 « � ) � } \\ \� \)\ \ \\® % BOND NO.A -Y- 71061 -68 -31 KNOW ALL MEN BY THESE PRESENTS, That we, TELEPROMPTER OF NEWPORT AF.A[:1IS I A DIVISION OF TELEPROMPTER CORPORATION as Principal ano AMERICAN EMPLOYERS °INSURANCE COMPANY a Massachusetts Corporation, authorized to transact business in the State of New York, with an office at 127 John Street, New York, New York 10038 as Surety, are held and firmly bound unto CITY OF NEW BEACA, CALIFORNIA i in the penal sum of ONE HUNDRED THOUSAND AND 00/100 ($100,000.00) ............. DOLLARS, good and lawful money of the United States, for the payment of which sum well and truly to be made, we bind ourselves, and our heirs, executors, administrators, jointly and severally, firmly by these presents. WITNESS our hands and seals this Zth day of Mar,h , 19 7a . WHEREAS, Ordinance No, 1178 granted a franchise to construct, operate and maintain a Community Antenna Television System in the City of Newport Beach, California, ,, } NOW, THEREFORE, THE CONDITION OF THIS OBLIGATION IS SUCH, That if the Principal shall well and truly perform and carry out the convenants, terms and conditions of said Agreement and any extensions thereof, then this obligation to be void; otherwise to remain in full force and effect. - Continued- PAGE II 6 THE SUBJECT, HOWEVER TO THE FOLLOWING CONDITIONS: COIN'TERSIGNED Ny: 1. IT IS MUTUALLY UNDERSTOOD AND AGREED BETWEEN ALL PARTIES HERETO that if the Surety shall ao elect, this bond may be cancelled by giving thirty (30) days' notice in writing to the said Obligee and this bond shall be deemed cancelled at the expiration of said thirty (30) days, the said Surety remaining liable for all or any act or acts covered by this bond, which may have been committed by the Principal up to the date of such cancellation, under the terms, conditions and provisions of this bond. 2. In the event of any default on the part of the Principal which would constitute the basis of a claim hereunder, coming to the knowledge of the Obligee, a written statement of the particular facts showing such default shall be promptly delivered to the Surety by Registered Mail at its New York Office at 127 John Street, New York, New York 10038. 3. No claim, suit, action or other proceeding, at law or in equity, shall be had or maintained against the Surety, until after three (1) months from the date upon which knowledge of the occurrence of any default on the ,part of the Principal shall have been given to the Surety, now brought at all unless commenced within six (6) months from the date of cancellation of this bond as herebefore provided, whichever period shall first occur. 4. In the event of payment by the Surety of any loss hereunder the Suretv shall be subrogated to all the rights of the Obligee with respect to such loss, and the Obligee shall execute the necessary assignment of said subrogation. S. No modification of any of the terms, provisions or conditions of said Agreement shall be effective without the written con- sent of the Surety. b. No assignment of this bond shall be effective without the written consent of the Surety. TELEPROMPTER OF NEWPORT BEAD,, A Division of TelePrompTer Corporation BY: t o 7,f c+ 1"AMERICAN EMPLOYERS ° SURANCE COMPANY e BY ANTRY J.GARBa ATTORNEY' -IN-FACT I EMPLOYERS COMMERCIAL UNION COMPANIES STATE OF COUNTY OF (ss. NOTARIAL ACKNOWLEDGMENTS INDIVIDUAL 46 On this day of 19— before me, a Notary Public of the State and County aforesaid, residing therein, duly commissioned and sworn, personally came to me known, and known to me to be the person described in and who executed the foregoing instrument and being by me first duly sworn according to law did depose and say that he acknowledged that.. he executed and delivered such instrument as his voluntary act and deed for the uses and purposes therein mentioned. PARTNERSHIP STATE OF >> COUNTY OF ss. On this day of , 19— before me, a Notary Public of the State and County aforesaid, residing therein, duly commissioned and sworn, personally came , personally known to me to be a general partner of the firm of _ and to me known to be the person described in and who executed the foregoing instrument in the name of said firm, and being by me first duly sworn ac. cording to law .did depose and say thai he acknowledged that he executed and delivered such instrument as the voluntary act and deed of said firm for the uses and purposes therein mentioned. CORPORATION :STATE OF COUNTY as. ,�s On this __day of IY � before me, a N tary Public of the State and County aforesaid, residing therein; duly commissioned and sworn, personally came l �*' 10 ,j to me known, who being by Te first duly sworyy-according to law; did depose and say that he resides in ':5v j: , —T that he is of TRTRTrRt tWMRa nu amtatx= ZRAC9 the corporation described in and which executed the foregoing instrument; that he knows the seal of said corporation; that the seal affixed to such instru- ment is such corporate seal; that it was so affixed by order of the Board of Directors of said corporation and that he signed his name thereto by like order; that he executed and delivere /y such instrument on behalf of said corporation as its voluntary act and deed for the uses and purposes therein mentioned. P^ 13ARBARA KRASNOFF NOTARY PUBLIC. Slate :of'New York NO. 03- 9820745 Qualified in Bronx County Commission Expires ASarCh. 30, 1974 660810 .9.69 FU E CrF AI I UK /V [ e, s „&NOW ALL MEN BY THESE TS, that the AMERICAN, EMPLOYERS RANGE COMPANY, a corporation duly organized and existing under the la a Commonwealth of Massachusetts, a' d ha principal = in the Cit H of Boston, Mass., path made, constituted and appo d does by these presents make and coruti appeant WILLIAM R. COTTER, E. P. NOTARI, M. CALECA, C. RIFKIN, ROBERT S. REID, JAMES T. RIVIELLO, ANTHONY J. GARBARINI and MARIE VANONI all of New York, New York and each of them its true and lawful Attomey -in -Fact, to make, execute, seal and deliver for and on its behalf as surety any and all bonds or undertakings of suretyship and other documents that the ordinary course of surety business may require, including co- suretyship, recognizances, stipulations, notices of appearance, w�vers of c tat�on and cosenKs of modifications of contracts or a reements an t e. execution o such n s or unde mgs in pursuance of eft presents, shall be binding upon said ompany as fully and amply, to all intents and purposes, . as if such bonds were signed by the President, sealed with the corporate seal of the Company, and duly attested by its Secretary, hereby ratifying and confirming all the acts of said Attorney -in -Fact pursuant to the power herein given. This Power of Attorney is made and executed pursuant to and by authority of the "following resolutions adopted by the Board of Directors of the AMERICAN EMPLOYERS' INSURANCE COMPANY at a meeting . duly called and held on the Twenty- seventh day of July, 1972: Resolved: That the President, or any Vice - President; or any Assistant Vice - President; may execute for and in behalf of the company any and all bonds, recognizances, contracts of indemnity, and all other writings obligatory in the nature thereof, the same to be attested when necessary and the seal of the company affixed thereto by the Secretary, or any Assistant Secretary; and that the President, or any Vice- President, or Assistant Vice - President, may appoint and authorize an Attomey-in•Fact to execute on behalf of the company any and all such instruments and affix the seal of the company thereto; and that the President, or any Vice - President, or any Assistant. Vice - President, may at any time remove, any such Attorney -in -Fact and revoke all power and author- ity given to any such Attorney -in -Fact. Resolved: That Attomeys -in -Fact may be .given full power and authority to execute for and in the name and on behalf of the company any and all bonds; recognizances contracts of indemnity, and all other writings obligatory in the nature thereof, and any such instrument executed by any such Attorney -in -Fact shall be as binding upon the company as if signed by the President and sealed and attested by the Secretary, and, further,. Attomeys -in -Fact are hereby authorized to verify any affidavit required to be attached to bonds, recognizances; contracts of indemnity; and all other writings obligatory in the nature thereof, and are also authorized and empowered to certify to a copy of any of the by -laws of the company as well as any resolution of the Directors having to do with the execution of bonds, recognizances, contracts of indemnity; and all other writings obligatory in the nature thereof, and to certify copies of the Power of Attorney or with regard to the powers of any of the officers of the company or of Attorneys-in-Fact. This power of attorney is signed and sealed by facsimile under the authority of the following Resolution adopted by the Directors of the AMERICAN EMPLOYERS' INSURANCE COMPANY at a- meeting duly called and held on the Twenty - seventh day of July, 1972: "Resolved: That the signature of the President, or any Vice- President, or any Assistant Vice- President, and the signature of the Secretary or any Assistant Secretary and the Company Seal may be affixed by facsimile to any power of attorney or to any certificate relating thereto appointing .Attomeys -in -Fact for purposes only of executing and attesting any bond; undertaking; mcog- nizance or .other written obligation in the nature thereof, and any such signature and seal. where so. used, being hereby adopted by the company as the original signature of such officer and the original seal of the company; to be valid and binding upon the com- pany with the same force and effect as though manually affixed." IN WITNESS WHEREOF, the AMERICAN EMPLOYERS' INSURANCE COMPANY, has caused these presents to be signed by its Vice - President and its corporate seal to be hereto affixed, duly attested by its Secretary thisl6th day of January 19 73 At COMMONWEALTH OF MASSACHUSETTS COUNTY OF SUFFOLK SS. AMERICAN EMPLOYERS' INSURANCE COMPANY On this 16th day of January 1973 . before me personally came John G. Thompson, Vice•President,. and William D. Bogar, Secretary of the AMERICAN EMPLOYERS' INSURANCE COMPANY, to me personally known to be the individuals . and officers described in and who executed the preceding instrument, and they acknowledged the execution of the same,, and being by me . duly sworn, .severally and each for himself deposeth and sayeth, that they are the said officers of the Company aforesaid, . and that the seal affixed to the preceding instrument is the corporate seal of said Company and that the said corporate seal and their signatures . as such officers were duly affixed and subscribed to the said instrument by the authority and direction of the said Company. Robert L. Marzelli —Notary Public-' (My Commission expires June. 5, 1975) merat ss�' 't CERTIFICATE I, the undersigned, Assistant Secre Ioof the AMERICAN EMPLOYERS' INSURANCE COMPANY, a Massachusetts Corporation do hereby certify that the foregoing power of attorney is in full force and has not been revoked.; and furthermore, that The Resolutions of the Board of Directors set forth in the power of attorney are now. in .force.. Signed and sealed at the City of Boston. 3r2 29th March 73 Dated this day of 19 Assistant Secretary i STATE bf NEW YORK ss.: COUNTY OF 14F.W YORK On this t t day of March 1913 , before me personally appeared QNT_ lO t JI. GARBARIN Attorney -in -fact of the AMER- ICAN EMPLOYERS' INSURANCE COMPANY with whom I am personally acquainted; who being by me duly sworn, said that he resides NEW YORK NEW 'YORK that he is an attorney -in -fact of the AMERICAN EMPLOYERS' INSURANCE COMPANY, the Corp- oration described in and which executed the within instrument; that he knows the corporate seal of said Corporation; that the seal affixed to the within instrument is such corporate seal; that it was affixed by order of the Board of Directors of said Corporation, and that he signed said instrument as an Attorney -in- fact of said Corporation by like authority, and that the Superintendent of Insurance of the State of New York has, pursuant to Chapter 882 of the Laws of the State of New York for the year 1939 constituting Chapter 28 of the Consolidated Laws of the State of New York known as the Insurance Laws, issued to the AMERICAN EMPLOYERS' INSURANCE COMPANY his certificate that said Corporation is qualified to become and be accepted as surety or guarantor on all bonds, undertakings, recognizances, guaranties and other obligations required or permitted by law; and that such certificate has not been revoked. Notary Public. Financial Statement, December 31, 1971 as Filed with New York Insurance Department ASSETS Bonds amortized and Stocks valued on basis approved by the National Association of Insurance Commissioners . $181,847,686.44 Cash in Office, Banks and Trust Companies 3,888,960.98 Agents' Balances or Uncollected Premiums, not over 90 days due 10,922,231.11 Due from Reinsuring Companies 464,070.57 Real Estate 7,636,279.70 Interest and Dividends Due. and Accrued .. 1,654,278.14 Other Assets 5,$67,968.64 $211,681,475.58 LIABILITIES Reserve for Losses and Loss Expenses $ 87,655,911.91 Reserve for Unearned Premiums 44;579,454.64 Reserve for Expenses and Taxes Due and Accrued. 4,890,145.25 Borrowed Money 5,947,500.00' Miscellaneous Reserves - - 9,495,957.12 Contingency Reserve $ 3, Capital Paid Up 2,000,000.00 Surplus 53,839,324.09 Surplus as regards Policyholders 59,112,506.66 $211,681,475.58 Contingency Reserve represents differences between total values carried in assets for all bonds and stocks owned and total c es based on December 31, 1971 market quotations. Securities carried a $'1,939,920.49 in the above statement are deposited as required by law. I, the undersigned, Vice President of the American Employers' Insurance Company, certify that to the best of my knowledge and belief, the foregoing is a true and correct statement of the financial condition of the said Company, as of December 31, 1971. Given under my hand and the seal of the Corporation; in the City of Boston, Commonwealth of Massachu- setts this 15th day of March, 1972. E D BOND NO. A -Y- 71061 -68 -39 KNOW ALL MEN BY THESE PRESENTS, That we, TelePrompTer of Newport 'Beach, A'Division of Teleprompter Corporation i" of 2_624 West Coast Highway, Newport Beach, California 92660 as Principal auu AMERICAN 101PLOYERV INSURANCE COMPANY , a Massachusetts Corporation, authorized to transact business in the State of New York, with an office at 127 John Street, New York, New York 10038 as Surety, are held and firmly bound unto SUBSCRIBERS MTV OF NF.TJFORT RF.A 4. C:AT.TFORNTA FIFTY THOUSAND AND 001100050,000.00) in the penal sue of .......... ........... .... ...................... good and 'lawful money of the United States, for the payment of which sum well and truly to be made, we bind ourselves, and our heirs, executors, administrators, jointly and severally, firmly by these presents. WITNESS our hands and seals this 29th day of March , 19 73 , WHEREAS, Oro.inance Number 1178 dated September 12th, 1966 granted a Franchise to construct, operate and maintain a Community Antenna Television System in the City of Newport Beach, California. i NOW, THEREFORE, THE CONDITION OF THIS OBLIGATION IS SUCH, Tuat if the Principal shall well and truly perform and carry out the convenants, terms and conditions of said Agreement and any extensions thereof, then this obligation to be void; otherwise to remain in full force and effect. NYB -1.60A - Continued- PAGE II 0 THE SUBJECT, HOWEVER TO THE FOLLOWING CONDITIONS: COtN TERSIGNEO BY: NYB -1608 1. IT IS MUTUALLY UNDERSTOOD AND AGREED BETWEEN ALL PARTIES HERETO that if the Surety shall so elect, this bond may be cancelled by giving thirty (30) days' notice in writing to the said Obligee and this bond shall be deemed cancelled at the expiration of said thirty (30) days, the said Surety remaining liable for all or any act or acts covered by this bond, which may have been committed by the Principal up to the date of such cancellation, under the terms, conditions and provisions of this bond. 2. In the event of any default on the part of the Principal which would constitute the basis of a claim hereunder, coming to the knowledge of the Obligee, a written statement of the particular facts showing such default shall be promptly delivered to the Surety by Registered Mail at its New York Office at 127 John Street, New York,, New York 10038. 3. No claim, suit, action or other proceeding, at law or in equity, shall be had or maintained against the Surety, until after three (3) months from the date upon which knowledge of the occurrence of any default on the part of the Principal shall have been given to the Surety, now brought at all unless commenced within six (6) months from the date of cancellation of this hood as herebefore provided, whichever period shall first occur. 4. In the event of payment by the Surety of any loss hereunder the Surety shall be subrogated to all the rights of the Obligee with resnect to such loss, and the Obligee shall execute the necessary assignment of said subrogation. S. No modification of any of the terms, provisions or conditions of said Agreement shall be effective without the written con- sent of the surety. 6. No assignment of this bond shall be effective without the written consent of the Suretv. TelePrompTer of Newport Beach, a Division of TelePrompTer Corporation AM R CAN EMPLOYERS 'INSURANCE COMPANY BY :GLL "u�'�i,LL ANTHONY J- GARBAR ATTORNEY -IN -PACT EMPLOYERS COMMERCIAL UNION COMPANIES STATE OF COUNTY OF ss. NOTARIAL ACKNOWLEDGMENTS INDIVIDUAL On this day of 19— before me, a Notary Public of the State and County aforesaid, . residing therein, duly commissioned and sworn, personally came , to me known, and known to me: to be the person described in and who executed the foregoing . instrument and being . by me first duly sworn according to law did depose and say that he acknowledged that he executed and delivered such instrument as his voluntary act and deed for the uses and purposes therein mentioned. PARTNERSHIP STATE OF COUNTY OF On this - day of 19— before me, a Notary Public of the State and County aforesaid, residing therein; duly commissioned and sworn, personally came , personally known to me to be a general partner of the firm of , and to me known to be the person described in and who executed the foregoing instrument in the name of said firm, and being by me first duly sworn ac- cording to law did depose and say that he acknowledged that he executed and delivered such instrument as the voluntary act and deed of said firm for the uses and .purposes therein mentioned.. CORPORATION STATE OF C "CG ✓' t _� COUNTY OF_ ✓l . ; L Cl'11_ ss. h On this day of.�k'lG 19'f before mega Notary.Public of the State and County aforesaid, residing therein, duly commissioned . and sworn, personally came ?e E'7 to me known, who being . byj��e first duly s"�'� cling to law, did .depose and say that he resides i r ' ; that he is �'?t`- �T �r "ling of 2e 1PPram ma,- F ; the 1°- of Newport �cach corporation described in and which ecuted the foregoing instrument; that he knows the seal of said corporation; that the seal affixed to such instru- ment is such corporate seal; that Jas so affixed by order of the Board of Directors of said corporation and that he signed his name, thereto by like, order; that he executed and del4ed such instrument on behalf of said corporation as its voluntary act and deed for the uses and purposes therein mentioned. BARBARA KRASNOFF NOTARY PUBLIC, State Of flew York NO. 03 9820745 Qualified in Bronx County ,Cofrnission Expires March 30, 1974 G60810 9 -69 Y organized existing Y U M L' K _U .r A: 11 U K NP, Y F -'KNOW ALL MEN BY THESE SENTS, that the AMERICAN EMPLOYE SURANCE COMPANY, a corporation nized aid exis' under the f the Commonwealth of Massachusetts, . and i principal office in the City of Boston, Mass., path made, constituted and ap d, and does by these presents make and cans and appoint. WILLIAM R. COTTER, E. P. NOTARI, M. CALECA, C. RIFKIN, ROBERT S.'REID, JAMES T. RIVIELLO, ANTHONY J. GARBARINI and MARIE VANONI all of New York, New York and each of them its true and lawful Attorney4it -Fact, to make, execute; seal and deliver for and on its behalf as surety any and all bonds or undertaking, of suretyship and other documents that the ordinary course of surety business. may require, including co- suretyship, recognizances, stipulations, notices of appearance, w�itivers of c�tat�onds and co�sen>s of modifications of contracts or agreements an t e execution o such n s or underta rags in pursuance of these presents, shall.' be binding upon said ompany as fully and amply, to all intents and purposes, w if such bonds were signed by the President, sealed with the corporate seal of the Company, and duly attested by its Secretary, hereby ratifying and confirming all the acts of said Attorney -in -Fact pursuant to the, power herein given. This Power of Attorney is made and executed pursuant to and by authority of the following resolutions adopted by the Board of Directors of the AMERICAN EMPLOYERS' INSURANCE COMPANY at a meeting duly called and held on the Twenty- seventh day of July, 1972: Resolved: That the President, or any Vice- President, or any Assistant Vice - President, may execute for and in behalf of the company any and all bonds, recognizances, contracts of indemnity; and all other writings obligatory in the nature thereof; the same to be attested when necessary and the seal of the company affixed thereto by the Secretary, or any Assistant Secretary; and that the President, or any Vice- President, or .Assistant Vice- President, may appoint and authorize an Attorney -in -Fact to execute on behalf of the company any and all such instruments and affix the seal of the company thereto; and that the President, or any Vice - President, or any Assistant Vice- President, may at any time remove, any such Attorney -in -Fact and revoke all power and author- ity given to any such Attorney -in -Fact Resolved: That Attorneys -in -Fact may be given full power and authority to execute for and in the .name and on behalf of the company any and all bonds, recognizances; contracts of indemnity, and all other writings obligatory in the nature thereof, and any such - instrument executed by any such Attorney -in -Fact shall be as binding upon the company as if signed by the President and sealed and attested by the Secretary, and, further, Attorneys -in -Fact are hereby authorized to verify any affidavit required to be attached to bonds, recognizances, contracts of indemnity, and all other writings obligatory in the nature thereof, and are also authorized and empowered to certify to a copy of any of the, by -laws of the company as well as .any resolution of the Directors having to do with the execution of bonds, recognizances, contracts of indemnity, and all other writings obligatory in the nature thereof, and to certify copies of the Power of Attorney or with regard to the powers of any of the officers of the company or of Attorneys -in -Fact. This power of attorney is .signed and sealed by facsimile under the authority of the following Resolution adopted by the Directors of the AMERICAN EMPLOYERS' INSURANCE COMPANY at a meeting duly called and held on the Twenty - seventh day of July, 1972: "Resolved: That the signature of the President,.. or any Vice- President, or any Assistant Vice - President, and the signature of the Secretary or any Assistant Secretary and the Company Seal may he affixed by facsimile to any power of attorney or to any certificate relating thereto appointing Attorneys -in -Fact for purposes only of executing and attesting any bond, undertaking, recog- nizance or other written obligation in the nature thereof, and any such signature and seal where so used, being hereby adopted by the company as the original signature of such officer and the original seal of the company; to be valid and binding upon the com- pany with the same force and effect as though manually affixed." IN WITNESS WHEREOF, the AMERICAN EMPLOYERS' INSURANCE COMPANY, has caused these presents: to be signed by its Vice - President and its corporate .seal to be hereto affixed, duly attested by its Secretary thisl6th day of January 19 73 I:R COMMONWEALTH OF MASSACHUSETTS COUNTY OF SUFFOLK SS. B AMERICAN EMPLOYERS' INSURANCE COMPANY On this 16th day of January 1973 . before me. personally came John G. Thompson, Vice- President, and William D. Bogar, Secretary of the .AMERICAN EMPLOYERS' INSURANCE COMPANY, to me personally known to be the individuals and officers described in and who executed the preceding instrument, and they acknowledged the execution of the same, and being by me duly sworn, severally and each for himself deposeth and sayeth, that they are the said officers of the Company aforesaid, and that the seal affixed to the preceding instrument is the corporate seal of said Company and that the said corporate seal and their signatures as such officers were duly affixed and subscribed to the said instrument by the authority and direction of the said Company. it M4I a C= s - Robert L. Marzelli — Notary Public (My Commission expires June 5. 1975) -- •°- CERTIFICATE 1, the, undersigned, Assistant Secretary of the AMERICAN EMPLOYERS' INSURANCE. COMPANY, a Massachusetts Corporation, do hereby certify that the foregoing power of attorney is in full force and has not been revpked; and furthermore, that The Resolutions of the Board of Directors set forth in the power of attorney are now in force. Signed and sealed at the City of Boston. Dated this 29th day of 3- March 19 73 7 Assistant Secretary Frank B Hall &C6. of. New York, Inc. 88 PINE STREET, NEW YORK, N.Y. iom -(212) 952.1200 March 8, 1973 City of Newport Beach C/o City Hall 3300 Newport Blvd. Newport Beach, California Att: City Clerk Rea TelePXCMP er Corporations Etal. Certificate of Insurance GentLasan s Na are enclosing a Certificate of insurance for the captioned. Should there,be any questions, please let us know. Gjmellen /cc enc. CCt Mrs. Claire Feldmen TsleProopwar corporation Very truly yea , Liability Department .. OF"= THROUGHOUT TIE WONO N&NNI T;. MOM • AOWPA A'iW$ft. � i3M MWSM FwIOY@ 864MA WDl51.pa.NTS • Xi AW' mbbc KVUW 6ie,:d20= 237171 - %hftWWUI).dan.Nic 123M (WW 6M i� ` IX I 1 b \nlr 1'�u \� \tlt l'1�SI. lificiatc ❑AMERICAN Mt✓1'niilSll INS MANCT 4741.11 'AMY 'I II IS I'1 F¢I If ICAI I. IS ISSUED AT THE REQUEST OF: City of Newport Beach c/o City Hall 3300 Newport Blvd. Newport Beach, California Att: City Clerk of j111.M1rd1% ❑AAIFII:AN AIANUFU71111n III< Mlll'IAL INSYe \1(i CUSIIN DATE IS�cF. ElFl III IL \I. MI It Al. I1 l Rd A(4' I OVIVA \l III'. 1411 It 11 '; I \urr,tl F.11 III.I.41W IRA Vol.lcv Numnilm, PyI.IC.Y PI:IIIUD Arill 1.1311'15 (It LIAn11,11 IIAVF ItE1:N issuril •roi - -- --- ----- - ----- - - -- a', Volt" NtMI: ANTI AIIIIL's TelePrompTer Corporation, Etal. 50 West 44th Street I New York, New York 10036 X I Ix. Ix DG OG POCKY IORM POLICY NUMBER :and lnlpinfbCA IiaLrldy — 3CL 576 403 Cawh, drm Auh-imhdl General Liability 3ZL 576 403 CO WAGE PARIS J4. Li,,' ilily lu.alalice gurr,nh i �,. C.mmraf Liability Ili.anante (iwwv,,'. I.indiwA' ind Tenants' liability Insurance M -o t it hncrs' and Conlraclori' I.iahllity Insurance Cnmplelcd Operations and Products Liability Insurance !!�' .,ranee (Do-i-;ralcd Ccntrccts Only) Independent Contractors liability Insurance I X. - Personal Injury I iability Insurance I OTSCRIPTICN OF OPERATIONS AND POLICY PERIOD COYERACES AND LIMITS OF LIABILITY po_oer rcAr+I _ _ From 1j1/73 _ S "h,rVmens Cnmp nsalion - W.r I i Fzasation tax of To — ]./1/�4 Employers Liability $ 100,$090 From 1�1/(3 For such Co crane Parts as are m6ra6 d below by "x­ and fnr the To I Limits of Liability slated opposite thereto. 0091LY INJURY LIABILITY PROPChIY 0911AGE 1IA81!ITY each person each occurrence: aggregate each occurrence aggregalc 1,000,000,2,0001000 100,000 E '2 ,000,009 2,000,00i 9 1,0001009 2,000,000 $ E 2, 000 ,00C� __ -__ 1, 000, 009 2, 000, 060 PERSONAL. INJURY LIABILITY each person aggregate general aggregate $1, 0003 000 ., 2,x 000, 000 TO WHICH CERTIFICATE APPLIES Teleprompter of Newport Beach i i' rie:zt nna:uw +is In the event of any cancellation or material change in said policy, the company will notify the party whom this certificate is addressed, thirty (30) days prior to such change or cancel- lation.. Notice to City Clerk. It is understood and boards, commissions, insureds but only as agreed the City of Newport Beach, its officers, agents and employees are included as additional respects operations of the named insured. I his tar l Itakate of insurance neither of faint vely nor negatively amends, extends or alters the coverage atf orded above numbered policy. Issued at New York, New York KEMPER INb VnhNCY �T H TRAVE RS THE TRAVELERS INDEMNITY COMPANY Hartford, Connecticut NOTICE Of CANCELLATION VIA CERTIFIED MAIL RETURN RECEIPT REQUESTED City Clerk City of Newport Beach City Hall 3300 Newport Blvd. Newport Beach, Calif. 92660 L _i February 23 1973 Bond No 1718596 Principal TELEPRW TTER CORPORATION On the 29th day of _March , 19 71 , THE TRAVELERS INDEMNITY COMPANY, as Surety, exe7ted o(n) Miscellaneous Indemnity bond in the Pena It of_ ONE HUNDRED THOUSAND AND NU 100 pppp tars ($_ 100, 000.00 ), on behalf of 1't E MFT CORPORATION of-50 West 1lLlth St. f as Principal, in favor of—City of Newport Beach, Calif. , as Obligee. The bond, by its terms, provides that the Surety may terminate its liability by giving notice of its election to do so to the Obligee. In accordance with the terms of the bond we hereby elect to terminate our liability and shall, as of the 29th dayof March 19 73 consider ourselves released from all liability by reason of any default committed thereafter by the Principal.. Below is an Acknowledgement which we would appreciate your signing and returning. tf New York, N. Y. 10036 CC Principal Agent THE TRAVELERS INDEMNITY COMPANY K. N. Dulin, Attorney -in -Fact , fJ �. THE 'I'R,AVELERtS THE TRAVELERS INDEMNITY COMPANY Hartford; Connecticut NOTICE OF CANCELLATION VIA CERTIFIED MAIL February 23 19 73 RETURN RECEIPT REQUESTED F City Clerk City of Newport Beach City Hall 3300 Newport Blvd. Newport Beach, Calif. 52660 L _J Bond No. 1718597 Principal TELEPROMPTER CORPORATION On the 29th day of March , 1911_ , THE TRAVELERS INDEMNITY COMPANY, as Surety, executedo(n) Miscellaneous Indemnity bond in the penalty of FIFTY THOUSAND AND N01100 — — — — Dollars ($ 50,000-00 J, on behalf of TELEPROMPTER CORPORATION of 50 West 44th St. * as Principal, in favor of Subscribers,. City of Newport .Beach , as Obligee: The bond, by its terms, provides that the Surety may terminate its liability by giving notice of its election to do so to the Obligee. In accordance with the terms of the bond we hereby elect to terminate our liability and shall, as of the 29th day of_ March 1973 consider ourselves released from all liability by reason of any default committed thereafter by the Principal. Below is an Acknowledgement which we would appreciate your signing and returning. New York, N. Y. 10036 THE TRAVELERS INDEMNITY COMPANY CC Principal Agent�� By: K. M. Dulin, Attorney -in -Fact NEWPORT CABLEVISI0N - - - - - -- --- - - - - -- R E P O R T January 24, 1972 g "C��ViT� � M.9tdAGfRSOfFI FEB 28 1972 FEB 10197 To: Robert Wynn By the CITY COUNCIL City Manager ,ITY &AF NWWWv4&F Y6ACH IiF ACy City of Newport Beach, California ci Re: NEWPORT CABLEVISION SYSTEM OVERHAUL When TelePrompTer Corporation purchased this system in January of 1971, it made the commitment to take whatever steps were necessary to bring the cable TV service up to the TelePrompTer standards. After inspecting the total system, TelePrompTer engineers determined that a complete physical overhaul of the existing equipment in the system was necessary. The decision was made to redesign the electronic makeup of the system and to replace every piece of existing electronic equipment and to replace any and all cable that we found to be defective. In early June, orders were placed with manufacturers for the replacement of all electronic equipment. All but a few of these pieces had arrived by November 15, 1971, and the overhaul of the equipment commenced. Since this system fed 18 channels of service, and the channel selector on the TV receiver has the capacity for only 12 channels, a method was needed to allow the subscriber to receive the additional channels on the VHF portion of his TV set. The original design of the system provided for these 18 channels to be transmitted over two separate cables; one cable handling 12 channels, and the other cable handling the UHF channels. With this dual cable trans- mission, it was necessary to change or 'convert' the signals from TV stations transmitting on the UHF band, so they could be shown on the VHF portion of the TV receiver. The original design provided for this conversion to take place underground in 'converters' which were installed in the underground vaults housing our 80 trunk amplifiers. As you may be aware, this type of in- system conversion produced a multitude of problems. The pictures in the customers homes were never up to the quality they expected, and certainly not up to the TelePrompTer standards. As a result, TelePrompTer engineers redesigned the system using the very latest amplifying and associated equipment and techniques. The design allowed all signals to be transmitted over one cable through one set of amplifiers, and provided for converting the signals for use in the home receiver, in a 'converter' sitting on the top of the customers set. This conversion method is the most.-up-to-date and practical method in the industry today, converting UHF channels for use in the home TV receiver. This new design and technique resulted in better reception than the subscribers of this system had ever seen. Although we are now transmitting only 18 channels over the system, the on -set converter we are now using allows for transmitting 26 channels of (o N-1(" OWL 0 information. We hope to expand our service to use and transmit information on all of these 26 channels in the not too distant future. In order for our subscribers to have this capability, each must have an on -set converter. We, therefore, are attempting to install one at each TV set which is using the cable service. This totally underground system has, as you know, a number of problems aerial systems do not have. Our cable is more difficult to lay out; it deteriorates more rapidly than if it were in the air; breaks, shorts, and other technical problems with cable and equipment are more difficult to locate and correct; and, it is continually subject to water damage and to damage from crews digging in the ground. We conduct a continuing maintenance program in the effort to prevent as many problems as possible. Interruptions in service have been necessary while changing -out the equipment. However, we hope to be completed by March 31st, and have service restored to normal. At that time, the quality of picture and service should be far better than it has ever been. Although we are not using the second cable that was laid and used in the original design and operation, the cable is still in the ground and accessible for use should the situation arise where and when it is needed. We regret the inconvenience our construction has caused our subscribers of Newport Cablevision. The interruption in service, however, is necessary in order to allow a complete renovation of equipment so that we may pro- vide the greatest picture quality and service for the residents of Newport Beach. Rou de Gravelles System Manager deG:jom mc: Robert Beaman Ted Chanock, Jr. Joseph Devlin Judy Kelsey FEB 14 197 By As CITY COUNCIL CITY OF .Maw+w,wRT BEACH January 19,; 1972 0 N E W P 0 R T C A B L E V I S L 0 N REPORT To: Robert Wynn City Manager City of Newport Beach, California Re: INTERRUPTION OF CATV SERVICE s o 1 n;IA Su ?s OFFICE ° a_ `1qN 2 1 1,9;72®. -s CRa1. NE4VtCCI ;q CH CALIF At about 4 :00 p.m. on Thursday, January 13,'1972 an outage was reported from the Dover Shores area. Our technicians immediately began testing for the location. It was isolated in the Irvine and 16th Street area, as being a break in our cable running under Irvine Street. It was impossible to locate the exact position; because it was too dangerous to open the street and search during the heavy traffic flow, after dark. Safety factor was the prime reason no additional work was done in the evening. Our crew was working on the problem at that location until 7 :30 p.m. Our men were out on the location again at 7:00a.m. A temporary line was installed lying across Irvine Street by passing our underground cable. This temporary measure allowed service to be restored at 8:15 a.m. The crew then uncovered a vault, which was under 36" of cover. In the vault was a cable connection which had corroded and deteriorated causing a short. This piece of cable was replaced and permanent service was restored at 10 :00 a.m. January 14, 1972. The company that we felt was responsibile for damaging the cable, which resulted in the short was notified by the accompanying telegram. We have now repaired all damage and the deffective cable. Measures have been taken to assure that futher outages will be located and corrected in the minimum amount of time. Rou de 6ravelles System Manager de6:dc cc: Robert Beaman Ted Chanock, Jr. Joseph Devlin Judy Kelsey E CERTIFICATE OF INSURANCE m Har tre Insurance Company A THE HARTFORD m Har cccdent sad Indemnity Company _INSURANCE GROUP sS ®Citizens nsurance Company of New Jersey aasaas����999999iiiiiiYYYYYYii7777 PTFOP�. CONNEC11r.1 This is to certify that the company, designated Co. Code herein by Co. Code liar issued to the named insured 5 the policies enumerated below. ®N rk Underwriters Insurance Company " 7 T ty Fire Insurance Company CV T F # 261 RENEWAL OF C T F #5379 6; Named Insured and Address NEWPORT BEACH CABLEVISION INC A SUBSIDIARY OF TELEPROMPTER CORPORATION 50 W 44TH ST., NEW YORK CITY 10036 AND CITY OF NEWPORT BEACH, NEWPORT BEACH, CALIFORNIA The policies indicated herein apply with respect to the hazards and for the coverages and limits of liability indicated by specific entry herein but this certificate of Insurance does not amend, extend or otherwise alter the terms and conditions of the insurance coverage in the policies identified herein. Coverages and Limits of Liability *If with respect to Automobile Liability the Policy Number entered above includes the symbol GB, AZ, MVP, MAG or PGB, the word "occurrence" is amended to read "accident ". Location and description of operations, automobiles, contracts, etc. (For contracts, indicate type of agreement, party and date.) CATV OPERATIONS - NEWPORT BEACH, CALIFORNIA MAXIMUM AGGREGATE LIMIT OF $1009000.00 APPLIES TO DAMAGES FOR THE INFRINGEMENT OF COPYRIGHT ARISING FROM THE OPERATION OF CATV IN THE CITY OF NEWPORT BEACH, CALIFORNIA If policy is canceled, 30 DAYS written notice will be given to: Date NOV 2 2 197 Form AL -22-1 Metal is U. S A. 9 -'70 CITY CLERK CITY OF NEWPORT BEACH NEWPORT BEACH, CALIFORNIA By..... ....�... JA ....... ......... .. .. ................ ............................... fL VI Aulhmized Represeniative (SINGLE LIMIT) (DUAL LIMITS) Policy Number Bodily Ir lury and Bodily Injury Liability Property Damage Liability Hazards and Property Damage Liability * "eh occurrence aggregate a each person reach occurrence *each occurrence aggregate Policy Term General Liability 10 C 626886E Premises - Operations 1 1 7273 $ 1000$ 000$ 00,0M_2000,000$ 1000,000$2000000 Independent Contractors ,000$ ,000$ 1000,000$ 2000,000$ IOOO,000$200Q0oo Completed Operations; $ ,000$ .000$ 1000,000$ 2000,000$ 1000,000$200Q00o $ ,000$ ,000 Aggregate: $ 2000,000 XXXX XXXX Products M Contractual (as described below) n $ ,000 ,000$ 1000,000$ 2000,000$ 1000,000$ 200 Q000 Automobile Liability Owned Automobiles 000 XXXX $ 000$ 1000$ ,000 XXXX Hired Automobiles d I , U- , $ ,000 XXXX $ 1000$ 10 ^- 1000 X Non -Owned Automobiles �;;. 10 $ XXXX $ 000$ XX - Workmen's Compensation Compensation — Stat and �! 01. 1 Employers' Liability Employers' Liability $ Umbrella Liability ,000,000 *If with respect to Automobile Liability the Policy Number entered above includes the symbol GB, AZ, MVP, MAG or PGB, the word "occurrence" is amended to read "accident ". Location and description of operations, automobiles, contracts, etc. (For contracts, indicate type of agreement, party and date.) CATV OPERATIONS - NEWPORT BEACH, CALIFORNIA MAXIMUM AGGREGATE LIMIT OF $1009000.00 APPLIES TO DAMAGES FOR THE INFRINGEMENT OF COPYRIGHT ARISING FROM THE OPERATION OF CATV IN THE CITY OF NEWPORT BEACH, CALIFORNIA If policy is canceled, 30 DAYS written notice will be given to: Date NOV 2 2 197 Form AL -22-1 Metal is U. S A. 9 -'70 CITY CLERK CITY OF NEWPORT BEACH NEWPORT BEACH, CALIFORNIA By..... ....�... JA ....... ......... .. .. ................ ............................... fL VI Aulhmized Represeniative NEWPORT CABLEVISI.DIVISION OF TELEPROMPTER. CORPORAT 2624 West Coast Highway Newport Beach, California 92660 (714) 642 -3260 Rou do Gravelles/General Manager November 10, 1971 NOV 221077" By the CITY COUNCIL CITY 00 M.P01100M BiACH Mr. Robert, L. Wynn City Manager City of Newport Beach Newport Beach, California Dear Bob: OFFIQ �OV 1 1 1971 rr ^GH Enclosed is an official report on describing the interruption in service to our customers which will occur when we commence the technical overhaul of our cable TV system on Monday, November 15th. Please let me know if you, the Council, Joe Devlin, or any other of your staff have any questions or wish any additional information concerning this replacement of our electronic under- ground equipment. I regret that we still haven't had the opportunity to sit down and get acquainted. I'll be in touch shortly to find out when would be a convenient time for us to get together for lunch. Sincerely, Ron de Gravelles deG:bes h November 8, 1971 Mr. Robert L. Wynn City Manager City of Newport Beach, California RT. CABLEVISION, a division of ePrompTer Corporation On November 15„ 1971 we will commence a major overhaul of all of the electronics in this totally underground cable TV system. The project will consist of removing and replacing practically every piece of electronic equipment which provides service to our subscribers. This will result in interruptions in service to these subscribers. The interruptions will be of a temporary nature and will occur periodically throughout the day between the hours of 8 A.M. and 4 P.M. from Monday, November 15th until Wednesday, November 24th. During this period of major overhaul, our service will be curtailed to 13 channels of programs, instead of the 18 which we normally provide. Channels which will be deleted during this period are: TV station KFMB channel 8 in San Diego TV station KXLA channel 40 in Fontana United Press International teletype news with KOCM -FM audio Local Time, Weather Scan channel with KOCM -FM audio Local Message Wheel with KOCM -FM audio All of the other channels which we normally provide will be available, however, three channels will be seen at different locations on the dial. Channel 28 KCET Educational in Los Angeles will be seen on Channel 6 on the dial. Channels 22 KWHY Financial and Channel 34 KMEX both in Los Angeles will share Channel 8 on the dial in place of KFMB Channel 8 in San Diego, which will not be shown. Once the major overhaul is complete on November 24th, we will begin replacing electronic equipment and possibly some cable along our distribution lines in various neighborhoods throughout our cabled area. This will result in short, temporary interruptions confined to groups of customers numbering from 2 to 100. We anticipate having the entire overhaul project completed by December 24th, and having normal service restored at that time. Enclosed are copies of two letters which will be mailed to our subscribers telling of the impending interruption in service. The first letter, on tan paper, will be mailed on Monday, November 8th to every subscriber to our service, telling them of the interruption to commence on November 15th. The second letter will be mailed to large groups of subscribers immediately prior to the interruption of service in their particular area. We will employ telephone operators to handle incoming calls from subscribers, and to answer questions and /or complaints about the interruption in service. These operators will be on duty from 7:30 A.M. until 10 P.M. They will be given adequate training both in our office and in the field, so that they will be thoroughly familiar with our system, how it operates, and the type of interruption in service our customers will experience. Newport Cablevision is making every effort to: 1) Complete this overhaul in as short a period of time as possible. 2) Provide as much quality service to our subscribers as possible during this changeout, and 3) Keep our subscribers as informed as possible about what is being done to the system, why it is being done, and what they can expect in the way of interruption in service and inconvenience. During the overhaul of our system we will remove and replace 15 single channel amplifiers in the "headend ". 80 trunk amplifiers along our 20 miles of trunk cable line, 366 distribution amplifiers and 2,000 taps along the 80 miles of our distribution system. This overhaul project is part, of the committment which TelePrompTer Corporation made when it received this franchise earlier this year. It is necessary if we are to provide our subscribers with top quality cable TV service. Please call me if you have any questions or wish any additional information about this major overhaul of our system. Sincerely, Rou de Gravelles System Manager deG: b es cc: J. Devlin W. Bresnan T. Chanock R. - Beaman G. Bohn CITY OF NEWPORT BEACH CALIFORNIA nm City Hall 8800 Newport Blvd. (714). 673 -5110 June 18, 1971 Mr. Wayne R. Hauser Newport Beach Cablevision, Inc. 2624 West Coast Highway Newport Beach, California 92660 Dear Mr. Hauser: On June 14, 1971, the City Council of Newport Beach acknowledged TelePromp- Ter's letter clarifying the Company's policy regarding the location of cable television facilities within the public right -of -way. In accordance with Municipal Code Section 5.44.090, the construction or in- stallation of cable television facilities shall have the prior approval of the Director of Public Works Department. In areas which all other utilities are installed underground, cable services shall likewise be installed underground. All other rules, regulations and conditions stated in Municipal Code Section 5.44, Community Antenna Television, Resolution 6495, Adopting Rules and Regulations Governing the Operation of Community Antenna Television Systems within the City, and TelePrompTer's franchise within the City of Newport Beach, are still in effect without change. Please feel free to contact either myself or Joe Devlin, Director of Public Works, if we can be of further assistance to TelePrompTer Corporation. Very truly yours,, JUDY L. KELSEY Administrative Assistant to the City Manager JLK:pg cc: City Clerk Public Works Director b 3 J UN 141971 Cy fhe C'T' f COU, ^ICIL June 7, 1971 The Honorable Mayor and Members of the City Council Newport Beach, California Gentlemen: CABLEVISION Newport Beach Cablevision, Inc. 2624 West Coast Highway Newport Beach, California 92660 Phone (714) 642 -3260 The purpose of this letter is to notify the Council of TelePrompTer's intention regarding the location of cable television facilities within the public right -of -way. This Company proposes to continue to construct its CATV plant underground where telephone and power services are underground except where circumstances justify conventional aerial installation on telephone poles. Experience of Foote, Cone, and Belding, our predessor is that there has been many examples of underground construction which have been physically most difficult and financially out of proportion to value. This construction foremat is different than the statement proposed to the Council by Foote, Cone and Belding. In a letter to the Council dated March 25, 1968, Mr. Louis E. Scott, Senior Vice President of FCB stated that: "Applicant proposes to construct the cable television system completely underground ...... Newport Beach Cablevision is aware of the fact that cost of the underground installa- tion will be approximately 100% greater than the conventional aerial installation." Experience in Newport Beach reveals that underground construction costs 400% greater than conventional aerial installation. The excessive burden of higher cost rendered previous CATV company grossly over - invested without the possibility to break even or to make a profit. A chanae of the ordinance is not reauired to allow aerial construct f^ N - ;, (°') Section 5.44.090 of the municipal code gives the Director of Public Works the opportunity to decide all questions pertaining to the location of CATV plant. Paragraph (a) states: Any poles, wires, cablelines, conduits, or other properties of the grantee to be constructed or installed in streets, alleys, or other public places shall be so constructed or 0 0 The Honorable Mayor and Members of the City Council June 7, 1971 Page Two installed only at such locations and in such manner as shall be approved by the Director of Public Works of the City acting in the exercise of his reasonable discretion. Paragraph (c) reveals a criteria:to provide for aerial or underground Transmission and distribution facilities of the public utility providing telephone service and those of the utility providing electric service are underground or hereafter may be placed underground, then the grantee shall likewise construct, operate, and maintain all of its transmission and distribution facilities underground. Amplifiers in grantee's transmission and distribution lines may be in appropriate housings upon the surface of the ground as approved by the Director of Public Works of the City. We contend there are circumstances justifying aerial construction of cable television plant. The City is constantly repairing, widening resurfacing its street and alley systems. The municipal code requires the franchisee to relocate and /or rebuild its facilities at its own expense to accomodate these improvements -. Last year FCB spent approximately $30,000 reconstructing its plant to accomodate the Corona del Mar alley water main replacement and resurfacing program. The second phase of the alley program will soon be underway and preliminary estimates reveal about the same cost will be incurred this year. Many projects in Public Works department forces Cable - vision to reinvest thousands of dollars. Presently we are involved in the Corona del May alleys, 32nd street widening, Westminster Street, and Shorecliff Road. This expense could be substantially reduced. There is no advantage to have underground CATV facilities in areas where power and telephone provides its service from overhead plant. The unsightly utility pole is still there and one more cable attached thereto will not be noticeable. 3. It is likely that City construction bids for street work will be lower if contractors will not have to work around existing underground CATV facilities. 4. Where aerial CATV, power or telephone are to go underground, three rather than two companies share the cost. As it is The Honorable Mayor and Members of the City Council June 7, 1971 Page Three now power and telephone will have greater costs to ,go under- ground in placing there lines around CATV facilities without disturbing them. Circumstances are different in each neighborhood in the City. No one method of construction is appropriate. I am confident that the Director of Public Works can locate TV plant in such a way as to be equitable to the public interest and this company. Sincerely, NEWPORT CABLEVISION a ijvision of TelePrompTer Corporation CWayne� R. Hauser t WRH:jm cc: W. Bresnan T. Chanock R. Beaman J. Kelsey J. Devlin lePrompTer Corporation West 44th !Street w Stork, Now York 10036 t&Ttsntion: May 25# 1971 Claire Feldman. Administrative Director CATV Division Eaclosed per your request is the original Certificate of insurance dated March 29. 1991. Laura Legion City Clerk LL;dg Encl, 0 CORPORATION El 50 WEST 44TH SUREET N €W YORK, NEW 'YORK 10036 TELEPHONE: JUDSON 2 -3800 CABLE ADDRESS 7ELEPROMPT' NEW YORK. May 14, 1971 City of Newport Beach, California City Hall 3300 Newport Boulevard Newport Beach, California 92860 Attention: Laura Lagios, City Clerk Gentlemen: Thank you for your letter of April 23, wherein you returned the March 29th Certificate of Insurance for cancellation. We do appreciate your cooperation in this matter. However, it has recently come to our attention that there was an additional Oertificate of Insurance issued at that time, and I am enclosing a copy of the same. I wonder if I might impose upon you once again to return to me the original of this Certificate. Once again, thank you for your assistance. Very truly yours, Claire Feldman Administrative Director CATV Division CF:rg CERAICATE OF R a Furrilshed to: CITY OF NEWPORT BEACH. s. c/ city Hall .100 Maalprt Boulevard Newport Beach California IT IS EVIDENCED BY THIS CERTIFICATE THAT TELEPROMPTER CORPORATION, ETAL a ADDRESS 11661 San Vicente Boulevard, Los Anoeles, California IS INSURED UNDER THE TERMS AND CONDITIONS OF POLICY NO., RDU 806 09 60 OF THE CONTINENTAL CASUALTY COMPANY THE ABOVE POLICY IS EFFECTIVE Aupust 29, 1969 AND EXPIRES A''a"St 29 1972 2,000,000-00.. 0 AND CARRIES A LIMIT OF LIABILITY OF 5 C MBLNED SIFiGLE LIMIT BODILY INJURY R PROPERTY DAMAGE LIABILITY COVERING ON; a UMBRELLA EXCESS LIABILITY COVEP.A:GE ON ALL OPERATIONS - ALL LOCATIONS The insurance evidenced by this :Certificate is subject to all the terms, conditions and limitations of tile above nud{- bered policy and loss, if any, will be adjusted and shall, be'payabie in accordance therewith. THIS POLICY CONTAINS A 30 DAY NOTICEL ,flLftHATION CLAUSE TO THE: CERTIFICATE HOLDER p Dated At March 29 Los Anaeles, California 19 71 (OVER) AUTHORIZED' REPRESENTATIVE April 239 1971 Telepr Vier Corporation 50 West 44th Street New York, New York 10036 We have replaced the Certificate of Znsurence dated March 29, 1971 with Certificate No. 5379 dated April 20, i971. As requested, we are retumi.ng, herewith the March 29 Certificate for h-wncellation. EMME LL:swk enc. cc: City Attorney I' I1tENLAN'S M FIREMAN'S. FUND INSURANCE COMPANY 'L F2T� 11­;E- ICAN INSURANCE COMPANY 1 Zds' I + 1 ❑ NA -1 SURETY CORPORATION � CERTIFICATE l .0 11 ✓f AIti'IE111CAN D ASSOCIATED INDEMNITY CORPORATION OF INSURANCE INSURANCE COMPANIES ❑ AMERICAN AUTOMOBILE INSURANCE COMPANY . TO: F CITY OF NEWPORT BEACH March 29, 1971 City Hall DATIZ 3300 Newport Boulevard L Newport Beach, California _1 11,115 M TO CCRI'I FY I IIAI 11111 CUM RANY (Rt COMPANIF.G CI V'CKEO AHUV1: NAVr IN FORCE A5 OF THC OATF. Hr.RUbF TIIC. FOLIDWINti POLICY ISR POL.ICIFS: r~NAMI, ANUAUIIItLti, Or INSU16.UOle C MPLCIYLR -_._ -. _ - '____LOCATION OF PROPLRTY.Ul SG 1RPTI0N0FOI ERATICIN•vt 0 U lNr »OONUOCTEO JACK KENT COOKE, INCORPORATED AND AMERICAN ALL OPERATIONS IN THE UNITED STATES OF CABLEVISION CO.& TELEPROMPTER CORPORATION AMERICA, ITS TERRITORIES & POSSESSIONS 11661' San Vicente Boulevard Los Angeles, California KIND OF INSURANCE POLICY NUMBER I CXPIRATION LIMITS OF LIABILITY WORKMEN'S COMPENSATION -_ _ 75WP7376552 7/1/73 STATUTORY EMPLOYERS' LIABILITY - Is I U THOUSAND ppLURS. EACH PERSON If 100 THOUSANO'OOLLARS. EACH ACCIbF.NT BODILY INJURY LIABILITY OTHER THAN AUTOMORILV' 500 THOU+ANO DOLLARS. EACH PERSON 1,000 THOUSAND OOLLARO. GCII OCCOHRCNCE. COMPREHENSIVE 75LP1302323 . 7/1/73 1,000 THOUSANO MLLARS. AGGREGATE' PRODUCTS PROPERTY DAMAGE LIARILITT OTHER THAN AUTOMOBR:E6 �O THg1SANO DOLLARS. EACH OCCJRRENCE 500 THOUSAND OOLURS. AGGREGATE OPERAS IONS (` COMPREHENSIVE If It THOUSAND 00. RS. AGGREGATE PROTECTIVE - [5001 500 THWSANO DOLLARS. AGGREGATS PROOIJCTS '. - 50.0 THOUSAND DOLLARS. AGGREGATE CONTRACtVAL AVTO A+DBILE: COMPREHENSIVE ' DODILY INJURY LIABILITY' II II -.500 THOUCANO DOLLARS. EACH PERSON •EC . 1 ,'EO'(00 THOUSAND ODLURS. EACH OCCURRENCE ��''((������,,��((yyTT55 {{�T PROPERTY DAMAGE LIARILITYAVIJI'Ir ' f1EIl E1V Y�'7'�•����� �� 1 VC - -IC JVV THOUSANO DOLLARS. EACH OCCURRENCE MEDICAL PAYMENTS 11 11 $ 5.,000.00 EACH PEHSON COMPREHENSIVE—LOSS OF OR DAMAGE TO THE AUTOMOtlILE. EXCEPT BY COLL15101J OR UPSET 11 - II ACT AL CASH VALUE UNLESS OTHERWISE STATEO. HEREIN MI/ OUT INCLUDING FIRE. THEFT AND WINDSTORM & ff1C COLLISION OR UPSET II It ACTUAL CASH VALUE LESS 100.00 s OEOUCTIOLE. 1! �— — ' DE 'RIPI'ION AND LOCATION OF OPERATIONS AND AUTOMOBILES COYER<ED POLICY AFFORDS BLANKET CONTRACTUAL LIABILITY, PRODUCTS LIABILITY, CROSS LIABILITY PROVISION AND THIRTY (30) NOTICE OF CANCELLATION, &-PERSONAL INJURY LIABILITY. IT IS UNDERSTOOD AND AGREED THE CITY OF NEWPORT BEAOH,:ITS OFFICERS, BOARDS, COMMISSIONS, AGENTS AND EMPLOYEES ARE INCLUDED AS ADDITIONAL INSUREDS BUT ONLY AS RESPECTS OPERATIONS OF THE NAMED INSURED. -IF COMPREIMNISI VE. 50 STATE. IF NOT COMPREHENSIVE. FOR "OTHER THAN AUTO ". USl' FORM SUCH AS OLT. ELEV _ ETC. THIS CCRTN'ICAYC OF INSURANCE NCITHCH AFFIRMATIVELY NOR. NEGATI VELY.AMENDS. EXTENDS OR ALTERS THE COVERAGE AFFORDED BY THE POLICY OR POLICIES SHOWN ABOVE. AUTHORIZED REPRESENTATIVE6 =Y KYX' A�' MKIX X%XkXIXXtXaXXYX;XXeAXXX94X4PY.I 004 X#XX1Xk•X94X 9X A'r3(X'XX Xk14C �q4X, XY. XJ4Y. Yd4YtXXX1Yr+ XrX1jX, XXi4XIkXXkkLXXdC�kHSWkIXXJfIX tXAX94FAX XXXX ca OWKWxwwawkWXXX 1$5084 -2.58 ` i - l��br��o�plfr� CORPORAT70N 50 WEST 44TH. STREET NEW YORK, NEW 'YORK 19036 TELEPHONE: JUDSON 2.3800 CABLE ADDRESS "TELEPROMPT" NEW YORK April 21,, 1971 City Clerk City Hall 3300 Newport Blvd. Newport Beach, Calif. Dear Sir: During the early part of April 1971, TelePrompTer Corporation filed with your office an Acceptance of the Community Antenna Television Franchise for the city of Newport Beach. At the same time, Bonds number 1718596 and 1T1859T, as well as a Certificate of Insurance dated March 29, 1971 were also filed. A review of our records show that the aforementioned Certificate of Insurance was incomplete as submitted, in that the Infringement of Copyright liability was not indicated theremn. Enclosed you will find Certificate #5379, to replace the Certificate of Insurance dated March 29, 1971. . We would appreciate your incorporating this Certificate within your records and returning directly to my attention the previously submitted Certificate of Insurance, so that we may cancel same. We trust this will not cause any undue inconvenience. Very truly yours, Claire Feldman Administrative Director CATV Division CF :pa Certified Letter - Return Receipt Enc. CERTIFICATE OF INSURANCE Ctf ,415379 THE HARTFORD ° ® HartAlMire Insurance Company NjjjffKk Underwriters Insurance Company M Har cident and Indemnity Company ",.[ZT y Fire Insurance Company INSURANCE GROUP 15 a) Citizeurance Company of New Jersey 15 -- " HARTFO CONNECT,CVT This is to certify that the company designated Co ­C-de 5 herein by Co. Code has issued to. the named insured _ Named Insured and Address the policies enumerated below. Newport Beach Cablevision, Inc.., a subsidiary of Teleprompter Corporation AND CITY OF NEWPORT BEM 50 West 44th Street NEWPORT BEACH, New York City 10036 CALIFCR.NIA The policies indicated herein apply with respect to the hazards and for the coverages and limits of liability indicated by specific entry berein but this certificate of insurance does not amend, extend or otherwise alter the terms and conditions of the insurance coverage in the policies identified herein. *If with respect to Automobile Liability the Policy Numberentered above includes the symbol Gil, AZ, MVP, MAG or PGB; the word "occurrence" is amended to read "accident ". _ Location and description of operations, automobiles, contracts, etc. (For contracts, indicate type of agreement,, party and date.) CATV operations - Newport Beach, California MAXIMUM AGGREGATE LIMIT OF $100,000.00 APPLIES TO DAMAGES FOR THE RMINGEti ARISING FROM THE OPERATION OF CATV IN THE CITY OF NEWPORT BEACH, CALIFORIIA Date City Clerk If policy is canceled, 30 days City of Newport written notice will be given to: Newport Beach3 4/20/71 Form AL -12 -2' Printed in U. S. A. 4270 OF COPYRIGHT M, Coverages and Limits of Liability (SINGLE LIMIT). (DUAL LIMITS). Hazards Policy Number and Bodily Injury ad Property Damage Liability Bodily Injury Liability Property Damage Liability *each oecurrevee — aggregate: each person *each occurrence *each. occurrence aggregate .Policy Term General Liability Premises-Operations IOCL- 755560 1 71 -72 $ „OOOII$ ,000$]T$2,000,000 31.000 ,0002 ,oO 1900 Independent Contractors 11 $ ,000 $ ,000 $ n '000S B 000$ B ,000 $ it ,000 Completed Operations; $ ,000$ ,000$ it ,000$ it ,000$ if ,000$ 11 ,000 Products it $ 1000$ ;000 Aggregate: $ - it ,000 XXXX. XXXX Contractual (as described below) I n $ ,000$ ,000$1.000 ,000$. 11 ,000 ;00021QQ0,000 Automobile Liability Owned Automobiles $. ,000 XXXX $ ,000 $ 000s 1000 XXXX Hired Automobiles _ $ 0001 XXXX. $ ,000 $ 000$ ,000 _XXXX Non -Owned Automobiles $ ;000 XXXX $ 1000 $ ,000 $. ,000 XXXX Workmen's Compensation Compensation — Statutory and Employers' Liability Employers': Liability — $ ,000 Umbrella Liability $ ,000,000 *If with respect to Automobile Liability the Policy Numberentered above includes the symbol Gil, AZ, MVP, MAG or PGB; the word "occurrence" is amended to read "accident ". _ Location and description of operations, automobiles, contracts, etc. (For contracts, indicate type of agreement,, party and date.) CATV operations - Newport Beach, California MAXIMUM AGGREGATE LIMIT OF $100,000.00 APPLIES TO DAMAGES FOR THE RMINGEti ARISING FROM THE OPERATION OF CATV IN THE CITY OF NEWPORT BEACH, CALIFORIIA Date City Clerk If policy is canceled, 30 days City of Newport written notice will be given to: Newport Beach3 4/20/71 Form AL -12 -2' Printed in U. S. A. 4270 OF COPYRIGHT M, CITY OF NEWPORT BEACH N° 11.041 NaW CRT BEACH. CALIP G9 Gf Recpj/�pi rom /_/p,-- qYy 7/4, . - ---- FORS ` f'h/�' .. - -- -- e� f ACCOUNT NO. AMOUNT DEPARTMENT: 200- 11 -7 -66 City Clerk City Attorney City Clerk CATY Franchise March 30, 1971 Enclosed are the original and a copy of the following documents from. TelePrompTer which were delivered to me just before five o'clock . last night by Mr. Wayne Hauser: 1. Acceptance of Franchise &. $50,000 Subscriber Bond 3. $100, 000 Performance Bond 4. Comprehensive liability certificates of insurance Please OK as to form and return original to my office for filing. Also, the $1,000 transfer fee has been paid. Mr. Hauser asked me to send a night wire to New York acknowledging acceptance of the above documents. The telegram went out last night charged to Cablevision's credit number. City Clerk LL:dg Encl. /010 mw CITY OF NEWPORT BEACH CALIFORNIA DATE March 31, 1971 TO: FINANCE DIRECTOR FROM: City Clerk SWEM &J Description of y.�. n. . TeleftmpTer Corp. Authorized by Resolution No. 7379 , adopted on 3-8-71 Effective date of Contract 3_29_71 Contract with +a +sir - o• w. •• Z 71 -r• .< .• Amount of Contract Sea arivinlat ilmn him -city Cle c City Hall 3300 W. Newport Blvd. Area Code 714 673 -2110 0 TELEGRAM RECEIVED BY TELEPHONE f 5 E P!C TDSA NEIYPORT BEACH, CAL IFOPn' IA R Dom LfWIS :OOTE CONE BELDING 'LCO PARK AVE :tAVF RE%77IVI - -T? FROM TELEPROMPTER IN ACCEPT4,WrOPM THE OV, INC fTEMSc NJCC: (1.) ChIEC!( -FOR $1(0' (2) 0,000 SUBSCRIDEP BOND, (31 $1:009'000 PE?FORMAN.CF., D, (4) CONPREHENSIVE LIABILITY CERTIFICATE^ OF °ESOLUT I ON OF ACCEPTANCE OF THE FRANCII iCI!EO DY TELEPROMPTER. } ^z-21 i21 U 1) ' OF NC'di'ORT sGACH Wtm 550 (H5.67) OFFICE elr. I I ?. , CRY % "Ll) r 19 5- 29-71 CHECK NL PDF "4' 09G- 301j -1Gr OEST'N NYK SIGNATURE• C -1 TY CLEPK �r Vif;l "IJ SUCIFeC RFMInII,i:V. YES NO fi; .y 6 • � '' 7 C c The Travelers Indemnity Company Hartford, Connecticut �A STOCK COMPANY BOND NO. 1718597 $500.00 Annual Premium COMMUNITY ANTENNA TELEVISION PERFORMANCE BOND (For Protection of Subscribers) KNOW ALL MEN BY THESE PRESENTS: That TelePrompTer Corporation as Principal, (herein called "Principal ") and THE TRAVELERS INDEMNITY COMPANY as Surety (herein called "Surety ") are held and firmly bound unto Subscribers, and each of them, of the system of Principal_, as Obligee (herein called "Obligee"), in the just and full sum of FIFTY THOUSAND DOLLARS ($50,000.00), lawful money of the United States of America, for the payment of which, well and truly to be made, said Principal and Surety hereby bind themselves, their heirs, executors, administrators, successors, and assigns„ jointly and severally, firmly by these presents. THE CONDITION OF THE FOREGOING OBLIGATION IS SUCH, That WHEREAS, Principal is about to accept from the City of New- port Beach the grant of a franchise from the City of Newport Beach for the construction, operation, and maintenance of a Community Antenna Television System„ as will more fully appear from the franchise docu- ments pertaining to such franchise, reference to which is hereby made, and all of which are hereby made a part hereof; and WHEREAS, Surety, for value received, hereby stipulates and agrees that no change, extension of time, alteration or addition to the terms, conditions, or other provisions of said franchise documents, shall in anywise affect its obligations on this bond, and Surety does, hereby; waive notice of any such change, extension of time, alteration or addition to the terms, conditions, or other provisions of said franchise documents; NOW, THEREFORE, in the event Principal shall fail to comply with any one or more of the provisions of any agreement or undertaking made between Principal and Obligee, then there shall be recoverable jointly and severally from Principal and Surety and damages or costs suffered or incurred by Obligee as a result thereof, including reason- able attorneys' fees and costs of any action or proceeding; and this condition shall be a continuing obligation during the entire term of such franchise, and thereafter, until Principal shall have satisfied in full any and all obligations to Obligee which arise out of or per' - tain to any such agreement or undertaking.. In the event suit is- brought upon this bond by Obligee, and judgment be entered in favor of Obligee, court costs, including reason- able attorneys.` fees, shall be an additional obligation for which Principal and Surety shall be liable. Surety agrees to furnish the City of Newport Beach with thirty (30) days prior notice in writing of its intention not to renew this bond, to cancel the same or to make any material change in the terms thereof... Said notice shall be addressed to the City Clerk of the City The Travelers Indemnity Company Hartford, Connecticut (A STOCK COMPANY) BOND NO. 1718596 $1,000.00 Annual Premium COMMUNITY ANTENNA TELEVISION PERFORMANCE BOND (For Protection of the City of Newport Beach) KNOW ALL MEN BY THESE PRESENTS: That TelePrompTer Corporation as Principal, (herein called "Principal ") and THE TRAVELERS INDEMNITY COMPANY... as Surety, (herein called "Surety ") are held and firmly bound unto the CITY OF NEWPORT BEACH, CALIFORNIA, as Obligee (herein called "Obligee "), in the just and full sum of ONE HUNDRED THOUSAND DOLLARS ($100,000.00), lawful money of the United States of America, for the payment of which, well and truly to be made, said Principal and Surety hereby bind themselves, their heirs, executors, administrators, successors, and assigns, jointly and severally, firmly by these presents. THE CONDITION OF THE FOREGOING OBLIGATION IS SUCH, That WHEREAS, Principal is about to accept from Obligee the grant of a franchise from Obligee for the construction, operation, and main- tenance of a Community Antenna Television System, in accordance with the terms of Ordinance No. 1178 of the City of Newport Beach, and other related franchise documents, reference to which is hereby made, and all of which are made a part hereof'; and WHEREAS, Surety, for value received, hereby stipulates and agrees that no change, extension of time, alteration or addition to the terms, conditions, or other provisions of said franchise documents, shall in anywise affect its obligations on this bond, and Surety does hereby, waive notice of any such change, extension of time, alteration or addition to the terms, conditions, or other provisions of said franchise documents; NOW, THEREFORE, in the event Principal shall fail to comply with any one or more of the provisions of such franchise, or of any other City ordinance, rule or regulation, then there shall be recover- able by Obligee, jointly and :severally from Principal and Surety, any damages or costs suffered or incurred by Obligee as a result of such failure to comply, and such recovery shall include attorneys' fees and costs of any action or proceeding, and shall include the full amount of any compensation, indemnification, cost of removal or aban- donment of any property, or other costs which may be in default, up to the full principal amount of this bond; and this condition shall be a continuing obligation during the entire term of such franchise, and thereafter, until Principal shall have satisfied in full any and all obligations, to Obligee which arise out of or pertain to said franchise; and at such time as Principal shall have fully and faith- fully satisfied any and all such obligations to Obligee, then the obligation under this bond shall be void. In the event suit is brought upon this bond by Obligee, and judgment be entered in favor of Obligee, court costs, including reason - able attorneys' fees, shall be an additional obligation for which Principal and Surety shall be liable. 0 The Travelers Indemnity Company Hartford, Connecticut (A STOCK COMPANY) Surety agrees to furnish the City of Newport Beach with thirty (30) days prior notice in writing of its intention not to renew this bond, or of any cancellation or material change in the terms thereof. Said notice shall be addressed to the City Clerk of the City of Newport Beach, City Hall, 3300 Newport Boulevard, Newport Beach, California. Surety's obligations to City under this bond shall continue in full force and effect in the absence of com- pliance with the foregoing notice requirement. 19 71 Signed and sealed this 29th PRINCIPAL Approved as to form: City At orney OTTiI MT A t VXTnurr t Xffl `Lim. State of CALIFORNIA County of LOS ANGELES ss. day of March THE TRAVELERS INDEMNITY COMPANY Paul C. Hughes rnern- ac SURETY On this 29th day of MARCH , 19-71 before me personally came to me known, who being by me duly sworn, did depose and say: that he is Attorneys) -in -Fact of The Travelers Indemnity Company, the Corporation described in and which executed the foregoing instrument; that he know(s) the seal of said Corporation; that the seal affixed to said instrument is such corporate seal; that it was so affixed by authority granted to ''him in accordance with the By -Laws of the said Corporation, and that he signed his name thereto: by like authority., } ..... _ QFE /CtAL SEAL �- Judith A. Kindler Notary Public - Ca:dorma = (Notary Public) Principal Office in Los. Angeles County € My Commission Expires May 28, 1973 M commission expires xnaMynComm Commission Expir xnnMay 2, 1973 Y p 5498 Rov. 2-53 PRIMED.. U.S.R. 11 0 The Travelers Indemnity Company Hartford, Connecticut (A STOCK COMPANY) of Newport Beach, City Hall, 3300 Newport Boulevard, Newport Beach, California. Surety's obligations to subscribers under this bond shall continue in full force and effect in the absence of compliance with the foregoing notice requirement.. Signed and sealed this 29th day of March , 1971 . PRINCIPAL Approved as to form: City Aioorney SURETY ACKNOWLEDGMENT: State of CALIFORNIA County of LOS ANGELES ss. THE TRAVELERS INDEMNITY COMPANY Qua e. Paul C. Hughes tto fey -Tn -Fact SURETY On this 29th day of MARCH 19.21 —, before me personally came to me known, who being by me duly sworn, did depose and say: that he is Attorneys) -in -Fact of The Travelers Indemnity Company, the Corporation described in and which executed the foregoing instrument; that he know(s) the seal of said Corporation; that the seal affixed to said instrument is such corporate seal; that it was so affixed by authority granted to I him in accordance with the By -Laws of the said Corporation, and that he sipped his name thereto by�i'IdinTi v�iil%fhOaltti unnouuum i nuuminnmuaD nma ... OFFICIAL SEAL Judith A. Kindler ° Notary Public - Casitorn,a € Principal Cff:Ce in Los Angeles County MY Commission Expires May 28, 1973 = niinmm�nn..... nnmmmnullinnuungnii DnY..128,n,1973lnm3 5-498 It". 2-53 PRINTED My commission (Notary Public) CITY OF NEWPORT BEACH CALIFORNIA March 22, 1971 William j. Bresnan, Vice President TelePrompTer Corporation 11661 San Vicente Boulevard Los Arngelea, California 90049 Dear. Tsar„ ;'°e -sna n in connection with the transfer of the Newport t beach Cablevision Franchise to TelePrompTer Corporation, enclosed herewith is an Acceptance of Community Antenna Television Franchise to be executed by officers of your corporation on ail transmitted to our City Clark. Thank :yon for your coop= ration, Yours very truly, TUL%y H. SEYMOUR City Attorney THS a mh Encl. ec City Clerk City Manager 11 ACCEPTANCE OF COMMUNITY ANTENNA TELEVISION FRANCHISE WHEREAS, on the 27th day of December, 1966, the City Council of the City of Newport Beach adopted Ordinance No. 1197, entitled "An Ordinance of the City of Newport Beach Granting to Warner Bros. TV Services Inc. a Nonexclusive Franchise to Construct, Maintain and Operate a Community Antenna Television System Within Said City "; and WHEREAS, said CATV franchise was subsequently trans- ferred to Newport Beach Cablevision, Inc. in accordance with the provisions of Resolution No. 6945 adopted by the City Council on March 10, 1969; and WHEREAS, on the 8th day of March, 1971, the City Council of the City of Newport Beach adopted Resolution No. 7379, entitled "A Resolution of the City Council of the City of Newport Beach Approving the Transfer of a Community Antenna Television Franchise from Newport Beach Cablevision, Inc. to TelePrompTer Corporation" and WHEREAS, said Resolution No. 7379 provided that the transfer of the CATV franchise would not become effective until a written acceptance thereof had been filed with the City Clerk by the transferee, TelePrompTer Corporation; and WHEREAS, TelePrompTer Corporation wishes to accept the transfer of said CATV franchise; NOW, THEREFORE, TelePrompTer Corporation hereby accepts the transfer of the CATV franchise originally granted to Warner Bros. TV Services, Inc., by Ordinance No. 1197,as subsequently amended, subject to the provisions of Resolution No. 7379 whereby the City Council of the City of Newport Beach approved the transfer of said -1- franchise to Newport Beach Cablevision, Inc. Dated: c 1971 (Corporate seal) TELEPROMPTER CORPORATION By: By: CERTIFICATE OF CITY CLERK I hereby certify that the foregoing Acceptance of Community Antenna Television Franchise was received by me at the hour of :r5 o'clock &,_m. on the c2` day of 1114RG11 1971. City Clerk THS:adw 3/16/71 -2- 0 March 15, 1971 ;:ea -;ort Beach Cablevisiai, Inc. T,vlePrwpTer Corporetion 2624 Wast Coast a7 .)j ray Ww,xort Beach, CA 92660 Ll Enclosed is awolwt3dn No. 7379 of tike City Council of the City of Newport 3eadli a;prcviny the transfer of a coamxariity antenna television franchise from lim -mort Beach Cablevision. Inc., to eeleProaTter Corporation. Please note Paraffmph 2 (a), (b) and (q) which require written ,acceptance of t1w. trens£hr by 12:01 a.m. , Am,il 6, 1571; peyrymmit of $1,'00 transfer fee; and filing of all required bnmis -i;c instz_ra u- policies before trrcissfer• baummes effective. Lama Larios City Cleric LL: AK CRC. cc: City 'Facer City Attorney Finance Director Public Works Director 4_ 4 rrIAK - W1 By +he CITY COUNCIL CITY Or. MFwPOFAT YSACH CITY OF NEWPORT BEACH Office of CITY ATTORNEY To: The Honorable Mayor and Members of the City Council From: City Attorney March 8, 1971 Subject: Transfer of community antenna television franchise to TelePrompTer Corporation Transmitted herewith are two resolutions relating to the proposed transfer of the community antenna television franchise held by Newport Beach Cablevision, Inc., to TelePrompTer Corporation. The first resolution would authorize the transfer of the franchise subject to various conditions which are set forth in the resolution. The second resolution would authorize Success Broadcasting Company to permit TelePrompTer Corporation to use the antenna facilities located on the City -owned property on the south side of 16th Street westerly of Monrovia Avenue, on which Success Broadcasting Company maintains its transmission facilities pursuant to a license agreement with the City. �� A TULLY SEYMOT& City Attorney THS:mh Att. CC: City Clerk City Manager • ., � "/- l ACA' Y/ &71-7 SAAR 8 1971 By the CITY COUNCIL CITY OF NEWPORT BEACH CITY OF NEWPORT BEACH OFFICE OF THE CITY MANAGER March 8, 1971 0 Agenda Item B -2 TO: MAYOR AND CITY COUNCIL FROM: City Manager SUBJECT: REQUEST OF NEWPORT BEACH CABLEVISION, INC. FOR TRANSFER OF FRANCHISE TO TELEPRCM PTER, INC. RECOMMENDATION: Authorize transfer of franchise subject to conditions outline in transfer resolution. SITUATION: On December 31, 1970, TelePrompTer, a New York corporation entered into a conditional purchase agreement with Newport Beach Cablevision, Inc. for purchase of the Newport Beach and Seal Beach community antenna television sys- tems. The Seal Beach system serves Leisure World. At the meeting of January 11, 1971, the Newport Beach City Council referred to staff for study and report a January 5, 1971 letter requesting transfer of the franchise to TelePrompTer. At the Council meeting of February 8, a public hearing on the request was opened and continued to March 8, 1971. No testimony was taken on February 8. Section 5.44.060(8) of the Newport Beach Municipal Code provides that a community antenna television franchise li be a privilege to be held in trust by the original grantee. It cannot in any event be sold, transferred, leased, assigned or disposed of, in whole or in part, either by forced or involun- tary sale, merger, consolidation or otherwise, without prior consent of the Council expressed by resolution, and then only under such conditions as therein may be prescribed." The City Council instructed the staff to " . recommend to the Council any conditions that should be added to the franchise that are not cur- rently in the franchise." The staff has treated the franchise transfer request as a new franchise, and the subject has been investigated. THE PRESENT FRANCHISE On December 7, 1966, the City awarded a non - exclusive franchise to Warner Brothers TV Services, Inc. to construct and operate a CATV system. This franchise ordinance became effective on January 27, 1967. The franchise was subsequently 0 0 - 2 - transferred to Pacific Cable Services, Inc. on April 22, 1968, and accepted by Pacific Cable on April 26, 1968. Because of corporate reorganization, the fran- chise was transferred by the City Council to Newport Beach Cablevision on March 10, 1969. Newport Beach Cablevision is a wholly owned subsidiary of the New York advertising firm of Foote, Cone and Belding. Construction of the underground sys- tem began in July, 1968. The franchise granted in January of 1967 was for a period of fifteen years. In December of 1970 the franchise expiration date was extended an ad- ditional five years to 1987. PRESENT CATV SYSTEM The existing franchise area covers all of Newport Beach except the area north of Fifth Avenue and east of MacArthur Boulevard. This area has been granted to Community Cablevision, an Irvine Company subsidiary. As of January 1, 1971, the status of the Newport Beach Cablevision system was: Dwellinz Units A. dwellings in franchise area 19,435 B. dwellings in cabled area 11,130 C. dwellings in non- cabled area 8,305 Total subscribed dwellings 1,134 System miles A. aerial plant 1.5 B. underground plant 76.9 C. estimate on non - cabled area 27.0 D. estimate cost to serve non - cabled area $750,000 III `1 1(OK"Obi In consideration for the approval of the extension of the franchise term in November, 1970, Newport Cablevision agreed to pay an increase in the annual franchise fee based upon its gross receipts fran the prior 3% formula to the fol- lowing graduated percentage schedule: Gross Receipts On the first $200,000 On the next 1000000 On the next 1000000 On the next 100,000 In excess of 500,000 Percentage Payable 3% 3�% 4% 4h% 5% 0 qb - 3 - In April of 1968, a refundable good faith deposit.of $10,000 was paid to the City as a guarantee against future revenues under Ordinance No. 1197. Franchise earnings have been deducted by the City from the deposit. Payments to the city have been: 1968 revenues $ 300.00 1969 revenues 506.78 1970 revenues 2.730.31 total earned revenues $3,537.09 deposit balance $6,462.91 Newport Beach Cablevision has provided the following report of franchise taxable revenues for calendar year 1970 as required by Section 5.44.050(b) of the Newport Beach Municipal Code: Subscriber Activity Revenue Month Subscribers Installations Service Jan. 1208 $ 122.19 $ 5,669.72 Feb. 1344 208.93 6,131.38 Mar, 1353 303.59 7,744.55 Apr. 1356 175.63 60520.30 May 1316 319.11 91348.08 June 1207 294.21 7.319.03 July 1156 304.30 8,139.62 Aug. 1080 522.66 7,413.02 Sept. 1065 374.74 8,411.42 Oct. 1088 265.69 6,179.91 Nov. 1131 370.55 7,021.14 Dec. 1134 495.45 71354.96 $3,757,05 $87,253.13 Total Revenue . . . . . $91,010.18 Franchise Tax @ 3 °, . . . . . 2,730.31 The following fees have also been paid to the City: Year Description Amount 1968 Franchise Acceptance Fee $ 2,000•.00 1969 Inspection Fees 5$44.42 Solicitors Licenses 1,700.00 1970 Inspection Fees 4$00.00 Solicitors Licenses 500.00 $14,044.95 0 46 - 4 - W .INMA ft ;Mi ZLO TelePrompTer reports that, "together with its wholly owned subsidiary companies, it constitutes the largest CATV system owners and operators in the country, with system complexes servicing over 495,000 subscribers. The corpora- tion's Master Antenna Division serves an additional 30,000 television subscribers in the New York Metropolitan area. Thus, at this time, the company provides cable television service to an aggregate of more than one -half million customers. TelePrompTer, in a joint effort with Hughes Aircraft Company, has under construction in New York and Los Angeles, the two largest CATV systems in the United States. These systems are already servicing substantial number of subscribers and will reach regions containing more than 600,000 dwelling units. TelePrompTer Corporation has, for many years, been directly involved in origination and distribution of television signals for entertainment: Among the major projects it has undertaken in recent years is the annual closed circuit tele- casting of the Indianapolis and Daytona 500 mile automobile racing classics over networks covering the United States, Canada, Japan and Europe. Its Military Divi- sion operated the largest Missile School in Huntsville, Alabama. TelePrompTer's history in the field of educational television is well documented at the University of Wisconsin, the University of Texas and many other locations. Its Elmira, New York, CATV system is providing a multi - channel cable television distribution system to the schools of that city. Over 250 schools of the Roman Catholic Diocese of Brooklyn were linked through a closed circuit tele- vision network by the company. These schools have been receiving and distributing both microwave signals and off - the -air channels for approximately two years. An additional 100 schools in Nassau and Suffolk County have been similarly linked for the Rockville Center Diocese'." The company has reported that it now operates the following California CATV systems: Camarillo Fort Bragg Guadalupe Hi Desert Lompoc Los Angeles Attached is a semi-annual directors and officers. by the applicant and are Los Gatos Milpitas San Bernardino Santa Clara County Santa Cruz Santa Maria Sierra.Madre Simi Valley Trousdale (Beverly Hills) ms Twenty - nine Pal Ukiah Willits Woodlake report of TelePrompTer for 1970 which lists corporation Annual reports for the past three years have been provided available in the Assistant City Manager's office. In an exchange of correspondence with the applicant the staff has obtained the following information as reflected in written comments from company officials: - 5 - PROGRAMMING "Upon the closing, TelePrompTer intends to make a detailed study of all aspects of the system's operation, including program origination. At that time, it will plan a program format which will be responsible to the needs of the community and, at the same time, fit within a realistic budget. It is impossible at this time to say what programming that format will include. However, TelePrompTer has been the leader in the CATV industry's program origination ef- forts. TelePrompTer now has 21 systems originating programming on a regular basis. By April lst, it plans to have 28 additional systems originating. The Company has purchased Filmation Associates, a large television film producer. with an eye towards CATV's programming needs." By April 1, the FCC has ruled, all CATV systems with more than 3,500 subscribers must originate "significant" programming. In addition to meaning that more CATV systems will begin to provide more community services, this pro- gramming requirement represents a particular opportunity. In fact, the FCC, in approving the TelePrompTer -H F, B American merger, specifically cited our pro - gramming plan as a "promising step toward realization of our goal of increased diversity of programming." "Already in the forefront of local program development, TelePrompTer systems won six cablecas'ting awards at the 1970 National Cable Television Con- vention." RATES AND CHARGES "TelePrompTer proposes at the present time to abide by the rates and charges to subscribers currently used by Newport Cablevision, Inc." The proposed resolution approving transfer of the franchise from Newport Beach Cablevision, Inc. to TelePrompTer Corporation contains a number of express conditions which the staff considers necessary in order to protect the City's interest and which TelePrompTer Corporation must accept unconditionally. The need for additional controls became apparent as a result of experience with the present franchisee. The express conditions which TelePrompTer Corporation is being required to agree to prior to the franchise becoming effective, include: 1. Acceptance in writing of the new conditions, and reaffirming their obligations under the original franchise agreement. 2. Payment to the City of a $1,000 transfer application fee. 3. Agreement that the City has the right to charge inspection fees for cablevision construction. 4. Location of the facilities to be subject to the approval of the City. f. . . e 0 - 6 - LI S. Completion of the system throughout the franchise area within a reasonable length of time. 6. Maintenance of a set of current "as built" plans available for public examination in a Newport Beach office of the franchisee plus an additional set in the Public Works Department. 7. Filing with the City all required bonds and insurance. 8. Agreeing to furnish free CATV service to public buildings within the franchise area. 9. Maintenance of current rate schedules. / ;;?�- -- HARVEY 'L. HURLBURT City Manager RESOLUTION NO. 7379 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NEWPORT BEACH APPROVING THE TRANSFER OF A COMMUNITY ANTENNA TELEVISION FRANCHISE FROM NEWPORT BEACH CABLEVISION, INC., TO TELEPROMPTER CORPORATION WHEREAS, there has been presented to the City Council a EM request for transfer of the community antenna television franchise held by Newport Beach Cablevision, Inc., to TelePrompTer Corporation and WHEREAS, after holding a public hearing for the purpose of considering whether such proposed transfer would be in the public interest, the City Council hereby finds and determines that TelePrompTer Corporation has established its financial responsibility and ability to assume the obligations required by the franchise heretofore granted to Newport Beach Cablevision, Inc.; NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Newport Beach, as follows: 1. The transfer of the franchise held by Newport Beach Cablevision, Inc. to TelePrompTer Corporation is hereby approved on behalf of the City of Newport Beach, subject to the filing with the City Clerk of written acceptance of said transfer on behalf of TelePrompTer Corporation; 2. The foregoing approval of the transfer of said franchise is subject to the following conditions: (a) This transfer shall not become effective for any purpose unless and until written acceptance thereof shall have been filed by the transferee with the City Clerk; and such written acceptance shall be in the form and substance as shall be prescribed by the City Attorney, and shall be and shall operate as an acceptance of each and every term and condition contained in Ordinance No. 1197, Ordinance No. 1365 and in Chapter 5.44 of the Newport Beach Municipal Code, entitled "Community Antenna Television ". Said -1- 12 LI written acceptance shall be filed not later than 12 :01 p.m. of the 30th day next following the date of the adoption by the Council of this resolution; and, in default of the filing of such written acceptance as herein required, the transferee shall be deemed to have rejected and repudiated the same; and thereafter the acceptance of the transferee shall not be received by the City Clerk and the transferee shall have no rights, remedies or redress in the premises, unless and until the City Council shall, by - resolution, determine that such acceptance be received or filed, and then upon such terms and conditions as the Council may impose. (b) Payment to the City of a transfer fee of One Thousand Dollars ($1,000) by the transferee. (c) Transferee agrees that the City, acting through its Public 'Works Director, may impose a reasonable inspection fee to cover the cost of inspection and supervision of any work done by transferee on or in any public street, alley, sidewalk or other public property, if in his discretion the Public Works Director determines that such inspection is necessary. (d) The provisions of Section 5.44.090 of the Newport Beach Municipal Code shall be controlling with respect to the location and construction of any and all facilities of the transferee in streets, alleys or other public places within the City, it being expressly agreed that no new poles will be permitted unless the Public Works Director determines that existing public utility poles are unsuitable or unavailable for use by transferee. (e) The completion of the construction and installa- tion of community antenna television facilities in order to provide service to all potential subscribers throughout the entire franchise area shall be completed within a time schedule, subject to the approval of the City Council. -2- (f) Transferee agrees to maintain current "as built" maps of the system on file in the office of the Public Works Director and at a Newport Beach office of the transferee where such records shall be open for public inspection during normal business hours. (g) Transferee shall file with the City Clerk, subject to approval as to form and content by the City Attorney, all required bonds and insurance policies before this transfer shall become effective. Upon approval of the required bonds and insurance policies by the City Attorney, Foote, Cone & Belding and Newport Beach Cablevision, Inc., shall be released from the aforesaid requirements and the City Attorney is hereby authorized to execute any necessary documents to effectuate said release. (h) Transferee agrees to comply with its obligation under subsection (h) of Section 5.44.160 of the Newport Beach Municipal Code to furnish service free of charge to public buildings within a reasonable construction time schedule, subject to the approval of the City Manager. (i) Transferee agrees to abide by the schedule of fees and charges heretofore approved by the City Council. ADOPTED this 8th day of March, 1971. ATTEST: City Clerk -3- Mayor THS:mh 3/4/71 RESOLUTION NO. 38 0 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NEWPORT BEACH AUTHORIZING THE SUCCESS BROADCASTING COMPANY TO ALLOW TELEPROMPTER CORPORATION TO USE EXISTING FACILITIES OF NEWPORT BEACH CABLEVISION, INC., LOCATED ON CITY -OWNED PROPERTY UNDER LICENSE TO SUCCESS BROADCASTING COMPANY WHEREAS, pursuant to Resolution No. 6874 the City Council authorized the execution of a license agreement between the City of Newport:Beach and Success Broadcasting Company, dated October 1, 1965, for the use by Success Broadcasting Company of certain City -owned property on the south side of 16th Street westerly of Monrovia Avenue; and WHEREAS, Section 4 of said agreement provides, "Licensee may allow the Newport Beach Cablevision Company to use its existing facilities on the City property "; and WHEREAS, Newport Beach Cablevision, Inc., has sold its community antenna television franchise to TelePrompTer Corporation; and WHEREAS, the City Council has approved the transfer of said franchise from Newport Beach Cablevision, Inc., to TelePrompTer Corporation; and WHEREAS, TelePrompTer Corporation has requested the City Council and Success Broadcasting Company to authorize it to use the existing facilities of Newport Beach Cablevision, Inc., located on the above described City property; NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Newport Beach, as follows: 1. Success Broadcasting Company is hereby authorized to allow TelePrompTer Corporation to use.the. existing facilities of Newport Beach Cablevision, Inc., located on the above described City -owned property; PROVIDED, however, that any physical expansion of the existing facilities used by Newport Beach Cablevision, Inc., -1- I on said City property shall be subject to the prior approval of the City Council; ADOPTED this 8th day of March, 1971. ATTEST: City Clerk C IFIED AS THE 0114aINAL WY CLERK OF THE CITY BEACH . - MAR 12 I971 DATra ZL zo- Mayor THS: mh -2- 3/4/71 D do ACCEPTANCE OF AMENDED FRANCHISE TO THE CITY OF NEWPORT BEACH, CALIFORNIA, AND TO THE HONORABLE MAYOR AND MEMBERS OF THE COUNCIL OF THE CITY OF NEWPORT BEACH: NEWPORT BEACH CABLEVIS'ION, INC.., being the corporation identified as the successor grantee of Warner Bros. TV Services, Inc., under Ordinance No. 1197 enacted by the City Council of the City of Newport Beach on the 27th day of December, 1966, hereby accepts the amended community antenna television franchise in accordance with the terms and provisions of Ordinance No. 1365 enacted by the said City Council on the 14th day of December, 1970. Dated.: 4f "a j � � %l NEWPORT BEACH CABLEVISION, INC. ' (Seal of Corporation) By: fif%Gl G'S` CERTIFICATE OF CITY CLERK I hereby certify that the foregoing acceptance of the amended CATV franchise was received by me at the hour of on the day of .. , ",` -!`% 1971. Ci y Clerk till Z� °6 -14A �2j Iji i By the CITY COUNCIL CITY r]n. I,IrI-'J I l q OLACH February 12, 1971 y • y6 •' As" @ if ♦ x4 Enclosed is a copy of Resolution No. 7373 declaring the intention of the City Council of Newport Beach to hold a public hearing for the purpose of considering the transfer of a co minity antenna television franchise from Newport Beach Caialevision, Inc. to TelePrmpTer Corporation. Said hearing has been set for February 22, 1971 at the hour of 7:30 p.m„ or as near that tim as possible, in the Lbuncil Omters of City Hall, at which time and place any and all persons . interested may appear and be heard. Laura Lagios City Clerk LL:swk enc. LI AFFIDAVIT OF PUBLICATION NEWPORT HARBOR ENSIGN STATE OF CALIFORNIA tas. County of Orange ff I, .......... LA.... ";.r.... r?A,P,,YA ..................... being first dilly sworn, and on oath depose and say that I am the printer and publisher of the Newport Harbor Ensign, a weekly newspaper printed and published In the City of Newport Beach, County of Orange, State of California, and that the ...... > O RUQ NQ.,__73.73 ........................................................... ............................... of which copy attached hereto is a true and complete copy, was printed and published in the regular issue(s) of said newspaper, and not in a supplement, .....1 ............. consecu- tive times: to-wit the issue(s) of Feb. 11. 1971 (Signed). ..... {......�l:i�.!?� Subscribed and sworn to before me this ... !2!Ndy of ................F.et =2_ &ry ....... 19..71.. - Notary ublic in and Cor th� Count f - Orange, State of California. 177FICIAL SEAL ARY A. HAAPA PRINCIPAL ,y P.blic- California OFFICE IN RANGE COUNTY RES DECEMBER 13, 1971 4 F Nz .4 0z �' 1F,pr►' Fjya ijJ, J' �9916pF _LEG_AL NOTICE RESOLUTION NO. 7373 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NEWPORT BEACH DECLARING ITS INTENTION TO HOLD A PUBLIC HEAR- ING FOR THE PURPOSE OF CONSIDERING THE TRANS- FER OF A COMMUNITYAN- TENNA TELEVISION FRAN- CHISE FROM NEWPORT BEACH CABLE VISION, INC., TO TELEPROMPTER COR- PORATION WHEREAS, there has been presented to the City Council a request for transfer of the community antenna television franchise held by Newport Beach Cablevision, Inc., toTel- ePrompTer Corporation; and WHEREAS, the City Council desires to hold a public hear- ing on the question of whether or not said franchise should be transferred; i, NOW, THEREFORE, BE IT ,RESOLVED by the City Coun- (,oil of the City of Newport 'Beach, as follows: SECTION 1. A public hearing shall be held at the hour of 7:30 p.m. on the 22nd day of February, 1971, in the City Council Chambers, City Hall, 3300 Newport Boulevard, New- port Beach, California, for the purpose of considering the ad- j;option by the City Council of a resolution approving the pro- posed transfer of thecommuni- ty antenna television franchise presently held by Newport Beach Cablevision, Inc., tc TelePrompTer Corporation. SECTION 2. The City Clerk is directed to publish this reso- lution once in the officialnews- paper of the City within ten days following its adoption, and to cause a copy hereof to be mailed to all community an- tenna television franchise grantees. SECTION 3. At the time fixed for hearing, the City Council shall proceed to hear and Pass upon such evidence, testimony and objections as may be pre- sented; thereafter, the Cit7 Council, by resolution, mayap- prove the proposed transfer of said franchise. ADOPTED this 8th day of February, 1971. E. F. Hirth Mayor . ATTEST: Laura Lagios City Clerk Publish: Feb. 11, 1971, in the Newport Harbor Ensign. OBSCODTIOn WOLUTIOU CO WX CITY CMUCII W Thl CrIVIV W MMKW;- M-AKO ZMAXWO ZT5 IMMOM TO AUM EMIC USARENG PIR TRI Mpoae 49 COVILOMAG Too TIMM i:W a fXA*MrA11Y AMNA" ?AAMMSM MEW ra"WMAWT low. 1� 7Q TUMMY= C56MATUAW NVIIAMI Hero bag been PrOSWtv? to too city council a • sswest for tranmfer of thE:. t'll.&OWn yw=h=" b*16 by Mew%port NORALAS, 04 City, df-'401t to hold a publir h*zring an the JUOARO'l of or Ant . zd'V""�7 4 be trausArred? AQ01 TURRMORM to 1? Anow-daw by city cmneill Of ,tho My of Newport Mach# 10 follOwn', aMCTXVV Yublic bevKng essAl be hold at the hoU of >30 n.m. on the MA WWUM, 1971, In thl "t! VOOM" �bntberz' City Hall 3310 wwPost houlawar RaWfornA., for MV PUMPOSO Q th4 aAqptie-�'l t Qty Council of a ryaointlon pr�V*Wys W=Ikyy 01-, the community antenna taleviVon Wawbis* presently held sy Movqmr Cahlovision, Xnk.o to WORCOMPM Corporation. SACTION 2. TV city clerk to disectod to publilk W4 rawation cove in the MWO UVWspapax 01 't%o City wig s: t0Z Mys following Ito noptiam, 4XV! to caus* a copy hereof to b* Mailed to all COMMU14ty MAtewna tvieviWO fru4shiss gv=004. SAMOM 3. At the time fixed for hawipj, the MY nouncil AM P=004 to MAX OA6 PAZ% Mpon Ovkh evidence, t - - ' 'sn �Iaotlsuony Una 00joction. nz �'-y Q� ""Ity comncil by rowlettow way ovPrown thA POOPOOM townsfor of laid fr4whoo. Ancom thia Ilk day of IMSMAZI&SIZO 105=M6 11hum.0 AMM" January 21, , 1971 CITE' OF NEWPORT B CALIFORNIA sea .. 0 City aau 8300 Newport : Sled (714) 67 3-2110 C� f Mr, Wayne Hauser Vice President - General Manager Newport Beach Cablevision, Inc. �- 2624 West Coast highway Newport Beach, California 92660 Dear Mr. Hauser; Confirming our telephone conversation of Tuesday, January 19, our staff will plan to meet with you and a Teleprompter representative for lunch on Wednesday,January 27, to discuss issues associated with the transfer of the Newport Beach Cablevision franchise. You have been provided with a copy of the January 18, 1971, memorandum from the Newport Beach Public Works Department to me commenting on the department's tentative recommendations on matters associated with the franchise. As I indicated in our telephone conversation, it will be my objective to treat the franchise transfer request as a new franchise and it will be investigated accordingly. Since you indicated some concern over the content of the data requested in my January 14 letter, may I refer you to the attached copy of the official January 11, 1971, minutes of the Newport Beach City Council. Those minutes indicate that, ". it was also requested that the staff recommend to Council any conditio: that should be added to.the franchise that are not. currently in the franchise (emphasis supplied) ". In my judgement, the Council instruc- tions are explicit that the request and the franchise terms be given a careful and meticulous review. As I also indicated in our telephone conversation, a lunch meeting to discuss this subject would not be fruitful unless you have responded to the requests in our January 14 letter in advance in order that this material may be reviewed by the appropriate city staff members prior to our meeting. . Very truly yours, i PHILIP F. BFITENCOURT Assistant City Manager PFB:sh Attachment cc: City Manager City Attorney City Clerk Public Works Director without attachment Dear Mr. Hauser: Subject: Transfer of Newport Cablevision Franchise to . Teleprompter, Inc. At the meeting of January 11, 1971, the Newport Beach City Council referred to'staff for study and report your joint January 5, 1971, request for a transfer of the Newport Beach Cablevision franchise as amended on December 14, 1970, by Ordinance No. .1365, to Teleprompter, Inc. Section 5.44.060(g) of the Newport Beach Municipal code provides that a franchise may not be "sold, trans erred, leased, or dis- posed or, in whole or in part, either by forced or involuntary sale, merger, consolidation or otherwise, without prior consent of the Council expressed by resolution, and then only under-such conditions as may be therein prescribed '. Members of our city staff have reviewed the substance of the request-and a number of concerns we have regarding the existing franchise agreement. In order to properly analyie the merits of the requested transfer, the following information will be required for the city staff to develop a recom- mendation for the City Council: 1) A copy of the purchase - agreement conditionally transferring the assets of Newport Cablevision to Teleprompter; 2). The last three annual reports and audited financial statements of Teleprompter; 3) A statement prepared by a Certified Public Accountant attesting to the present.net worth.' of Newport Cablevision; CITY OF NEWPORT BEACH CALIFORNIA vew y µ_, ORN�P City Hall . - 8800 Newport ,Blvd. - (714) 078 -2110 January 14, 1971 Mr. Wayne Hauser Vice President - General Manager Newport Beach Cablevision, Inc. 2624 Nest Coast Highway Newport Beach, California 92660 . Dear Mr. Hauser: Subject: Transfer of Newport Cablevision Franchise to . Teleprompter, Inc. At the meeting of January 11, 1971, the Newport Beach City Council referred to'staff for study and report your joint January 5, 1971, request for a transfer of the Newport Beach Cablevision franchise as amended on December 14, 1970, by Ordinance No. .1365, to Teleprompter, Inc. Section 5.44.060(g) of the Newport Beach Municipal code provides that a franchise may not be "sold, trans erred, leased, or dis- posed or, in whole or in part, either by forced or involuntary sale, merger, consolidation or otherwise, without prior consent of the Council expressed by resolution, and then only under-such conditions as may be therein prescribed '. Members of our city staff have reviewed the substance of the request-and a number of concerns we have regarding the existing franchise agreement. In order to properly analyie the merits of the requested transfer, the following information will be required for the city staff to develop a recom- mendation for the City Council: 1) A copy of the purchase - agreement conditionally transferring the assets of Newport Cablevision to Teleprompter; 2). The last three annual reports and audited financial statements of Teleprompter; 3) A statement prepared by a Certified Public Accountant attesting to the present.net worth.' of Newport Cablevision; Mr. Wayne Hauser January 14, 1970 Page Two 4) A completed franchise application statement filed with the City Clerk including all data requested in Section 5.44.170 of the Newport . . Beach Municipal Code signed by Teleprompter; 5) Letters of Intent properly signed by the proposed Teleprompter insurance carrier demonstrating that the carrier is prepared to provide all bonds and insurance required by the Community Antenna Tele- vision Franchise Ordinance; 6) An indication by Teleprompter`of the timetable for meeting the connection requirements stated in Section 5.44:160(h) of the Newport Beach, Amicipal Code, 7) A. statement of intent by Teleprompter that they are prepared to accept a formal provision in the franchise transfer document that the City of Newport Beach is to be reimbursed for public works inspection charges incurred in conjunction . with the supervision of subsequent CATV cable installation work undertaken in the public rights -of -way; 8) A statement by Teleprompter of their proposed programming format.for the twelve month period following franchise transfer; 9) Proper documents filed with the Public Works Director pursuant to Section 5.44.140(c) of the franchise ordinance describing all elements, in the existing CATV system which have been installed; 10) A complete statement of the current condition of subscription and connection activity and a proposed . timetable signed by Teleprompter officers indicating the information program that may be anticipated ai a result of a franchise transfer. COUNCILMEN 2��-P 2 C� Oro � 0 9 P o r y � c �, 2� F yG �v9O �2 ROLL CALL �^ CITY OF NEWPORT BEACH January 11„ 1971 MINUTES INDEX Motion x The matter was referred to the staff for study and Ayes x x x x x x x report, and the City Attorney was directed to prepare an agreement and bring back to the Council on January 25, 1971. 5. A letter was presented from Newport 'Beach Cable - CATV vision, Inc. and Teleprompter Corporation stating that the two corporations entered into an agreement on December 31, 1970 providing for the future owner - 3, ship and operation of the Newport Beach CATV syste by Teleprompter if transfer of the franchise. is ap- proved by the City Council, and requesting consent to such transfer. , Motion' x Councilman Parsons moved that the matter be referred to staff for study and report. 3. A discussion was had, and it was requested that Council be given three past annual financial reports and profit and loss statements from Teleprompter Corporation plus Teleprompter has for tele- ,plans vision viewing in Newport Beach; and it was also requested that the staff recommend to Council any conditions that should be added to the franchise that are not currently in the franchise. r Wayne Hauser, representing Newport Beach Cable - vision, Inc., stated this could be arranged. s Ayes x x x x x x x A vote was taken on Councilman Parsons' motion,` and the matter was referred to staff for study and y' report back with the above documents, which motion carried. 6. The proposed Civic Center Master Plan was pre- Civic s ented. Center Frank Mosher, A. 1. A., representing Welton Becket and Associates, gave a brief report. Resolution No. 7351, adopting a Master Plan for the R -7351 Motion x Civic Center site in Newport Center, was adopted Ayes x x x x x x x after the reading of the resolution was waived by unanimous consent of the Council. Volume 25 - Page 5 By the ciry COUNCIL c)iY r�At M ..rpe ny a "A%CFI January 5, 1971 Mr. Harvey L. Huriburt City Manager City of Newport Beach Newport Beach, California Dear Mr. Hurlburt: CABLEVISION Newport Beach Cablevision, :Inc. 2624 West Coast Highway Newport Beach, California 92660 Phone(714)642 -3260 This is a joint letter on behalf of Newport Beach Cablevision, Inc. and Teleprompter Corporation. On December 31, 1970, the two corporations entered into an agreement providing for the future ownership and operation of the Newport Beach CATV system by Teleprompter. The implementation of this agreement is, of course, contingent upon your transfer of the franchise to Teleprompter. G_ Representatives of Newport Beach Cablevision will be happy to discuss with you the reasons for, and the background of this transaction. Further; both corporations wish to assure you that it is the joint objective to provide for continuous and even improved service to subscribers and potential subscribers. As you are probably aware, Teleprompter is the largest operator of cable television systems in the United States and has been a recognized leader in the development of CATV services. Its progressive management and vast experience have been attested to by a long list of awards won by its systems and positions of responsibility held by its officers and system managers in the national, state and regional industry association. One of its managers, Kester K. Krieg of Santa Cruz, currently is president of the California CATV Association. Teleprompter Corporation has attained a justifiably high reputation for support of and involvement in local affairs in each of the communities it serves, a policy which should commend itself highly to the City of Newport Beach. In the State of California, Teleprompter Corporation and its sub- sidiary companies currently operate a total of eighteen CATV systems, thus attaining a unique familiarity with the status of CATV operations in this state. The company is listed on the American Stock Exchange and has been invited to apply for listing, and intends to list its shares on the Pacific' Coast Stock Exchange. Mr. Harvey L. January 5, 1971 Page 2 HurlburR The following action is respectfully requested: V 1 . Transfer to Teleprompter Corporation of the franchise granted to Newport Beach Cablevision, Inc, for the operation of a community antenna television system in the City of Newport Beach. 2. Consent to the transfer to Teleprompter Corporation of the rights, liabilities and obligations under the License Agreement between the City of Newport Beach and Success Broadcasting Company dated October 1, 1968, by which Newport Beach Cablevision, Inc. is using certain facilities of city property. 3. Assumption by Teleprompter Corporation of the $100,000 Performance Bond to the City of Newport Beach and the $50,000 Performance Bond to subscribers in Newport Beach under which Newport Beach Cablevision, Inc. and Foote, Cone.& Belding Communications, Inc, are the principal and the surety respectively, and the release of the two latter corporations. Those of us at Cablevision have enjoyed working with you and we are confident that the Teleprompter representative will do everything possible to preserve the good relationship which has been established, as well as continually improve the service to the Newport Beach cable television subscribers. Very truly yours, NEWPORT BEACH CABLEVISION, INC. By A, Wayne R. Hauser TELEPROMPTER CORPORATION By ' , Edward E. Stout pM 1 41970' !`I'ov 2 3 'WU By +he CITY COUNCIL c�TY � z A.'C\x'Dtwgj Re N By the CITY COUNCIL CITY bF NEWPORT BRcH CITY GAG: vl%%irura 4T R'ACH Office of CITY ATTORNEY To: The Honorable Mayor and Members of the City Council From: City Attorney November 23, 1970 Subject: Extension of Community Antenna Television Franchise held by Newport Beach Cablevision, Inc. The franchise granted to Newport Beach Cablevision, Inc., became effective on January 27, 1967, for a term of 15 years. The company has requested that the franchise be extended for an additional period of 10 years in order that it may have a. total franchise term of 25 years over which to depreciate its invest- ment in constructing the system. In return for the approval of the extension of the franchise term, the company has agreed to pay an increased annual franchise fee based upon its gross receipts from the existing 3% figure to the following graduated percentage schedule: Gross Receipts On the first $200,000 On the next $100,000 On the next $100,000 On the next $100,000 In excess of $500,000 Percentage Payable 3% 3 -1/2% 4% 4 -1/2% 5% Section 5.44.040 of the Municipal Code presently provides that any CATV franchise granted by the City Council shall be for a. term of not less than 10 years, nor more than 20 years following the date of acceptance of such franchise by the grantee, or the renewal thereof. It will therefore be necessary to amend this section to provide that such franchises may be granted for a maximum term of 25 years. It will also be necessary to amend Ordinance No. 1197, which is the ordinance granting the franchise to Newport Beach Cablevision, Inc., to include the new annual franchise fee schedule set forth above, and to specify that the term of the franchise shall be 25 years instead of 15 years. m i 0 Extension of CATV Franchise -2- November 23, 1970 An additional change in the ordinance which was requested by Newport Beach Cablevision is to revise the definition of "Gross Annual Receipts" which is set forth in subsection (g) of Section 1 thereof to except installation charges from the computation of gross receipts. This definition has also been modified to include as gross annual receipts all revenues received for advertising. The amended ordinances have been included with the agenda.. TULLY SE UR City Attorn THS•mh CC: City Clerk City Manager Finance Director Iyiu CITY OF NEWPORT BEACH OFFICE OF THE CITY MANAGER November 23, 1970 DEC 14 iy By the CITY COUNCIL CITY car t"%"cAtas REACH By the CITY COUNCIL Agenda Item B -2 CITY OF N6wPORT BEACH' TO: MAYOR AND CITY COUNCIL FROM: City Manager SUBJECT EXTENSION OF COMMUNITY ANTENNA TELEVISION FRANCHISE HELD BY NEWPORT BEACH CABLEVISION, INC.. RECNDATION A. Approve revision to Ordinance No. 1197 extending Newport Beach Cablevision, Inc. franchise to twenty -five years under conditions as specified and exclude installation charges from the computation of gross receipts to determine payments due to City of Newport Beach; B. Authorize an amendment to Section 5.44.040 of the Municipal Code which would extend the maximum allowable CATV franchise from twenty years to twenty -five years. DISCUSSION: The Newport Beach Cablevision, Inc. request for an extension of the franchise period has been thoroughly reviewed by the City staff in the context of future fee payments to the City of Newport Beach. At the request of the City, Newport Beach Cablevision, Inc. has prepared a long -range projection of CATV connections and revenues and on the basis of such a projection an escalating formula has been prepared for the franchise fee. In view of the fact that the original concept of the City Council was to refrain from attaching high fees to the CATV activities in order to maintain a relatively low fee to the user, it is felt that the escalating clause should represent changes in the company's ability to pay rather than fees which will merely be passed on to the consumer. In consideration of this concept, the suggested escalating formula seems to be equitable to all parties concerned and should adequately provide for the City's participation in future revenues. It should be kept in mini that under current conditions the revenues being derived by the City do not even cover the cost of administering this activity. However, future receipts should overcome this and subsequently provide compensation for the public's inconvenience as a result,of this installation in the public right -of -way. It should also be kept in mind that future street reconstruction costs' will be slightly higher as a result of this added utility under the pavement. - 2 - 0 It should also be noted that the franchise agreement precludes the use of this installation for Pay -TV without prior approval of the City Council. This will give the City Council adequate opportunity to completely review the economics of this activity if it should move into the more lucrative area of Pay -TV.. Since installation charges are less than the actual cost to the company and are not a part of the ongoing service revenues, it is considered logical to eliminate these charges from the computation of gross receipts for franchise fee computation purposes. ;' �'f HARVEY L. HURLBURT HLH;sh ORDINANCE NO. Y 16 4 AN ORDINANCE OF THE CITY OF NEWPORT BEACH AMENDING SECTION 5.44.040 OF CHAPTER 5.44 OF THE NEWPORT BEACH MUNICIPAL CODE RELATING TO THE DURATION OF COMMUNITY ANTENNA TELEVISION FRANCHISES The City Council of the City of Newport Beach does ordain as follows: SECTION 1. Section 5.44.040 of Chapter 5.44 of the Newport Beach Municipal Code is hereby amended to read as follows- "5.44.040 Duration of Franchise. Any franchise, granted by the City Council pursuant to this Chapter, shall be for a. term of not less than ten (10) years nor more than twenty -five (25) years following the date of acceptance of such franchise by the grantee or renewal thereof. Any such franchise may be terminated prior to its da.te of expiration by the City Council in the event that said Council shall have found, after thirty (30) days' notice of proposed termination and public hearing, that (a.) the grantee has failed to comply with any provision of this Chapter, or has, by act or omission, violated any term or condition of its franchise or permit issued under this Chapter; or (b) any provision of this Chapter has become invalid or unenforceable, and the Council further finds that such provision constitutes a consideration material to the grant of said franchise; or (c) the City acquires the CATV property of grantee." SECTION 2. This ordinance shall be published once in the official newspaper of the City, and the same shall be effective 30 days after the date of its adoption. This ordinance was introduced at a regular meeting of -1- LM the City Council of the City of Newport Beach held on the day of 1970, and adopted on the day of 1970, by the following vote, to wit: ATTEST: City Clerk AXES, COUNCILMEN: NOES', COUNCILMEN: ABSENT COUNCILMEN: Mayor THS :mh -2- 11/19/70 6 AFFIDAVIT OF PUBLICATION NEWPORT HARBOR ENSIGN STATE OF CALIFORNIA1 es. County of Orange J I. .....................:....... r.. t.............. TAPA.................... being first duly sworn, and on oath depose and say that I am the printer and publisher of the Newport Harbor Ensign, a weekly newspaper printed and published in the City of Newport Beach, County of Orange, State of California, and that the .......... QUIRUCE ... NO.r. ... L3.5A ........................................................... ............................... of which copy attached hereto is a true and complete copy, was printed and published in the regular issue(s) of said newspaper, and not in a supplement, .........1......... consecu- tive times: to-wit the issue(s) of Rec.. 24x. 1970 (Signed)............ `.. Subscribed and sworn to before me this ... 26thday of - .Pv °!—ber 70 .........I 19-........ ......... ........... ... . ........ _. Notary Public in and for the County of Orange, State of California. j CIAL SEAL ` ARV A. HARP^ `J LEGAL NOTICE ORDINANCE NO. 1364 AN ORDINANCE OF TRECI- TY OF NEWPORT BEACH AMENDING SECTION 5.44.- 040 OF CHAPTER 5.44 OF THE NEWPORT BEACH MU- NICIPAL CODE RELATING TO THE DURATION OF COMMUNITY ANTENNA TE- LE VISION FRANCHISES The City Council of the City, of Newport Beach does ordain as follows: SECTION 1. Section 5.44,040 of Chapter 5.44 of the Newport Beach Municipal Code is here- by amended to read as follows: 115.44.040 Duration of Fran- chise. Any franchise, granted by the City Council pursuant to this Chapter, shall be for a term of not less than ten (10) years nor more than twenty- Ave (25) years following the date of acceptance of such fran- chise by the grantee or re- newal thereof. Any such fran- chise may be terminated prior to its date of expiration by the City Council in the event that said Council shall have found, after thirty (30) days' notice of proposed termination and public hearing, that (a) the grantee has failed to comply with any provision of this Chapter, or has, by act or omission, vio- lated any term or condition of its franchise or permit issued under this Chapter; or (b) an) provision of this Chapter has become invalid or unenforeable, and the Council further finds that such provision constitutes a consideration material to the grant of said franchise; or (c) the City acquires the CATV pro- perty of grantee." SECTION 2. This ordinance shall be published once in the official newspaper of the City, and the same shall be effective 30 days after the date of its adoption. This ordinance was intro- duced at a regular meeting of the City Council of the City of Newport Beach held on the23rdl day of November, 1970, and 0 NOTICE OF PUBLIC HEARING r CANT\j 6 NOTICE IS HEREBY GIVEN that the City Council of the City of Newport Beach will hold a public hearing regarding Ordinance No. 1364; being, AN ORDINANCE OF THE CITY OF NEWPORT BEACH AMENDING SECTION 5.44. 040 OF CHAPTER 5.44 OF THE NEWPORT BEACH MUNICIPAL CODE RELATING TO THE DURATION OF COMMUNITY ANTENNA TELEVISION FRANCHISES. NOTICE IS HEREBY FURTHER GIVEN that the said public hearing will be held on the 14th day of December , 19 70 at the hour of 7:30 P.M. in the Council Chambers of the City Hall of the City of Newport -Beach, California, at which time and place any and all persons interested may appear and be heard thereon. Dated: Publish 12/3/70 Posted 11/30/70 Laura Logics City Clerk City of Newport Beach NOTICE OF POSTING On 12-Z-70 , I posted Notice of Public Hearing regarding: Ordinance No. 1364, being, AN ORDINANCE OF THE CITY OF NEWPORT BEACH AMENDING SECTION 5.44. 040 OF CHAPTER 5.44 OF THE NEWPORT BEACH MUNICIPAL CODE RELATING TO THE DURATION OF COMMUNITY ANTENNA TELEVISION FRANCHISES. at the United States Post Offices in Corona del Mar, Newport Beach, Balboa, (and on subject property, if property is involved). 40 40 AFFIDAVIT OF PUBLICATION NEWPORT HARBOR ENSIGN STATE OF CALIFORNIA ss County of Orange I . .............. T,X K) ... .E. .... HAAPA.................. being first dilly sworn, and on oath depose and say that I am the printer and publisher of the Newport Harbor Ensign, a weekly newspaper printed and published in the City of Newport Beach, County of Orange;. State of California, and that the ... NQT!gF OF FII°LIC HEAR -I.NG .............::.......::.......................::......... .......---....._............... of which copy attached hereto is a true and complete copy, was printed and published in the regular issue(s) of said newspaper, and not in a supplement, ........I ......... consecu- tive times: to -wit the issue(s) of Dec. 3 1 °7n (Signed) -.... Vvv�r...... .. . � e...,i . Subscribed and sworn to before . me thisllthday of ................T) Ar 19 7Q 1�� Noy /ry Public m and fot the C6hnty of Orange, State of California. O.FF IC IAL gEA MARY b HAgPA Notu V Publ c - GoliforNO PRINCIPAL OFCI /MY.CCMMiSS10N F - ORANGE COUNTYIN ^72PIRF5 �CFMaER. 13, 1971 I 4 . ORDINANCE NO, 1 3 G 5 " AN ORDINANCE OF THE CITY OF NEWPORT BEACH AMENDING ORDINANCE NO. 1197 WHICH GRANTED A NON - EXCLUSIVE FRANCHISE TO CONSTRUCT, 4 MAINTAIN AND OPERATE A COMMUNITY ANTENNA TELEVISION SYSTEM TO WARNER.BROS. TV SERVICES, INC., A PREDECESSOR OF NEWPORT BEACH CABLEVISION, INC., THE EXISTING .FRANCHISE .HOLDER The City Council of the City of Newport Beach does ordain as follows: SECTION 1. Section l of Ordinance No. 1197 is hereby amended to read as follows: "SECTION 1. Definitions. Wherever in this ordinance the following words or phrases are used, they shall have the respective meanings assigned to them in the following definitions; and words or phrases not defined in this section which are defined in any franchise document shall have the same meaning in this ordinance assigned to them in such franchise document, unless the context in which they are used shall clearly indicate a different meaning; (a) . 'City' shall 'mean the City of Newport Beach in its present incorporated form or in any later recognized, consolidated, enlarged or reincorporated form. (b) 'Council' shall mean the present governing body of the City, or any 'future board constituting the legislative body.of the City,. (c) ''Person' shall mean any individual, firm, partnership, association, corporation, company or organization of any kind. (d) 'Grantee' shall mean Newport Beach Cablevision, Inc., its employees, agents, successors and assigns. (e) 'Community Antenna Television System:` or -1- 'CATV System' shall mean a system of antennae, coaxial cables, wave guides, poles, wires, underground conduits, manholes and other conductors,. equipment or facilities designed, constructed or used for the purpose of providing television, radio or other service by cable or through its facilities as herein contemplated. CATV shall not mean or include the transmission of any special program or event for which a separate and distinct charge is made to the subscriber in the manner commonly known and referred to as 'pay television.' (f) 'Subscribers' shall mean any person or entity receiving for any purpose the CATV service of the Grantee herein. (g) 'Gross Annual Receipts' shall mean any and all compensation in the form of gross rental and /or service receipts, with the exception of initial installation charges, received directly or indirectly from subscribers or users in payment for CATV services and shall also include all revenues received.for advertising. Gross annual receipts shall not include any taxes on services furnished by the Grantee imposed directly on any subscriber or used by any city, state or other govern- mental unit and collected by the Grantee for such governmental unit. (h) 'Franchise Area' shall mean the territory within the City throughout which Grantee shall be authorized to construct, maintain and operate its system and shall include any enlargements thereof and additions thereto. (i) 'Franchise Documents' shall mean and shall include all of the following: (1) Article XIII of the Charter of the City of Newport Beach. -2- r� (2) - Chapter 5.44 of Title 5 of the 'Newport Beach Municipal Code as the ,same now exists or as it may hereafter be amended. (3) Any and all rules and regulations governing the operation of CATV Systems within the City of Newport Beach which are adopted by the City Council. (4') The written acceptance of CATV Franchise filed with the City by the G ±rdfitee. (j) 'Street' shall mean the surface of and the space above and below any public street; road, highway, freeway, lane, path,.alley, court, sidewalk, parkway; or right of way whether or not improved, now or hereafter existing as such throughout the City." SECTION 2. Section 4 of Ordinance No 1197 is amended to read as follows: "SECTION 4. Term of 'Franchise The term of this franchise shall be twenty -five (25) years, commencing.on January 27, 1967." SECTION 3 Section 12 o.f Ordinance No. 1197 is amended to read as follows: . "SECTION 12. Annual Franchise Fee The Grantee shall.pay annually to the City during the life of this franchise for the privilege.of operating a CATV system.under. this franchise the following percentages of gross receipts: Gross Receipts Percentacre_Payable On the first $200,000' 3% on the next $100,000 3 -1j2% On the next $100,000 40% On the next $100,000 4 -1/2°% Im excess of $.5 00,000 5 %. SECTION 4. This ordinance shall be published once in the official newspaper of the City, and the same shall be -3- effective 30 days after the date of its adoption. This ordinance was introduced at a regular meeting of the City Council of the City of Newport Beach held on the day of 1J In /—' , 1970, and was adopted on the 1jL&b& day of h(,� _,•, �,.: , -{ -- - 1970, by the following vote, to wit- ATTEST: City Clerk AYES, COUNCILMEN NOES, COUNCILMEN: ABSENT COUNCILMEN Mayor -4- THS:mh 11/19/70 0 LEGAL NOTICE ORDINANCE NO. 1365 AN ORDINANCE OF THE CI- TY OF NEWPORT BEACH AMENDING ORDINANCE NO. 1197 WHICH GRANTED A NON- EXCLUSIVE FRAN- CHISE TO CONSTRUCT, MAINTAIN AND OPERATE A COMMUNITY ANTENNA TELEVISION SYSTEM TO WARNER BROS. TV SER- VICES, INC., A PREDECES- SOR OF NEWPORT BEACH CABLEVISION, INC., THE EXISTING FRANCHISE HOLDER The City Council of the City of Newport Beach does ordain as follows: SECTION 1. Section 1 ofOr- dinance No. 1197 is hereby amended to read as follows: "SECTION 1. Definitions. Wherever in this ordinance the following words or phrases are used, they shall have the respective meanings assigned to them in the following defin- itions; and words or phrases not defined in this section which are defined in any franchise document shall have the same meaning in this ordinance as- signed to them in such fran- chise document, unless the con- text in which they are used shall clearly indicate a differ- ent meaning: (a) 'City' shall mean the City of Newport Beach in its pre- sent incorporated form or in any later recognized, consoli- dated, enlarged or reincorpor- ated form. (b) 'Council' shall mean the present governing body of the City, or any future board con- stituting the legislative body of the City. (c) 'Person' shall mean any individual, firm, partnership, association, corporation, com- pany or organization of any kind. (d) 'Grantee' shall mean Newport Beach Cablevision, Inc., its employees, agents, successors and assigns. (e) 'Community Antenna Te- levision System' or'CATV Sys- tem' shall mean a system of antennae, coaxial cables, wave guides, poles, wires, under - ground conduits, manholes and LEGAL NOTICE other conductors, equipment or facilities designed, constructed or used for the purpose of providing television, radio or other service by cable or through its facilities as here- in contemplated. CATV shall not mean or include the trans- mission of any specialprogram or event for which a separate and distinct charge is made to the subscriber in the manner commonly known and referred to as 'pay television.' (f) 'Subscribers' shall mean any person or entity receiving for any purpose the CATV ser- vice of the Grantee herein. (g) 'Gross Annual Receipts' shall mean any and all compen- sation in the form of gross rental and /or service receipts, with the exception of initial in- stallation charges, received di- rectly or indirectly from sub- scribers or users in payment for CATV services and shall also include all revenues re- ceived for advertising. Gross annual receipts shall not include any taxes on ser- vices furnished by the Grantee imposed directly on any sub- scriber or used by any city, state or other governmental unit and collected by the Grantee for such governmental unit. (h) 'Franchise Area' shall mean the territory within the City throughout which Grantee shall be authorized to construct, maintain and operate its sys- tem and shall include any en- largements thereof and addi- tions thereto. (i) 'Franchise Documents' shall mean and shall include all of the following: (1) Article XHI of the Charter of the City of New- port Beach. ' (2) Chapter 5.44 of Title 5 of the Newport Beach Muni - ci,pal Code as the same now exists or as it may hereafter be amended. (3) Any and all rules and regulations governing the op- eration of CATV Systems with- in the City of Newport Beach which are adopted by the City Council. (4) The written acceptance of CATV Franchise filed with ft LEGAL NOTICE the City by the Grantee. (D 'Street' shall mean the surface of and the space above and below any public street, road, highway, freeway, lane, path, alley, court, sidewalk, parkway, or right of way whe- ther or net improved, now or hereafter existing as such throughout the City." SECTION 2. Section 4 of Or- dinance No. 1197 is amended to read as follows: "SECTION 4. Term of Fran- chise. The term of this franchise shall be twenty -five (25) years, commencing on January 27, 1967." SECTION 3. Section 12 of Or- dinance No. 1197 is amended to read as follows: "SECTION 12. Annual Fran- chise Fee The Gra*e .shall pay an- nually to the City during the life of this franchise for the privilege of operating a CATV system under this franchise the following percentages 01 gross receipts: Gross - Percentage Receipts Payable On the first $200,000 A On the next $100,000 3 -1/2 % On the next $100,000 4% On the next $100,000 4 -1/2% In excess of $500,000 5% SECTION 4. This ordinance shall be published once in the official newspaper of the City, and the same shall be effective 30 days after the date of its adoption. This ordinance was intro- duced at a regular meeting of the City Council of the City of Newport Beach held on the 23rd day of November, 1970, and was adopted on the 14th day of December, 1970, by the following vote, to wit: AYES, COUNCILMEN: McInnis, Kymla, Rogers, Hirth, Croul, Dostal, Parsons. NOES, COUNCILMEN: None. ABSENT COUNCILMEN: None. E. F. Hirth Mayor ATTEST: Laura Lagios City Clerk Publish: Dec. 24, 1970, in the Newport Harbor Ensign. AFFIDAVIT OF PUBLICATION NEWPORT HARBOR ENSIGN STATE OF CALIFORNIA I sa. County of Orange I, ......A RV0__E.:!:. :HAAYA :........................ being first duly sworn; and on oath depose and say that I am the printer and publisher of the Newport Harbor Ensign, a weekly newspaper printed and published in the City of Newport Beach, County of Orange, State of California, and that the ......... I R.DINxNCF NO. 1365 ............................... .................................................... ...................................... of which copy attached hereto is a true and complete copy, was printed and published in the regular issue(s) of said newspaper, and not in a supplement, .......... consecu- tive times: to -wit .. the issue(s) of Dec . 24. 1370 \C�Ct_�k (Signed) ...,._ .. ......... ....._. . 4�. Subscribed and sworn to before me this :.26thday of .................................. DecerbeT 19.70.. Notary Public in and for the County of Orange, State of California. elk OFFICIAL SEAL MARV a W I 40 40 AFFIDAVIT OF PUBLICATION NEWPORT HARBOR ENSIGN STATE OF CALIFORNIA t as County of Orange j I, .............. rty. A .... E.. ...... A.AEA.................. being first drily sworn, and on oath depose and say that I am the printer and publisher of the Newport Harbor Ensign, a weekly newspaper printed and published in the City of Newport Beach, County of Orange, State of California, and that the.. NOTICE ... OF .... PUBLIC HEARING ........................................................... ............................... of which copy attached hereto is a true and complete copy, was printed and published in the regular issue(s) of said newspaper, and not in a supplement, ........1......... consecu- tive times: to -wit the issue(s) of Dee. 3. 1970 (Signed) ...... l_�.`^..,? ...`c-, Subscribed and sworn to before me this ... !!t: day of \ ....................... 19...70 :.. .... ........................... N ry Public in afor the ty of Orange, State of California. �AI seA . H � o . Ca� nio OFFICE IN COUNTy EMBER 13 1971 LEGAL NOTICE NOTICE OF PUBLIC HEARING NOTICE IS HEREBY GIVEN that the City Council of the City of Newport Beach will hold a public hearing regarding Or- dinance No. 1364, being, AN ORDINANCE OF THE CITY OF NEW20RT BEACH AMEND- ING SECTION 5.44.040 OF CHAPTER 5.44 OF THE NEWPORT BEACH MUNICI- PAL CODE RELATING TO THE DURATION OF COM_ MIA41TY ANTENNA TELE- VISION FRANCHISES. NOTICE IS HEREBY FUR- THER GIVEN that the saidpub- lie hearing will be held on the 14th day of December, 1970, at the hour of 7:30 P.M. in the Council Chambers of the City Hall of the City of Newport Beach, California, at which time and place any and all persons interested may appear and be heard thereon. Laura Lagtos City Clerk City of Newport Beach Publish: Dec. 3, 1970, in the Newport Harbor Ensign. 1 El NOTICE OF POSTING Lil On /Z '4? —7d , I posted Notice of Public Hearing regarding:. Ordinance No. 1365, being, AN ORDINANCE OF THE CITY OF NEWPORT BEACH AMENDING ORDINANCE NO. 1197 WHICH GRANTED A NONEXCLUSIVE FRANCHISE TO CONSTRUCT, MAINTAIN AND OPERATE A COMMUNITY ANTENNA TELEVISION SYSTEM TO WARNER BROS. TV SERVICES, INC., A PREDECESSOR OF NEWPORT BEACH CABLEVISION, INC., THE EXISTING FRANCHISE HOLDER. at the United. States Post Offices in Corona del Mar, Newport Beach, Balboa, (and on subject property; if property is involved). a NOTICE 6F PUBLIC HEARING 0 NOTICE IS HEREBY GIVEN that the City Council of the City of Newport Beach will hold a public hearing regarding Ordinance No. 1365, being, AN ORDINANCE OF THE CITY OF NEWPORT BEACH AMENDING ORDINANCE NO. 1197 WHICH GRANTED A NONEXCLUSIVE FRANCHISE TO CONSTRUCT, MAINTAIN AND OPERATE A COMMUNITY ANTENNA TELEVISION SYSTEM TO WARNER BROS. TV SERVICES, INC., A PREDECESSOR OF NEWPORT BEACH CABLEVISION, INC., THE EXISTING FRANCHISE HOLDER. NOTICE IS HEREBY FURTHER GIVEN that the said public hearing will be held on the 14th day of December , 19 70 at the hour of 7:30 P.M. in the Council Chambers of the City Hall, of the City of Newport Beach, California, at which time and place any and all persons interested may appear and be heard thereon. ;e Laura Lagios City Clerk City of Newport Beach Dated:, Publish 1,2/3/70 Posted 11/'30/70 El NOTICE OF PUBLIC HEARING NOTICE IS HEREBY GIVEN that the City Council of the City of Newport Beach will hold a public hearing regarding Ordinance No. 1365, being, AN ORDINANCE OF THE CITY OF NEWPORT BEACH AMENDING ORDINANCE NO. 1197 WHICH GRANTED A NONEXCLUSIVE FRANCHISE TO CONSTRUCT, MAINTAIN AND OPERATE A COMMUNITY ANTENNA TELEVISION SYSTEM TO WARNER BROS. TV SERVICES, INC., A PREDECESSOR OF NEWPORT. BEACH CABLEVISION, INC., THE EXISTING FRANCHISE HOLDER. NOTICE IS HEREBY.FUR7HER GIVEN that the said public hearing will be held on the 14th day of December , 19 70 e+ at the hour of 7:30 P.M. in the Council Chambers of the City Hall of the City of Newport Beach, California, at which time and place any and all persons interested may appear and be heard thereon. Jam" ure Lagios City Clerk City of Newport Beach i Dated: Publish 12/3/70 Posted 11/30/70 r:7 .ii 1. .7 190V 9 IV U BY the CITY COUNCIL /t CITY 0. t "= " 'PORT 8EACM CITY OF NEWPORT BEACH OFFICE OF THE CITY MANAGER OCT 1 � i97U � � � `-��� �,,,�. �7 °' °` October 12, 1970 By the CITY COUNCIL �r�3�7,d� NCH iV'{u wru Agenda No. F -1 TO: MAYOR AND CITY COUNCIL By the CITY COUNCIL / FROM: City Manager CzC�� C( a SUBJECT: NEWPORT BEACH CABLEVISION FRANCHISE F C 14 "ly /U By the CITY COUNCIL RECOMMENDATION: CITY PW WMWP wwt lk H It is recolmnended that the City Council direct the City Attorney to prepare an amendment to the franchise ordinance held by Newport Beach Cable - vision, Inc. and a resolution of intention to call for a public hearing to consider: 1) An increase in the term of the existing franchise by approximately four years to a total period of fifteen years from the effective date of the amended ordinance; 2) An increase in the authorized amount of the service installation charge from a flat fee of $14.95 to a fee of $14.95 for normal instal- lations plus an additional $2 per foot for custom installations, with a total maximum charge of $75 per installation; 3) An increase in the annual franchise fee paid to the City from 3% to 5% of the annual.gross receipts derived from all Newport Beach Cablevision operations within the City; and 4) That formal provision be made for the City to be reimbursed for public works inspection charges incurred in conjunction with the supervision of subsequent CATV cable installation work undertaken in the public rights -of -way. DISCUSSION: On December 7, 1966, the City awarded a non - exclusive franchise to Warner Brothers TV Services, Inc., to construct, maintain and operate a commun- ity antenna television system within a fixed area of the City. This franchise ordinance became effective on January 27, 1967. The.francthise was subsequently transferred to Pacific Cable Services, Inc. on April 22, 196 and accepted by Pacific Cable on April 26, 1968. Arising out of corporate reorg 'zation, the - 2 - 0 franchise was again transferred by the City Council to Newport Beach Cablevision on March 10, 1969. Construction of the underground CATV system commenced in V' approximately July, 1968. At the present time, there are approximately eleven years left on the CATV franchise. As a result of installation costs which exceeded original projections, Newport Beach Cablevision, Inc., recently forwarded two letters to the City Council requesting that certain changes be made in their franchise. The first letter requested an extension of the franchise by an additional fifteen years, to a total period of twenty -six years. The second letter requested an increase in the installation charges which could be made from $14.95 per installation to a fee of $14.95 for a normal installation plus an additional $'2 per foot for custom installation, with the total custom installation fee not to exceed $75. This request has apparently arisen from their experience which indicates an average actual cost of approximately $110 per installation. Insofar as the request to extend the franchise term is concerned, it is well to point out that the Newport Beach City Charter would preclude the extension of such a franchise for more than a twenty -five year period. The Newport Beach Municipal Code presently limits the maximum term of any CATV franchise to a period of twenty years. When the award of the original franchise was tinder consideration, the City staff felt that in view of the constantly changing nature of CATV operations, that the maximum franchise period for any CATV operation should be fifteen years. The staff still firmly holds that be- lief. However, in recognition of the financial problems which have been en- countered by Newport Beach Cablevision, Inc., in getting their system fully operational, it would be appropriate to allow the existing franchise period to be extended to a -new total period of fifteen years from the effective date of any franchise ordinance which the City Council may consider amending. In addition, the City should conscientiously plan on reviewing the franchise at least every five years to determine if future franchise extentions or modif- ications are in order. Council approval of the increased installation fee schedule proposed also appears to be reasonable and is recommended. In consideration of these changes, the staff feels it appropriate to make two additional changes to the franchise ordinance for the City's benefit. The first, change would be to increase the actual franchise fee paid to the City by Newport Beach Cablevision, Inc.,, from 3% to 5% of gross receipts derived from all their operations within the City. A 5% of gross receipts franchise fee is considered the minimum level of return for the use of the public rights -of -way by cities which have awarded CATV franchises during the last two years. If the franchise is to be extended to a new full term of fifteen years, it would be in orde to update the franchise fee paid to Newport Beach. The City of Newport Reach received $300 in calendar year 1967, $300 in 1968 and $306.78 in 1969 as its portion of the gross receipts credited to the City by Newport Beach Cable - vision, Inc. ($300 per year was the minimum payment under the ordinance until 0 - 3 - El such time as the 3% of gross receipts formula exceeded this amount). While it is impossible to estimate the expenses incurred, it is correct to say that the City expenses involved with overseeing this CATS operation has greatly exceeded the nominal income derived from the franchise. Another change which should be incorporated into any amendments made . to the subject franchise ordinance would be to .forma��11� provide for City re- imbursenent of public works inspection charges incurred in conjunction with the supervision of subsequent CATV cable installation work undertaken in the public rights-of-way. While no formal provision has heretofore been made for the reimbursement of such inspection charges, the cost of CATV inspection services has been billed. to Newport Beach Cablevision. Payment has been made for this inspection work. In view of the difficulties incurred in getting the firm to accept the cost for these inspection services as a legitimate charge against their operations, this requirement should be added to the franchise ordinance. The City Council should also be aware of two provisions of the -fran- chise ordinance with which Newport Beach Cablevision has not fully complied. Their franchise area contains several sections in the community which have not as yet been cabled. Installation of trunk cable in these areas is not being diligently pursued in order that the basic installation of their system can be completed in accordance with their obligation under the franchise ordinance. These areas include Lido Isle, Balboa Island, Eastbluff and the Balboa Peninsula. If it is the intent of Newport Beach Cablevision, Inc. to not service these areas, they should seek formal relief of same from the City Council. If it is their intention to service these areas, the timing for each specific area should be specified at the time amendments to the franchise ordinance are con- sidered. In addition, the Municipal Code obligates Newport Beach Cablevision, Inc., to provide without charge all of its subscriber services to all public school buildings, City Police and Fire Stations, City recreation centers and any other public buildings owned or controlled by the City as may be designated by the City Manager. This service includes a drop connection to the exterior of the subject buildings and a connection to the interior of the buildings to a television set if desired. To the best of our knowledge, no public facilities within the franchise area have been provided with this required service as of this date. This requirement should be enforced as a condition of any amend- ments to the franchise ordinance as discussed above. HARVEY L. H RLBURT HLH:JPD:sr 29(o AWOLOW00 NW 7- -- X 01505=06 CT Thl CITI =W010 OF ISA C110.11 or WvUAT MAW 51CLARWAm"'i IrTL-N'RXiM TO most A PUBLIC MAXING W, com ;^aez: juc o rva va EA T31 INATAN&AT15V PCS�, FAA CAW ASTUNMA TS&MIAR WV0% WEARIA5. on spri Js. :70 less, tne cty "JI'Atcil City ME Ansvort "04ch ndoptM app XQ!vv0q on. vvicrm tv. X"tu* Whicu asupont bowh comm"Ory Wavriboxal I 08283AS: tbv Ctey CownttI a raveo"t W� approvAl of *M la elae 2v MO 160WATMOA feel for WDSCrA Witallation:ti to previ= fox 0 ChNnq-':� "IC XW7t ,L 1° to the basle ivkl't:Otimtien akarge of 114.55, with the tot A 14K& j tion *k-irgs, not to =Ceyd v7st 0101d, MASS = W4 proposed which may be chazged vomL% itvply to mustw QA,41110000 wh&k" Xro WNW gu beAq (1) a Ongth qrsitoT thol 35 Ket, V QJ nboxv Wripg or CUM, maj It ov wang1vto iv 00101MY 00i WRWA& 5action 5.44-05 01, Nenj?xn-t W"Cl y"Mop n' Code providn. toot pzsor t* "Utharl'S' its 0-hAng, of Aal vvtv�''' at Wor'"S hy Ohl holoar ,cs 'ivl gig 0 tima for PULAW u0no Inslawl, w TV ma's sms by MO citT W.Mik W tho city Q Anvport Web-, 1. That " JuNic hearing to OASK' :' tho"� of. Sympost k1sch caktuvDion, Inc,, '00 , v49 tn vIlvz g7h, Pa,'.' auatam Invallotions Alsin Do out ow the 944 21'�r K Nevvelar, "171, at 141 boat K 703 in the C542W- - All try Imam at city w %: ,.Y sloo mewp*rt vao1everl, powpow ill-t MOW CaUMMW 2. The city Wart 0 WwvU4 to P.Milb this Rcoolatfm Of Totontlow at Inhat anci wIth, 15 Mrs Wllowinwg :oclhkptfor% and to mail A copy of IM founlution to OSCII ":,X�Ider Antonns wKe"ZiMcw.1 r-r%mchil. WUNK the City ^1 ADOPUZ tM jjgK day 40 012SX4,12M ATTUSTI -,2. 228 NO) ID 70 w By the CITY COON• -11. November 17, 1970 '✓ City Council of Newport Beach 3300 Newport Boulevard Newport Beach, California 92660 Gentlemen: CABLEVISION Newport Beach Cablewsion, Inc. 2624 West Coast Highway Newport Beach, California 92660 Phone (714) 642 -3260 By the CITY COUNCIL On August 20, 1970 Cablevision requested the Council to extend our CATV franchise fifteen additional years beyond the eleven years remaining in present term. This request was prompted by Cablevision's auditors who require that all assets be depreciated within the term of the franchise. Vehicles, cable and equipment are normally depreciated over three and ten years respectively; however, the construction cost of approximately four million dollars "should be depreciated over a twenty -five year period. As a consequence of the present eleven year base the most optomistic projections would result in substantial losses for the entire franchise period. The return on the investment would be improved over the extended tern; however, it would still be far from satisfactory. In consideration for the.extension, Cablevision agrees to allow the City to increase the franchise fee from three percent to five percent, in accord with the following table: On the first $200,000 3% On the next 100,000 3 1/2% On the next 100,000 4% On the next 100,000 4 1/20 All over 500,000 5% The attached chart reveals the projected subscriber growth for the twenty - five year period and the income the City would receive at the current three percent fee and the proposed fees as listed. Installation fees have been excluded. 8 -a City Council of Newport Beach -2- November 17, 1970 Cablevision appreciates the Council's consideration of this proposal and we are hopeful for a favorable determination of this matter during the meeting of November 23rd. Sincerely, NEWPORP BEACH CABLEVISION, INC. Wayne R. Hauser Vice President /General Manager ile�s� Attachment cc: Mr. Harvey Hurlburt PROPOSED PERIOD YEAR SUBS. YE REV. 3% FEE FEE 1 1970 1100 88 2.6 2.6 2 1971 2280 138 4.1 4.1 3 1972 3840 235 7.1 7.2 4 1973 4720 335 10.4 10.9 5 1974 4800 389 11.7 13.1 10 1980 5280 428 12.8 14.8 15 1985 5680 461 13.8 16.2 20 1990 6080 494 14.8 17.7 25 1995 6480 501 15.0 18.5 3069 92.3 105.1 SERV. REV. DOES NOT INCLUDE INSTALLATION COSTS. - %00 2> a, f .. 2i / i Y ly /U *-,NOV ly /U By the CITY COLN91h 21 1970 hr Ae CITY COUNCIL CITY OF NEWPORT BEACH 7y ter _ t r', a ^.H M; NEWPORAEACH CITY COUNCIL �•� CITY H A NEWPORT ACH, CA, r 191U y�Y �r�r •. By, CITY COUNCIL i cipr , ay � �aGwPaRS REACH OLfLt 2 NOC ry 1970.. 7 '� Poer of CA(1F ,Gentlemen,' • �k Pjease accept this letter as a formal request to appear before you on Nov, 9thor the purpose of protesting the attempt. by NEWPORT BEACH CABLEVISION Inca to have its city franchise renegotiated. 4As a resideiTt of Newport Beach, with an extensive insight into that opganization� operations, I should like to present several facts for your, consideration at that time. The.citizens�of Newport Beach are not getting the service they are entitled to. They are also being deprived of the professionalism • in production and programming which they are entitled to. It is also quite obvious0that NEWPORT BEACH CABLEVISION Inc, has made no real attempt to up grade their service, signal or programming. In addition to thhis, the conduct of some of their staff, both past and present, lays the matter of their professional conduct and ethics open to serious question, r NEWPORT EACH CABLEVISION INC. SHOULD BE HELD TO THE 'TERMS OF THEIR PRESENT FRANCHISE AND FURTHER DIRECTED BY • YOUR BODY TO UP GRADE THEIR SERVICE, SIGNAL, AND PRO - GRAMMING. THE CITIZENS OF NEWPORT BEACH DESERVE NO LESS, With your permission, I shall present to you a great deal of information to support the stand outlined above. It is further requested that at the time of my appearance before you, NEWPORT BEACH CABLEVISIONS' TV cameras and sound system be shut off. L have no desire to have my appearance before you recorded by that organization. -Date.// , .. ..........- :7 `COPIES SEPdT T0: Xe.ry trul , U n, »9^r 1706 Poloma Dr. all ° ^ ^ger Newport Beach BOB ��ARYE ❑ n,Mw W... ;IV^ing Director ❑ Vther ❑ CoWaeilmem El March ISO 1969 Newpo" Basch Cablevisiono late. 2624 West Coast Highway Newport Reach, CAulownis, 92"a Enclosed Is a copy of Regowtia* No. 6"S *"*evil# ** transfer of a community automat television frusabise from Pard(to Cable Service•* be. o to Nowport beach CablevisionO, soc. This resolution Was adopted by the City Conch an March Igo 1%9. Aloot oudosed for ousewas or* the original and three copi" of Aeseptance, of C4wwuvaity Autooss Television Franchise. Please voters, the original and all copies to my o0ce before mom an April 9 for eavMeatteseftiling. Two soplas will .box j for your Mae,. The tvasudor of f, o vAu be afteetivo mpea the WaS of said written acceptance of transfer oa behalf of NovVert Boseb Cablovition, Ise.- with the City Clerk. se: RrA Cablovision, Ina. Cur Manager City Attorney Town very troly. City Clark mRIA5, an the 27th day of December, 1966, the MY Council of the City of Qvport Beach adopted Ordinance Oo. 1197, entitled ''An adinance of the City of Newport Beach Granting to Warner Me. TV serviceaq Inc. as Nmexclusive Franehise to Canstruat, MaintsiA and Operate a C' unity Antenna Television System Within Said City"t and WMEREA2V said CATV tranchtse was transfarreJ to P*cific Cable Servilaaa, Inc,, in accordance with the provisione Of MOlution No. 6759, adopted by the City Council on April 22, 4168; *UA WHEREASO an the 10th day of Marth, 1969, the Wy Council. of the City of Newport Beach adopted ResolvU "A Fesalution of the jity counril of the City Aqpraving the Transfer of a w' it Antemma MOM Pacific MY serMesv Me., to sewport Inc. A arnid m No. 6945,, -",ntitlaO of Nouport Beach Telsvivion Franchtne Beach Mlevision the City of M*WpGrt ftacb appre"O, the transfar of %aid franchisa DATED: 1969 IT WACH CABLEVISIONO IMC. (corporate seal) zy.w BY" I hereby cextiXfy timt the foregpLag Acceptance P," Commity Antenna Television Franchise was received, by rm PZ the hour of 09clock m� oQ the _ day of urty Merm .2- VIA" 0 s CITY OF NEWPORT BEACH CITY ATTORNEY Department TO: City Clerk DATE: March 14, 1969 FROM: City Attorney SUBJECT Transfer of CATV franchise Attached are bonds in connection with the transfer of the community antenna television franchise originally granted to Warner Brothers TV Services, Inc., and subsequently transferred to Pacific Cablevision, Inc. These bonds are being returned to you for filing. Also enclosed is a form of acceptance for transmittal to Newport Beach Cablevision, Inc., for execution and return to you, in connection with the transfer of the franchise from Pacific Cable Services, Inc., as approved by Council action on March 10, 1969. Please include with this form an executed copy of Resolution No. 6945 authorizing the transfer to Newport Beach Cablevision, Inc., for their files. We have requested to furnish us with in the transferee. THS:mh Act. cc: City Manager the manager of Newport Beach Cablevision new bonds to reflect the latest change TULLY H. SEYMOUR City Attorney • CITY OF NEWPORT BEACH OFFICE OF THE CITY MANAGER TO: MAYOR AND CITY COUNCIL FROM: City Manager SUBJECT: CATV FRANCHISE TRANSFER REQUEST RECOMMENDATION: March 10, 1969 C- It is recommended that the City Council approve the request of FCB Cablevision, Inc. to transfer the Pacific Cable Services, Inc.. franch- ise to their other subsidiary corporation, Newport Beach Cablevision, Inc. DISCUSSION: At the February 24 meeting, the City Council received a request from Mr. Louis E. Scott, President of FCB Cablevision, Inc. to have the CATV franchise awarded to Pacific Cable Services, Inc. be transferred to Newport Beach Cablevision, Inc. This request was forwarded to the staff for study and report. In examining this proposed transfer, the staff sees no reason why Council approval cannot be given at this time. We have concluded that the matter is merely an internal structural corporate transfer, the New- port Beach operation to be served by Newport Beach Cablevision, Inc, and the Mission Viejo system to be served by Mission Viejo Cablevision, Inc... Both of these operations have been served by Pacific Cable Services, Inc. This corporate structure, in effect, eliminates the Pacific Cable Services, Inc. designation. All of these subsidiary corporations are owned and are subsidiary to the parent FCB Cablevision, Inc. corporation which is wholly owned as a subsidiary corporation by Foote, Cone and Belding,, Inc. The financial reliability of the parent company is unquestioned and provides more than adequate backing for the continued installation and operation of the Newport Beach Cablevision, Inc. CATV system. Approval of the request to transfer is therefore recommended at this time. HLH /JPD :ep HARVEY L. HURLBURT U .Q.w, CITY OF NEWPORT 'BEACH CITY ATTORNEY Department TO: City Clerk DATE: FROM: City Attorney SUBJECT: Transfer of CATV franchise d,-,3 Cd) I March 7, 1969 Forwarded is a resolution which, if adopted by the City Council, will approve the transfer of a community antenna television franchise from Pacific Cable Services, Inc., to Newport Beach Cablevision, Inc. subject to filing a written acceptance with the City Clerk. Following approval by the Council, I will send you the necessary acceptance form to be transmitted to Newport Beach Cablevision, Inc.., for execution. It is requested that this matter be placed on the agenda for the Council meeting of March 10th. THS:mh Att. cc: City Manager TULLY H. SEYMOUR City Attorney FCB CABLEVISION, INC. 2624. WEST COAST HIGHWAY. NEWPORT BEACH, CALIFORNIA 92660 (914) 6423260 LOUIS E. SCOTT P.4d.t February 13, Dear Madame Mayor and Council Members: `\. F- /n This letter is to request the Council's consideration for allowing the Newport Beach CATV franchise to be transferred from Pacific Cable Services, Inc. to Newport Beach Cable- vision, Inc. As you will recall, the franchise in Newport Beach was granted to Pacific Cable Services, Inc. on April 22; 1968, by Resolution No. 6760. This resolution allowed the fran- chise originally granted to Warner Brothers, TV Services, Inc. by Ordinance No. 1197 to be transferred to Pacific Cable Services, Inc. and also approved the acquisition of Pacific Cable Services, Inc. and the exercise of the franchise by Pacific Cable Services, Inc. as a wholly owned subsidiary of Newport Beach Cablevision, Inc. At the time of the acquisition of Pacific Cable Services, Inc. the corporate organization of .Foote, Cone & Belding's CATV properties were structured so that Newport Beach Cablevision, Inc,. was a wholly owned subsidiary of Foote, Cone & Belding, Inc. and Pacific Cable Services, Inc. was a wholly owned subsidiary of Newport Beach Cablevision, Inc. See the attached organization charts attached as Exhibit 1. Subsequently, FCB Cablevision was organized as a holding company for all Foote, Cone & Belding CATV properties. The stock of Pacific Cable Services, Inc. owned by Newport Beach Cablevision, Inc. has been transferred to FCB Cablevision, Inc. making Newport Beach Cablevision and Pacific Cable Services, Inc. sister companies and direct subsidiaries under FCB Cablevision. As you may "know, Pacific Cable Services, Inc. has the right to exercise three franchises, i. e. , at Newport Beach, Seal Beach and Mission Viejo. It is desirable from FCB l D PO 11NN FILE: -3 ( %I • Letter to Madame Mayor and Council Members February 13, 1969 Page Two Cablevision's point of view to transfer the franchises of Seal Beach and Newport Beach to Newport Beach Cablevision and leave the franchise at Mission Viejo to be operated under Pacific Cable Services, Inc. You will note that the ownership of Newport Beach Cable- vision, Inc. and the operation of the franchise at Newport Beach will not change. This is in conformance with the resolution and ordinances granting the franchise to Pacific Cable Services, Inc. FCB Cablevision respectfully requests the Council to consider and approve the transfer of the Newport Beach CATV franchise from Pacific Cable Services, Inc. to Newport Beach Cablevision, Inc. COP'S MIT T0: n11xV., wn�x$er r >•^' i•.urney O IulaiF Workr 1)ireciye LES /bs V1 ... i.g oirert� F-1 1I ulher El ❑ Goancilmem o ur truly, B CABLEV ON, INC. �j Oci c, L is E. Sc President Mayor Doreen Marshall and Council Members City of Newport Beach Newport Beach, California 92660 SEPM ORGANnATioN W FOOTEs, CONE & BELDINGO INC. NZfPM BEACH CABLEVISION.. INC. PACIFIO CABLE SERVICESO INC. Mission Viejo Franchise Nevport Beach Franchise Beal Beach Franchise F=zp CONE & BEMINGS INC. ya CAK"IOIFS Inc. F � ei ARM JUDZGANIZ&ION PACIFIC CABLE SwImi, xli6 Name to be changed to XMION VISJO CABLZVWI09;,im mission Viejo Fran W FOOTEs, CONE & BELDINGO INC. NZfPM BEACH CABLEVISION.. INC. PACIFIO CABLE SERVICESO INC. Mission Viejo Franchise Nevport Beach Franchise Beal Beach Franchise F=zp CONE & BEMINGS INC. ya CAK"IOIFS Inc. F � ei Aw, PACIFIC CABLE SwImi, xli6 Name to be changed to XMION VISJO CABLZVWI09;,im mission Viejo Fran M1 0'?P : CATION OF A"fLll-:Kt•NT 1� THE PACIFIC "' 1r ;, ::I)N: c T.; , "JiFN COMPANY, nereinafter called "Licensor ", and N,' J?U T BF.A.''. •'APL 1--. ':, , Nt'. , hereinafter called "Licensee", mutually agree that that certain agreement lat.ed ebruary 7, 1969 which expresses the terms and conditions governing Licensee's use of poles located in or near the Newport Beach '.xchange Area, County of Orange, State of California, which Licensor may, upon application, permit Licensee to use in the conduct of its business of furnishing comrunity antenna television service, be and hereby is modified by substituting the attached map dated Marc'^ 1, 1969, and marked "Fxhibit .A ", for the maps marked "F,xhibit 11, attached to the said agreement dated February 7, 1969. This modification of agreement shall be subject to such changes or modifications as may be recuired or authorized by any regulatory, commission in the exercise of its lawf,:l 4urisdiction. ADV"raa u ro form. IAWLM "UA A, Astons toot. w Mwrw. A. ww-=�- v4Lli.� 1969 '('K PACIFIC -wIx PLLOMr. AN . TrLYGRAIT COMPANY .'tZ By: Vice PresideInt and "reneral Manage' Nt"WPOW BRAIN CABL ;VI531 As IN';'. By: 1 .i t .,ea, •+era 1A.h a ✓d ` i �i✓. A �j., A• ..Y hjl4 G { x�4; r fjji of � J T -a K. w �x ty - � Y a -} ...,, , s'; ' .. 1f '. � . 11 Ny p \gip i :: ` ^r Y4 L (: Zi ✓d ` i �i✓. A ". 5 t. Y K. w �x ty - � Y a -} ...,, , s'; ' .. 1f '. � . Y4 ; 5 �t 3 � _ s � a .1 pi MODIFICATION OF AGREEMENT �C THE PACIFIC TELEPHONE AND TELEGRAPH COMPANY, hereinafter called "Licensor ", and NEWPORT BEACH CABLEVISION, INC., hereinafter called "Licensee", mutually agree that that certain agreement dated'February 79 1969 which expresses the terms and conditions governing Licensee's use of poles located in or near the Newport Beach Exchange Area, County of Orange, State of California, which Licensor may, upon application, permit Licensee to use in the conduct of its business of furnishing community antenna television service, be and hereby is modified by substituting' the attached map dated March 1, 1969, and marked "Exhibit A ", for the maps marked "Exhibit A", attached to the said agreement dated February 7, 1969. This modification of agreement shall be subject to such changes or modifications as may be required or authorized by any regulatory cam lesion in the exercise of its lawful jurisdiction. DATED: 1969 0 Appoved . to C Form THE PACIFIC TELEPHONE AND TELEGRAPH COMPANY wed* 40ANI� A eM..+irr�w.�/ ;L..? e0 By: Vice Preside t and General Manager i. NEWPOW BRACH CABLEVISION, INC. i - v By: \. CS-S2NEW 1 -70 - S.C:E.Co. r 00 AGREEMENT (Pole Contact Community Antenna Television Companies) Southern California Ediso £ {on ompany, a corporation ("Edison') and NEWPORT BEACH CABLEVISION , a corpora , (specify whether an individual, partnership of corporation) ( "C.A.T.V.') hereby agree that from and after the date of this Agreement, the following terms and conditions shall govern C.A.T.V.'s use of any and all poles owned by .Edison, either as sole owner or owned jointly with other parties. This Agreement supersedes any other agreement or agreements between Edison and C.A.T.V. for pole contacts and applies to all present and future attachments of C.A.T.V.'s equipment as hereinafter defined and is effective from and after the first day of January in the year signed by the parties. I. C.A.T.V.'s use of Edison poles shag be confined to supporting those cables, wires and appliances together with associated messenger cables, guy wires. anchors and other appurtenances, all hereinafter called' equipment "., which Edison has given C.A.T.V. prior written permission to install, and mid equipment shall be used only for the transmission of television signals and/or audio signals from C.A.T.V.'s antenna and /or studios to its subscribers. Any and all of said equipment shall be located only on that portion of Edison's . poles normally used for communication facilities .and not on that portion used for electrical transmission or distribution. 2. Whenever C.A.T.V. shall desire to place equipment upon any of Edison's poles, it shall make written application for permission to do so. in the number of copies and in the form from time to time prescribed by Edison. If said application is approved, permission to place the equipment described in said application upon the pole or poles therein identified within the time specified therein shall be granted by Edison by one copy of said application being signed by its Joint Pole Administrator or other employee designated. by Edison. in the place provided thereon for that purpose and returning said signed copy to CA.T.V. 3. 'Upon receiving said signed copy of said application, but not before, and upon payment of the sums required as specified herembelow, C.A.T.V. shall have the right to install, maintain and use its equipment described in said application upon the pole(s) identified therein, . provided, however. that before commencing any such installation C.A.T.V. shall notify Edison of the specific time it proposes to do said work sufficiently in advance thereof W that Edison may, at its .option, arrange to have its representative present when such work is performed. C.A.T.V. shall not have the right to place, nor shall it place any additional equipment upon any pole used by it hereunder without first making application for permission to do so, together with the fees required therefor,.. and receiving the same. C.A.T.V. shall not change the position of any equipment attached to any pole hereunder without Edison's prior written approval. The provisions of this paragraph will not restrict the attachment of the television service drops to television crossarmsor the television cattle messengers. 4. Each application t_o Edison 14 install any equipment upon Edison's poles shall be accompanied by a pay1lCnit,40 ", Edison of S4 for each pole specified in the application The said $4 fee shall be for the processing of the application and the engineering of the attachments proposed therein and shall be retained if said application shall be approved [f tie application is denied in whole: or in part Edison may, at its option retain the $4 fee to the extent judged; necessary by Edison to cover its said expenses. 5. in addition to the processing and engineering fee specified in Part 4 hereof, C.A.T.V. shall pay as an annual rental of the space involved the. sum of five dollars ($5.00) per pole and the sum of two dollars ($2.00) per anchor required, -'TT7C annual rental fee shall be prorated over the number of months that C.A.T.V� has its equipment attached. to Edison's poles .commencing with the first day of the month following the date of attachment; and shall be payable in advance,.on the first day of January and first day of July in each year. The annual rental fee may be changed by Edison upon thirty (30) days' written notice to C.A.T.V. 6. (a) C.A.T.V. shall' at its own risk and expense, place and maintain mid equipment upon said poles (i) in a safe condition and in good. repair, 00 in a manner satisfactory, to Edison and so as not to conflict or interfere with the working use of said poles by Edison or others using said poles, or with the facilities of Edison or others upon or from time .. to time placed upon said poles and (in) in conformity with such requirements and specifications as Edison may from time to time prescribe and with all laws and the regulations, order%and decrees of all lawfully constituted.. bodies and tribunals, pertaining to pole line construction, . including, without limitation thereto. General Order No. 95 of the Public Utilities Commission of the State of California and any supplements thereto and revisions thereof. (bf C.A.T.V. agrees to furnish all work and materials required for its installations but Edison reserves the right, when in its opinion it is deemed desirable, to install at C.A.T.V.'s sole risk and expense all or part of the equipment to be installed on poles solely or jointly owned by Edison and the necessary anchors and/or guys, andCA.T.V., on demand, agrees to reimburse Edison the costs it has thereby incurred C.A.T.V. shall deposit with Edison, prior to any such installation, sufficient sums estimated by Edison to be adequate to reimburse Edison. (c) C.A.T.V. shall complete the installation of its equipment upon the pole or poles covered byeach approved individual application within such time limit as Edison shall state on said application for such installation; and if C.A.t.V. should fail to complete the installation of its equipment upon said pole or poles within the prescribed time limit, and if no sddh time limit is stated by Edison, . then within a reasonable time, the permission granted by Edison to .place said equipment . upon said pole or poles shall thereby automatically be revoked and C.A.T.V. shall not have the right to place said equipment upon said pole or poles without first reapplying for and receiving permission to do so, all as prescribed hereinabove. 2. (a) If in the judgment of Edison, the .accommodation of any of C.A.T.V.'s equipment necessitates the rearrangement of facilities on an existing pole or the replacement of an existing pole to provide adequate pole space, Edison win . indicate on the application the necessary changes and the estimated cost thereof and return it to C.A.T.V. If C.A.T.V. still desires to use the pole and returns the application marked to so indicate, Edison within a reasonable time, will provide new pole facilities if required, and Edison and any other owners of said facilities will make such transfers or reurangements of existing facilities as may be required, all to be done at the sole risk and expense of C.A.T.V., and C.A.T.V., on demand, will reimburse Edison and each such .other owner for the entire expense thereby incurred. so so (b) If in Edison's sole judgment, CA.T.V.'s existing equipment on any Pate inia fares with at prernnb the plscittg of any additional facilities required by Edison or any other owner of such additional facilities, and If then additional faeNtln could be placed, upon said pole by removing CA.T.V.'s equipment therefrom, or by rearranging 'the existing facilities thereon, Edison shall notify CA.T.V. of the rearrangements of facilities or pole replacement and transfers of facilities required in order to continue the accommodation of CA.T.V.'s equipment, together with an estimate of the cost of making any such changes; and if CA.T.V. desires to continue to maintain its equipment on said pole and so notifies Edison, Edison shall within a reasonable time make suds pole replacement as may be required, and Edison and any other owners of said existing facilities shall make such rearrangements or transfers, all at the sole risk and expense of CA.T.V., and CA.T.V., on demand, will reimburse Edison and each such other owner for the entire expense thereby incurred. If CA.T.V. does not so notify Edison, CA.T.V. shall, at its sole expense and risk, remove its equipment from such pole within thirty (30) days from such notification by Edison. 8. If CA.T.V. shag make attachments, contacts or installations of equipment as herein defined to my of Edison's Poles or to portions or spaces of any poles jointly owned by Edison with others in which Edison his the right to attach its wires, cables and equipment, such attachments having been made by CAM V. without. Edison's permission hereunder, ar if CA.T.V, is in default of any other term or condition hereof, Edison may at its option remove any or all of CA.T.V.'s equipment attached to or installed upon any of Edison's solely or jointly owned poles, whether such installations or attachments were made with or without Edison's permission. Any removals of equipment pursuant to this paragraph shall beat the risk ofCA:T.V.and any such equipment as Edison shall so remove shall be stored only for a reasonable time by Edison and disposed of thereafter for CA.T.V.'s account in a manner to be determined solely by Edison. CAM V. shall reimburse Edison for all costs of removal and storm incurred hereunder. If any CA.T.V, attachments made without prior approval of Edison are subsequently approved by Edison, CA.T.V. shall pay Edison - upon demand an amount equivalent to two (2) years' annual rental for each pole so contacted computed at the. annual rate then in effect in addition to of other costs or charges payable hereunder, - 9. In order to keep the number of poles on public thoroughfares and elsewlim to a practicable minimum, CA.T.V. agrees not to erect any pole of its own in or new any location where Edison is wiWng to accommodate CA.T.V.'s equipment or to provide a pole adequate to accommodate. CA.T.V.'s equipment. CA.T.V. further agrees not to erect any pole of its own near any existing pole of Edison and further not to erect any pole of its own where no pole exists until Edison notifies CA.T.V. that Edison does not desire to erect new pole facilities at or near that location. 10. Nothing in this Agreement shall create any obligation in Edison to grant permission to use any of its poles and nothing herein shall restrict CA.T.V. from negotiating with other pole owners for use of space on their poles or for space on poles jointly owned by them with Edison. 11. (a). When the anchorage requirements of C.AMV. and Edison are coincident, in the sole judgment. of Edison, the strains of Edison's facilities and CA.T.V 's equipment on the poles involved . shall be held by the same guys and anchors. When- Edison deems it desirable, CA.T.V, shall.instag or if Edison an elects it will install, separate guys or anchors, or both, to hold the strains of C.A.T. s equipment upon said poles, at CA.T.V's sole risk and expense and for its account. Any such separate guys and/or anchors described in this part shall be owned and maintained by CA.T.V. (b) When, in the sole opinion of Edison, any existing guying facilities are inadequate to hold the strains c93staS+; x^e.. by CA.T.V.'s equipment, and separate guying facilities are not desired, or if guying facilities being used by CA.T.V. are„ in the opinion of Edison, inadequate to hold additional strains resulting f.om the placing of any additional facilities ogthe poles involved and the guying facilities would' have been adequate to hold the additional strains but for the strains resulting from CA.T.V.'s equipment thereon, Edison may replace the existing guying facilities with adequate guying facilities at the sole risk and expense of CA.T.V. and CA.T.V., on demand, will reimburse Edison for the entire cost thereof. 12. Edison reserves to itself and to each other owner of facilities upon said poles the tight to maintain said poles and to operate their facilities thereon in such manner as will best enable it to fulfill its own service requirements, and neither Edison nor any said owner shall be liable to CA.T.V. for any interruptions to CA.T.V.'s service OF for any interference with the operation of CA.T.V.'s equipment arising in any manner from the use of said poles and the facilities thereon by Edison and each said other owner. 13. CA.T.V, will .obtain from public authorities and private owners of real property any and all permits, easements, licenses, franchises or grants necessary for the lawful exercise of the permission granted by the approval of any application hereunder. Nothing herein shall be deemed to grant to CA.T.V. any ficense, easement, assignment or other right to exercise any of Edison's - rights to erect or maintain any poles, electrical lines or other equipment over, through, under or upon any property of•anothar. CA.T.V. agrees to indemnify, hold harmless and, at the option of Edison, defend it against any low, damage, penalties, liability or expense, caused by C.A.T.V, or claimed to be so caused arising out of any act or omission of CA.T.V., including attorney's fees,` which Edison or any third party or parties may suffer or incur, including without limitation, any Ions, damage, cost, expense or liability .suffered or incurred: or alleged to be suffered or incurred by reason of the failure of CA.T.V. to comply with the provisions of this Agreement, or arising out of any invasion or alleged invasion of property rights of third parties by Edison, its officers,: employees, successors or assigns made or done pursuant to the provisions of this Agreement. Nothing in this Agreement shall be construed to confer any permit, license or grant to use the property of any persons other than the written license to use Edison's poles. 14. CA.T.V. shall at any time, at its own sole risk and expense, upon notice from Edison, relocate, replace or renew its equipment or transfer it to other poles, or perform any other work in connection with said equipment as may be required by Edison in Edison's sole discretion; provided, however, that in such cases as may be determined by Edison, Edison may, at CA.T.V.'s sole risk and expense, relocate, replace or renew equipment, transfer it to other poles or perform any other Work in connection with said equipment that may be required in the maintenance, replacement, removal or relocation of said poles or the facilities thereon or which may be placed thereon, or for the service needs of Edison and of each other owner of facilities cn said poles, and CAT.V., on demand, willteimburse Edison for the entire expense thereby incurred. - .15. (a) C:A.T.V. may at any time remove all or put of its equipment from any of said poles and. in each such case, it shag immediately give Edison written notice of such removal in the number of copies and in the form from time to time prescribe by Edison. Removal of such equipment from any pole shag constitute a termination of CA.T.V.'s right to use such pole as to such equipment as had been removed. . go (b) If any attachments of CA.T.V A equipment hereunder shall have been ma0e upon soy Edison pok VA" , subsequently becomes jointly owned by Edison and a communications company,: CA.T.V.'s tots heramdm to attach Orly equipment to said pole shall immediately terminate at the option of Edison. 16. No use, however extended, of any pole or poles under this Agreement Shall create or vast in CA.T.V. any ownership or property rights therein, but CA.T.V.'s rights therein shall be and remain a mere license, which as to any particular Pole or poles may be terminated at any time by Edison upon thirty (30) days' written notice to CA.T.V., and C.A.T.V. shall remove its equipment from said pole or poles within said thirty (30) days. C.A.T.V. shall prevent any and all liens from attaching, as result of C.A.T.V.'s activities hereunder, to any property of Edison upon which any of CA.T.V.'s equipment is attached or installed. Nothing herein contained shall be construed to compel Edison to maintain any particular pole or poles for aperiod longer.than that demanded by its own Service requirements. Nothing in this Agreement shall create any special relationship between Edison and CA.T.V., such as an agency relationship, but the parties shall have only the relationship of independent contracting parties. Except as otherwise provided herein, C.A.T.V. shall not use or refer to in its business dealings with others, the words and marks "Edison", "Southem California Edison Company ", `SCE" or any other words and marks owned by or used by Edison in identifying itself or by others in referring to it, without specific written permission from Edison to do so. - 17. CA.T.V. shall exercise special precautions to avoid CA.T.V.'s causing damage to the facilities of Edison and others supported on said poles; and C.A.T.V. shall be fully responsible for any and all loss from damage, including damages for loss of use and liability for consequential damages. CA.T.V. shall make an immediate report of the occurrence of any such damage to the owner of the damaged facilities and shall, on demand, reimburse said owner for the entire expense incurred in making repairs. 18. Edison shag have the right to inspect each new installation of CA.T.V.'s equipment upon and in the vicinity of Edison's poles and to make inspections as often as conditions may warrant, of such of CA.T.V.'s plant as Edison deems necessary. Such inspections, whether made or not, shall not relieve CA.T.V. of any responsibility, obligation, or liability assumed order this Agreement. - 19. In furtherance of the .purposes of law, rules and regulations relating to security, espionage, sabotage and subversive activities, CA.T.V. agrees as follows: ` (a) To provide suitable identification to each employee, agent, and /or contractor of CA.T.V. who will have occasion to perform work on or about poles of Edison. (b) To cause each such employee, agent, and contractor to observe faithfully and to comply strictly with all general security rules. which Edison reasonably may find necessary or advisable in the premises. (c)- Not to assign any work on or about Edison's poles to any such employee, agent, or contractor who in the judgment of Edison, C.A.T.V. or other competent authority is a doubtful security risk. 20. CA.T.V. covenants and agrees not to provide service to any subscriber without obtaining a signed contract from said subscriber containing a provision substantially as follows: NEWPORT BEAN 'L�I� "Subscriber understands that in providing television antenna. service, ("C.A.T.V.') is making use of poles owned by Southern California Edison Company, among others, and that the continu u WM - these poles is in no way guaranteed. In the event the continued use of such poles is denied to CA.T.V. for any reason; CA.T.V. will make . every reasonable effort to provide service over alternate mutes. Subscriber agrees he will make no claim nor undertake any action against Southern California Edison Company if the service to be provided by C.A.T.V. hereunder is interrupted or discontinued." The form of C.A.T.V.'s contract with its Subscribers shall be subject to approval by Edison with respect to the .inclusion of this provision. 21. In addition to other indemnification hereunder, C.A.T.V. shall indemnify and hold harmless. Edison, its officers; employees, affiliates and its successors and assigns, against and from any and all loss, claims, demands, causes of action, damages, cons; or liabilities, in Law or in equity, of every kind and nature whatsoever, directly or proximately resulting from or caused by or claimed to result from or be caused by: (a) The installation, maintenance, existence, or use of said equipment on Edison's poles, whether solely owned by Edison or jointly owned with other utilities; or (b) Any interruption, discontinuance, or interference with CA.T.V.'s service to any of its .subscribers occasioned or claimed to have been occasioned by any action of Edison pursuant to or consistent with.. this Agreement, notwithstanding the circumstances that Edison may be alleged or determined to have been contAutorily, concurrently, jointly, independently, or solely negligent; and CA.T.V. shall, upon demand and at its own sole risk and expense, defend my and all suits, actions, or other legal proceedings which may be brought or instituted by third persons against Edison, its officers, employees, affiliates, subsidiaries, or its successors or assigns, on any such claim, demand or cause of action; and shall pay and satisfy any judgment. or decree which may be rendered against it,: its officers, employees, affiliates, subsidiaries, or its successors or assigns, in any such suit, action, or other legal proceedings; and further CA.T.V1 shall reimburse Edison for any and all legal .expenses, including attorney's fees incurred in connection therewith. CA.T.V. covenants and agrees that Edison shall not be liable for any damage or injury of any kind or nature to C.A.T.V.'s .equipment, employees, agents, Servants, or independent contractors or third parties, notwithstanding the circumstances that Edison may be alleged or determined to have been contributorily, concurrently, jointly, independently, or solely negligent and that the direct or proximate cause of any such damage to CA.T.V.'s equipment. s Prior to any use of Edison's poles hereunder, C.A.T.V. shall furnish a performance bond in the sum of $ •� •w , or in such other lesser or greater amount as Edison may from time to time require in a form acceptable to Edison. This bond .shall remain in force for such time as CA.T.V. has any equipment, as hereinafter defined contacting any of Edison's poles. 23. Throughout the life of this Agreement, CA.T.V. shall maintain in full force and effect with a carrier or carriers .selected by C.A.T.V. and satisfactory to Edison: (a) Workmen's Compensation Insurance in compliance with all Workmen's Compensation Insurance and Safety Laws and Rules of the: amendments thereto: (b) Comprehensive Liability Insurance for bodily injury with limits of not less than.. $100,000, each person, and $300,000, each occurrence; and (c) Comprehensive Liability Insurance for property damage with limits of not less than $250,000 for each occurrence. 33. C.A.T.V. shad pay when due ad taxes on its equipment .. installed on Edison poles and should any such tax b 'a assessed and required to be paid by Edison C.A.T.V., on demand, will reimburse Edison in the amount of such tax so paid _. Edison. 34. Whenever in this Agreement notice is providw or required to be given by one party hereto to another, sir i \: notice shall be in writing and transmitted by United States mail or by personal delivery to Edison at its office at 601 West Fift Street, Los Angeles, Califomia, (mailing address: P.O. Box 35 t, Los An ales, aliforn 90053.) or to C.A.T.V. at its office ■i di' `t 9624 Masi CW+ H ghw Xa.�+it�rt Beach Cati #grn�a W as the case may be or to such.. other address as either party hereto may, from time to time, designate for that purpose, and shall be deemed given two (2) days following its deposit in the United States mail with first-class postage fully paid thereon. Dated: F':k- es� 36, t9 7'n SOUTHERN CALIFORRNNIA ,EeDIISSON COMPANY 44-18. wVim Pre s' ent Attest: L tr / Assistant Secretary — -- Signed pending the outs r ie of ::ase #qn( State of California. 4 sion, _ CA.T.V. shall furnish certificates of such insurance to Edison upon Its tegoat therefor. The Insurance in (b) and (c), above, shall name Edison as an additional named insisted mad shad dw- provide contractual llabllily covesw .satisfactory to Edison with respect to liability assumed by C.A.T.V. under the provisions of this Agreement. Written proof of compliance with the requirements of this paragraph, consisting. of Certificates of Insurance and a copy of the Additional Immed Endorsement to C.A.T.V.'s: insurance policy(s), in a form acceptable to Edison, shall be filed with and approved by Ediwn.prlor to the .installation of any said equipment upon said poles and prior to the expiration of each policy year thereafter. C.A.T.V, shall effect the renewal of such insurance not less than thirty 00) days prior to expiration thereof and shall promptly advise Edison that such - - renewal has been effected. In the event that C.A:T.V. shall not have effected such renewals on or prior to thirty (30) days prior to the expiration of such insurance, Edison may, at its option (but shall not be obligated so to do), pay the premiums necessary to afford such insurance coverage and C.A.T.V shalt promptly reimburse Edison therefor upon demand. 24. If C.A.T.V. should default in any of its obligations under this Agreement and such.. default shalt continue for thirty (30) days after written notice thereof. Edison may, by a written notice to .C.A.T.V., forthwith terminate this Agreement. of - - forthwith terminate any or all permits or approved applications granted by it hereunder, and CAT.V. shall remove its equipment from the poles to which said termination applies within thirty (30) days from such notification. The obligations of 'CA.T.V. hereunder shall survive such termination of this Agreement until fully performed by C.A.T.V. 25. in addition to any other-rights of Edison hereunder or at law or equity, if 'C.A.T.V, should default in the removal of its equipment from any pole within.-the time allowed for such removal or should default in the performance of any other work which it is obligated to do under this Agreement, Edison may elect to do such work at C,A.T.V.'s -sole risk and expense, and C.A.T.V.. on demand, will reimburse Edison for theenthe expense thereby incurred. - 26. If Edison should bring any suit, action, or other legal proceeding against CA.T.V: hereunder or in connection herewith, it shall be entitled to recover. in addition to any judgment or decree for costs, such reasonable attorney's fees as it may have incurred in such suit, action, or other legal. proceeding. 27. The failure of Edison to enforce any provision of this Agreement or the waiver thereof in any instance shall not be construed as a general waiver or relinquishment on its put of such provision but the same shall nevertheless be and remain in , , - full force and effect. If any part or parts of this Agreement conflicts with any law or shad be held to be void or voidable: by any court of competent jurisdiction, the portions hereof not voided thereby shall remain in full force and effect. 2g. Ad amounts payable by C:A.T:V. to Edison or others under the provisions of this Agreement stied, unless otherwise specified be due and payable within thirty (30) days after presentation of bills therefor. Nonpayment of any such amount when due shall constitute a default of this Agreement. - _ _ 29. Nothing herein contained shall be construed as affecting any rights or privileges conferred by Edison, by contract- or otherwise. to others not parties to this Agreement to use any poles covered by this Agreement; and Edison shall have the right to _ confer. continue or extend such rights or privileges. The privileges herein granted to C.A.T.V. shall at all times be subject to any suet ... - contracts and arrangements. - 30. Unless sooner terminated as herein provided this Agreement shall continue in effect for a term of one the effective date hereof, and from year to year thereafter, but any party hereto may terminate its participation hereunder in whole - or in part at any time during the term hereof by giving the other party at least six (6) months prior written notice to that effect. At the expiration of said six (6) months, all rights and privileges of C.A.T.V. as to the poles affected by said notice shall forthwith terminate, and C.A.T.V. shall remove said equipment from said poles within said six (6) months. - Any termination of this Agreement in whole or in part shall not release CA.T V. from any liability or obligation hereunder, whether of indemnity or otherwise, which may have accrued or which maybe accruing, or which arises out of any claim that may have accrued or may be accruing at the time of termination. - 31. C.A.T.V. may not assign, transfer, sublease, or sublet any privilege granted to it hereunder without the pri -- -- consent in writing of Edison. but otherwise this Agreement shall inure to the benefit of and be binding upon the sucrossors an assigns of the parties hereto. 32. C.A.T.V.. agrees that no contract work done for it by an independent contractor shall be done by any persor e ell - firm, or corporation, without requiring insurance from said independent contractor as required of C.AT.V. in paragraph 23 and ih Edison shad be included in the various insurance policies required therein as an additional named assured as specified in sat paragraph. .. Dated: F':k- es� 36, t9 7'n SOUTHERN CALIFORRNNIA ,EeDIISSON COMPANY 44-18. wVim Pre s' ent Attest: L tr / Assistant Secretary — -- Signed pending the outs r ie of ::ase #qn( State of California. 4 sion, . 9 6 9 4 5 transfer of the comumity Antenne television franchise held by Pacific Cable ices, Inc, to newport beads Cablevision, Ine.. and THS Y E, ./759 CPYO RECEIVED, ._ 1 1.1969 THE PACIFIC TELEPHONE AND TELEGRAPH COMPANY, a corporation, hereinafter called "Licensor ", and NEWPORT BEACH CAFL"V 3ION, INCORPORATED , hereinafter called "Licensee ", . mutually agree that the following terms and conditions shall govern Licensee's use of poles in which Licensor has an ownership or other interest located within the areas in rx near the area of Balboa Ieland , County of Orange , State of California, which are delineated on the map hereto attached, marked "Exhibit A ", and hereby made part. hereof. 1. Licensee's use of said poles shall be confined to supporting those cables; wires and appliances; together with associated messenger cables, guy wires, anchors and other appurtenances, all hereinafter called "equipment ", which Licensor has given Licensee written permission to install. Licensee may use said equipment in a community antenna television system operating. within the aforesaid areas solely to distribute by means of a closed circuit communications system, broadcast tele- vision signals received off- the -air to subscribing members of the public, and when distributed in conjunction therewith, other television and audio programs intended for the entertainment or education of the subscribing public. Licensee shall not receive compensation from any persons other than such subscribing public for the use of any of its equipment. Licensee shall not use the equipment attached to Licensor's poles for any unlawful purpose. 2. Whenever Licensee shall desire to place equipment on any of said.poles, Licensee shall make written apppplication, in triplicate, to Licensor for permission to do so, substantially in the form hereto attached, marked "Exhibit B ", and hereby made apart hereof. If said application is approved, permission to place the equipment described in said applicatioiroft46ir e., pole or poles therein identified shall be granted by Licensor by signing one copy of said application in the place provided thereon for that purpose and returning said signed copy to Licensee. 3. Upon receiving said signed copy of said application, but not before, Licensee shall have the right to install, maintain and use its equipment described in said application on the pole or poles identified therein; provided, however, that before commencing any such installation Licensee shall notify Licensor of the time when it proposes to do said work sufficient! in advance thereof so that Licensor may arrange to have its representative present when such work is performed, and provided further, that Licensee shall complete such installation within such reasonable time limit as may be specified in said .approved application. 4. 'Licensee shall not have the nigh, to place, nor shall it place, any additional equipment on any pole used by it hereunder without first making application for and receiving permission to do so, all as prescribed in paragraph numbered 2 hereof; nor shall 'Licensee change the position of any equipment on any pole hereunder without Licensor'sprior written approval. 5. (a) licensee shall, at its own sole risk and expense, place and maintain said equipment on said poles ('i) in a safe condition and in thorough repair, (ii) in manner suitable to Licensor and so as not to conflict or interfere with the working use of said poles by Licensor or others using said poles, or with the working use of facilities of Licensor or others on or from time to time placed on said poles, and (.iii) in conformity with such requirements and specifications as Licensor shall from time to time prescribe . and with all laws, and the regulations, orders and decrees of all lawfully constituted bodies and tribunals, pertaining to pole line construction, including, without limiting the scope of the foregoing, General Order No. 95 of the Public Utilities Commission of the State of California, and any supplements thereto and revisions thereof. (b) Licensee shall complete the installation of its equipment on the pole or poles covered by each approved individual application within such time limit as Licensor shall designate on said application for such installation; and in the event Licensee should fail to complete the installation of its equipment: on said pole or poles within said prescribed time limit, the permission granted by Licensor to place said equipment on said pole or poles shall thereby automatically be revoked and Licensee shall not have the right to place said equipment on said pole or poles without first reapplying for and receiving permission to do so, all as prescribed in paragraph numbered 2.. hereof. 11 -68 6. (a) If in the judgme of Licensor, the accommodation[ of any3t'LTcensee's equipment necessitates the rearrangement of facilities on a pole or the replacement of a pole, Iicensor will indicate on said application . the necessary changes and the estimated cost thereof and return it to Licensee; and if Licensee still desires to use said pole or such replacing pole and returns the application marked to so indicate, Licensor will matte such pole replacement if required, and Licensor will make, and will request" other owners, if any, of said existing facili- ties to make, such rearrangements or transfers of said :existing facilities as may be required, all at the sole risk and expense of Licensee, and Licensee, on demand, will reimburse Licensor and each such other owner for the entire expense thereby incurred by each of them. Licensor shall not be responsible to Licensee for any loss sus- tained by Licensee by reason of the failure of any such other owner to'nake such rearrangements or transfers. (b) If in Licensor': judgement, Licensee's existing equipment on any pole' interferes with or prevents the placing of any facilities thereon required by Licensor or by any other owner of an interest in of of facilities on said pole, and if said facilities could be placed on said pole by removing Licensee's equipment, therefrom, or by rearranging the existing facilities (excluding rearrangement of Licensee's equipment alone) thereon, Licensor may notify Licensee of the rearrangements of existing facilities or pole replacement and transfers of existing facilities required in order to continue the accommodation of Licensee's equipment, together with an estimate of the cost of making any such changes; and if Licensee desires to continue to maintain its equipment on said pole or such replacing pole and so notifies Licensor, Licensor will make such pole replacement if required, and Licensor will make, and will request other owners, if any, of said existing facilities to make, such rearrangements or transfers of said existing facilities, all at the sole risk and expense of Licensee, and Licensee, on demand, will reimburse Licensor and each such other owner for the entire expense' thereby incurred by each of them. Licensor shall not be responsible to Licensee for any loss sustained by Licensee by reason of the failure of ` any such other owner to make such rearrangements or transfers. If Licensee does not so notify Licensor, Licensee shall remove its equipment from such pole within thirty (30) days from such notification from Licensor. 7.. If Licensee should require equipment in a location upon any public thoroughfare or other public or private property, and Licensor shall not have poles so located as to fulfill Licensee's requirements, Licensee shall notify Licensor of its need for such poles in order that Licensor may determine whether it wishes to place poles in such location. If Licensor is willing to erect poles in such location adequate to care for the service requirements of the parties hereto, Licensor shall so notify Licensee and thereupon Licensee shall make applica- tion under this agreement for permission to place its equipment thereon. Upon receipt of said application Licen- sor shall proceed to erect said poles. N _ 8. In order to keep the number of poles on public thoroughfares and elsewhere to a practicable minimum, . Licensee. agrees not to erect any pole of its own in or near any location where Licensor is willing to accommodate Licensee's . equipment or to provide a pole adequate to accommodate Licensee's equipment. Licensee further agrees not to erect any pole of its own. near an existing pole until Licensor has notified Licensee that it, is unwilling to accotmaodate Licensee's equipment, and not to erect any poles of its own where no poles exist until Licensor has notified Licensee that Licensor does not desire to erect poles in such location.. 9. Nothing in this agreement shall be construed to obligate Licensor to grant Licensee permission to use any particular pole or poles. If such permission is refused, Licensee is free to make any other arrangement it may wish . to provide for its equipment at the location in question; and in the construction and maintenance of pole lines required therefor, Licensee agrees to conform to the requirements of General Order No.. 95 of the Public Utilities Commission of the State of California, and any supplements: thereto and revisions. thereof. 10. (a) Licensee, at its own sole risk and expense, shall provide, own and maintain such guys and anchors as are required to hold the strains of its equipment on said .poles in all cases where Licensee's anchorage requirements are not coincident with those of Licensor. (b) In general, in those cases where the anchorage requirements of Licensee and Licensor are coincident, the strains of Licensee's equipment and of Licensor's facilities on said poles shall be held by the same guys and.. anchors; however, in individual cases when in Licensor's judgment . such procedure is ilesirable, Licensee, at its own sole risk and expense, shall provide, own and maintain separate guys on anchors, or both, to hold the strains of its equipment on said poles. (c) In those cases where existing guys and anchors are inadequate to bold Licensee's strains and separate guys and anchors are not desired or if guys and being . used by Licensee should be in- adequate to hold additional strains of Licensor and any other owner or owners of facilities on said poles, or any of them, resulting: from the placing of additional facilities on said poles and said guys and anchors would have been adequate to bold the additional strains if Licensee's strains were removed therefrom, Licensor shall cause the existing guys and anchors to be replaced with adequate guys and anchors at the sole risk and expense of Licensee, and Licensee, on demand, will reimburse Licensor for the entire expense thereby incurred. 11. Licensor reserves, to itself and to each other owner of facilities on said poles the right to main- tain said poles and to operate their facilities thereon in such -a manner as will best enable them to fulfill' their own service requirements, and neither Licensor nor any said other owner shall be liable to Licensee for any -2- intertnption to Licensee's service of tl any interference with the operation of r . e's equipment atfsisS in any manner from the use of said poles and the facilities thereon by Licensor and each said other- owner. 12. Licensee will obtain from public authorities and private owners of real property my and all permits, licenses or grants necessary for the lawful exercise of the permission granted by any application approved here- under; and Licensee shall submit to Licensor evidence of compliance with the foregoing requirements prior to of at the time of making application for permission to place said equipment on said pole or poles. 13. Licensee shall at any time, at its own sole risk and expense, upon notice from Licensor, relocate, replace or renew said equipment or transfer it to replacing poles, or perform any other work in connection with said equipment that may be required by Licensor; provided, however, that in cases of emergency, Licensor may, at Licensee's sole risk and expense, .relocate, replace or renew said equipment, transfer it to replacing poles or perform any other work in connection with said equipment that may be required in the maintenance, .replacement, removal or relocation of said poles or the facilities thereon- or which may be placed thereon, or for the service needs of Licensor or any other owner . of an interest in said pole or of facilities thereon, and Licensee, on .demand, will reimburse Licensor for the entire expense thereby incurred. 14. Licensee may at any time remove its equipment from any of said poles and, in each such case, Licensee shall immediately give Licensor written notice of such removal in the number of copies and in the form from time to -time prescribed by Licensor, Removal of said equipment from any pole shall constitute a termination of Licensee's right to use such pole. 15. For the privilege of placing and maintaining said equipment on said poles, Licensee shall pay to Licensor amounts to be computed as of the first day of January and as of the first day of July of each calendar year during the existence of this agreement in accordance with the following formula: (A x B) t (C x D) = Total amount of semiannual payment. A = Total number of cable attachments to said poles as of the date of computation. B = ;1.25 C = Total number of amplifiers attached to said poles as of the date of computation. D = S -50 By giving six (6) months' notice to Licensee, Licensor.may from time to time increase or decrease the rates, or either of them, specified in 8 and D of this paragraph 1.5 effective as of the date on which the semiannual payment hereinabove provided for is to be computed next following the expiration of said six (6) months. If any such changed rate is not acceptable to Licensee, Licensee may terminate this agreement as hereinafter provided. 16. No use, however extended, of any of said poles under this agreement shall create"ot vest in Licensee any ownership or property rights therein, but Licensee's rights therein shall be and remain a mere license, which as to any particular pole or poles may be terminated at any time by Licensor upon thirty (30) days' written notice to Licensee, and Licensee shall remove its equipment from said pole or poles within said thirty (30) days. Nothing herein contained shall be construed to compel Licensor to maintain any particular pole of poles for a period longer than demanded by its own service requirements. 17. Licensee shall exercise special precautions to avoid Licensee's causing damage to the facilities of Licensor and others on said poles; and Licensee shall assume all responsibility for any and all loss from such damage. Licensee shall make an immediate report of the occurrence of any such damage to the owner of the damaged facilities and shall, on demand, reimburse said owner for the entire expense .incurred, in making repairs.. 18. Licensor shall have the tight to inspect each new instailation of Licensee's equipment on and in the vicinity of said poles and to make periodic inspections, semiannually or oftener as plant conditions may warrant, of such of Licensee's plant as it deems necessary. Such inspections, made or not, shall not relieve Licensee of any responsibility, obligation or liability assumed under this agreement. 19. In furtherance of the purposes of laws, rules and regulations relating to the security of communi- cations, espionage, sabotage and subversive activities, Licensee shall: -(a) File with the local manager of Licensor in LAS A110 12S a list of the names of all of Licensee's employees, agents and contractors who will have occasion to perform work on or about said poles, and shall file with said manager supplemental lists thereof whenever changes in such personnel are made. 3 -65 -3 ft (b) Provide suitable identification to each such employee, agent and contractor.. (c) Cause each such employee, agent and contractor to observe faith- fully and to comply strictly with all general security rules which Licensor reasonably may find necessary or advisable in the premises. (d) Not assign any work on or about said poles to any such employee, agent or contractor who in the judgment of competent authority is a bad security risk. 20. Licensee covenants and agrees not to provide service to any subscriber without obtaining a signed contract from said subscriber containing a provision substantially as follows: "Subscriber understands that improvidino television antenna service (Licensee) is making use of poles owned by The Pacific Telephone and Telegraph Company or in which said Company has an ownership' or other interest, and that the continued use of these poles is in no way guaranteed. In the event the continued use of such poles is denied to (Licensee) for any reason (Licensee) will make every reasonable effort to provide service over alternate routes. Subscriber agrees he will make.no claim nor undertake any action against The Pacific Telephone and Telegraph Cow parry or others having an ownership or *that interest in said poles if the service to be provided by (Licensee) hereunder is interrupted or discontinued ". The form of Licensee's contract with its subscribers shall be subject to approval by Licensor with respect to the inclusion of this provision. 21. Licensee shall indemnify and hold harmless Licensor and other owners of an interest in or of facilities on said poles, and each of them, and their respective heirs, administrators, executors, successors and assigns, against and from any and all claims, demands, causes of action, damages, costs or liabilities, in law or in equity, of every kind and nature whatsoever; directly or proximately resulting from or caused by (a) the in- stallation, maintenance, use or removal of said equipment on or from said poles, or (b) any interrupti$n, discon- tinuance or interference with Licensee's service to any of its subscribers occasioned or claimed to h9VV4w -,, occasioned by any action of Licensor or each other such owner, or any two or more of them, pursuant to or con- sistent with this agreement; and Licensee shall; upon.demand and at its own sole risk and expense, defend any and all suits, .actions or other legal proceedings which may be brought or instituted by third persons against Licensor, or any other such owner, or any two or more of them, or their respective heirs, administrators, executors, successors or assigns, on any such claim, demand or cause of action; and shall pay and satisfy any judgment or decree which may be rendered against Licensor, or any other such owner, or any. two or more of them, of their respective heirs, administrators, executors, successors or assigns, in any such suit, action or other legal pro- ceedings; and further, Licensee shall reimburse Licensor and each other such owner for any and all legal ex- pense incurred by each of them in connection therewith. 22. Throughout the life of this agreement Licensee shall maintain in full face and effect with a carrier or carriers selected by Licensee and satisfactory to Licensor (a) Compensation Insurance in compliance with all Workmen's Compensation Insurance and Safety Laws of the State of California and amendments thereto; . (b) Bodily Injury Liability Insurance with limits of $200.000, each person; and $500,000, each occurrence; and (c) Property Damage Liability Insurance with limits of $50,000, each accident, and $100,060, aggregate:. The insurance described in (b) and (c) above, shall also provide contractual liability coverage satisfactory to Licensor with respect to liability assumed by Licensee under the'provisions of paragraph numbered 21 hereof. Written proof of compliance with the requirements'.of this paragraph numbered 22 shall be filed with and approved by Licensor prior to the installation of any said equipment on said poles and prior to the expiration of each policy year thereafter. 23. Licensor shall have the right to require Licensee to furnish a bond.to cover the faithful perform- ance by Licensee of its dbligations to make the payments provided for in paragraphs numbered '6and 15 hereof; to pay the premiums for the insurance provided` for in paragraph numbered 22 hereof: and to remove or to pay for the 3.65 -4- ab removal of its equipment from said .poles, or any of them, if this agreement should be terminated in whole or in pan pursuant to paragraph numbered 24 or paragraph numbered 30 hereof. If such a bond is required by Licensor, it shall be issued by a commercial bonding company selected by Licensee and satisfactory to Licensor; shall not be subject to termination or cancellation except upon ninety (90) days' prior written notice by certified mail to Licensor; shall be in such form and in such amount. as Licensor %hall specify from time to time; and, subject to termination or cancellation as aforesaid, shall be maintained in full force and effect throughout the life of this agreement. 24. If the Surety on the bond mentioned in paragraph numbered 23 hereof should give notice of the ter- mination of said .bona, or if Licensee should default in its obligations under paragraphs numbered 20 and 22 hereof, or if Licensee should default in any other of its obligations under this agreement and such default shall continue for thirty (30) days after written notice thereof,. Licensor may, by a.. written notice to Licensee, forthwith terminate this agreement or forthwith terminate any or all permits granted by it hereunder, and Licensee shall remove its equipment from the poles to which said termination applies within thirty (30) days from such notification. 25. (a) If Licensee should default in the performance of any work which it is obligated to do under this agreement except the work of removing its equipment from any pole within the time allowed for such work, Licensor may elect to do such work at Licensee's sole risk and expense and Licensee on demand shall reimburse Licensor for the entire expense thereby incurred. (b) If Licensee should 'default in the removal of its equipment from any pole within the time allowed for such removal, Licensor may elect, by a written notice to Licensee, (i)'to remove said equipment at Licensee's sole risk and expense in which event Licensee shall reimburse Licensor on demand for the entire expense thereby incurred, or (ii) to become the sole and absolute owner of said equipment in which event title to said equipment shall vest in Licensor as of the date of such written notice. 26. If Licensor or any other owner or owners of an interest in or of facilities on said pole%.shWW4,ning any suit, action of other legal proceeding against. Licensee, it or they shall be entitled to recover, in addition to any judgment or decree for costs, such reasonable attorney's fees., as it or they may have incurred in such suit, action or other legal proceeding. ; 27. The failure of Licensor to enforce any provision of this agreement or the waiver hereof in any instance shall not be construed as a general waiver or relinquishment on its part of any such provision but the same shall nevertheless be and remain in full force and effect.. . 28. All amounts payable by Licensee to Licensor or others under the provisions of this agreement shall, unless otherwise specified, be payable within thirty (30) days after presentation of bills therefor. Nonpayment of any such amount when due shall constitute a default of this agreement. 29. Nothing herein contained shall be construed as affecting any rights or privileges previously con- ferred by Licensor or any other owner of an interest in or of facilities on said poles, by contract or otherwise, upogothers to use any poles covered by this agreement; and Licensor and each other such owner shall have the right to continue and extend such rights or privileges. The privileges herein granted to Licensee shall at all. times be subject to any such existing contracts and arrangements. 30. Unless sooner terminated as. herein provided, this agreement shall remain in effect for term of one (1) year from the date hereof, and shall continue in effect thereafter, subject to termination in whole or in part by at least six (6) months' prior notice in writing from either party to the other. At the expiration of the period specified in said notice, all rights and privileges.. of Licensee hereunder as to the poles affected by said notice shall forthwith terminate, and Licensee shall remove said equipment from said poles within said period. Any termination of this agreement in whole or in part shall not release' Licensee from any liability or obligation hereunder, whether of indemnity or otherwise, . which may have accrued or which may be accruing or which arises out of any claim that may have accuued or may be accruing at the time of termination. 31. Licensee shall not, 'without the prior consent in writing of Licensor, assign, transfer or sublet . any privilege granted to it hereunder, nor shall it, without such consent, assign, transfer, sublet or permit any other person to use any of its said equipment attached to Licenser's poles. Subject to the foregoing, this agreement shall inure to the benefit of and be bindingupon the respective heirs, administrators, executors, successors and .assigns of the parties hereto. 9.67 .5- as 3-65 BOUNDARY MAP EXHIBIT "A" 0 32. Wherever in this agreement notice is peovided or required to be given by either party hereto to the others such notice shall be in writing and transmitted by United States mail or by personal delivery to Licensor at Its Office at P.O. Box 5U,8. Los Ancelcs, California, 90055 or to Licensee at its office at 2624 West Coast Highway, Newport Beach, Califor as the case may be, or to each other addrew as either party hereto may, from time to time, designate for that purpose. 33. This agreement shall be eahjecttosnob changes or modifications as maybe required or autborizedby any regulatory comminion In the exercise of its lawful jurisdiction, and any modification, revision, renewal or extension of this agreement du%U so state. 34. The Company declares that the filing of the contract herein with the Public Utilities CommiodOb P000239 to the procedural requirements of General Order No. 96-A is not to be construed as a public offering by the Company of the services of facilities hereimabove referred to. t Dated -- v:4AL�=z ri i 2 V AWO"d a to Fer. 42 7z/1 LAWM ............... Slhedule of Approvals Sac. A. pege.....,* .j .... par. THE PACIFIC TELEPHONE AND TELEGRAPH COMPANY By— �- - nTLEVice Preside i and General Manager NEWPORT BEACH CABLEVISION. INCORPORATED By V 77 1-67 -a- M, S I rF V 4 e- * ;lam DuMS w� a.,y c s fit r y }, f s U P � s • aiP e FS i `. ,� �,, c � LAI R a o- �c m «or <l GL" r P a f fr ? S 4 k on r it i sal .x NOW &K AX � � SIT �./ ✓�,�r�� a a ry { y4 l F ' -1 I i ,11 s 1� 1 ti 1 _ A 41 r j LOS:�'INf l ?. ' • ��'� e' 2� �� � . lY. tt sT FCNOOI,OISIRIC[ �Y � . �' qt;}{ at � • rv. I I � _ `. �QY •k i;a Via' Kam c i '1 f sG 4 ft Syr,. .n � � � a �x ------------- .. �a u, 4� p 'u ir f P ' •"! is gs Yc qq s ix ryq ti Xgp Nazi .,. rsTZ•. ASN' u' k' . SAM, _. , M '* x w /T 1� "N.,'< d ti� 4. ^9 f Y�ry��✓< if �i 1 =' `� � � l� k `p ✓ ' �+' i i / r Tx TN 1� ✓ 3 4 i' � Y%(-i Y � � —f 4' , .sea Jam" F k �i' �IVF( q'�, e ® J�f Y of TWA! x, l.' r Y,a {F Nx 3 j4 w71+2�.7 A1}!iJ ,3.h� C k f. r Alf 'd' is ton tie jtlf ALL BI Tl®6SS 11jUMS That Newport Beach Cablevision, Inc. as Principal, (herein *&lied "Principal ") and Foote, Cone &' Belding, Inc. as Surety, (herein nailed "Surety") are held and firmly bound unto the CITY OF now= uhmt CALIFOSiIA, as Obliges (heroin called "0bligso "), in the just and full- am of On THDiiSAyRf DOLLARS ($100,000.00) lawful money+ of the united States of America, for the payment of which well and truly to be made, said Principal and Surety hereby bind themselves, their heirs, executors, administrators, successors, and assigns, jointly and severally, firmly by these presents. TO COITION OF TOR FORMING OBLIGATION 18 Ste, , That 1 4 VWZU Principal is about to accept from Obligee thi grant of a franchise from Obligee for the construction, operatias, and maintenance of a Comm�mity Antenna Television System, in aecOrdanca with the terms of Ordinance Ito. 1127 of the City of Itswport reach, and other related franchise ts, reforonso.;. ,. to which is hereby made, and all of which are made a part hieme and VMWZ"s Surety, for valve received, hereby s aaA ggrrms that no change, extension of time, alteration or k e erddiation to the terns, conditieas, or other provisions of paid franchise Mantes shall in anywise affect its Obligations 'a3 this band, and Surety does, herreby waive notice of any such a e extension of time alteratlea or addition to the termer t oass, or otbor provisions of said franchise documental i. MW# TURNFORZ, in the event Principal shall fail to Comply with any one or more of the provisions of suab fsanebise�tx, or of any other City os�dinanee, role or regalatiom, than tbs�re shall be reoowsaiela by Obligee, jointly and severally from pew all", a" Surety, say damages or costs suffered or iaousred.by Oblige* as a result of such failura to comply, and such recovery` � W01I include attorneys' fees and costs of any action or pr�oasedp ing, and shall include the full amoant of any comrades, inderrsi• i hosti� Cost of removal or t of any property, or other costs vblch may be in default, up to time full z�aipal amount of this bead; and this cosditioa •}sell be a coat obligation du in the+Mire term of such franchise, and` thereafter, until Priam 1 shall have satisfied in full any and all obligations to Obliges which arise out of, or pertain to said f se;, atnd;; any and all smab "eb this bond shall be for in the event suit at be entered in Y t {k k /.7 Clerk of the City of Newport Beach, City Hall 3300 Newport Boulevard, Newport Beach, California. Surety is obligations to subscribers under this bond small concinus in full force and effect in the absence of compliance with the foregoing notice requirement. Signed and sealed this i.Qth day of May:.: YBSnCipAL Approved as to �ors4s �uC!�17✓ � Tally gl SeymogkL City Attorney llf STATE OF CALIFORNIA, a ss. COUNTY OF Orange ON March 20th ig 69 OfKiGNgt BL'AL Glo,ra Carbars Scadef !! ( N ARY PuM. ^ CALIFORNIA PRiN -AL IN •IRAN E COUNTY lAl Cpmmissioo Expires b Sr_it ii, 1973 Form 222 —Rev. 364 before me, the undersigned, a Notary Public in and for said State, personally appeared Louis E. Scott , known to me to be the Of $ r'oote Lone S t3ela>ng, 1nC. the Corporation that executed the within Instrument, known to me to be the person who executed the within Instrument, on behalf of the Corporation, therein named, and acknowledged to me that such Corporation executed the same. WITNESS my hand and official seal. NAME (TYPED OR PRINTED) Notary Public in and for said State. t �s t NAME (TYPED OR PRINTED) Notary Public in and for said State. t . V °�Sfasee 12/20/66 (7) J_ ;:x.►.: That Newport Beach Cablevision Inc. as Principal, -(herein called "Principal") and Foote, Cone & Belding, Inc. as Surety (herein aalled "Surety") are held and firmly bound unto Subscribers, and each of that of the system of Principal, as Obliges (herein called "ebligse °3, in the just and fall sum of FIFTY TODUMM DOLLARS (450,000.00), law- ful money of the United States of America, for the payment of which, wall and trulyy to be made, said Principal and Surety hereby bind themselves, their heirs, executors, administrators, successors,. and assigas, jointly and severally, firmly by these presents. THE OMITIO OF =9 FOMOING OBLIGATION IS SUCiiy That W VNERBASO Principal is about to accept from the City of Newport Beach the grant of a franchise from the City of !Newport Bauch for the construction, operation, and maintenance of a Con- aumity Antenna Television System, as will more fully appear from the franchise documents pertaining to such franchise, refers"" to..' which is hereby made, and all of which are hereby made a part, hereof= and ii1UMS, Surety, for value_ received, hereby stipalatss., -and agrees that no change, extension of time, alteration or addition { to the terms conditions, or other provisions of said franchise dos. F° assts, shah is anywise affect its obligations on this bond 'cad 1 Surety or nor time alteration addition to the terms, condition other leas franchise of said documents i BAN, TES, in %he event Principal shall tail to comply with any one or more of the provisions of any agreement or undertaking coeds between Principal and Obligee, then there shall be recoverable jointly and severally from Principal and Surety any damages or costs suffered or incurred by Obliges as a remit thereof, including reasonable attorneys' fees and costs �.. of any action or prvoeedisgi and this condition shall be a con - ktar, obligation during the satire term of such franchise, and instil Principal shall Lava satisfied in full any and all obligations to Obliges which arise out of or pertain to any such agreement or undertaking. In the event suit is brought upon this bond by Obligee, and judgment be entered in favor of Obliges, court costs, ins ud� ing reasonable attorneys' fees, shall be an additional oblige ' ;- for which Principal pal cad Surety shall be liable. Surety agrees to furnish the City of Newport Beach.with ' (} thirty (30) days prior notice in writing of its intention not to ranew this bond,to cancel the sae or to make any material change in the terms thereof. Said notice shall be addressed to the City W Surety agrees to furnish .he City,of Newport Beach with thirty (30) days prior notice in writing of its intention renew this bond, or of any cancellation or material change is the terms thereof. Said notice shall be addressed to the City Clerk of the City of Newport Beach, City 'Hall, 3300 Newport Boulevard, Newport Beach California. Surety s Obligations to City trader this bond shall continue in full force and effect the absence of compliance WiLh the foregoing notice Signed and sealed this i.oth .day of. :May, PRINCIPAL Argyed MIS to rays y � , y ttornsy I. SUUTX STATE OF CALIFORNIA, ss. COUNTY OF Orange ON March 20th i9 69 before me, the undersigned, a Notary Public in and for said State, personally appeared 0 ;;FWIAIL aRp, f Gloria Barbara Sadlt NOTARY PUBLIC CAl1F"IA14 PRMUPAI.. OFFICE IN ORAN= COUNtY My fammission Expires March 11, 193 Louis E Scott known to to be the Senior Vice — President of Foote Cone & Belding, Inc. the Corporation that executed the within Instrument, known to me to be the person who executed the within Instrument, on behalf of the Corporation, therein named, and acknowledged to me that such Corporation executed the same. WITNESS my hand and official seal. NAME (TYPED OR PRINTED)' Notary Public in and for said State. f' 7 Louis E Scott known to to be the Senior Vice — President of Foote Cone & Belding, Inc. the Corporation that executed the within Instrument, known to me to be the person who executed the within Instrument, on behalf of the Corporation, therein named, and acknowledged to me that such Corporation executed the same. WITNESS my hand and official seal. NAME (TYPED OR PRINTED)' Notary Public in and for said State. / h 1 y�Yi;. ' ` � .. •fi �. r v NS otl 3 ,tn� J�. )� j �_ M I � ±m 'law. /cam M sA`��NJ�.� Leo V aAVat1 IVVC o� f it A IL e _ - LEGEND . _ w HEAD UNES - .� _ _ -- . PIERMEAD LINES � -. -- -- --:— n. CHANNEL LRIEi CITY. OF 'NEWPORT BEACH NEWOORT SE& $OIMAWr LINE -_-- . COST& MESA OOONOARV LINE INDEX o ^t Be �cl DEPTH b ATLAS CAKE CROSSING i _.., ORANGE COUNTY. CALIFORNIA .1pt _._ , +wc rider r t I/We n evcs awe � _ � Area [I „e "merit / l on "LIC WOFCKS DEPARTMENT Plot - Area Added uy h;o� lycet- . .,, .., — z 1969 w.r a= .rr+l..- ,..,.�.3+ sw�..au. . . �� jlC:11 lE �.....J 3-b5 _ t1 12 t� 1 t6 I I t. 12/20/66 (7) 40 F�11443M, ALL IN LY MH MMI=: That Pacific Cable Services,. Inc. as Principal,•(herein called "Principal") and Foote, Gone & Belding, Inc. . 0. as Surety (herein called "Surety") are hold and firmly bound unto Subscribers, and each of them of the system of Principal, as Obligee (herein called "Obligoe"5, in the just and full sum of FIM TWISAND DOIJARS ($501000'00)S'L law- ful money of the United States of America, for the payment of which$, well and truly to be made, said Principal and Surety hereby bind themselves, their heirs, executors, administrator*, successors, and assigns, jointly and severally, firmly by these presents. TIM CONDITION OF TER Fox=Ong CaLl"TION Is Mgt That VHKRRASO Principal is about to accept from the City of. Newport Beach the grant of a franchise from the City of Nswporti' Beach for the construction, operation, and maintenance of a CCW.6: sonity Antenna Television System, as will more fully appearfrow the franchise docusionts pertaining to such froackAse, teforsow" to which is hereby made, and ell of which are hereby made a port hereof; and VNMRW* Surety* for value received, hereby a and agrees that no change, extension of times, alteration to the terms conditions, or other provisions of said ummetal, shali in anywise affect its Obligations an this Surety "so, hereby, waive notice of any such ohanga, am time alteration or addition to the terms, couditions3, or previsions of said franchise documents; WMIs THRINFMO in %he anent Principal shall ft COWlY With say one Or more Of the provisions of any ape Or undertaking made between Priwipal and Obligee, th", t shall be recoverable jointly and severally from p- Surety any damages or costs suffered or incurred Y Was A result thereof. including reasonable attorasysO faas.jaa Of S&Y action or proceeding; and this condition shall tiomliks obligation during the entire term of such --: - - tb*X*&ftOrs until Principal shall have satisfied is feU11 All Obligations to Obligep which arise out of or perta4a.: sush agrossomat or undertaking. P%1At4k4 or ad"tieft In the event suit is brought upon this 'bond by `Be 4M6d J0140"t be entered In favor of Obligoo, court c ostu Ilea foes, shall be an additA -- -4 iliac which Principal and Surety shall be liable Surety 48VO&S to furnish the City of Newport Beach with thi (3 30) days prior notice in writing of its intention not to "Also 0 bond, to cancel the son or to make any material cbmage Be>:tbe. terms thereof. Said notice shall be addressed to the City y a Clerk of the Ciu:y of Newport Reach, City (tall, 3300 Newport Boulevard, HewporL teach, CaliZornia. sure-y °s obligations to subscribers under tale iwna shall continue in full force and effect in the absence of compliance with the foregoing, notice requirement. Signed and sealed this 10th day of Mag 19x8 PRINCIPAL Approved as to farm: u7 y e r, City oy I. SUSITY J:. . L- 2/20/66 (7) 11 Thaw Pacific Cable Services, Inc. as Princpal,,(herein called "Principal °s) and Foote, Cone & Belding, Inc. as Surety, (herein called "Surety ") are held and firmly bound unto the CITY OF NKMRT B&ACB, CALIFORNIA, as Obligee (herein called 'Obligee "), in the just and full suet Of ON& XUXDM THOUSAND DOLLARS ($1000000.00)0 lawful coney of the United States of America, for the payment of which gall and truly to be made, said Principal and Surety hereby bind themselves, their heirs, executors, administrators, successors, and assigns, jointly and severally, firmly by these presents. THR CONDITION OF TO F+ORMXNG OBLIGATION IS SUCH, That WHSRBAS Principal is about to accept from Obligee the grant of a francUse from Obligee for the construction, operation, and maintenance of a Community Antenna Television System, in accordance with the terms of Ordinance No. 1197 of the City of wrchBeach, is ereby r related aad all of which are ta'paarrte ref' and WHOMAS1, Surety, for value received, hereby stipulates and agrees that no change, extension of tics:, alteration or Addition to the term., conditions, or other provisions of said franchise dooumsnts, shall in anywts• 'affect its obligations on this bond, and Surety does, hereby, waive notice of any such a • extension of time alteration or addition to the term, tons, or other provisions of said franchise documents; �, , in the event Principal shall fail to C omply with any one or more of the provisions of such franchise . or of any other City ordinance, rule or regulation, then there shall be reooverabl• by Obligee, jointly and severally from Fria. Ginjill and Surety, any es or costa suffered or incurred by Ob ee as a result of such failure to comply, and such recovery steal include attorneys' fees and costs of any action or proceed- ings and shall include the full amount of any, compensation, inddrm - fioatioW, cost of removal or abandonment of any property. or other cost$ which may be in default, mmpp to the full principal arrant of this bond; and this coaditioa shall be a continuing obligation during the entire term of such franchise, and thereafter, until shall in to Obllig ewhich aria* out of or or pertain to saidll acch �tiona y At Much time as Principal shall have fully and fa ithfnll .saw fled an and all such obligations to Obligee, .then the. ion Under this board shall be void. @ Sr In the event suit YU brought upon - this -bond bar 0b1 ias�e, and Judgment be entered in favor of obliigeg�$e, court cost, iaelud- 149 z+eassUmable attors•y$ $�, fees* shall W an additional,;obligation ,. . Sss Uahiah Principal and Surety SWI-be liable.., @ Tr(µ Surety agrees to furnish the City of Newport Beach with thirty (30) days prior notice in writing of its intention not to renew this bond, or of any cancellation or material change in the terms thereof. Said notice shall be addressed to the City Clark of the City of Newport Beach, City Hall, 3300 Newport Boulevard, Newport Beach, California. Surety's obligations to City under this bond shall continue in full force and affect in the absence of compliance wick, the foregoing notice requirement. 1968 Signed and sealed this loth day of _ay PRINCIPAL Approved alto forms U& TUILY65. Relfitur, Git-y—A—ttorney 1:111'4 Oj!k'ff,TO4 1= 4 SUUTY Swl T Swl ( e ! F���v� � r x .r4 r "•{•x r { _ v ��. r .; r a} r �y��j� _ I�§ ke.� 1 � +,• �`w'") �{ { },_ tt.r . � '� t�� .4`C,�u.R '{ �P 7i r y .� p .� t �`�+v�!i �`�8r'� %' �a J- �y jjfi <� ! { � .. a "p�• .,ref �t d%; it to AZI r i r } y fr ?o fr r< 4a�a s tps` v �{t t n r '�M•'x 7'x�l7 x �x� t _ s!NY rr-.,y °r 5r ?y gY F n d Tr 1 f n� d+r�t , f All, r �'A.W li s r r t r w' r� 3 I __ Y" e 5 �" „ ✓ i t ,y eY i A } y'pa d�• Fkx } �d`r� � k � •e tF"# tr t 3 �'��' s r Nsi & x Y v. i., i a.'f e4yr7 r d i w k THS`:aem- • 12!'7/66 ORDINANCE NO. 1197 AN ORDINANCE OF THE CITY OF NEWPORT BEACH GRANTING TO WARIMR BROS. TV SERVICES, INC.';'A NONEXCLUSIVE FRANCHISE TO CONSTRUCT, MAINTAIN AND OPERATE A COMMUNITY ANTENNA TELEVISION SYSTEM WITHIN SAID CITY The City Council of the City of Newport Beach does ordain as follows: SECTION 1. Definitions. Wherever in this ordinance the following words or phrases are used, they shall have the respective meanings assigned to them in the following definitions; and words or phrases not defined in this section which are defined in any franchise document shall have the same meaning in this ordinance assigned to them in such fran- chise document, unless the context in which they are used shall clearly indicate a different meaning. (a) "City" shall mean the City of Newport Beach in its present incorporated form or in any later recognized, consolidated, enlarged or reincorporated form. (b) "Council" shall mean the present governing 'body of the City, or any future board constituting the legislative body of the City. (c) "Person" shall mean any individual, firm, partner- ship, association, corporation, company or organization of any kind. (d) "Grantee" shall mean Warner. Bros. TV Services; Inc., a Delaware corporation; its employees,, agents, successors and assigns. (e) "Community Antenna Television System" or "C-ATV System" shall mean a system of antennae, coaxial cables, wave guides, poles, wires, underground conduits, manholes and other conductors, equipment or facilities designed, constructed or used for the purpose of providing television, radio or other service by cable or through its facilities as herein contemplated. CATV shall rot mean or include the transmission of any special program or event for which a separate and distinct charge is made to the subscriber in the manner commonly known and referred to as pay television. (f) "Subscribers" shall mean any person or entity receiving for any purpose the CATV service of the G- rantee herein. (g) "Gross Annual Receipts" shall mean any and all com- pensation in the form of gross rental and/or service receipts, including initial installation charges, received directly or in- directly from subscribers or users in payment for CATV services received within the City. Gross annual receipts shall not include any taxes on services furnished by the Grantee imposed directly on any sub- scriber or used by any city, state or other governmental unit and collected by the Grantee for such governmental unit. (h) "Franchise Area" shall mean the territory within the City throughout which Grantee shall be authorized to construct, maintain and operate its system and shall include any enlargements thereof and additions thereto. (i) "Franchise Documents" shall mean and shall include all of the following; (1) Article XIII of the Charter of the City of Newport Beach. (2) Chapter 5.44 of Title 5 of the Newport Beach Municipal Code as the same now exists or as it may hereafter be amended. (3) Any and all rules and regulations governing the operation of CATV Systems within the City of Newport Beach which are adopted by the City Council. (4) The written acceptaince of CATV Franchise filed with the City by the Grantee. (j) "Street" shall mean the surface of and the space above and below any public street, road, highway, freeway, lane, 2 path, alley, court, sidewalk, parkway, or right of way whether or not improved, now or hereafter existing as such throughout the City. SECTION 2. Grant of Franchise. There is hereby granted to Warner Bros. TV Services, Inc., a Delaware corporation, by the City a nonexclusive franchise to con - struct, erect, operate and maintain, in, upon, along; across, above, over and under the public streets, . alleys, public ways and public places, now or in the future dedicated for public use in the City, poles, wires, cables, underground conduits, manholes and other tele- vision conductors, appurtenances and fixtures necessary or convenient for the maintenance and operation in the City of a community antenna television system to transmit television and FM radio signals, within::: the franchise area described as follows: All of the territory within the boundaries of the City of Newport Beach as such boundaries exist on the effective date of this ordinance, with the exception of the following ter- ritory: That portion of Blocks 51, 55, 56, 57, 92, 93, and 96 of Irvine's Subdivision in the City of Newport Beach, County of Orange, State of Californiai as per map recorded in Book 1, Page 88 of Miscellaneous Record Maps in the office of the County Recorder of said County, described as follows. Beginning at the West corner of said Block 96; thence Southeasterly along the Southwesterly line of said Block 96 to the Easterly corner of Tract No. 673 as per map recorded in Book 20, Wages 17 and 18 of Miscellaneous Maps, said corner being also an angle point in the boundary of the Harbor View Annexation to the City of Newport Beach as established by City Ordinance No. 896, thence Northeasterly along said boundary to an angle point in the boundary of Annex- ation No. 57 to the City of Newport Beach as estab- lished by Resolution No. 6203, dated August 9, 1965, of the City of Newport Beach Council and amended by Resolution No. 6247, dated November 8 1965, point being the Southwesterly terminus of that certain course described therein as 'North 44° 56` 20" East 114.30 feet,,, thence generally Northeasterly and North- westerly along said bounds y to the Eaa�'erly right of way line of .YiacArcli BGUI.evard, 100.00 feet wide n as described in the dead reco ed in nook 10A7.. Page 557 of Official Records; thence generally Northerly along said Easterly right of way line being also the boundary of Annexation No. 50 to the City of Newport 3. 10 Beach as established by City Ordinance No. 999 to the Southeasterly line of said Block 56; thence South- westerly along said Southeasterly line being also said boundary of Annexation No. 50 to the Westerly right of way line of said MacArthur Boulevard; thence Northerly along said Westerly right of way line being also the boundary of the Jamboree Road Annexation to the City of Newport Beach as established by City Ordinance No. 840 to the center line of Palisades Road, 80.00 feet wide, as described in the deed re- corded in Book 1677, Page 98 of Official Records; thence Westerly and.Northwesterly along said center line to the center line of Jamboree Road, 132.00 feet wide, as described in the deed recorded in Book 6135, Page 155 of Official Records, thence generally South- westerly along said center line of Jamboree. Road to the center line of State of California Highway Route ORA. 60 -B, 200.00 feet wide, as described in the deed recorded in Book 487,, Page 3 of Official Records; thence Easterly along said State Highway center line to the Southwesterly line of said Block 55; thence Southeasterly along said Southwesterly lane and the Southwesterly line of said Block 93 to the point of beginning. The CATV system herein franchised shall be used and operated solely and exclusively for the purposes expressly authorized by ordinance of the City of Newport Beach and no other purposes whatsoever. SECTION 3. Nonexclusive Grant. The right to use and occupy said streets, alleys, public ways and places for the purposes herein set forth shah not be exclusive, and the City reserves the right to grant a similar use of said streets, alleys, public ways and places to any person at any time during the term of this franchise. SECTION 4. Term of Franchise. The term of this franchise shall be fifteen'(15) years and shall commence at 12:01 P.M. on the effective date of this ordinance, provided that the Grantee has filed written notice of acceptance in accordance with the requirement of Section 10 of this ordinance. SECTION 5. Inclusion of Franchise Documents. All of the franchise documents applicable to this fran- chise are hereby incorporated by reference and made a part of this ordinance. By acceptance of this franchise Grantee agrees 4. to be bound by all of the terms, provisions. and conditions contained in said franchise documents. SECTION 6. Indemnification of the City. Grantee agrees that it shall indemnify and hold harmless the City, its officers, boards, commissions, agents and employees against and from any and all claims, demands, actions, suits, liabilities and judgments of every kind and nature and regardless of the merit of the same, arising out of or related to the exercise or-enjoyment of this franchise by Grantee, including claims, demands, actions, suits, liabilities and judgments based upon copyright infringement; Grantee further agrees that it will reimburse City for any costs and expenses incurred by City in defending against any such claim or claims, including attor- neys' fees, accountant fees, expert witness or consultant fees, court costs, per diem expense, travel and living expense; Grantee further agrees that upon demand of the City it will appear in and defend any and all suits, actions; or other legal proceedings whether judicial, quasi - judicial, administrative, legislative, or otherwise, brought by third persons or duly constituted authori- ties against or affecting the City, its officers, boards, commis - sions, agents or employees and arising out of or pertaining to the exercise or enjoyment of such franchise, or the granting thereof by the City, the foregoing obligations shall exist and continue without reference to or limitation by the amount of any .bond, policy of insurance, deposits undertaking or other security required hereunder; provided that neither Grantee nor City shall make or enter into any compromise or settlement of any claim, demand, action or suit for monetary damages without first giving the other ten (10) days' prior written notice of its intention to do so SECTION 7. EIt of City tc Adopt �itional Rules and Regulations. The right is hereby reserved to the City to adopt, in 50 addition to the provisions contained in this ordinance and in any other applicable ordinances and resolutions, such additional regu- lations as it shall determine to be necessary or convenient in the exercise of the police power. SECTION 8, Prohibited Activities of Grantees Grantee shall be prohibited from directly or indirectly doing any of the following: (a) Engaging in the business of selling at retail, leasing, renting, repairing or servicing of television sets,, radios or other receiving apparatus, or any part or component thereof, (b) Providing any repair service to its subscribers, for a fee or otherwise, which extends beyond the connection of its service and the determination by Grantee of the quality of its signal to its subscribers. (c) Soliciting, referring, or causing or permitting the solicitation or referral of any subscriber to any specific named persons, firms or corporations engaged in any business which Grantee is prohibited from engaging in by the provisions hereof. .(d) Transmitting or presenting any programs or events for which a separate and distinct charge is made to the subscribers in the manner commonly known and referred to as "pay television ", and the Grantee shall not maintain or operate on any television set a coin box or any other device or means for the collection of money for individual programs. SECTION 9. Tran sfer of Franchisee This franchise shall not be sold, transferred, assigned, leased or otherwise disposed of in whole or in part by voluntary or involuntary sale, merger, ecnsolidation, or otherwise, without the prior consent of the City Council expressed by resolution, and then upon such terms and conditions as the Council may pre- scribe. No sale, transfer or assignment shall be effective until 6, the vendee, assignee or lessee has filed in the office of the City Clerk an instrument, duly executed and approved as to form and content by the City Attorney, reciting the fact of such transfer, sale, assignment or lease, accepting the terms of the franchise, and agreeing to perform all the conditions thereof, including any additional conditions required by the City Council. SECTION 10. Acceptance of Franchise. This franchise shall not become effective for any pur- pose unless and until written acceptance thereof shall have been filed with the City Clerk; and such written acceptance shall be in form and substance as shall be prescribed by the City Attorney and shall be and operate as an acceptance of each and every term, condition and limitation contained herein, or otherwise specified by ordinance or resolution of the City Council. Said written acceptance shall be filed by the Grantee not later than 12:01 P.M. of the fifteenth (15th) day next following the date of the adoption by the Council of this ordinance; and, in default of the filing of such written acceptance as herein required, Grantee shall be deemed to have rejected and repudiated the same, and thereafter, the acceptance of any such Grantee shall not be re- ceived by the City Clerk, and such Grantee shall have no rights, remedies, or redress in the premises, unless and until the City Council shall, by resolution, determine that such acceptance be received or filed, and then upon such terms and conditions as the Council may impose. SECTION 11. Acceptance Fee. The Grantee shall, upon the acceptance of this franchise, pay to the City, in consideration of the granting of this fran- chise, the sum of $2,000. SECTION 12. Annual Franchise Fee. The Grantee shall pay annually to the City during the 7. life of this franchise for the privilege of operating a CATV system under this franchise a sum equivalent to three per cent (3 %) of the annual gross receipts derived from its operations within the City. SECTION 13. Effective Date. This ordinance shall become effective 30 days from and after the date of its adoption; provided, however, that the fran- chise hereby granted shall not become effective unless and until the Grantee files written acceptance thereof in the manner specified in Section 10 of this ordinance and delivers to the City all bonds and insurance policies required to be furnished in accordance with the requirements of Chapter 3,44 of Title.5 of the Newport Beach Municipal Code. SECTION 14. Publication, This ordinance shall be published once in the official newspaper of the City. This ordinance was introduced at a regular meeting of the City Council of the City of Newport Beach held on the 12th day of December 5 1966, and was adopted on the 27th day of December wit: ATTEST; 1966 , by the following vote, to AYES, COUNCILMEN: Parsons, Rogers, Marshall F'orgit, Shelton. NOES, COUNCILMEN- 'None ABSENT COUNCILMEN- Cook, Cruber City Clerk Mayor THE PACIFIC 'TLLEPHONE A1,4D TELEGRAPH COMPAN June 9, 1966 Warner Bros. TV Services, Inc. Newport National Bank Building hiestcliff and Mover Drive, suite 216 Newport Beach, California Attention Mr. Bryan s. Moore Centlemeni This will acknowledge receipt of your order for channel services for a community antenna television system in the City of Newport Beach. ' Subject to the availability of services and facilities, and our final agreement as to the terms and conditions covering the furnishing of these services, and subject to prior approval of the regulatory body having jurisdiction in the matter, we shall be pleased to furnish these services to you. Sincerely, v y, W. C. llatner RECEIVED Communications Consultant JUN 10 1966 WOW ri � mer � WA -� Q Mu!Hp4e Fine Se. k Gampseny ' COMM£RQAL FACXA6E & ho IJ3SUitfQ , • - to IRfS- �... -, - AGENT bKtBROKER - Alf RE4- • - AffRc.9VED' i7 i A SUFFICIENCY; i D, v < t CrV a. � &NA ER � 3 � ._ --.... .,. AsSW&TANT C1Tr MANAGER „_ r> UNITED STikT FIRE I,€zAt+f. eflMPANY . FoRS.<R THE NORTH R 'V;' Ii C i ` flIvI1 AN1' — WESTCHEO iFIR- DNS[ A3w7 E COMPANY a INTERNriEidlVAT I1�iSiTRiI COMPANY sound- I)ej►enrl,�b�� iiQiMy>v �F�Fi�+Fy 110 WILLIAM STREET NEW,'YPR f NE7 YORK 10038 ' � r r sz �� 1 y SPECIAL MULTI -PERIL POLICY PROVISIONS PART ONE 0 10 THE FOLLOWING PROVISIONS APPLY TO SECTIONS I AND II A. WAR RISK EXCLUSION: UNDER SECTION I AS RESPECTS PERILS OTHER. THAN FIRE (WHICH IS OTHERWISE PROVIDED FOR ON PAGE 2 OF THIS POLICY) AND UNDER SECTION II AS RESPECTS LIABILITY ASSUMED BY THE INSURED UNDER ANY INCIDENTAL CONTRACT OR AS TO FIRST AID OR MEDICAL EXPENSE, THIS POLICY SHALL NOT APPLY TO LOSS, BODILY INJURY, OR PROPERTY DAMAGE CAUSED, DIRECTLY OR INDIRECTLY, BY OR DUE TO ANY ACT 'OR CONDITION INCIDENT TO THE FOLLOWING: 1 HOSTILE OR WARLIKE ACTION IN TIME OF PEACE OR WAR, INCLUDING ACTION IN HINDERING, COMBATING OR DEFENDING AGAINST AN ACTUAL, IMPENDING OR EXPECTED ATTACK, (A) BY ANY GOVERNMENT OR SOVEREIGN POWER ME JUREOR DE FACTO), OR BY ANY AUTHORITY MAINTAINING OR USING MILITARY, . NAVAL. OR AIR FORCES; OR (B). BY MILITARY, NAVAL OR AIR FORCES; OR (C) BY AN AGENT OF ANY SUCH GOVERNMENT, POWER, AUTHORITY OR FORCES, IT BEING. UNDERSTOOD THAT ANY DISCHARGE, EXPLOSION OR USE OF ANY WEAPON OF WAR EMPLOYING NUCLEAR FISSION OR FUSION SHALL BE CON- CLUSIVELY PRESUMED TO BE SUCH A HOSTILE OR WARLIKE ACTION BY SUCH A GOVERNMENT, POWER, AUTHORITY OR FORCES; 2. INSURRECTION, REBELLION, REVOLUTION; CIVIL WAR, USURPED POWER, OR ACTION TAKEN BY GOVERNMENTAL AUTHORITY IN HINDERING, COMBATING OR DEFENDING AGAINST SUCH AN OCCURRENCE; SEIZURE OR DESTRUCTION UNDER QUARANTINE OR CUSTOM'S REGULATIONS, CONFISCATION BY ORDER OF ANY GOVERNMENT OR PUBLIC .AUTHORITY, OR RISKS OF CONTRABAND OR ILLEGAL TRANSPORTATION OR TRADE. B. LIBERALIZATION CLAUSE: If during the period that insurance is in force under this policy, or within 45 days prior to the inception date thereof, on be. half of the Company there be adopted, or filed with and approved or accepted by the insurance supervisory authorities, all in conformity with law, any changes in the form attached to this policy by which this form of insurance could be extended or broadened without increased premium charge by endorsement or substitution of form, then such extended or broadened insurance.. shall inure to the benefit of the insured hereunder as though such endorsement or substitution of form had been made. C. INSPECTION AND AUDIT: The Company shall be permitted but not obligated to inspect the named insured's property and operations at any time Neither the Company's right to make inspections nor the making thereof nor any report thereon shall 'constitute an undertaking, on behalf of or for the benefit of the named insured or others, to determine or warrant that such property or opera- tions are safe. The Company may ,examine and audit the named insured's books and records at any time during the policy period and extensions thereof and within three years after the final termination of this policy, as far as they relate to the subject matter of this insurance. D. CANCELLATION: The words "five days" in the cancellation provision. on Page 2 of the policy are deleted and the :words "ten days are substituted therefor. E. SUBROGATION: In the event of any payment under this policy, the Company shall be subrogated to all the insured's rights of recovery therefor against any .person or organization AND THE INSURED SHALL EXECUTE AND DELIVER INSTRU- MENTS AND PAPERS AND DO WHATEVER .ELSE IS NECESSARY TO SECURE SUCH RIGHTS. THE INSURED SHALL DO NOTHING AFTER LOSS TO PREJUDICE SUCH RIGHTS, F. .CONFORMITY WITH STATUTE: The terms of this policy and forms' attached hereto which are in conflict with the statutes of the state wherein this policy is issued are hereby amended to conform to such .statutes. G. POLICY PERIOD, TERRITORY: 1. SECTION I OF THIS POLICY APPLIES ONLY TO LOSS TO PROPERTY DURING THE POLICY PERIOD WHILE SUCH PROPERTY IS WITHIN THE FIFTY STATES OF THE UNITED STATES OF AMERICA AND THE DISTRICT OF COLUMBIA. 2. Section II of this policy applies only to bodily injury or property damage which occurs during the policy period within the policy territory; "policy territory" means: a. the United States of America; its territories or possessions, or Canada, or b. International waters or air space, provided the bodily injury or property damage.. does not .occur in the course of travel or transportation to or from any other country, state or nation, or c. anywhere in the world with respect to damages because of bodily injury or property damage: arising out of a product which was sold for use or consumption within the territory described in paragraph a, above, pro- vided the original suit for such damages is brought within such territory. H. TIME OF INCEPTION: To the extent that coverage in this policy replaces coverage in other policies terminating at 12101 A.M. (Standard Time) on the inception date of this policy, this policy shall be effective at 12:01 A.M. (Standard Time) instead of at.. Noon Standard Time. THE FOLLOWING PROVISIONS APPLY TO SECTION I THE WORD "FIRE" IN THIS POLICY IS NOT INTENDED TO ;E NUCLEAR REACTION OR NUCLEAR RADIATION OR RADIO- N. ALL WHETHER CONTROLLED OR UNCONTROLLED, AND ACTION OR NUCLEAR RADIATION OR RADIOACTIVE CON - ITENDED TO BE AND IS NOT INSURED AGAINST BY THIS THE FOREGOING AND ALL PROVISIONS OF THIS POLICY, DIRECT E" RESULTING FROM NUCLEAR REACTION OR NUCLEAR RADIATION IVE CONTAMINATION IS INSURED AGAINST BY THIS POLICY, EXCLUSION: LOSS BY NUCLEAR REACTION. OR NUCLEAR RADIATION IVE CONTAMINATION, ALL WHETHER CONTROLLED OR UNCON- DUE TO ANY ACT OR CONDITION INCIDENT TO ANY OF THE FORE - T INSURED: AGAINST BY THIS POLICY, WHETHER SUCH LOSS BE (DIRECT, PROXIMATE OR REMOTE, OR BE IN WHOLE OR IN PART CONTRIBUTED TO, OR AGGRAVATED BY ANY OF THE PERILS IN- 3T BY THIS POLICY; AND NUCLEAR REACTION OR NUCLEAR RADIA. OACTIVE CONTAMINATION, ALL WHETHER. CONTROLLED ORUNCON- NOT "EXPLOSION" OR "SMOKE ". THIS CLAUSE APPLIES TO ALL ED AGAINST HEREUNDER EXCEPT THE PERILS OF FIRE AND LIGHT. ARE OTHERWISE PROVIDED FOR IN THE NUCLEAR CLAUSE ABOVE. owner thereof, or by any act or neglect of any occupant (other than the insured) of any building, when such act or neglect of the owner or occupant is not within the control of the insured, or 2. by failure of the insured to comply with any warranty or condition contained in any form or endorsement attached to this policy with regard to any por. tion of the premises over which the insured has no control. D. PROTECTIVE SAFEGUARDS: IT IS A CONDITION OF THIS INSURANCE THAT THE INSURED SHALL MAINTAIN SO FAR AS IS WITHIN HIS CONTROL SUCH PRO. TECTIVE SAFEGUARDS AS ARE SET FORTH BY ENDORSEMENT HERETO. FAILURE TO MAINTAIN SUCH PROTECTIVE SAFEGUARDS SHALL SUSPEND THIS INSURANCE, ONLY AS RESPECTS THE LOCATION OR SITUATION AFFECTED, . FOR THE TIME OF SUCH DISCONTINUANCE. F. IMPAIRMENT OF RECOVERY: EXCEPT AS NOTED BELOW, THE COMPANY SHALL NOT BE BOUND TO PAY ANY LOSS IF THE INSURED SHALL HAVE IMPAIRED ANY RIGHT OF RECOVERY FOR LOSS TO THE PROPERTY INSURED;. HOWEVER 1T IS AGREED THAT: 1. AS RESPECTS PROPERTY WHILE ON THE PREMISES OF THE INSURED, PER- MISSION IS GIVEN THE INSURED TO RELEASE OTHERS IN WRITING FROM LIABILITY FOR LOSS PRIOR TO LOSS, AND SUCH RELEASE SHALL NOT AFFECT THE RIGHT OF THE INSURED TO RECOVER .HEREUNDER, AND 2. AS RESPECTS PROPERTY IN TRANSIT, THE INSURED MAY, WITHOUT PREJUDICE (2) resulting from1kt- hazmkous properties o,f Uclear material and with respect to which (a) any person or orgamjIIIIIIIIIii Is required to main.. tain financial protection pursuant to the JW Energy Act of 1954, or any law amendatory thereof, or (b) t„ insured is, or had this policy not been issued would be, entitled to indemnity from the United States of America, or any agency thereof, . under any agree- ment entered into by the .United States of America, or any agency thereof, with any person or organization. b. Under any Medical Payments Coverage, or under any Supplementary Pay. ments provision relating to first aid, to expenses incurred with respect to bodily injury resulting from the hazardous . properties of nuclear ma- terial and arising out of the operation of nuclear facility by any person or organization. c. Under any Liability Coverage, to bodily injury or property . damage re- sulting from the hazardous properties of nuclear material, if (1) the nuclear material (a) is at any nuclear facility owned by, . or op- erated by or on behalf of, an insured or (b) has been discharged or dispersed therefrom; (2) the nuclear' material is contained in spent fuel or waste at any time possessed, handled, used, processed, stored, transported or disposed of by or on behalf of an insured; or (3) the bodily injury or property damage arises out of the furnishing by an insured of services, materials, parts or equipment in connection with the planning, construction, maintenance, operation or use of any nuclear facility, but if such facility is located within the United States of America„ its territories or possessions or Canada, this exclusion (3) applies only to property damage to such nuclear facility and any property thereat. 2. As used in this provision: "hazardous properties" or explosive properties; dear material" means Atomic Energy Act of 1954 or in any law amendatory thereof; "spent fuel" means any fuel element or fuel component, solid or liquid, which has been used or exposed to .radiation in a nuclear reactor; "waste" means any waste material (1) containing byproduct material and (2) resulting from the opera. tion by any person or organization of any nuclear facility included within the definition of nuclear facility under paragraph a. or b. thereof; "nuclear facility" means - a. any nuclear reactor, b. any equipment or device designed or used for (1) separating the isotopes of uranium or plutonium, (2) processing or utilizing spent fuel, or (3) handling, processing or packaging waste,.. c. any equipment or device used for the processing, fabricating or alloying of special nuclear material if at any time the total amount of such material in the custody of the insured at the premises where: such equip- ment or device is located consists of or contains more than 25' grams of plutonium or uranium 233 or any combination thereof, or more than 250 grams of uranium 235, d. any .structure, basin, excavation, premises or place prepared or used for the storage or disposal of waste, . and includes the site on which any of the foregoing is located, all operations conducted on such site and all premises used for such operations; "nuclear reactor" means any apparatus designed or used to sustain nuclear fission in a self - supporting chain reaction or to contain a critical mass of fissionable material; "property damage" includes all forms of radioactive contamination of property. DEFINITIONS- SECTION II When used in the provisions applicable to Section 11 of this policy (including endorsements forming a part hereof): "automobile" means a land motor vehicle, trailer or semi - trailer' designed for travel on public roads (including any machinery or apparatus attached there- to), but does not include mobile equipment; "bodily injury" means bodily injury; sickness or disease sustained by any person; "completed operations hazard" includes bodily injury and property damage arising out of operations or reliance upon a representation or warranty made at any time with respect thereto, but only if the bodily injury or property damage.. occurs after such operations have been completed or abandoned and occurs away from premises owned by or rented to the named insured. "Operations" include materials, parts or equipment furnished in connection therewith. Operations shall be deemed completed at the earliest of the following ttmes: - (1) when all operations to be performed by or on behalf of the named insured under the contract have been completed, (2) when all operations to be performed by or on behalf of the named insured at the site of the operations have been completed, or (3) when the portion of they work out of which the injury or damage arises has been put to its intended use by any person or organization other than an- other contractor or subcontractor engaged in performing operations for a principal as a part of the same project. Operations which may require further service or maintenance work; or correc- tion, repair or replacement because of any defect or deficiency, but which are otherwise complete, shall be deemed completed. The completed operations hazard does not include bodily injury or property damage arising out of (1) operations in connection with the transportation of property, unless the bodily injury or property damage arises out of a condition in or on a vehicle created by the loading or unloading thereof, (2) the existence of tools, uninstalled equipment or abandoned or unused materials or (3) opera- tions for which the classification stated in the policy or in the Company's man- ual specifies "including completed operations "; "damages" includes damages for death and for care and loss of services resulting from bodily injury and damages for loss of use of property resulting from property damage; "elevator" means any hoisting or lowering device to connect floors or land- ings, whether or not in service, and all appliances thereof including any car, platform, shaft, hoistway, stairway, runway, power equipment and machinery; but does not include an automobile servicing hoist, or a hoist without a. plat- form outside a building if without mechanical power or if not attached to build- ing walls, or a hod or material hoist used in alteration, construction or demo. lition operations, or an inclined conveyor used exclusively for carrying property or a dumbwaiter used exclusively for carrying property and having a compart- ment height not exceeding four feet; "incidental contract" means any written (1) lease . of premises, (2) easement agreement, except in connection with construction or demolition operations on Form No. M716J (California) Rev. 10156 (5) or adjacent to a railroad, (3) undertaking to indemnify a municipality required by municipal ordinance, except in connection with work for the municipality, (4) sidetrack agreement, or (5) elevator maintenance agreement; "insured" means any person or organization qualifying as an insured in the "Persons Insured" provision of the applicable insurance coverage. The insurance: afforded applies separately to each insured against whom claim is made or suit is brought, except with respect to the limits of the Company's liability; "insured premises" means (1) the premises designated in the Declarations, (2) premises alienated by the named insured (other than premises constructed for sale by the named insured), if possession has been relinquished to others, and (3) premises as to which the named insured acquires ownership or control and reports his intention to insure such premises under this policy and no other within 30 days after such acquisition; and includes the ways immediately ad- joining such premises on land; "medical expenses" means expenses for necessary medical, surgical, x -ray and dental services, including prosthetic devices and necessary ambulance, hos- pital, professional nursing and funeral services; "mobile equipment" means a land vehicle (including any machinery or appara- tus attached thereto), whether or not self - propelled, (1) not subject to motor vehicle registration, or (2) maintained for use exclusively on premises owned by or rented to the named insured, including the ways immediately adjoining, or (3) designed for use principally off public roads, or (4) designed or maintained for the sole purpose of affording mobility to equipment of the following types forming an integral part of or permanently attached to such vehicle: power cranes, shovels, loaders, diggers and drills; concrete mixers (other than the mix -in- transit type); graders, scrapers, rollers and other road construction or repair equipment; air-compressors, pumps and generators, including spraying, welding and building cleaning equipment; and geophysical exploration and well servicing equipment; "named insured" means the person or organization named in Item 1 of the Declarations of this policy; "named insured's products" means goods or products manufactured, sold. handled or distributed by the named insured or by others trading under his name, including any container thereof (other than a vehicle), but "named' in- sured's products" shall not include a vending machine or any property other than such container, rented to or located for use of others but not sold; "occurrence" means an accident, including . injurious exposure to conditions, which results, during the policy period, in bodily injury or property damage neither expected nor intended from the standpoint of the insured; "products hazard" includes bodily injury and property damage arising out. of the named insured's products or reliance upon a representation or warranty made at any time with respect thereto; but only if the bodily injury or prop- erty damage . occurs away from premises owned by or rented to the named in- sured and after physical possession of such products has been relinquished to others; "property damage" means injury to or destruction of tangible property. K O �, Insslrt Declarations Page (Part Two), Form and Endorsements here so- that 14L,edge• butts against fold of Contract, permits policy number on Declaration Age to appear through window. F. OTHER INSURANCE: 1. LOSS BY FIRE OR OTHER PERILS NOT PROVIDED FOR IN 2. BELOW: IF AT THE TIME OF THE LOSS, THERE IS OTHER INSURANCE AVAILABLE TO THE INSURED OR ANY OTHER INTERESTED PARTY COVERING SUCH LOSS OR WHICH WOULD HAVE COVERED SUCH LOSS EXCEPT FOR THE EXISTENCE OF THIS INSURANCE, THEN THE COMPANY SHALL BE LIABLE AS FOLLOWS: A. IF SUCH INSURANCE IS CONTRIBUTING INSURANCE, DEFINED AS ANY INSURANCE WRITTEN IN THE NAME OF THE INSURED, UPON THE SAME PLAN, TERMS; CONDITIONS AND PROVISIONS AS CONTAINED IN THIS POLICY WHETHER COLLECTIBLE OR NOT, THE COMPANY SHALL BE LIABLE FOR NO GREATER PROPORTION OF ANY LOSS THAN THE LIMIT OF LIA- BILITY UNDER THIS POLICY BEARS TO THE WHOLE AMOUNT OF INSUR- ANCE COVERING SUCH PROPERTY. O. IF SUCH INSURANCE IS SPECIFIC INSURANCE, . DEFINED AS ANY INSUR- ANCE OTHER. THAN THAT DESCRIBED AS CONTRIBUTING INSURANCE IN A. ABOVE, THE COMPANY SHALL NOT BE LIABLE FOR ANY LOSS HERE. UNDER UNTIL THE LIABILITY OF SUCH SPECIFIC INSURANCE HAS BEEN EXHAUSTED, AND THEN SHALL COVER ONLY SUCH AMOUNT AS MAY EXCEED THE AMOUNT DUE FROM SUCH SPECIFIC INSURANCE (WHETHER COLLECTIBLE OR NOT) AFTER APPLICATION OF ANY CONTRIBUTION, COINSURANCE, AVERAGE OR DISTRIBUTION OR OTHER. CLAUSES CON- TAINED IN POLICIES OF SUCH SPECIFIC INSURANCE AFFECTING THE AMOUNT COLLECTIBLE THEREUNDER, NOT .EXCEEDING. HOWEVER, THE APPLICABLE LIMIT OF LIABILITY UNDER THIS POLICY. 2. Loss by burglary, robbery or theft or loss of personal property covered on an unspecified peril basis: Insurance :under this policy shall apply as excess insurance over any other valid and collectible insurance which would apply in the absence of this policy. 3. WHEN LOSS UNDER THIS POLICY IS SUBJECT TO A DEDUCTIBLE, THE COM- PANY SHALL NOT BE LIABLE FOR MORE THAN ITS PRO RATA SHARE OF SUCH LOSS IN EXCESS OF THE DEDUCTIBLE AMOUNT. G. NO BENEFIT TO BAILEE: THIS INSURANCE SHALL IN NO WISE INURE DIRECTLY OR INDIRECTLY TO THE BENEFIT OF ANY CARRIER. OR OTHER. BAILEE FOR HIRE. H. LOSS PAYABLE CLAUSE: Loss if any, shall be adjusted with the named in- sured and shall be payable to him unless other payee is specifically named hereunder. 1. REPORT TO POLICE: WHEN EITHER A LOSS OR OCCURRENCE TAKES PLACE, . THE INSURED SHALL GIVE NOTICE THEREOF TO THE PROPER POLICE AUTHORITY IF LOSS OR OCCURRENCE IS DUE TO A VIOLATION OF A LAW. THE FOLLOWING PROVISIONS APPLY TO SECTION II A. MODIFICATION OF TERMS: Provisions on Page 2, other than those pertaining to waiver, cancellation and concealment and fraud, do not apply. B; FINANCIAL RESPONSIBILITY LAWS: When this policy is certified as proof of financial responsibility for the future under the provisions of'. any motor vehicle financial responsibility law, such insurance as is afforded by this policy for bodily, injury liability or for property damage liability shall comply with the provisions of such law to the extent of the coverage and limits of liability required by such law. The insured agrees to reimburse the Company for any payment made by the Company which it would not have been obligated to make under the terms of this policy except for the agreement contained in this para- graph. C. PREMIUM All premiums for this insurance shall be computed in accordance with the Company's rules, rates, rating plans, premiums and minimum premiums applicable to the insurance afforded herein. Premium designated in this policy as "provisional premium" is a deposit pre- mium only which shall be credited to the amount of the earned premium due at the end of the policy period. At the close of each annual period (or part thereof terminating with the end of the policy period), the earned premium shall be computed for such period and, upon notice thereof to the named insured, . shall become due and payable. If the total earned premium for the policy period is less than the premium previously paid, the Company shall return to the named insured the unearned portion paid . by the named insured. The named insured shall maintain records of such information as is necessary for premium computation, and shall send copies of such records to the Com- pany at the end of the policy period and at such times during thee. policy period as the Company may direct. D. INSURED'S DUTIES IN THE EVENT OF OCCURRENCE, CLAIM OR SUIT: 1. In the event of an occurrence, written notice containing particulars sufficient to identify the insured and also reasonably .obtainable information with respect to the time, place and circumstances thereof, and the names and addresses of the injured and of available witnesses, shall be given by or for the insured to the Company or any of its authorized agents as soon as practicable. The named insured shall promptly take at his expense all rea- sonable steps to prevent other bodily injury or property damage. from arising out of the same or similar conditions, but such expense shall not be recov- erable under this policy. 2. If claim is made or suit is brought against the insured, the insured shall immediately forward to the Company every demand, notice, summons or other process received by him or his representative. 3. The insured shall cooperate with the Company and, upon the Company's re- quest, assist in making settlements, in the conduct of suits and in enforcing. any right of contribution or indemnity against any person or organization who may be liable to the insured .because of bodily injury or property damage with respect to which insurance is afforded under this policy; and the in- sured shall attend hearings and trials and assist in securing and giving . evi. dence and obtaining the attendance of witnesses. The insured shall not, :except at his own cost, voluntarily make any payment, assume any obligation or incur any expense other than for first. aid to others at the time of accident. E. MEDICAL REPORTS, PROOF SAND PAYMENT OF CLAIM — COVERAGE D: As soon as practicable the injured person or someone on his behalf shall give to the Company written proof of claim for medical expense, under oath if required, and shall, after each request from the Company, execute authorization to enable the Company to obtain medical reports and copies of records. The injured person shall submit to physical examination by physicians selected by the Company when and as often as the Company may reasonably require. The Company may (4) pay the injured person or any person or organization rendering the services and the payment shall reduce the amount payable hereunder for such injury. Pay- ment hereunder shall not constitute an admission of liability of any person or, except .hereunder, of the Company. F , OTHER . INSURANCE: This insurance is primary insurance, except when stated to apply in excess of or contingent upon the absence of other insurance. When this insurance is primary and the insured has other insurance which is stated to be applicable to the loss on an excess or contingent basis, the amount of the Company's liability under this policy shall not be reduced by the existence of such other insurance. When both this insurance and other insurance apply to the loss on the same basis, whether primary, excess or contingent, the Company shall not be liable under this policy for a greater proportion of the loss than that stated in the applicable contribution provision below: 1. Contribution by Equal 'Shares: If' all of such other valid and collectible in• surance provides for contribution by equal shares, the Company shall not be liable for a greater proportion of such loss than would be payable if each insurer contributes an equal share .until the share of each insurer equals the lowest applicable limit of liability under any one policy or the full amount of the loss is paid, and with respect to any amount of loss not so paid the remaining insurers then continue to contribute equal shares of the remaining amount of the loss until each such insurer has paid its limit in full or the full amount of the loss is paid. 2. Contribution by Limits: If any of such other insurance does not provide for contribution by equal shares, the Company shall not be liable for a greater proportion of such loss than the applicable limit of liability under this policy for such loss bears to the total applicable limit of liability of all valid and collectible insurance against such loss. This provision does not apply to any medical expense insurance afforded by the policy. G. ACTION AGAINST COMPANY: No action shall lie against the Company unless,: as a condition precedent thereto, there shall have been full compliance with all of the terms of this policy, nor until the amount of the insured's obligation to pay shall have been finally determined either by judgment against the in- sured after actual trial or by written agreement of the insured, the claimant and the Company. Any person or organization or the .legal representative thereof who has secured such judgment or written agreement shall thereafter be entitled to recover under this policy to the extent of the insurance afforded by this policy. No person or organization shall have any right .under this policy to join the Com- pany_as'a party to any action against the insured to determine the insured's liability, nor shall. the Company be impleaded by the insured or his legal repre- sentative. Bankruptcy or insolvency of the insured or of the insured's estate shall not relieve the Company of any of its obligations hereunder. H. NUCLEAR EXCLUSION: This policy does not apply: a. Under any Liability Coverage, to bodily injury or property damage (1) with respect to which an insured under this policy is also an insured under a nuclear energy liability policy issued by Nuclear Energy Lia- bility Insurance Association, Mutual Atomic Energy Liability Under- writers or Nuclear Insurance Association of Canada, or would be an insured .under any such policy but for its termination upon exhaustion of its limit of liability; or THIS IS A TRUE CERTIFIED COPY OF — 1ISSUED C POLICY DER Z80 65 ;. 2 —i3 -69 Nw_69 VICE COMMERCIAL PACKAGE SIG PRESIDENT SPECIAL MULTI -PERIL DAILY REPORT By a 0 Z Item DECLARATIONS POLICY NUM ER ML 8 80 65 NEWPORT BEACH CABLEVISION INC., — Nameci Jnjured ET AL, AS PER END. "B" DO NOT 1. and P. 0. Address P... O. BOX 2325 PUNCH gent, (Number,. Street, Town, County, State &.Tip No.) NEWPORT BEACH, CALIFORNIA 92660 2. POIICy PerlOd:. f ON E At LDCA' N OTANDARD DESCRIBED E PROPERTY From: JAN. 1. 1969 To: JAN. 1 1972 3 YEARS REPRESENTATIVE: Agent or Broker PEACOCK INSURANCE INC.. 30216 Office Address P. 0. BOX 1128 Town and State LAGUNA BEACH, CALIFORNIA 92651 UNITED STATES" FIRE INSURANCE COMPANY NEW YORK, N.Y. 3. The Named Insured is: E] Individual (Z Corporation E] Partnership El Joint Venture Other: 4. Location of Premises (Enter "Same" if same location as above) Occupancy of Premises 1• AS PER ENDORSEMENT "A" BROADCASTING AND 2. TELEVISION STATION 3. 5. Insurance is provided with respect to those premises described above and with respect to those coverages and kinds of property for which a specific limit of liability is shown, subject to all of the terms of this policy including forms and endorsements made a part hereof: Coinsurance LIMIT OF LIABILITY SECTION I— PROPERTY COVERAGE Percentage Loc. No. Bldg. No. Loc. No. Bldg. No. Loc. No. Bldg. He. Applicable D Coy, A— Building(s) 1 $ NANM AS 0 $ I Coy. B— Personal Property $ Kill L $ J; U $ 11. Addl. Coy, (Specify) S $ $ $ 1 Lass Deductible Clause No. 1 ism applicable. Loss Deductible Clause No. 2 is NOT applicable. N 2 Addl. Coy. (Specify) NOTE; LOSS DED CTIBL AS PER MU -7 APPLICABLE $ $ IS SECTION II— LIABILITY COVERAGE LIMIT OF LIABILITY Coy. C— Bodily Injury and Property Damage Liability $ SEE each occurrence $ SMP 4401A aggregate Coy. D— Premises Medical Payments $ each person Is each accident Addl. Coy. (Specify) SECTION III— CRIME COVERAGE SECTION IV— BOILER AND MACHINERY COVERAGE Limits as stated in the endorsement, made part of this Policy, if indicated by ED. 6. Forms and Endorsements made part of this Policy MU- 131;MU -70,3 yEND. "A & "B & C s at time of Issue: (Insert ND. and Edition Date) SMP 4401A 7. Mortgagee: (Name and Address) _ 8.. The Total Provisional Premium is $ AS PER and is payable $ END 11C" at inception, and $ at each anniversary. Form No. M716DR (California) Rev. 10.1.66 PEACOCK iD'�" ^ "•''��, INC.- -�/ 4.'_42 gent, B Y ®VC • �l COMPREHENSIVE PACKAGE FORM SECTION II— COPiIPREHENSIVE GENERAL LIABILITY This Declarations page and Coverage Part(s) with PROVISIONS APPLICABLE TO SECTION II completes SECTION II SUPPLEMENTAL POLICY This policy shall be attached to Policy Number MI_ $ 60_ PEACOCK INSURANCE, INIII Countersigned by C♦ N Authorized Representative ssw 44olA (9166) The insurance afforded is only with respect to such of the following.. Parts .designated by an 'T' in O and Coverages therein as are 'indicated by specific premium charge or charges. The limit of the company's liability against each such Coverage shall be as stated herein, subject to all the terms of this policy having reference thereto. - Comprehensive General Liability Insurance..._... . ADVANCE Owners', Landlords' and Tenants' liability Insurance .... ❑ Manufacturers' and Contractors' Liability Insurance .... [ LIMITS OF LIABILITY PREMIUM Contractual Liability Insurance ........................ ❑ rEACH PERSON EACH OCCURRENCE AGGREGATE Completed Operations and Products Liability Insurance .. ❑ Bodily Injury Liability $ II3CL. 000 y0 fl. SINGLE 3,IAi2TS Property Damage Liability XXXXXX $AS PER $CU -10 $ INCL. EACH PERSON I EACH ACCIDENT ` g Is Premises Medical Payments Insurance ................ ❑ $ EACH PERSON AGGREGATE GENERAL AGGREGATE Personal Injury Liability Insurance ...... _ ........... $ INCL. $ i- .000 000. Is 1,000,000. Comprehensive Personal Insurance ...................... ❑ EACH EACH EACH Farmer's Comprehensive Personal Insurance ........... ❑ PERSON OCCURRENCE ACCIDENT Personal Liability XXXXXX $ XXXXXX Personal Medical Payments $ XXXXXX $ 1 $ Physical Damage to Property XXXXXX $ XXXXXX PoP�maeir m r :, cum.....• . r...,,,� �..uaa�. .•�n Animal Collision Market value not exceeding $300 each animal $ Comprehensive Automobile Liability Insurance .......... 12 EACH PERSON EACH OCCURRENCE Bodily Injury Liability Property Damage Liability $ INCL. $ INCL. $ 1 90000000. XXXXXX $ SINGLE LIMIT $AS PER CU --130 EACH PERSON EACH ACCIDENT Automobile Medical Payments Insurance .............. EJ Uninsured Motorists Insurance ...................... IR $. INCL.. s INCL. $ 29000. $ XXXXXX $ 10.000. Garage Insurance : _ . ............................... ❑ See Coverage Part for Limits of Liability $ Automobile Physical Damage Insurance (Non-Fleet) ..... Automobile Physical Damage Insurance (Fleet Automatic). ❑ See. Coverage Part for Limits of Liability $ INCL. Endorsements and Additional Coverage Parts L4051S;L4065S ;L4056S•L4063S ;L4 i j (IDENTIFY BY FORM NUMGERSi .a^ — —.2 2:• i 6 62S ;.L4071S $ Total Advance Premium I $ T%Try, Audit Period: .Annual. unless otherwise. stated." "ABSENCE OF AN ENTRY MEANS "NO EXCEPTION ". PEACOCK INSURANCE, INIII Countersigned by C♦ N Authorized Representative ssw 44olA (9166) 9"ppkwteada4.y Parsx" The company will pay,: in addition to the applicable limit of liability: because of accident or traffic: law violation arising out of the use of any vehicle (a) all expenses incurred by the company, all costs taxed against the insured to which this policy applies, . not to exceed $250 per bail bond, but the company in any suit defended by the company and all interest on the entire amount of any shall have no obligation . to apply for or furnish any such bonds; judgment therein which accrues after entry of the judgment and before the com- Qany has paid or tendered or deposited in court that part of the judgment which .(c) expenses incurred by the insured for first aid to others at the time of an does not exceed the limit of the company's liability thereon; accident, for bodily injury to which this policy applies; - (b) premiums on appeal bonds required in any such suit, premiums on bonds to (d) reasonable expenses incurred by thq Insured at the company's request, in release attachments in any such suit for an amount not in excess of the applicable eluding actual loss of wages or salary (but not loss of other income) rot to exceed limit of liability-of this policy, and the cost of bail bonds required of the insured $25 per day because of his attendance at hearings or trials at such request. When used in this policy (including endorsements forming part hereof): or by se hazard" includes "structural property damage' as defined herein and damage to any other property at any time resulting therefrom. "Structural . damage" means.. the collapse of or structural injury to any building or due to (1) grading of land, excavating, borrowing, filling, back-filling, t, pile driving; cofferdam work or caisson work or (2) moving, shoring; or demolition of any building . or structure or removal or re aural support thereof. The collapse hazard does not include arising out of operations performed for the named insured by ors, or (2) included within the completed operations hazard . property damage hazard, or (3) for which liability is assumed an incidental contract; "underground property damage hazard" includes underground property damage as defined herein and property damage to any other property at any time resulting therefrom. "Underground property damage' means property damage to wires, conduits, pipes, mains, .sewers, tanks, tunoeis, any similar property, and anp apparatus n connection therewith, beneath the surface of the ground or water, caused by andcccurrng during the use of mechanical equpment for the purpose of grading land . paving, excavating drilling, borrowing, tilling;. back•filling or pile driving. The underground: property damage hazard does not includeproperty damage 1) arising out of operations performed for the named insured by independent cun• tractors, or f21 included within the completed operations hazard, or (3) for which liability is assumed by the Insured under an incidental contract. "explosion hazard" includes property damage arising out of blasting or ex. plosion. The explosion hazard does not include property damage (1) arising out of the explosion of air or steam vessels, piping under pressure, prime movers, ma. chinery or power transmitting equipment, or (2) arising out of operations performed for the named insured by ,independent contractors, or (3) included within the completed operations hazard or the underground property damage hazard, or (q) for which liability is assumed by the insured under an incidental contract;. BROAOSTING AND TELEVISION STATIO PROPERTY DAMAGE FORM LOCATIONS AND LIMITS OF LIABILITY This policy being forlo of the total contributing insurance, liability of this Company is limited to the some percentage of any loss resulting from one occurrence regardless of whether one or more perils contribute to such loss, and in no event to exceed the some percentage of each of the following limits, but no insurance attaches under any one or more of the following unless a specific limit is inserted in the blank immediately opposite the item. LOCATION RAIN RS.. AN SEE ENDORSMWT "An .-k 6@ t 049 i COVERAGE BLVD. A C 0 LIMIT OF LIABILITY $ 1,600.00 $ 217,800.00 $ but not to exceed $ per item -U —A—DM AT MCIADOS ST MISSION VI�EJO3 A $ 7,500.00 CIF. B $ C $ D $ but not to exceed per item 961 W. 16TH STREET, COSTA MESA CALIF. A $ 2,100.00 B $ C $ D $ but not to exceed $ per item FLOATING EQUIPMENT, that is, equipment ordinarily used away from the Insured's premises and consisting principally of microphone stands, microphones; cables, portable cameras and truck- mounted transmitting equipment, wherever located within the territorial limits of this policy and while in due course of transit on the Insured's vehicles. i •s• �a Property while in the due course of transit in the custody of carriers for hire, or property while temporarily in the custody of others for adjustment or repair. $ 1F1. 000.00 COINSURANCE: This Company shall be liable in the event Q�f Loss or damage for no greater proportion thereof than the amount hereby Insured bears to 70 % of the actual cash value of all property covered hereunder. In no event shall this policy be liable for more than the limit of liability stipulated herein. If this policy be divided into two or more separate items, the foregoing shall apply to each item separately. it is understood and agreed the conditions of this Coinsurance Clause shall not apply to property of others used in program displays if insured hereunder. MU -131 (6/65) BRORDCASTING AND TELEVISION STA INS PROPERTY DAMAGE FORM INTEREST AND PROPERTY INSURED: This policy covers on the following property of the Insured usual to the conduct of the Insured's business, also property held in trust or on which the Insured has made advances (or on which the Insured has agreed to insure prior to occur- rence of loss, damage or expense) provided the Insured shall be liable by law for loss or damage thereto or shall have specifically assumed liability therefor and for which an amount is shown on the "Locations and Limits of Liability" form attached. COVERAGE A. TOWERS, ANTENNAS AND APPURTENANCES: COVERAGE B. TRANSMITTER MACHINERY AND EQUIPMENT, OFFICE MACHINERY AND EQUIPMENT, FURNITURE AND FIXTURES AND TENANT'S IMPROVEMENTS consisting of fixtures, alterations, installations or addi- tions comprising a part of the building(s) on such premises and made at the expense of the Insured located in transmitter building. COVERAGE C. Studio Equipment, Office Machinery and Equipment, Furniture and Fixtures, Theatrical Properties, Costumes, Scenery, Musical Scores, Tape Recordings, Films, Transcript and arrangements, Phonograph Records and Tenant's Im- provements consisting of fixtures, alterations, installations or additions comprising a part of the building(s) on such premises and made at the ex- pense of the Insured, but excluding FLOATING EQUIPMENT as herein- after defined. COVERAGE D. PROPERTY OF OTHERS WHILE IN THE CARE, CUSTODY OR CONTROL OF THE INSURED FOR THE PURPOSE OF DISPLAY IN CONNECTION WITH TELEVISION PROGRAMS AND FOR WHICH THE INSURED HAS ASSUMED LIABILITY OR MAY BE LEGALLY LIABLE BY LAW. (NOTE: THE • "LOCATIONS AND LIMITS OF LIABILITY" FORM MUST BE ATTACHED TO COMPLETE THIS POLICY) 2. PROPERTY SUBJECT TO LIMITATIONS: The following property is subject to these addi- tional limitations: (a) The following property is covered only as respects Coverage D, and then only if a limit of liability is shown opposite the item on the "LOCATIONS AND LIMITS OF LIABIL- ITY" FORM attached: (1) Fur, Fur garments, jewels, jewelry, watches, pearls, precious and semi - precious stones, gold, silver, platinum and other precious metals and alloys. (2) Automobiles, motor trucks, trailers, motorcycles, similar vehicles licensed or de- signed for highway use or aircraft, but none of this property is insured hereunder while operating under its own power or while being towed. (3) Watercraft, but this property is not covered while afloat, while operating under its own power or while being towed. (b) Machines and machinery are not covered against loss caused by rupture, bursting or dis- integration of their rotating or moving parts resulting from centrifugal or reciprocating force. (c) Steam boilers, steam pipes, steam turbines and steam engines are not covered against loss caused by bursting, rupture, cracking or explosion originating therein (other than explo- sion of accumulated gases or unconsumed fuel within a fire box or combustion chamber). (d) Tubes, glass, porcelain and fragile articles (photographic lenses excepted) are covered against loss by breakage only if occasioned by collapse of the tower(s), or a material part thereof, fire, lightning, windstorm, earthquake, flood, explosion, aircraft, riot, strike, vandalism, theft or robbery or attempt thereat, collision upset and /or overturn of the transporting conveyance. MU -79 (6/65) Page 1 of 6 (e) Exterior glass or any lettering or ornamentation thereon, neon, automatic and electrical sign(s) are not covered except for loss caused by fire, lightning, smoke, explosion, windstorm, hail, riot, civil commotion, vehicle or aircraft. (f) Property in the open (except property in the custody of carriers for hire) is not covered for loss caused by rain, sleet or snow. 3. PROPERTY NOT COVERED - This policy does not insure: (a) Money, currency, notes, securities, stamps, deeds, accounts, bills, evidence of debt, letters of credit, passports or tickets. (b) Property shipped by mail from the, time it passes into the custody of the Post Office Department. (c) Property while waterborne, except ferry operations incidental to other modes of trans- portation. (d) Live animals, pets or fish. (e) Trees, lawns or growing crops. (f) Property which is more specifically insured in whole or in part under this or any other contract of insurance. (g) Loss or damage to foundations, piers, anchors, cables and equipment below the, surface of the lowest basement floor, or where there is no basement, below the surface of the ground, unless liability therefor is assumed by the Company by endorsement hereon. 4. EXTENSIONS OF COVERAGE: This Company will pay: (a) Debris Removal: For expenses incurred in the removal of debris of property covered occasioned by loss insured against in this policy, but this Company shall not be liable for loss occasioned by the enforcement of any state or municipal law or ordinance which necessitates the demolition of any portion of a building or removal of contents thereof which has not suffered damage by a peril not excluded in this policy; (b) Personal Effects: At the option of the Insured, up to five per cent (5 %) of the limit of liability or amount of insurance specified elsewhere in this policy applicable to the property covered, for loss to personal effects, the property of the Insured or others in or on the premises insured under coverage B and C by fire, lightning, aircraft, explosion, riot, civil commotion, smoke, vehicles, windstorm or hail; (c) Damage to Building by Thieves: For loss (except by fire or explosion) to that part of the building(s) occupied by the Insured and containing property covered and to equipment therein pertaining to the service of the building, directly resulting from theft (including attempt thereat), providing the Insured is the owner of such building or equipment or is Liable for such damage, but in no event shall this extension of coverage apply to glass (other than building blocks) or to any lettering or ornamentation thereon; (d) Retuning of towers and antennae: As respects only radio or television towers specifi- cally insured hereunder, for engineering expenses incurred in retuning said towers or antennae to frequency as a result of their having sustained physical loss or damage otherwise covered by this policy. (e) General Average and Salvage Charges: For General Average and Salvage Charges for which the Insured is liable on shipments covered hereunder. (f) Automatic Reinstatement: Any loss hereunder shall not reduce the amount of this policy. The Company's combined Liability including these extensions of coverage shall not ex- ceed the limits of liability shown under coverage. B and C for the premises at which such damage occurs. 5. PERILS INSURED This policy insures against all risks of direct physical loss of or damage to the insured prop- erty from any external cause, except as hereafter excluded. MU -79 (6/65) ® Page 2 of 6 -i i 0 6. PERILS EXCLUDED This policy does not insure against loss caused by: (a) Earthquake, landslide or other earth movement; unless loss by fire or explosion ensues, and then only for such ensuing loss. This exclusion shall not apply to Coverage ,A to property in transit or to loss arising from theft. (b) Resulting from, contributed to or aggravated by any of the following: (1) Flood, surface water, waves, tidal water or tidal wave, overflow of streams or other bodies of water, or spray from any of the foregoing all whether driven by wind or not; (2) Water which: backs up through sewers or drains; (3) Water below the surface of the ground including that which exerts pressure on or flows, seeps or leaks through sidewalks, driveways, foundations, walls or floors; unless loss by fire or explosion ensues, and this Company shall then be liable only for such ensuing loss. These exclusions shall not apply to Coverage A, to property in transit or to loss arising from theft. (c) Unexplained loss or mysterious disappearance of property (except property in the custody of carriers for hire); or loss or shortage of property disclosed on taking inventory. (d) Dampness or dryness of atmosphere, marring or scratching, vermin, termites or other in- sects, evaporation, loss of weight, leakage of contents, rust, corrosion, exposure to light, contamination, change in flavor, or color of texture or finish, unless such loss or damage to the property insured is caused directly by or resulting from physical damage to the property covered or to premises or conveyances containing such property, by a peril not otherwise excluded. (e) Actual work upon the property covered, faulty materials or workmanship, unless loss by fire or explosion ensues and then only for such ensuing loss. (f) Extremes or changes of temperature, freezing, shrinkage, mechanical breakdown, ordinary depreciation as a result of use (commonly known as wear and tear), gradual deterioration, inherent defect, or expansion or contraction due to changes of temperature, provided that if one of the foregoing named causes results in collapse of the tower(s) or of a material part thereof, this exclusion shall not apply to loss or damage to the tower(s) or other prop- erty insured hereunder, caused by such collapse; (g) Neglect of the insured to use reasonable means to save and preserve the property at the time and after any loss or damage; (h) Electrical injury or disturbance caused by electrical currents artificially generaged un- less loss by fire ensues, and then only for such ensuing loss. (i) Delay, loss of market, loss of use of the property, interruption of business (except as may be provided by endorsement hereto) nor consequential loss of any nature,. (j) Any fraudulent, dishonest or criminal act done by or at the instigation of any Insured, partner or joint adventurer in or of any Ensured, an officer, director or trustee of any In- sured; pilferage, appropriation or concealment of any property covered due to any fraud- ulent, dishonest or criminal act of any employee while working or otherwise, or agent of any Insured, or any person to whom the property covered may be entrusted, other than any carrier for hire. (k) Voluntary parting with title or possession of any property by the Insured or others to whom the property may be entrusted (except by carriers for hire) if induced to do so by any fraudulent scheme, trick, device or false pretense. (1) Any legal proceeding. (m) Enforcement of any local or state ordinance or law regulating the construction, repair, or demolition of building(s) or structure(s) unless such liability is otherwise specifically as- sumed by endorsement hereon; or suspension, lapse or cancellation of any license, lease or contract. MU -79 (6/65) Page 3 of 6 (n) Hostile or warlike action in time of peace or war, including action hindering, combating, or defending against in actual, impending or expected attack, (1) by any government or sovereign power (de jure or de facto), or by any authority maintaining or using military, naval or air forces; or (3) by an agent of any such government, power, authority or forces; Insurrection, rebellion, revolution, civil war, usurped power, or action taken by govern- mental authority in hindering, combating or defending against such an occurrence, sei- zure or destruction under quarantine or customs regulations, confiscation by order of any government or public authority, or risks of contraband or illegal transportation or trade. (This exclusion does not apply to fire and lightning, such exclusion being otherwise pro- vided for in the basic policy.) (o) Nuclear reaction or nuclear radiation or radioactive contamination, all whether con- trolled or uncontrolled, or due to any act or condition incident to any of the foregoing, whether such loss be direct or indirect, proximate or remote, or be in whole or in part caused by, contributed to, or aggravated by any of the perils insured against by this pol- icy, and nuclear reaction or nuclear radiation or radioactive contamination, all whether controlled or uncontrolled, is not "explosion" or "smoke ". (This clause applies to all perils insured against hereunder except the perils of fire and Lightning, which are otherwise provided for in the Nuclear Clause, Paragraph 15 in this form.) 7. DEDUCTIBLE: Each claim for loss or damage (separately occurring) shall be adjusted sepa- rately and from the amount of each such separately adjusted claim the sum of $50.00 shall be deducted. 8. VALUATION - In case of loss the basis of adjustment unless otherwise endorsed hereon shall be as follows: (a) Property of Others At the amount for which the Insured may be Iioble, but in no event to exceed the actual cash value of time and place of loss. In addition, this Company shall be liable for labor and materials expended by the Insured in performing work thereon. (b) Books of Account, Manuscripts, Drawings, Card Index Systems and other Records (Except Film, Tape, Wire or Other Recording Media) For not exceeding the cost of blank books, blank cards and other materials plus actual cost of labor in transcribing or copying such records. (c) Film, Tape, Wire or Other Recording Media For not exceeding the cost of unexposed or blank film, tape, wire or other recording media. (d) Exhibition and Displays At cost to Insured. (e) Tenant's Improvements and Betterments (1) If repaired or replaced at the expense of the Insured within a reasonable time after such loss, the actual cash value of the damaged or destroyed property. (2) If not repaired or replaced within a reasonable time after such loss, that proportion of the original cost of the damaged or destroyed property which the unexpired term of the lease or rental agreement (whether written or oral in effect as of the time of loss) on the date of loss bears to the period(s) from the date(s) such property was in- stalled to the expiration date of such lease or rental agreement. (3) If repaired or replaced at the expense of others for the use of the Insured, there shall be no liability hereunder. (f) Property Not Otherwise Provided For At the actual cash value of property at the time any loss or damage occurs and the loss or damage shall be ascertained or estimated according to such actual cash value with proper deduction for depreciation, however caused, and shall in no event exceed what it would then cost to repair, or replace the some with material of like kind and quality. MU -79 (6/65) Page 4 of 6 0 0 9. TERRITORIAL LIMITS - Bot as hereinafter provided, this poli *overs while the Insured property is: (a) Within and between the forty -eight (48) contiguous United States and in the District of Columbia. (b) Within the Dominion of Canada in due course of transit originating or terminating in the forty - eight (48) contiguous United States and the District of Columbia. 10. Pair and Set Clause: In the event of loss of or damage to any article or articles which are a part of a set, the measure of loss or damage to such article or articles shall be a reasonable and fair proportion of the total value of the set, giving consideration to the importance of said article or articles, but in no event shall such loss or damage be construed to mean total loss of set. 11. REPLACEMENT CLAUSE: In case of loss of or damage to any part of the insured property consisting, when complete for sale or use, of several parts, this Company shall only be liable for the actual cash value of the part lost or damaged. 1.2. CARRIERS AND BAILEES: This insurance shall in no wise inure directly or indirectly to the benefit of any carrier or other bailee. 13. OTHER INSURANCE: This policy does not attach to or become insurance against any peril upon property herein described, which at the time of any, loss is covered by other insurance (meaning insurance in the name of the Insured but not written upon the identical plan, terms, conditions and provisions contained in this policy) until the liability of such insurance has been exhausted, and then cover only such loss as may exceed the amount due from such other insurance (whether collectible or not) after application of any contribution, coinsurance, average or distribution or other clauses contained in policies of such other insurance affect- ing the amount collectible thereunder, not, however, exceeding the limits as set forth herein. 14. PROTECTION OF PROPERTY: In the event of loss, it shall be necessary for the Insured to use all lawful and proper efforts for the safeguarding and recovery of property covered or its value without prejudice to this insurance, and this Company will contribute to the just and reasonable charges thereof in such proportion as the amount of insurance hereunder bears to the whole value of the property involved in the disaster at the time such loss shall occur. The acts of each party or their agents in saving, preserving or recovering the property shall not be considered or held to be either a waiver or an acceptance of abandonment. 15. NUCLEAR CLAUSE: The word "Fire" in this policy or endorsements attached hereto is not intended to and does not embrace nuclear reaction or nuclear radiation or radioactive con - tamination, all whether controlled or uncontrolled and loss by nuclear reaction or nuclear radiation or radioactive contamination is not intended to be and is not insured against by this policy or said endorsements, whether such loss be direct or indirect, proximate or remote,, or be in whole or in part caused by, contributed to or aggravated by "Fire" or any other perils insured against by this policy or said endorsements; however, subject to the foregoing and all provisions of this policy, direct loss by "Fire" resulting from nuclear reaction or nuclear radiation or radioactive contamination is insured against by this policy. 16. PERMITS AND AGREEMENTS CLAUSE: Except as otherwise more specifically provided in this policy; (1) Permission granted (a) for any building to be and remain vacant or unoccupied without limit of time, and (b) for existing and increased hazards and for any change in occupancy or use of the premises; (2) This insurance shall not be prejudiced (a) by any act or neglect of the owner of any building if the Insured is not the owner thereof, or by any act or neglect of any occupant (other than the Insured) of any building, when such act or neglect of the owner or occu- pant is not within the control of the Insured, or (b) by failure of the Insured to comply with any warranty or condition contained in any form or endorsement attached to this policy with regard to any portion of the premises over which the Insured has no control. MU -79 (6/65) Page 5 of 6 17. SUBROGATION WAIVER CLAUSE: This insurance shall not be prejudiced by agreement made by the Insured releasing or waiving the Insured's right of recovery against third parties respon- sible for the loss under the following circumstances only; (1) If made before loss has occurred, such agreement may run in favor of any third party; (2) If made after loss has occurred, such agreement may run in favor of any third party falling within one of the following categories at the time of loss: (a) A third party insured under this policy; (b) A corporation, firm or entity (1) owned or controlled by the Insured or in which the Insured owns capital stock or other proprietary interest, or (II) owning or controlling the Insured or owning or controlling capital stock or other proprie- tory interest in the Insured; (3) Whether made before or after Loss has occurred, such agreement must release or waive the entire right of recovery of the Insured against such third party. 18. CANCELLATION: This polity may be cancelled by the Insured by mailing to this Company written notice stating when such cancellation shall be effective. This policy may be can- celled by this Company by mailing to the Insured at the address shown in this policy or last known address written notice stating when, not less than five (5) days thereafter, such cancel- lation shall be effective. The mailing of notice as aforesaid shall be sufficient proof of notice and the effective date of cancellation stated in the notice shall become the end of the policy. Delivery of such written notice either by the Insured or by this Company shall be equivalent to mailing. If the Insured cancels, earned premiums shall be computed in accordance with the customary short rate table and procedure. If this Company cancels, earned premiums shall be computed pro rata. Premium adjustments may be made at the time cancellation is effected and, if not then made, shall be made as soon as practicable after cancellation becomes effective. This Company's check or the check of its representative mailed or delivered as aforesaid shall be a sufficient tender of any refund or premium due to the Insured. In the event of cancellation by the Insured, it is understood and agreed that the minimum earned premium hereunder shall not be less than $100.00. 19. This policy shall be void unless otherwise provided by agreement in writing added hereto, if The character of the tower(s) and /or antenna(e), design, dimensions or construction thereof be materially altered or changed during the policy term; but this shall not apply to temporary alterations or changes which are incidental to the performance of necessary repairs. 20. CONFORMITY TO STATUTE: Terms of this policy which are in conflict with the statutes of the State wherein this policy is issued are hereby amended to conform to statutes. 21. ALL OTHER MATTERS: All matters not provided for herein or by endorsement hereon shall be governed by the terms and conditions of this Company's printed policy form to which this form is attached and which has been issued in conjunction herewith. The foregoing clauses shall, however, be considered to supersede and annul any clause or clauses which may be of the same or similar nature. MU -79 (6/65) 40 Page 6 of 6 STANDARD FORMS. BUR* FORAY 346 (Oct. 1945) LOSS PAYABLE CLAUSE OPTED ATTACHED TO PoLICY NO. NAME OF INSURANCE. COMPANY AND FORMING 1-1 -69 PARTgF _ ML 8 80 65. UNITED STATES FIRE INS CO 5 EO TO NEW I3EACII CADLEVISION INC. ET AL I ... NAM NRCU E NAME a AC N INC S) AGENCY AT 61GNED LAGUNA BEACH* CALIF. „GENT Loss, if any, subject to all the terms and conditions of this policy and to the written agreement, if any, between this Insurer and the following named Payee, is payable to..... '�LV3.SIUiLr..}?.Fir5Fh.1'ATIQ. 4. ING...... ......... _ T 5�pµ��y gy 5 {5 Fyn' {�{�y5 �I 5[E �I} E' E NAME THE WORD$ CHATTEL. MORTOADE E" If INTEREST VAYEE T,pF 1 r� r €�. MORA 4e� f 9 IY IC/Fi A 4UI T . • T. whosemarline address is. ...... /.] .................... ..... .........! ........ ................................................. ............................... 346 AS RESPECTS: ALPYWIATIC NEWS GENERATOR PCG —B WNW Oct. Oct. 1945 w�� �� ENDORSEMENT iAdditional Premium_ Return Premium- Effective on and after JAX. is lg j,) Standard Time this endorsement forms port of policy No. 8 so 65 Expiration Date 1 ®1 -69 Issued to NEWPORT BLICn CiULVISION INC., ET AL By UNITED STATES FIRE I'NSURAWCE Company COVERAGE Fay C, D PT-31 FOPli NU -131 BLANKET AT# 3. 262h PACIFIC COAST IP.9Y.s :VEtaPORT I3EAC119 CALIF. 2. 13620 BAY. DLVD.9 SEL,3 DE;ICIi,, CALIF. 3. 961 w. 161h .ST. , COSTA N SA g CALIF. 4. SPADRA AT PREGIADOS ST.s MISSION VIEJO* CALIF. 5. 1642 E. EDINGER ST., SANTA A:9A, CALIF. All other forms and conditions . of this policy remain unchanged. E&iD. "An PY.o.0. 193 REV. 8167 PRINTED IM U.S.A. PEACOCK INSURANCE, INa3 C. AU RED REPRESENTATIVE t � Additional Premium — & . Return Premium Effective an and.,ofter JIiN. S.. 1969 Standard Time this endorsement forms port of policy No... 11.: S SO Ei1 Expiration Dote Issued to 'NFWPQ T D CTI CAB EVLSION, INC UT A] By MJT TEL' STAIRS FIRF TWSITTiANbE Company NAMED INSURED TO READ AS FOLLOWS: NEWPOIIT BEACH CABLEVISION, INC„ FCB CADLFVISION INC., AND PACIFIC C WLE SERV'IC1 S INC., ARID 1,'ARNER BROS. TV SE'IwICES, INC. o. All other terms and conditions of this policy remain unchanged. END. ugat PM.O.O.1A1 REV. B/eT PRINTED IN U.S.A. PEACOCK INSURANCE, iN (3, AVT D REPRESENTATIVE' A COMPREHENSIVE GENERAL LIABILITY INSURANCE COVERAGE PART., COPY UNITED STATES FIRE INSUOCE COMPANY WESTCH.ESTER • INSURANCE COMPANY THE NORTH RIVER INSURANCE COMPANY l• INTERNATIONAL INSURANCE COMPANY E SCHEDULE General— Automobile Liability Policy No. Gt:X JjJL 8 80 65 GENERAL LIABILITY HAZARDS DESCRIPTION OF HAZARDS CODE No. T.03 PREMiUh96ASE5 RATES ADVANCE PREMIUM - BODILY PROPER Y MILY PROPERTY INVRY p1.M.1GE INIURT DAMAGE Premises - Operations (a) Area (sq. ft.) (a) Per 100 sq. ft. or Area (b) Frontage (t) Remuneration (b) Per linear (c) Per $100 of ft. Remuneration RADIO INSTALLATION RATED AS CATi`V INSTALLATION 5190 }60,00 .296 .297 178. 178. EMPLOYEES ADDfL NAM INSURED PER L9106 50 9. 9. BROAD FOPM Pit PER L6932 iovo 18. PERSONAL INJURY PER L4065S 15% 27. D1LAMCET CONTRACTUAL PER CU -30 10% 18. 18. ADD1 L INSURED PER CU-27 2 15. 17. 30. 34. Elevators (Number at Premises) Number Insured Per Elevator NONE AT INCEPTION independent Contractors .cost Per $too of cost CABLE INSTALLATION 0512 1000003 .027 .025 27. 25. Completed Operations (a) Receipts (a) Per $1,000 of Receipts NOT COVERED Products (b) Sales (p) Per $1,000 of Sales HOUSE FUMISgiIN€: INSTALLATION 1232 250tOOO .091 .069 23. 17. Total Advance B.I. and P.D. Premiums Total Advance Premmm $ Location of all premises owned by, rented to or controlled (ENTER "SAME'' IF SAME AS ITEA1 L, OF DECLARATIDNS) by the named insured t. g As mm. H. Interest of named insured In such premises r+a T " OWNER ", "GENERAL LESSEE" OR "TENANT" Part occupied by named insured n,rmTnn .N .:. ;.� :.' L;'$>. � Ui.' +Ytl i. ' . i.Y ''M Y "" '�Y''lrl� 4`i- i!'ll' '� Y''fr' 'M'9►U;!{Mi' :NCL , When used as a. premium basis: "admissions" means the total number of persons, other than employees of the named insured, admitted to the event insured or to events conducted on the premises Whether on paid admission tickets, complimentary tickets or passes; "cost" means the total cost to the named insured with respect to operations performed for the named insured during the policy period by independent contractors of all work let or sublet in connection with each 'specific project, including the cost of all labor, materials and equipment furnished, used or delivered for use in the execution of such work, whether furnished by the owner, contractor or subcontractor, including all fees, allowances, bonuses or commissions made, paid or due; "receipts" means the gross amount of money charged by the named insured for such operations by the named insured or by others during the policy period as are rated on a receipts basis other than receipts from telecasting, broadcasting or motion pctures,•and includes taxes, other than taxes which the named .insured collects as a separate item and remits directly to a governmental division; "remuneration" means the .entire remuneration earned during the policy period by proprietors and by all employees of the named insured, :other than chauffeurs (except operators of mobile equipment) and aircraft pilots and co- pilots, subject to any overtime earnings or limitation of remuneration rule applicable in accordance with the manuals In use by the company; "sales" means the gross amount of money charged by the named insured or by others trading under his name for all goods and products sold or distributed during the policy period and charged during the policy period for Installation, servicing or repair, and includes taxes, other than taxes which the named insured and such others collect as a separate item and remit directly to a governmental division. Form No. L40SIS Ed. 10.1.66 (over) 1. COVERAGE A— BODILY INIURY- LIABILITY COVERAGE B— PROPERTY DAMAGE LIABILITY The company will pay on behalf of the insured ms which the :insured shall become legally obligated to pay as damages because of Coverage A bodily injury or Coverage B. property damage to which this insurance applies, caused by an occurrence, and the company shall have the right and duty to defend any suit against the insured seeking damages. on .account of such bodily injury or property damage, even if any of the allegations of the suit are groundless, false or fraudulent, and may make such investigation and settlement of any claim or suit as it deems expedient, but the company shall not be obligated to pay any claim or judgment or to defend . any suit after the applicable limit of the company's liability has been exhausted by payment of judgments or This 'insurance does not apply: (a) to liability assumed by 'the insured under any contract or agreement except in Incidental contract; but this exclusion does not apply to a. warranty of fitness or quality of the named insured's products or a warranty that work performed by' or on behalf of the . named insured will be done in a workmanlike manner; (b) to bodily injury or property damage arising.. out of the ow_ nership, maintenance, operation, use, loading . or unloading of (1) any automobile or aircraft owned or operated by or rented or loaned to the named insured; or (2) any other automobile or aircraft operated"by any person in the course of his employment . by the named . insured; but this exclusion does not apply to the parking of an automobile on premises owned by, rented to or controlled by the named insured or the ways immediately adjoining, if such automobile is not owned by or rented or loaned to the named insured; (c) to bodily injury or property damage arising out of and in the course of the transportation of mobile equipment by an automobile owned or operated by or rented or loaned to the named insured; (d) to bodily injury or property damage arising out of the ownership, maintenance, operation, use, loading or unloading of any watercraft, if the bodily injury or prop. erty damage occurs away from premises owned by, rented to or controlled by the named insured; but this exclusion does not apply to bodily injury or property damage included within the products hazard or the completed operations hazard or resulting from operations performed for the named . insured, by independent con- tractors or to liability assumed by the insured under an incidental' contract; (a) to bodily injury or property damage due to war, . whether or not declared, civil war, insurrection, rebellion or revolution or to any act or condition incident to any (1) tiabihty assumed by the insured under an incidental contract, or (2) expenses for first aid under the Supplementary Payments provision; (f) to :bodily injury or property damage for which the insured or his indemnitee may be held liable, as a person or organization engaged in the business of manufactur- ing, distributing, selling or serving alcoholic beverages or as an owner or lessor of premises used for such purposes, by reason of the selling, serving or giving of any alcoholic beverage (1) in violation of any statute; ordinance or regulation, (2) to a minor, (3) to a person under the influence of alcohol, or (4) which: causes or contributes to the "intoxication of any person; (gl to any obligation for which the insured or any carrier as his insurer may be held liable under any workmen's compensation, unemployment compensation or disabil- ity benefits taw, or under any similar law;. (h) to bodily .injury to any employee of the insured arising out of and in the course of his employment by the.. insured; but this exclusion does not apply to liability assumed by the Insured under an incidental contract; W to property damage to (1) property owned or occupied by or rented to the insured, ` .. (2) property used by the insured, or (3) property in the care, custody or control of the insured or as to which the insured is for any purpose exercising physical control; but parts 42) and (3). of this exclusion do not apply with respect to liability under a written sidetrack agreement and part (3) of this exclusion does not apply with respect to property damage (other than to elevators) arising out of the use of an elevator at premises owned by, rented to or controlled by the named insured. (j) to property damage to premises alienated by the named insured arising out of- such premises or any part. thereof; (k) to bodily injury or property damage resulting from the failure of the named - insured's products or work completed by or for the 'named insured to perform the function or serve the purpose intended by the named insured, if such failure is due to a mistake or deficiency in any design, formula, plan, specifications, advertising material or printed instructions prepared or developed by any insured; but this exclusion does not apply to bodily injury or property damage resulting from the active malfunctioning of such products or work; lO to. property damage to the named insured's products arising out of such products or any part of such products; (m) to property damage to work performed by or on behalf of the named insured arising out of the work or any portion thereof, or out of materials, parts or equip- ment furnished in .connection therewith; (n) to damages claimed for the withdrawal, inspection, repair, replacement, or loss of use of the named insured's products or work completed by or for the named insured or of any property of which such products or work form a part, if such products, work or property are withdrawn from the market or from use because of any known or suspected defect or deficiency therein; (o) to property damage included within: (11 the explosion hazard in connection with operations identified in this policy by a classification code number which includes the symbol "x ", (2) the collapse hazard :° connection with oparations identified in this policy by a classification cod her which includes the symbol c ", (3) the underground poly damage hazard in connection with operations identified in this policy by a classification code number which includes the symbol "u". H. PERSONS INSURED Each of the following is an insured under this insurance to the extent set forth below: (a) if the named insured is designated in the declarations as an individual, the person so designated but only with respect to the conduct of a business of which he is the sole proprietor; ' (b) if the named insured is designated in the declarations as a .partnership or joint venture, the partnership or joint venture so designated and any partner or member thereof but only with respect to his liability as such; (c) if the named insured'is designated in the declarations as other than an indie victual, partnership or joint venture, the organization so designated and any execu- tive officer, director or stockholder thereof while acting within the scope of his duties as such; W) any person (other than an employee of 'the named insured) or organization while acting as real estate manager for the named insured; and (e) with respect to the operation, for the purpose of - locomotion upon a public . highway, of mobile equipment registered under any motor. vehicle registration law, (i) an employee of the named insured while operating any such equipment in the course of his employment, and (ii) any other person while operating with the permission of the named insured any such equipment registered in the name of the named insured and any per- son or organization legally responsible for such operation, but only if there is no other valid and collectible insurance available, either on aprimary or excess . basis, to such person or organization; provided that no person or- organization shall be an insured under this paragraph (e) with respect to; Ill bodily injury to any fellow employee of such person injured in the course of his employment, or (2) property damage to property owned by, rented to, in charge of or occupied by the named insured or the employer of any person described in subparagraph (ii). This insurance does not apply to bodily injury or property damage arising out of the conduct of any partnership or joint venture of which the insured is a.paftner or member and which is not designated in this policy as a named insured. 111. LIMITS OF LIABILITY Regardless of the number of (1) insureds under this policy, (2) persons or organi- zations who sustain bodily injury or property damage, or (3) claims made or suits brought on account of bodily injury or property damage, the company's liability is limited as follows: ' Coverage A —The limit of bodily Injury liability stated in the declarations as applicable to "each person" is the limit of the company's liability for. all damages because of bodily injury sustained by one person as the result, of any one occur• rence; but subject to the above provision respecting "each person', the total liability of the company for all .damages because of bodily lajury sustained by hro or more persons as the result of any one occurrence shall not exceed the limit of bodily injury liability stated in the declarations as applicable to "each occurrence ". Subject to the above provisions respecting "each person" and "each occurrence ", the total liability of the company for all :damages because of (1) all :bodily injury included within the completed operations hazard and (2) all bodily injury included within the products hazard.: shall not exceed the limit of bodily injury liability stated in the declarations as "aggregate ".. Coverage B —The total liability of the company for all damages because of all property damage sustained by one or more persons or organizations as the result of any one occurrence shall not exceed the limit of property damage liability stated in the declarations as applicable to "each occurrence ". Subject to the above provision respecting: "each occurrence ", the total liability of the company for all damages because of all property damage to which this coverage applies and described in any of the numbered subparagraphs below shall . not exceed the limit of property damage liability stated in the declarations as "aggregate ": t1) all property damage arising out of premises or operations rated on a remunera- tion basis or contractor's equipment rated on a receipts basis, including prop. erty damage for which liability is assumed under any incidental contract relating to such premises or operations, but excluding property damage included in subparagraph (2) below; (2) all property damage arising out of and occurring in the course of operations performed for the named insured by independent contractors and general super- vision thereof by the named insured, . including any such property damage for which liability is assumed under any incidental contract relating to such opera- tions, but this subparagraph (2) does. not include- property damage arising out of maintenance or repairs at premises owned by or rented to the named insured or structural alterations at such premises which do not involve changing the size of or moving buildings or other structures; (3) all property damage .included within the products hazard and all property damage included within the completed operations hazard. Such aggregate limit shalt apply separately to the property damage described in subparagraphs (1), (2) and (3) above, and under subparagraphs (1) and (2), separately with respect to each project away from premises owned by or rented to the .named insured. Coverages A and B —For the purpose of determining the limit of the company's liability,. all bodily injury and property damage arising out of continuous or repeated exposure to substantially the same general conditions shall be considered as arising out of one occurrence. IV, POLICY PERIOD; TERRITORY This insurance applies only to bodily injury or property 'damage which occurs during the policy period within the policy territory. PERSONAL INJURY LIABILITY INSURANCE COVERAGE PART COPY COMP STATES FIRE INSOCE COMPANY . _ WESTCHESTER 0 INSURANCE ' Y THE NORTH RIVER INSURANCE COMPANY INTERNATIONAL INSURANCE COMPANY SCHEDULE General— Automobile Liability Policy No.7r ':'::IL 8 $,Q_ (q) The insurance afforded is only with respect to personal injury arising out of an offense included within such of the following groups of offenses as are indicated by specific premium charge or charges.. GROUPS OF OFFENSES ADVANCE PREMIUM A. False Arrest, Detention or Imprisonment, or Malicious Prosecution $ B. Libel; Slander; Defamation or Violation of Right of Privacy $ C. Wrongful Entry or Eviction or Other .Invasion of Right of Private Occupancy $ Insured's Participation— Minimum Premium I $ Total Advance Premium $. 2" INC COVERAGE P— PERSONAL INJURY LIABILITY The company will pay on behalf of the insured all sums which the insured shall become legally :obligated to pay is damages because of injury ,(herein called "personal injury') sustained by any person or organization and arising out of one or more of the following offenses: Group A —false arrest, detention or imprisonment, or malicious prosecution; Group B —the ppublication or utterance of a. libel or slander or of other defamatory or disparaging material, or a publication or utterance in violation of an individual's right of privacy; except publications or utterances in the course of or related to advertising, broadcasting or telecasting activities conducted by or on behalf of the named insured; Group C— wrongful entry or eviction, or other invasion of the right of private occupancy; if such offense is committed during the policy period within the United States of America, its territories or possessions, or Canada, and the company shall have the right and duty to defend any suit against the insured seeking . damages on account of such personal Injury even if any of the allegations of the suit are groundless, false or fraudulent, and may make such investigation, and settlement of any claim or suit as it deems expedient, but the company shall not be obligated to .pay any claim or judgment or W defend any suit after the applicable limit of the company's liability has been exhausted by payment of judgments or settlements. 'Exclusions This insurance does not apply:. (a) to liability assumed by the insured under any contract or agreement; W) to personal injury arising out of the wilful violation of a penal statute or ordinance committed by or with the knowledge or consent of any insured;. (m to personal Injury sustained by any person as a result of an offense directly or indirectly related to the employment of such person by the named. insured; (d) to personal injury arising . out of any publication or utterance described in Group B, if the first injurious publication or utterance of the same or similar material by or on behalf of the named insured was made prior to the effective date of this insurance; (e) to personal injury arising out of a publication or utterance described in Group B concerning any organization or business' enterprise, or products or services, Made by or at the direction of any insured with knowledge of the falsity thereof. . 0. It. PERSONS INSURED Each of the following is an Insured under this insurance to the extent set forth below: (a) if the named insured is designated in the declarations as an individual, the person so designated; IN if the named insured is designated in the declarations as a partnership or joint venture, the partnership or joint venture so designated and any partner or member thereof but only with respect to his liability as such; (c) if the named insured is designated in the declarations as other than an individual, partnership or joint venture, the organization so designated and any executive officer, director or stockholder thereof while acting within the scope of his duties as such. This insurance does not apply to .personal Injury arising out of the conduct of any partnership or joint venture of which the insured is a partner or member and which is not designated in this policy as a named Insured. LIMITS OF LIABILITY INSURED'S PARTICIPATION Regardless of the number of (1) insureds under this policy, l2) persons or organiza. tions who sustain personal Injury, or (3) claims made or suits. brought on account of personal injury, the total liability of the company for all damages because of all personal injury to which this coverage applies, sustained by any one person or organization, shall not exceed the limit of personal injury liability stated in the declarations as "each person aggregate ". Subject to the above provision respecting "each person aggregate ", the total limit of the company's liability under this coverage for all damages shall not exceed the limit of personal injury liability stated in the declarations as "genera[ aggregate ". If a participation percentage is stated in the schedule for the insured, the company shall not be liable for a greater proportion of any loss than the difference between such percentage and one hundred percent and the balance of the loss shall be borne .. by the Insured; provided, the company may pay the Insured's portion of a loss to effect settlement of the loss, and, upon notification of the action taken, the named insured shall promptly reimburse the company. therefor. IV. AMENDED DEFINITION When used in reference to this insurance: "damages" means only those . damages which are payable because of personal injury arising out of an .offense to which this insurance applies. COMPREHENSIVE AUTOMOBILE LIABILITY UNITED STATES FIRE INS CE COMPANY THE NORTH RIVER INSUE COMPANY SCHEDULE ! NSURANCE COVERAGE PART WESTCHESTER INSURANCE COMOA14YI INTERNATIONAL INSURANCE COMPANY I. COPY General — Automobile Liability Poli AUTOMOBILE LIABILITY HA74RDS - DESCRIPTION OF HAZARDS - ADVANCE PREMIUM - 1. Owned Automobiles— .Premium Basis —Per Automobile emuer PoAOMnci Town or City and State in which the Automobile Will Be Principally Garaged year of Model Trade Name Body Type and Model; Truck Size; Tank Gallonage Capao ity; or Bus Seating Capacity Identification Number Serial Number Motor. Number Purposes. of Use 794. 96. 50. M 457. MP AS PER MEDICA1 MINS SCHEDULE PA=29T MD MOTORIST 2. Hired Automobiles— Premium Basis —Cost of Hire Types Hired Locations Where Automobiles will Be Principally Used Purposes of Use Estimated Lost of Hire Rates Per $100 Cost of Hire el PD: NONE Aar INCEPTION 3. Non - Owned Automobiles— Premium Basis —Class I Persons and Class 2 Employees Class IPersons —Name of Each Location of Headquarters of Persons Named Herein IF ANY RATES Bs PD NE:> ponT BEAGi1, CALIF. 4.95 2.81 Class 2 Employees— Estimated Average Number Location of Headquarters of Class 2 Employees. Rates Per Employee 81 I PD 17 m NEWPORT BEACH, CALIF. .214 .123. Total Advance B.I. and P.D. Premiums Total Advance Premium $ When used as a: premium basis: A. "cost of hire" means the am operation of such autcmobile� passengers, other than such s for each $100 of "cost of hir Injury Liability and - Property submits evidence of such insu B. "Class I persons means the employees, including . officers, allowance of any sort; (b) all C. "Class 2 employees" means INOL incurred for (a) the hire of automobiles, including the entire remuneration of each employee of the named insured engaged. in the bject to an average weekly maximum remuneration of $100, and for (b) pickup, transportation or delivery service of property or ces performed by motor carriers which are subject to the security requirements of any motor carrier law or ordinance. The rates shall be 5% of the applicable hired automobile rates; provided the owner of such hired automobile has purchased automobile Bodily [age liability insurance covering the interest of the named insured on a direct primary basis as respects such automobile and :e to the named insured; owing persons, provided their usual duties in the business of the named insured include the use of non-owned automobiles: (a) all he named insured compensated for the use of such automobiles by salary, commission, terms of employment, or specific operating ct agents and representatives of the named insured; employees, including officers, of the named insured, not included in Class 1 persons.. COMP12MKIENSIVE AUTOMOBILE LIABILITY 4V URANCE ; . I. COVERAGE C— BODILY INJURY LIABILITY (iv) any person or organization, other than the named insured, with respect to: COVERAGE D- PROPERTY DAMAGE LIABILITY (1) a motor vehicle while used with any trailer owned or hired by such per son or organization and not covered by like insurance in the company The company will pay on behalf of the insured all sums which the insured, shall (except a trailer designed for use with a private passenger automobile become legally obligated [o pay as damages because of and not being used for business purposes with another type motor vehicle), or Coverage C. bodily injury or (2) a trailer while used with any motor vehicle owned or hired by such per - Coverage D. property damage son or organization and not covered by like insurance in the company; to which this insurance applies, caused by an occurrence and arising out of the (v) any person while employed in or otherwise engaged in duties in connection ownership, maintenance or use, including loading and unloading. of any automobile, with an automobile business, other than an automobile business operated by the. named insured. and the. company shall have the right and duty to defend any suit against the insured seeking damages on account of such bodily injury or property damage, even if any ThJs insurance does not apply to bodily injury or property :damage . arising out of of the allegations of the suit are groundless, false or fraudulent, and may make such non�owood automobile used in the conduct of any partnership or joint venture investigation and settlement of any claim or suit as it deems expedient, but th gfi the insured is a partner or member and which is not designated in this company shall not be obligated to .pay any claim or judgment or to defend any suit �;jlcy as a named insured, or (2) if the named insured is a partnership, an automo•. after the applicable limit of the company's liability has been exhausted by payment bile owned by or registered in the name of a partner thereof. of judgments or settlements: - - - Exclusions This insurance does not'apply: - - (a) to liability assumed by the insured under any contract or agreement; (b) to any obligation for which the insured or any carrier as his insurer may be held liable under any workmen's compensation, unemployment . compensation or disability benefits law, or under any similar taw; (c) to bodily injury to any employee of the insured arising out of and in the course of his employment by the insured, but this exclusion does not apply to any such in jury arising out of and in the course of domestic employment by the insured unless benefits therefor are in whole or in part either payable or required to be provided under any workmen's .compensation law; (d) to property damage to If) property owned or being transported by the insured, or (2). property rented to or in the care, custody or control of the insured, or as to which the insured is for any purpose exercising physical control, other than property damage to a residence or private garage by private passenger auto- mobile covered by this insurance; (e) to bodily injury due 4o war, whether or not declared, . civil war, insurrection, re- bellion or revolution or to any act . or condition incident to any of the foregoing, . with respect to expenses for first aid under the Supplementary Payments provision. it. PERSONS INSURED Each of the following is an ..insured under this insurance 4o the extent set forth below: (a) the named insured; _ :(b) any partner or executive officer thereof, but with respect to a non -owned auto- mobile only while such automobile is being used in the business of the named in- sured; tcl any other person while using, an owned automobile or a hired automobile with the .permission of the named insured, provided his actual operation or (if he is. not operating) his other actual use thereof is within the scope of such permission, but with respect to bodily injury or property damage arising out of the loading or un• loading thereof, such other person shall . be an insured only if he is: (1) a lessee or borrower of the automobile; or (2) an employee of the named insured or of such lessee or borrower; (d) any other person or organization but only with respect to his or its liability be. cause of acts or omissions of,agrnsured under (a), (b) or (c) above. . None of thefollowing is an insured:- , (i) any person while engaged in the business of his employer with respect to bodily Injury to any fellow employee of such person injured in the course of his employment; (ii) the owner or lessee (of whom the named insured is a sublessee) of a hired automobile or the owner of a non -owned automobile, or any agent or em. ployee of any such owner or lessee;. Wit an executive officer with respect to an automobile .owned by him or by a member of his household; . Ill. LIMITS OF LIABILITY - - Regardless of the number of (1) Insureds under this policy, (2) persons or organs zations who sustain bodily injury or property damage; (3) claims made or suits- brought on account of bodily injury . or property damage or (4). automobiles to which this policy applies, the company's liability is limited as follows: Coverage C —The limit of bodily .injury liability stated in the declarations as ap- plicable to "each person" is the limit of the company's liability for all damages because of bodily injury sustained by one person as the result of any one occurrence; but subject to the above provision respecting "each person ", the total liability of the company for all damages because of bodily injury sustained by two or more persons as the result of any one occurrence shall.. not exceed the limit of bodily injury liability stated in the declarations as applicable to "each occurrence ". Coverage D —The total liability of the company for all damages because of all property damage sustained by one or more persons or organizations as the result of any one occurrence shall not exceed the Liit of property damage liability stated in the declarations as applicable to "each occurrence ". - Coverages. C and D For the purpose of determining the limit of the company's liability, all bodily injury and property damage, arising out of continuous or repeated exposure to substantially the same general conditions shall be considered as arising out ofone occurrence. IV. POLICY PERIOD'; TERRITORY - Thisinsurance applies only to bodily injury or property damage which occurs dur• ing the policy period within the territory described in paragraph (1) or (2) of the definition of policy territory. V. ADDITIONAL DEFINITIONS When used in reference to this insurance (including endorsements forming a part of the policy): "automobile business" means the business or occupation of selling, repairing, servicing, storing or parking automobiles; - "hired automobile" means an automobile not owned by the named insured which is used under contract in behalf of, or loaned to, the named insured, provided such automobile is not owned by or registered in the name of (a) a partner or execu- tive officer of the named insured or {b) an employee or agent of the named in• sured who is granted an operating .allowance of any sort . for the use of such automobile; "non-owned automobile" means an automobile which is neither an owned auto- mobile nor a hired automobile; "owned automobile" means an automobile owned by the named. insured; 'private passenger automobile." means a flour wheel private passenger or station wagon type automobile; "trailer" includes semitrailer but does not include mobile equipment... VI. ADDITIONAL CONDITION Excess Insurance —Hired and Non -Owned Automobiles. With respect to a hired automobile or a non-owned automobile, this insurance shall be excess insurance over any other valid and collectible insurance available to the insured. AUTOMOBILE MEDICAL PAYMENTS INSURANCE COVERAGE PART UNITED STATES FIRE IN54kCE COMPANY "� WESTCHESTER16 INSURANCE COMPANY THE NORTH RIVER INSURANCE COMPANY INTERNATIONAL INSURANCE COMPANY SCHEDULE General — Automobile liability Policy No`,'�l ML COPY t3 8o 65 DESIGNATED PERSON 'INSURED ADVANCE PREMIUM Total Advance Premium $ 9'. . INCL.. (1) ® Any owned automobile (2) Any hired automobile (3) F-1 Any licensed owned private passenger automobile (4) ❑ Any .automobile described in the .schedule and designated. "M.P." (5) Q Any non -owned automobile (6) 0 COVERAGE F--- AUTOMOBILE MEDICAL PAYMENTS The company will pay all reasonable medical expense incurred within one year from the date of the accident: Division 1. to or for each person who sustains bodily injury, caused by accident, while occupying a designated automobile which is being used by a person for whom bodily injury liability insurance is afforded under this policy with respect to such use; Division 2. to or for each insured who sustains bodily injury, caused by accident, while occupying or; while a pedestrian, through being struck by -a highway vehicle. Exclusions This insurance does not apply: (a) to bodily injury to any person or insured while employed or otherwise engaged in duties in connection with an automobile business, if benefits therefor are in whole or in part either payable or required to be provided under any workmen's compensation law; (b) to bodily Injury due to war, whether or not declared, civil war, insurrection, rebellion or revolution, . or to any act or condition incident to any of the foregoing; (c) under Division 1, to bodily injury to any employee of the named insured arising out of and in the course of employment by the named insured, but this exclusion does not apply to any such bodily Injury arising out of and in the course of domestic employment by the named insured unless benefits therefor are in whole or in part . either payable or required to be provided under any workmen's compensation law; (d) under Division 2, to bodily injury sustained while occupying a highway vehicle owned by any insured, or furnished for the regular use of any insured by any person or organization other than the named insured. II. PERSONS, INSURED — DIVISION 2. Each of the following is an insured under this insurance to the extent set forth'belaw: (a) any person designated as insured in the schedule; (b).while residents of the same household as such designated person, his spouse and the relatives of either; and if such designated person shall die, any person who was an insured.at the time of such death shall continue to beaninsured. LIMIT OF LIABILITY The limit of liability for Automobile Medical Payments Coverage stated in the declarations as applicable to "each person" is the !imit of the company's liability for all medical expense for bodily Injury to any person, including. any Insured, as the result of any one accident. When more than one medical payments coverage afforded by this policy applies to the loss, the company shall not be liable for more than the amount . of the highest applicable limit of liability, IV.. ADDITIONAL DEFINITIONS The additional definitions applicable to automobile bodily injury liability insurance also apply to this insurance; and when used in reference to this insurance (including endorsements forming a part of the policy):. "designated automobile" means an automobile designated in the schedule and includes: (a) an automobile not owned by the named insured while temporarily used as a substitute for an owned automobile designated in the schedule when with. drawn from normal use for servicing or repair or because of its breakdown, loss or destruction; and (b) -a trailer designed for use with a private passenger automobile, if not being used for business purposes with another type automobile and if not a home, .office, store, display or passenger trailer; "highway vehicle" means a land motor vehicle or trailer other than (a) a farm type tractor or other equipment designed for use principally off public roads, while not upon public roads, (b) a vehicle operated on rails or crawler-treads, or (c) a vehicle while located for use as a residence or premises; "medical expense ". means expenses for necessary medical, surgical, x -ray and dental services, including prosthetic devices, and necessary ambulance, hospital, professional nursing and :funeral. services; "occupying" means in or upon or entering into or alighting from. V. POLICY PERIOD; TERRITORY This insurance applies only to accidents which occur during the policy period within the territory described in paragraph (1) or (2) of the definition of "policy territory ". VI. ADDITIONAL CONDITIONS A. Medical Reports; Proof and Payment of Claim As soon as practicable the injured person or someone on his behalf shall give to the company written proof of claim, under oath if required, and shall, after each request from the company, execute authorization to enable the company to obtain medical reports and copies of records, The injured person shall submit to physical examination by physicians selected by the company when and as often as the company may reasonably require. The company may pay the injured person or any person or organization rendering the services and such payment. shall reduce the amount payable hereunder for such 'injury. Payment hereunder shall not constitute an admission of liability of 'any person or; except hereunder, of the company. B. Excess 'Insurance 'Except with respect to an owned automobile, the insurance under Division I shall be excess insurance over any other valid and collectible automobile medical payments or automobile medical . expense insurance. The insurance under Division 2 shall be excess insurance over any other valid and collectible automobile medical payments or automobile :medical expense insurance . available to the insured under any other policy. PROTECTION AGAINST UNINSURED MOTORISTS INSURANCE COVERAGE DAR UNITED STATES FIRE INSUaE COMPANY WESTCHESTER WNSURANCE COMPANY THE NORTH RIVER INSURANCE COMPANY n(�i9l INTERNATIONAL INSURANCE COMPANY SCHEDULE v General - Automobile Liability Policy No. )Jtg p.Ty, Designated Insured COPY Description of Insured Highway Vehicles (Check appropriate box) ny automobile owned by the named insured F1 Any private passenger automobile owned by the named insured F1 Any highway vehicle to which are attached dealer's license plates issued to the named insured F1 Any highway vehicle designated in the declarations of the policy by the letters "UM" and a highway vehicle ownership of which is acquired during the policy period by the named insured as a replacement therefor El Any mobile equipment owned or leased by and registered in the name . of the named insured ❑ — COVERAGE U— UNINSURED MOTORISTS (Damages for Bodily injury) The company will pay all sums which the insured or his legal representative shall be legally entitled to recover as damages from the owner or operator of an unin. sured highway vehicle because of bodily injury sustained by the insured, caused by accident and arising out of the ownership, maintenance or use of such unin. sured highway vehicle;. provided, for the purposes of this coverage, determination as to whether the insured or such representative is legally entitled to recover such damages, and if so the amount (thereof, .shall be made by agreement Between the insured or such representative and the company or, . if they fail to agree,.: by arbitration. No judgment against any person or organization alleged to be legally responsible for the bodily injury shall be conclusive, as between the insured and the company, of the issues of liability of such person or organization or of the amount of damages to which the insured is legally entitled unless such judgment is entered pursuant to an action prosecuted by the .insured with the written consent of the company. Exclusions This insurance does not apply: (a) to bodily Injury to an insured with respect to which such insured, . his legal representative or any .person entitled to payment under this insurance shall, without written consent of the company, make any settlement.. with any person or organization who may be legally liable therefor; (b) to bodily . injury to an Insured while occupying highway vehicle (other than an insured highway vehicle) owned by the named insured, any designated insured or any relative resident in the same household as the named or designated Insured, or through being struck by such a vehicle, but this exclusion does not apply to the named insured or his relatives while occupying or if struck by a highway vehicle owned by a designated insured or his relatives; (c) so as to inure directly or indirectly to the benefit of any workmen's compensa- tion or disability benefits carrier or any person or organization qualifying as a self- insurer under any workmen's compensation or disability benefits law or any. similar law. If. PERSONS INSURED each of the following is an insured under this insurance to the extent set forth below: (a) the named insured and any designated insured and, while residents of the same household, the spouse and relatives of either; (b) any other person while occupying an Insured highway vehicle; and td any person, with respect to damages he is entitled to recover because of bodily injury to which this insurance. applies .sustained by an insured under (a) or (b). above. The insurance applies separately with respect to each insured, except with respect to the limits of the company's liability. III. LIMITS OF LIABILITY Regardless of the number of insureds under this policy, the company's • liability is limited as follows: (a) The limit of liability stated in the declarations as applicable to "each person" is the limit of the company's liability for all damages because of bodily injury sustained by one person as the result of any one accident and, subject to the above provision respecting "each person ", the limit of liability stated in the declarations as applicable to "each accident" is the total limit of the company's liability for all damages because of bodily injury sustained by two or more persons as the result of any one accident. (b) Any amount .. payable under the terms of this insurance because of bodily injury sustained in an accident by a person who is an insured under this coverage . shall be reduced by (1) all sums paid on account of such bodily Injury by or on behalf of W the owner or operator of the uninsured highway vehicle and Oil any other person or organization jointly or severally liable together with such owner or operator for such bodily injury, including all sums paid under the bodily injury liability coverage of the policy,. and (2) the amount paid and the present value of all amounts payable on account of such bodily injury under any workmen's compensation taw, disability benefits law or any similar law. (c) Any payment made under this insurance to or for any insured shall be applied in reduction of the amount of damages which he may be entitled to recover from any person insured under the bodily injury liability coverage of the policy. (d) The company shall not be obligated to pay under this insurance that part of the damages which the insured may be entitled to recover from the owner or operator of an uninsured highway vehicle which represents expenses for medical services paid or payable under the medical payments coverage of the policy. IV. POLICY PERIOD; TERRITORY This insurance applies only to accidents. which .occur during the policy period and within the United States of America, its territories or possessions; or Canada. V. ADDITIONAL DEFINITIONS When used in reference to this insurance (including endorsements forming a part of the policy): "designated insured" means an individual named in the schedule under Designated Insured; "highway vehicle" means land motor vehicle or trailer other than (a) a farm type tractor or other equipment designed for use principally off public roads, while not 'upon public roads, (b) a vehicle operated on rails or crawler-treads, or (c) a vehicle while located for use as a residence or premises; "hit-and-run vehicle" means a. highway vehicle v causes bodily injury to an insured arising out of physical contact of such 0e with the .insured or with a vehicle which the insured is occupying at the time of the accident, provided: (a) "there cannot be ascertained the identity of either the operator or owner of such highway vehicle; (b) the insured or someone on his behalf .shall have reported the accident. within 24 hours to a police, peace or judicial officer or to the Commissioner of Motor Vehicles, and shall have filed with the company within 30 . days thereafter a statement under oath that the insured. or his legal representative has a cause or causes of action arising out of such accident for damages against a person or persons whose identity is unascertainable, and setting forth the facts in support thereof; and (c) at the company's request, the insured or his legal . representative makes . available for inspection the vehicle which the insured was occupying at the time of the accident; "Insured highway vehicle" means a highway vehicle: (a) described in the schedule as an insured highway vehicle to which the bodily injury liability coverage of the policy applies; (b) while temporarily used as a substitute for an insured highway vehicle as described in subparagraph (a) above, when withdrawn from normal use because of its breakdown, repair, servicing, loss or destruction; (c) while being operated by the named or designated insured or by the spouse of either if a resident of the same household; but the term "insured highway vehicle" shall not include: (i) a vehicle while used as a public or livery conveyance, unless such use is specifically declared and described in this policy; (ii) a vehicle while being used without the permission of the owner; (iii) under subparagraphs (b) and (c) above, a vehicle owned by the named insured, any designated insured or any resident of the same household as the named or designated insured;or (iv) under subparagraphs (b) and (c) above; a vehicle furnished for the regular use of the named insured of any resident of the same household; "occupying" means in or upon or entering into or alighting from; "state" .includes the District of .Columbia, a territory or possession of the United States, and a province of Canada; "uninsured highway vehicle" means:. (a) a highway vehic!e with respect to the ownership, maintenance or use of which there is, in at least the amounts specified by the financial responsibility taw of.the state in which the insured highway vehicle is principally garaged, no bodily injury liability bond or insurance policy applicable at the time of the accident with respect to any person or organization legally responsible for the use of such vehicle, or with respect to which there is a bodily injury liability bond or insurance policy applicable at the time of the accident but the company writing the same denies coverage thereunder;. or (b) a hit-and-run vehicle; but the term "uninsured highway vehicle" shall not include: fit an insured highway vehicle, (ii) a highway vehicle which is owned or operated by a self-insurer within the meaning of any motor vehicle financial responsibility law; motor carrier law or any similar law, (iii] a highway vehicle which is owned by the United States of America, Canada, a state, a political subdivision of any such government or an agency of any of the foregoing. VI. ADDITIONAL CONDITIONS A. Premium. If during the policy period the number of insured highway vehicles owned by the named insured or spouse or the number of dealer's license .plates issued to the named insured changes, the named insured shall notify the company during . the policy period of any change and the premium shall be adjusted in accordance with the manuals in use by the company. If the earned premium thus computed exceeds the advance premium paid, the named insured shall pay the excess to the company; if less, the company shall return to the named insured the unearned portion . paid by such insured. B. Proof of Claim; Medical Reports.. As soon as practicable, the insured or other person making claim shall give to the company written proof of claim, .under oath if required, including full particulars of the nature and extent of the injuries, treatment, and other details .entering into the determination of the amount payable hereunder. The insured -.and every .other person making claim hereunder shall submit to examinations under oath by any person named by the company and subscribe the same, as often as may reasonably be required. Proof of claim shall be made upon forms furnished by the company unless the company shall have failed to furnish such forms within 15 days after receiving notice of claim. The injured person shall submit to physical examinations by physicians selected by the company when and as often as the company may reasonably require and he, or in the even ns incapacity his :legal representative, or in the event of his death his lel epresentative or the person or persons entitled to sue therefor, shall upon each request from the company execute authorization to enable the company to obtain medical reports and copies of records. C. Assistance and Cooperation of the Insured. . After notice of claim under this insurance, the company may require the insured to take such action as may be necessary or appropriate to preserve his right to recover damages from any person or organization alleged . to be legally responsible for the bodily injury; and in any action against the company, the company may require the insured to 'join such person or organization as party defendant.: D. Notice of legal .Action.. If, before the company makes payment of loss hereunder, the insured or his legal representative shall institute any legal action for bodily injury against any person or organization legally responsible for the use of a highway vehicle involved in the accident, a copy of the summons and complaint or other process served in connection with such legal action shall be forwarded immediately to the company by the insured or his legal representative. E. Other Insurance. With respect to bodily injury to an insured while occupying a highway vehicle not owned by the named insured; this insurance shall apply only as excess insurance over any other similar insurance available to such 'insured and appli- cable to such vehicle as primary insurance, and this insurance shall then apply only in the amount by which the limit of liability for this coverage exceeds the applicable limit of liability of such other insurance. Except as provided in the foregoing paragraph, if the insured has other similar insurance available to him and applicable to the accident, the damages shali be deemed not to exceed the higher of the applicable limits of liability of this insurance and such other insurance, and the company shall not be liable for a greater proportion of. any loss to which this coverage applies than the limit of liability hereunder bears to the sum of the applicable limits of liability of this insurance and such other insurance. Arbitration. - If any person making claim hereunder and the company do not agree that such person is legally entitled to recover damages from the owner or operator of an uninsured highway vehicle because of bodily injury to the insured, or do not agree as to the amount of payment which may be owing under this insurance, then, upon . written demand of either, the matter or matters upon which such person and the company do not agree shall be settled by arbitration, . which shall be conducted in accordance with the rules of the American Arbitration Associa- tion unless other means of conducting the arbitration are agreed to between the insured and the company, and judgment upon the award rendered by the arbitrators may be entered in any court having jurisdiction thereof. Such person and the company each agree to consider itself bound and to be bound by any award made by the arbitrators pursuant to this insurance. G. Trust Agreement. In the event of payment to any person under this insurance: (a) the company shall be entitled to the extent of such payment to the proceeds of any settlement or judgment that may result from the exercise of any rights of recovery of such person against any person or organization . legally re- sponsible for the bodily injury because of which such payment is made; (b) such person shall hold in trust for the benefit of the company all rights of recovery which he shall have against such other person or organization because of the damages which are the subject of claim made under this insurance; (c) such person shall do whatever is proper to secure and shall do nothing after loss to prejudice such rights; (d) if requested in writing by the company, such person shall take, through any representative designated by the company, such action as may be necessary or appropriate to recover such payment as damages from such other person or organization, such action to be taken in the name of such person; in the event of a recovery, the company shall be reimbursed out of such recovery for expenses, costs and attorneys' fees incurred by it in connection therewith; (e) such person shall execute and .deliver to the company such instruments . and papers as may be appropriate to secure the rights and obligations of such person and the company established by this provision. H. Payment of Loss by the Company. Any amount due hereunder is payable (a) to the insured,. or (b) if the insured be a minor to his parent or guardian, or (c) if the insured be deceased to his surviving spouse, otherwise (d) to a person authorized by law to receive such payment or to a person legally entitled to recover the damages which the payment represents; provided, the company may ai its option pay any amount due hereunder in accordance with division (d) hereof. ti V AUTOMOBILE PHYSICAL DAMAGE INSURANCE COVERAGE PART (FLEET AUTOIMATIC) UNITED STATES :FIRE INSU CE COMPANY '� a WESTCHESTER INSURANCE COMPANY THE NORTH RIVER INSURANCE COMPANY 1 INTERNATIONAL INSURANCE COMPANY fir. SCHEDULE. (,rnnral— Antmmnhlle l inhility Pnlicv No ",V WTT R an r r Item The insurance afforded is only with respect to such of the following Coverages as are indicated by specific premium charge or charges under 1. each such Coverage, applies only to such covered automobiles as are indicated, by entry herein, of one a more of the designating numerals for that purpose appearing. in Item 5. The limit of tho company's liability against each such Coverage shall be as stated or designated herein,, subject to all the terms of this insurance having . reference thereto. LIMIT.Of LIABILITY —Each covered automobile COVERAGES AUTOMOBILES COVERED ADVANCE PREMIUM If ACTUAL CASH VALUE (ACV) If STATED AMOUNT, OTHERWISE, Enter: "S", Enter: "A and DEDUCTIBLE Enter:. AMOUNT and DEDUCTIBLE meaning separately in Item stated in 2(c)' ACV $ $ $ 0. Comprehensive $ $ $ $ ACV $100.. P. Collision ME $ $ 590. Q,. Fire, Lightning or $ Transportation $ $ R. Theft $ S. Windstorm, Hail, $ Earthquake or Explosion $ .$ T. Combined Additional $ V. Towing - - _ - $25 for each disablement (Not available In California) $ Form Nos. of Endorsements forming part of this 'insurance at issue: Advance Premium far Endorsements $ Tatal Advance Premium $ - T Maximum Limit t Any one cov. All covered automobiles All covered _ of Liability; j ered automobile $ at any location $ automobiles $ Records to be ..submitted: monthly quarterly semiannually Audit Period:. monthly quarterly semi - annually annually 2. Covered Automobiles as of Effective Date of this Insurance (a) Description; Purposes of User (P &B =Pleasure and Business; C= Commercial) A Year Model; Trade Name; Body Type Capacity (Truck. Load, Gallons e, Bus Seating); Principally garaged in or Classification T T. ( Identification (I), Serial S), Motor IND No.; Cylinders (No. ; Model (Town, State) 1. 2. AS PER SMEDULE 3. (b) Facts Respecting Purchase u List Actual Purchased Rating Any loss under Coverages other than Towing is payable as interest may appear to the T o. Price Cast Ma. & yr. New; used (N) is) S mbol y named insured and the Loss Pa ee named below: y 1. 2. 5 PER SIMEDULE 3. (c) Limit of Liability (if not stated in Item 1); Net Rates; Advance Premium - LIMIT OF LIABILITY —Each covered automobile described in (a) above and covered for. ADVANCE PREMIUM ` A u NET Fire, Light. . windstorm, T 'o. Coverages other than Cotlisibn Collision RATES Compre- Collision ning or Theft Hail„ Earth. Combined Towing Enter: Enter: hensive Transpor• Auake or Additional Amt. or "ACV" & Deductible "ACV" & Deductibles tation Explosion 1. -$ $ $ $ $ $ $ 2: -.. P R '$ EDi7 $ $ $ '$ $ $ $ 3. $ $ $ $ $ $ $ "ACV ": = Actual Cash Value TOTALS $ $ $ $ $ $ $ 3. Except with respect to bailment lease, conditional sale„ purchase agreement, mortgage or other encumbrance, the named insured is the sole owner of every covered automobile designated In Item 1. as covered under this insurance, unless otherwise stated herein: - 4.. Business of the named insured is �OIR..�._�s R,.�a 8. Explanation of entries in Item I for designating the covered automobrles to which this insurance app les, under each Coverage afforded: I= all covered automobiles When so entered in addition to numerals 1, 2, 3 or 4: 2 =all registered .covered automobiles 3 =all covered automobiles of the private passenger type 6= excluding vehicles leased to the named insured 4_all covered automobiles of the commercial type 7= excluding, under Collision Coverage, any vehicle not 5, =the covered automobiles described In Item 2 (including newly ac- having an actual cash value of at least -$_ quiretl' vehicles, subject to the provisions of paragraph IN of the "covered automobile" definition) e I. COVLRAGE.AGREEMENTS 1. The company will pay for Ins to moveaed aulcongli a: COVERAGE O- COMPREHENSIVE —fiom any cause except collision: but, for the purpose of this coverage.' breakage of glass . and loss caused by missile s, [ailing objects, lire, then or larceny, wimlsicna, hall. earthquake explosion. riot bf civil commotion. malicious mischief or valounlisho. winner, flood or In to a covered automobile of the private passenger type) coliding with a bird or animal; shall not be deemed 1.1% caused by collision: COVERAGE P— COWSIGN rased by co @skn: COVERAGE O —FIRE. LIGHTNING OR TRANSPORTATION�aned by la) lire or lightning. Old smoke or smudge due to o sudden. unusual and faulty operation of CrUnd heatingq equipmenl serving the premises in which the covered automobile is Neale, or (d the stranding, sinking, burning, collision or derailment of any conveyance in or upon which the covered automobile is being transported; COVERAGE R— THEFT— caused by loss a, laremny: COVERAGE S--WINDSTORM. NAIL, EARTHQUAKE OR EAPLOSION— eauseA by wind star., hail eC,lhq.a%a m explosion; COVERAGE T— COMBINED ADDITIONAL— caused by (a) windstorm. hail: earthquake or explosion, @1 riot or civil Comml (t) the lotted landing . or falling of any aircraft or Its pairs or equipment, ins malicious mischief or vandalism.. (a) Good or rising waters, or (O external discharge or leakage of water: provided that, with respect to each Conrad automobile. lG under the Comprehensive coverage (except as to loss from any of the causes described in the Fire, ughlning or Transportation coverage) and under the Collision coverage, such payment shall be only for the amount of each loss On to limn. unless lit loss be coincident with and from the same cause as other loss covered by this insurance: or IN) damaged by (re (and. if a covered automobile of the private passenger type, by malicious mischief or vandalism). or sloten and, as 1p the covered automobile, loss caused by such damage or thefl is covered by this insurance: (it) to toss due to lit war. whether or ool declared. civil war. paurreclion, rebellion or revolution. of to any act or condition incident to any of the foregoing: (ill radioactive Decimal Is) under the Comprehensive and Theft coverages. to loss or damage due to con version. embezzlement or secretion by any person in possession of a covered auto. mobile under a bailmanl lease, conditional sale. purchase agreement, mortgage or other enNmbrance: 10 under the Collision coverage. to breakage of glass it insurance with respect to such breakage is otherwise afforded herein. (g) udder the Windstorm. Hail, Earthquake at Explosion and Combined Additional coverages: to loss resulting from rain. snow at steel. whether at not wind driven. 11, LIMIT OF LIABILITY 1. The limit of the companys liability for loss to any one covered automobile shall nal exceed the least of the following amounts: Co) the actual cash value of such covered automobile, or if the lass is to a part thereof the actual cash value of such part. at time of loss: or Did what it would then cost to repair or replace such covered soman ile or part thereof with other of like kind and COMM,. with deduction for depreciation: or W the limit of liability stated in the schedule as applicable to 'each covered alltOMDbile" under The mvera¢e afforded for the loss to such covered automobile. provided that if such limit o liability is expressed as a slated amount it shall. with respect to a covered automobile newly acquired during the policy period and not described in the schadule. be deemed as having been replaced by "actual cash value': and. subject to the above provisions, shall not in any event exceed the amount . d t any. stated n the schedule as the "maximum limit of liability" applicable to "any one covered aulainohile' 2 The total limn of the company's liability for all lass directly attiibutabla to a single happening out of which loss occurs shall not exceed: to s to 11 covered aulomah hat at any one location, The amount: if any. stated to the schedule as the "maximum limit of liability" applicable thereto. subject to the above provisions respecting: any one covered automobile; @) As to all covered automobiles, the amount, it any, slated in the schedule as the "maximum limit of liability" applicable thereto, subject to the above provisions respecting fit any one covered automobile and fill any one location. Ill. POLICY PERIOD; TERRITORY: PURPOSES OF USE This insurance applies Only to lass which occurs during the policy period, while the covered automobile is. within the United Slates of America. its tevitores or possessions, or Canada, or is being transported between ports thereof and, it a covered automobile described in the schedule. is reeintimed and used for the purposes staled therein as applicable Juana. IV. ADDITIONAL DEFINITIDNS When used in reference to this insurance Gncluding endorsements forming a pail of the policy): "collision" means (I) collision of a coveted automobile with another objecl or with a vehicle to which it is attached. or III) upset of such covered. automobile: " commerclal type' means Of a land motor vehicle of the truck, pick up. express, sedan or panel delivery lope. including . truck4nn 'tractors. trailers ne semitrailers. a used for the bansporlalion or delfeery of goods or merchandise or for other business purposes, or iii) an uttered private passenger type vChief, And for retail or wholesale dalieery: "covered automobile" mean a land molar vehicle. trailer or semitrailer, includ ng its equipment and Other equipment permanently attached honest (but not including cubes vmating . apparel or personal effects), which is either sal. designated in the Schedule, by description or Do ism as a covered auto. moofIs to which this insurance applies and is: (0 award by the named insured, or but leased to the named Insured for a -term of not less than one year under an agreement expressly plan biting any light of the lessor or Done, la use such v hide during The term of such lease except either as an op ¢;star employed by the named insured or for its repair or exchange: or (b) If not so des gnaled such 4ehicle 1, e gd,ad by the named insured duo- ing the policy period provded, howaim 01 it leenev a tl smiled Covered a de. nr s vl the date of us de. IE'rery this insurance applies to all covered automobiles, and in 'excess of the deductible amount. it any. stated In The schedule n ap• pliable thereto; DO under the Combined Additional coverage, $25 .shall be deducled from the Amount of each loss caused by malicious mischief of vandalism. 2.. The Commonly will pay:, COVERAGE Y —TOWING —tor towing and labor costs :necessitated by the disabl6 meat of covered automobiles, provided the labor is performed at the place of dinblemenl. 3. SUPPLEMENTARY PAYMENTS In addition tu the applicable limits of liability, the company still: (a) will. respect to such heraportallon insurance as is -Horded herein. pay general average and salvage charges for which the named Insured becomes legally liable; Of reimburse the named Insured, in the final of a Unit covered by this 'insurance of an entire covered'aulomobile of the private passenger type (not used as a public or livery conveyance and rut at time of theft. being held for sale by an automobile dealed. for expense nowund for the rental of a substitute for such covered au@ mobile our ing the period commencing 48 hours alter such thell has been reported to the company sad the police. and terminating, regardless of expiration of the polity Pe od, when such covered automobile is returned to use or the company pays for the less; but. as to ens' one such then such reimbursement mul 'Mt exceed $ID for any one day nor $300 total, 4. Such insurance as Is afforded under each coverage applies separately to much covered automobile. and a land motor vehicle and one or more irritate at semL trailers attached thereto shall be held to be separate covered automobiles as an. s o cis limits of liability and any deductible provisions applicable thereto.' Exctuston This insurance does not apply: (a) to any covered automobile while used as a public or livery conveyance, unless such use is specifically declared and described in the schedules (b) to damage: which is due and confined lo: (it wear and tear, or (III freezing. or pill mechanical or standout breakdown or failure. unless such damage is the result of other loss covered by this insurance: Ili) the named Insured notifies the company within 30 days following such delivery dale: but "covered automobile" does not tcolude a vehicle owned by or registered In the name of any individual partner or executive officer of the named Insured, unless specifically staled otherwise by endorsement forming a part of the polity: "loss" means direct and accidental Nas or damage; 'Private passenger type means a twheel land motor vehicle of the private passenger or station wagon type: as to "purposes of use": "commercial" means use principally in the business occupation of the named insured as stated in the schedule, including occasional use lot personal, plea- sure family and ether business purposes; "pleasure and business' means personal. pleasure, family and business use. V. CONDITIONS None of the Conditions of the policy shall apply to this Intoner, except "Pre. mium'. "Inspection and Audit ", "Subrogation', "Changes'. 'Assignment", 'Three Yen, Policy'. "Cancellation'. and "Declaralmns'. This insurance shall also be subject to the fallowing additional Coa lions: 1. Named Insured's Duties In Event of Loss. In the event of lost the named insured Shall: (a). prefect the covered automobile, whether at not this insurance applies to the loss. and any further loss or damage due to the named insureds failure to protect . shall not be recoverable under this insurance; reasonable expenses incurred in affording such protection shall be deemed incurred at the company's request: M give notice thereof as soon as practicable n to the company or any of its a Incond agents and also, in the event of the 11 or larceny, to the police: (-)file with the company, within 93 days after loss, his sworn proof of lost in such farm and including such information as the company may reasonably require and, upon the company's request: shall exhibit the damaged properly and submit to examination under em: lot cooperate with the company and, upon the companys request, shall assist in making settlements. in the mnducl of suits and in enforcing any right of conbibm two or Indemnity against any person or organitalion who may be liable to the named Insured because of loss with respect to which this insurance applies: and shall attend hearings and trials and assist in seeming and - giving evidence and ob+ mining the altandan" of witnesses ! but the named insured shall not. except at his own cost, nlucdarily make any pay most, assume any obligation, after of pay any reward for recovery of stolen prop city or incur any expense other than as specifically provided in this insurance. 2. Payment for Lass. With respect to any loss covered by. this insurance, the company may pay lot said loss in money. or may: (a) repair or replace the damaged or stolen properly, or to) return at its expense any stolen property to the named insured, with payment for any resultant damage thereto, it any time before The loss is so paid or the Property is so replaced, at Id lake all or any part of the damaged or stolen property at the agreed or appraised valve. but there shall be no abandonment to The company. 3. Appraisal. 11 the named Inured and the company fail to agree as to the amount of Wes. either may, within 80 days after proof of loss is filed, demand an appraisal Of the loss. In such evens the named Insured and the company shall each select a competent regional. and the appraisers' shall select a competent and disinterested mongl4a. The appraisers shall state separately the actual cash value and the amount of loss and failing to agree aA ail . submit their chUncenes to the umpire. An award in writing of any two shall determine the amount of loss. The named insured and the company shall each pay its chosen appraiser and shall bear equally the other expenses of the appraisal and umpire. The company shall not be held to have waived any of its rights by any act relating to appraisal 4. Action Agafnnl Company. No action shall lie against the company unless, As a condition precedent therela, there shall have been lull compliance with all the terms of this insurance Apr until 30 days after proof of loss is filed and the amount of lass is determined as provided in this insurance. S. Other Insurance. 11 the named insured has other insurance against a loss cov- ered by Ibis insurance. the company shall not be liable ender this insurance for a greater Pollution of such toss than the applicable limit of liability stated in the schedule bears in the total applicable Hint of liability of all valid And collectible insurance against such loss: provided d onver, with respect to any covered auto- mobile rawly segaired during the pubiy . permit and sal described fn the schedule, this Insurance shall not apply to any loss Against which The named insured has other valid and collectible insurance. 6. No Benefit to Bailee: None of the provisions of this insurance shall inure of. iedly or indirectly to the to It al c Mier or other bailee Tor hire . y. terms of Insurance Conformed Te ms of this insurance which are in conflict with the . still of the v brain this 'insurance is issued are hereby amended to ovn(orm to such slain as. AUTOMOBILE SCHEDULE U.M. POLICY NUMBER. 'xfT a.. an Fe O NO. YR. TRADE NAME OR TYPE MOTOR SYMB. COMP• FIRE THEFT - COLLISION BODILY1joo O�P00 MED. _.}i$'La':Y Xr'x: LIMIT PREMIUM. AMT. PREM.. OR SERIAL NO. GARAGED CLASS 'AR COST NEW TERR. {NJURY DAMAGE PAY. COMP FIRE THEFT jQf¢ ,P,aN LIAR, DIED. 'I 1. + OLDSMOBILE SEDAN a4386697MI19482 �.99so6 5 -3 66 5. ACV 31. ioo. 86. 107. 54. 24. (1.70) 2. 68 CHEVROLET VAN CS- 15SPi38249 6 401 -2 86 5. ACV 21,. 100. 44. 66.. 43. - 3. 68 DODGE VAST #1967074582 6 2 401 -2 86 5. - ACV 21. i00. 44. 66. 43. - 4. 68 DODGE VAN - -- -- - 1987074300 - 6 2401 -2 86 5. ACV 21. 100. 44. 66. 43. - 5. 68 DODGE VAN ,11987075308 6 tt01 -2 S6 5. ACV 21. 100. 44. 66. 413, - 6. 69 DODGE VAN 68 ;;1987695493 6 401 -1 86 5. ACV 29. 100. 4 :4. 66. 43. - 7 DODGE .-1 T. P.U. 1251866537 L6 4101 -2� 86 5. ACV 21. 100 44. 66. 43- - 8. 68 FORD TUNCHWIGONT 8J76Fi64711 199800 4 -2 86 5. ACV 24. 100 75. 107. 54. 24. - -- 9. , 69 FORD HARDTOP - 9J66R126109 199800 (1.70) 4 -1 86 5. ACV 28. 100 85. 107. - 54. - 2.4. - O.. 69, FORD TORIN0 9L38i:152662 199300 4 -1 86 5. ACV 28. 100 85. 107 - 54. 24. 1,70) 68 FLEEWOOD MOBILE 10 - -- - ;1. I HOME 5AA ,000. s6 ACV 37. 100 25. 11. 7. - - #A351i3o6 -- 50. 282. 620. 835. 481- 96. F.G. 5.0 T30 -41. -24. 590 794. 457. FKA14.0:13 8 'REV. 8/64 i�c`fc i.,, • ENDORSEMENT • Additional Premium Return Premium._ Effective on and after JAN. 1, 19 6g Stondord Time this .. endorsement forms port of policy No. P(L B 80 65 Expiration Dote 1_1 -72 Issued to__ NLIt'POR i RI ACiZ CAIILEVIS70N TPdC , 7 T AL By TttSjTRT) R7 4T S FTI?P TNSTTR tNCP Company RELATING TO LIMITS Or LIABILITY IN CONSIDERATION OF THE PREMIUM CHARGED, IT IS AGREED THAT SUCH INSURANCE AS IS AFFORDED BY THE 'POLICY FOR BODILY INJURY LIABILITY AND PROPERTY DAMAGE LIABILITY APPLIES SUBJECT TO THE FOLLOWING PROVISIONS: 1. WITH RESPECT TO THE COVERAGE PARTS DESIGNATED AS APPLICABLE ON THE DECLARATION PAGE, ITEM 3 OF THE DECLARATIONS IS AMENDED TO READ: COVERAGES LIMITS OF LIABILITY BODILY INJURY LIABILITY X1.000.0000 . EACH OCCURRENCE PROPERTY DAMAGE LIABILITY (BEING A TOTAL LIMIT OF LIABILITY FOR ALL COVERAGES COMBINED) 2. AS RESPECTS EACH APPLICABLE COVERAGE PART TO WHICH THIS ENDORSEMENT APPLIES, THE LIMIT OF LIABILITY PROVISION IS ELIMINATED AND THE FOLLOWING PROVISION IS SUBSTITUTED THEREFOR: LIMIT OF LIABILITY — ALL COVERAGES THE LIMIT OF LIABILITY STATED IN THE DECLARATIONS AS APPLICABLE TO EACH OCCURRENCE IS THE TOTAL LIMIT OF THE COMPANY'S LIABILITY FOR ALL DAMAGES, INCLUDING DAMAGES FOR CARE AND LOSS OF SERVICES WITH RESPECT TO BODILY INJURY LIABILITY AND INCLUDING DAMAGES FOR THE LOSS OF USE OF PROPERTY WITH RESPECT TO PROPERTY DAMAGE LIABILITY: A) ARISING OUT OF BODILY INJURY, SICKNESS OR DISEASE, INCLUDING DEATH AT ANY TIME RESULTING.THEREFROM, SUSTAINED BY ONE OR MORE PERSONS', AND B) ARISING OUT OF INJURY TO OR DESTRUCTION OF ALL PROPERTY OF ONE OR MORE PERSONS, OR ORGANIZATIONS, - -tr- AS THE RESULT OF ANY ONE OCCURRENCE WITH RESPECT TO BODILY INJURY LIABILITY AND PROPERTY DAMAGE LIABILITY. All other terms and conditions of this policy remain :unchanged. cu—i_19 _(106) 1H.0.0. 103 REV. $167 PRINTED IN U.S.A. PEACOCK INSURANCE, 1N11 C. ,% xcc � AUYIr ZEa REPRESENTATIVE 001 ® um _ )tional Premi ENDO°ISEMENT Return Premium Effective on and offer. ..... ..._ .. ......., . .........Standard Time this endorsement forms part of policy No-- ......N*j, .... .....$o....65 Issued to ..........NEitr.P.ORT.....DFACH CABLET VISTOIN INCi i E`P AL _........ By.......... ......... ................... ..... .UN.X...!iTFD STATES - .F1RI; - INSURANCE ....... .......... ........................ .. ........ .Company CONTRACTUAL LIABILITY AUTOMATIC - BLANKET DEFINITION "INCIDENTAL CONTRACT" OF THE POLICY IS HEREBY DELETED AND THE FOLLOW- ING IS SUBSTITUTED THEREFOR: INCIDENTAL CONTRACT: THE TERM "INCIDENTAL CONTRACT" MEANS IF IN WRITING, (1) A LEASE OF PREMISES, (2) EASEMENT AGREEMENT, EXCEPT IN CONNECTION WITH CONSTRUCTION OR DEMOLITION OPERATIONS ON OR ADJACENT TO A RAILROAD, (3) AGREEMENT REQUIRED BY MUNICIPAL ORDINANCE, EXCEPT IN CONNECTION WITH WORK FOR THE MUNICIPALITY, (I4) SIDETRACK AGREEMENT, (5) ELEVATOR MAINTENANCE AGREEMENT, (6) ANY OTHER WRITTEN AGREEMENT EXCEPT: (A) AN AGREEMENT BETWEEN THE NAMED INSURED AND A RAILROAD COMPANY INVOLVING CONSTRUCTION OR SERVICING OPERATIONS FOR A RAILROAD COMPANY, (s) THAT PART OF ANY AGREEMENT WHICH INVOLVES MARITIME OPERATIONS, (C) ANY AGREEMENT INVOLVING AIRCRAFT, (o) ANY AGREEMENT INVOLVING CROP DUSTING, SPRAYING OR SEEDING OR THE USE OF HERBICIDES, PESTICIDES, INSECTICIDES AND FUNGICIDES, (E) AS RESPECTS ARCHITECTS, ENGINEERS OR SURVEYORS, ANY LIABILITY ARISING OUT OF PROFESSIONAL SERVICES, INCLUDING THE PREPARATION OR APPROVAL OF MAPS, PLANS, OPINIONS, REPORTS, SURVEYS,DESIGNS, SPECIFICATIONS, AND SUPERVISORY, INSPECTION OR ENGINEERING SERVICES. All of her terms and conditions of this pr remcfa unchanged. PEAL 0 AuMpifM W r�anlorin cu -3o (10/66) Additional Yre.mwm 0' r- *Return Premium _ c Effective on and after... _J 1N ....._....z,...:...19...:E9 .... .. ......................... ........................... Standard Time this endorsement forms part of policy No .11T'_....G.. QO .5 . ............._.......... Issued to NEF'7PORT BEACH CABI,T;VISION INC. t ET AL 8 Y UNITED STATES FIRE INSURANCE Company ......... ......... ........ ADDITIONAL INSURED (CONTRACTING OPERATIONS) IN CONSIDERATION OF AN ADDITIONAL PREMIUM OF $ 32,00 , IT IS AGREED THAT SUCH INSURANCE AS IS AFFORDED BY THE POLICY FOR BODILY INJURY LIABILITY - EXrEPT AUTOMOBILE AND FOR PROPERTY DAMAGE LIABILITY EXCEPT AUTOWBILE, APPLIES SUBJECT TO THE FOLLOWING PROVISIONS: . THE I NSURANCE APPLi ES TO.. CITY Or NEWPORT BEACH WHILE .ACTING WITHIN THE SCOPE OF THEIR DUT'IE5 AS 'AN AUD111UNAL INSURED, BUT ONLY 'WITH RESPECT TO OPERATIONS PERFORMED FOR SUCH ADDITIONAL INSURED BY THE NAMED INSURED AND OMISSIONS AND SUPERVISORY ACTS OF THE ADDITIONAL INSURED IN CONNECTION WITH WORK PERFORMED FOR THE ADDITIONAL INSURED BY THE NAMED INSURED, 2. THE POLICY DOES NOT APPLY, WITH RESPECT TO THE ADDITIONAL INSURED, TO THE PRODUCTS, - COMPLETED OPERATIONS HAZARD AS DEFINED THEREIN, 3, THE POLICY DOES NOT APPLY TO LIABILITY ASSUMED BY THE ADDITIONAL INSURED NAMED ABOVE, DESCRIPTION OF OPERATIONS: COST OF JOB: $. RATES PER $L00 OF JOB COST ADDITIONAL PREMIUM MINIMUM PREMIUMS B.I. +r MINIMUM PREMIUMS NOT SUBJECT TO SHORT RATE ADJUSTMENT P.D- All of her terms and conditions o f f his policy remain unchanged. PEACOCK INSURANCE, INC. (. ', n ' CU -P7 fRFV, N o1661 0 C ENDORSEMENT dditional Pretium Return Premium Effectiveon and after........ ................... . ....................... ................ c7i1N' ._... 1._ s.: .... . ..... 19.... 6. tL .... ................................................ ...... Standard.Time This endorsement forms part of policy No ML...8 80 65 Issued to .........._ NEk1P09T. 1311N..CH CABLEVI.SI.ON., IN.G....,. ET....A.L ............ ......... ........ By _._... ........... .. ...... UNITED..._STAT ,S;..'FIRE....INSURANCE ........ Company ADDITIONAL INSURED (CONT'RACTI'NG OPERATIONS) IN CONSIDERATION OF AN ADDITIONAL PREMIUM OF $ 32.00 IT IS AGREED THAT SUCH INSURANCE AS IS AFFORDED BY THE POLICY FOR BODILY INJURY LIABILITY - EXCEPT AUTOMOBILE AND FOR PROPERTY DAMAGE LIABILITY - EXCEPT AUTOMOBILE, APPLIES SUBJECT TO THE FOLLOWING PROVISIONS- I. THE INSURANCE APPLIES TO: SOUTHERN CALIFORNIA EDISON Co. WHILE ACTING WITHIN THE SCOPE OF THEIR DUTIES AS AN ADDITIONAL INSURED, BUT ONLY WITH RESPECT TO OPERATIONS PERFORMED FOR SUCH ADDITIONAL INSURED BY THE NAMED INSURED AND OMISSIONS AND SUPERVISORY ACTS OF 'THE ADDITIONAL INSURED IN CONNECTION WITH WORK PERFORMED FOR THE ADDITIONAL INSURED BY THE NAMED INSURED. 2. THE POLICY DOES NOT APPLY, WITH RESPECT TO TILE ADDITIONAL INSURED, TO THE PRODUCTS, - COMPLETED OPERATIONS HAZARD AS DEFINED THEREIN. 3• THE POLICY DOES NOT APPLY TO LIABILITY ASSUMED BY THE ADDITIONAL INSURED NAMED ABOVE, DESCRIPTION OF OPERATIONS: COST OF JOB- $ B.1. RATES PER $LOO OF JOB COST FLAT ADDITIONAL PREMIUM MINIMUM PREMIUMS $15.00 MINIMUM PREMIUMS NOT SUBJECT TO SHORT RATE ADJUSTMENT P.D> CHARGE $17.00 All other terms and conditions of this policy remain unchanged. r "- g000K IN 9P, NCE, R4 cu -;)7 fRFv_ N o1661 C, cu -;)7 fRFv_ N o1661 LIABILITY (The Attach *use need be completed only when this endorsement is issu Sequent to preparation of the policy.) BROAD FORM PROPERTY DAMAGE ENDORSEMENT This endorsement modifies such insurance as is afforded by the provisions of the policy relating . to the following: COMPREHENSIVE GENERAL LIABILITY INSURANCE MANUFACTURERS' AND CONTRACTORS' LIABILITY INSURANCE This endorsement; effective issued to by (12:01 A. M:, . standard time) . forms a part of policy No. ML 8 80 65 L 6932 (Ed. 2.67) ..v- thorized Representative It is agreed that exclusion (i) of the policy is replaced by the following:y�F —�. (i) to property damage (1) to property owned or occupied by or rented to the insured, or held by the insured for sale or entrusted to the insured for storage or safekeeping, (2) except with respect to liability under a written sidetrack agreement or the use of elevators to (i) property while on premises owned by or rented to the insured for the purpose of having operations performed on such property by or on behalf of the insured, GO tools or equipment while being . used by the insured in performing his operations, (iii) property in the custody of the insured which is to be installed, erected or used in construction by the insured, (iv) that particular part of any ,property, not on premises owned by or rented to the insured, (a) upon which operations are being performed by or on behalf of the insured at the time of the property damage arising out of such operations, or (b) out of which any property damage arises, or (c) the restoration, repair or replacement of which has been made or is necessary by reason of faulty workmanship thereon by or, on behalf of the insured, but parts (a), (b) and (e) of this exclusion do not apply (1) to the named insured's products where the insured has relinquished physical possession of such products to others, or (2) where the property damage arises out of the completed operations hazard, (v) property which is being transported . by the insured by automobile,.. mobile equipment or team, including the loading or unloading thereof. AUTHENTIC This endorsement modifies such insurance as is afforded by the provisions of the policy relating to the following: COMPREHENSIVE GENERAL LIABILITY INSURANCE MANUFACTURERS' AND CONTRACTORS' LIABILITY INSURANCE. OWNERS', LANDLORDS' AND TENANTS' LIABILITY INSURANCE G106 ADDITIONAL. ItN'SURED (Employees) L9I06 (Ed.7 -66) It is agreed that the "Persons Insured" provision is amended to include any employee of the named insured while acting within the scope of his duties as such, but the insurance afforded to such em- ployee does not apply: 1. to bodily injury to (a) another employee of the named insured arising out of or in the course of his employment or (b) the named insured or, if the named insured is a partnership or joint venture, any partner or member thereof; 2. to property damage to property owned, occupied or used by, rented to, in the care, custody or control of, or over which physical control is being exercised for any purpose by (a) another employee of the named insured or (b) the named insured, or, if the named insured is .a partnership or joint venture, any partner or member thereof. THIS INSURANCE DOES NOT APPLY TO PERSONAL INJURY TO (A) ANOTHER EMPLOYEE OF THE NAIMED INSURED ARISING OUT OF OR IN THE COURSE OF HIS EMPLOYMENT OR (D) THE NAMED INSURED' OR IF THE NAMED INSURED IS A PARTNERSHIP OR JOINT VENTURE, ANY PARTNER OR MEMBER THEREOF. AGENCY CODE ti BROKER, - COUNTERSIGNING OF Ile p� CODES Y HEREBY CERTIFY THAT For 1. NAMED NEWPORT BEACH CABLEVISION INSURED P 1501 WESTCLIFF DR. NEWPORT BEACH, CALIF. THE NAMED INSURED IS I I Individual i Automobile CAL. AMP, CCL r,: PHD, GAR PAYMENT TAX. DISTRICT' TRANSACTION C DATE TYPED INSURANCE AGAINST UNINSURED MOTORISTS UM Damages for Bodily Injury OM, CAR IO ,000 N OTHER 1st Anniversary ► AUTOMOBILE PHYSICAL DAMAGE INSURANCE TYPE A AND INITIALS $ " Insurance is afforded only with respect to such covered auto - TBD means "To Be Determined 3 Theft mobiles asare designated in the attached Automobile Schedule, 4 Windstorm, Hail, Earthquake subject to the limits of liability indicated therein. PHD P FLEET AUTOMATIC k] Yes ❑ No " a 6 Collision s. 7 Towing ❑ NEW H vI m. 1 RENEWAL COPY OF THE POL ICY THU ,ETNA CASUALTY AND SURETY COMPANY POLICY NUMBLH (Office. Code — Symbol— Serial Na.— Suffix) 59AL 2806 cc to ���q 12:01 A.M. the add a o`f tai €named insured as County. Stale an8 zip Ccce) Annual, unless otherwise stated:. Partnership Corporation BUSINESS OF NAMED INSURED 3. The insurance afforded is only with respect to such of the following Parts and Coverages as are indicated by specific premium charge or charges. The limit of the Company's liability against each such Coverage shall be as stated herein, subject to all the terms of this policy having reference thereto. PART I COVERAGES 1 LIMITS OF LIABILITY I ADVANCE Each Person Each Occurrence Each Accident Aggregate PREMIUM CAL Bodily Injury Liability $END T ,000 $ SEE' 000 Property Damage Liability ME= $ tmily 1000 Bodily Injury Liability $ SEE 000 $ SEE ) $ SEE 00 CGL ND�T ENDrT ENDIT Property Damage Liability 11111M $ SEE 000 $_SEE 000 AMP Automobile $ 1 2 *000.COM ENNININSIM ® Contractual Liability, CC. 21.1-A 49A Medical Payments MP 5,00O.PP U._ 115 CPL INSURANCE AGAINST UNINSURED MOTORISTS UM Damages for Bodily Injury $' IO ,000 $ ,000 OTHER 1st Anniversary ► AUTOMOBILE PHYSICAL DAMAGE INSURANCE at the effective date of this policy, unless otherwise stated herein: 1 Comprehensive 2nd Anniversary ► $ 2 Fire, Lightning or Transportation Insurance is afforded only with respect to such covered auto - TBD means "To Be Determined 3 Theft mobiles asare designated in the attached Automobile Schedule, 4 Windstorm, Hail, Earthquake subject to the limits of liability indicated therein. PHD or Explosion FLEET AUTOMATIC k] Yes ❑ No 5 Combined Additional Coverage 6 Collision 7 Towing GAR I Coverages .and Limits as stated in separate declarationsV� TOTAL P ENDORSEMENTS MADE PART OF THE .POLICY (designated by (@ or Endorsement number) K ® Contractual Liability, CC. 21.1-A 49A CC -324A MP ❑ Premises Medical Payments 13942 U._ 115 CPL F1 Comprehensive Personal Liability CC -205A I U-152A PI ❑ Personal Injury Liability LACC -1004 CHARGED' CHARGED a 4. The declarations are completed on the attached General Liability and Automobile TOTAL P $ CHARGED Schedules. ADVANCE PREMIUM The Automobile Schedule contains a. complete list of 3 Year Policy Installments $ (a) all automobiles and trailers owned by they named insured and AUTOMOBILE to. (b) all persons within the definition of Class 1 persons, OTHER 1st Anniversary ► $ at the effective date of this policy, unless otherwise stated herein: 2nd Anniversary ► $ TBD means "To Be Determined The. General Liability Schedule discloses all hazards insured hereunder known to exist at the effective date of this policy, unless otherwise stated herein: 5. During the past three years no insurer has cancelled insurance, issued to the named insured, similar to that afforded hereunder, unless otherwise stated herein: (CC -2 -1) COPY FOR O BROKER ❑ SUB- BROKER ❑ SUB -CLAIM OFFICE ❑OTHERS 9 GENERAL LIABILITY SCHEDULE uccswwcn � (Office Code —Sy 1— Serial No.—Suffix) ' Policy No. Page No.. De,zcription of Hazards (First Column)— including 1. Location of an premises owned, rented, or controlled by the named insured. 2. Interest Of named insured in such premises (Ovmer, General L disoo or Tenant). 3. Part occupied by the named. insured. The absence of any typewritten entry relating to Hazard (A), (B), (C), (D), (E) or (F) indicates no known exposure thereunder. The rat fn classifications stated heroin. except as specifically pro wded e sev, ere in thin. policy, do not modify any of the other pro. Code Numbers Pre rnium Basest Rates Ativa nee Prc rniu,m I visions of this policy. B.I. P.D. H:I. P.R. (A) Pre mises- 0perations (1) Area sq. ft. (1) Per 100 sq. ft. (2) Frontage (2) Per linear ft. - (3) Remuneration (3) Per $100 (:8) Elevators Number Per elevator (C) Independent Contractors— Let or Sublet Work Cost Per 5100 (D) Completed Operations Receipts Per$1000 (E) Products Sales Per $1000 (F) Contractual Number Per contract if location same as address in Item 1 of the declarations, check Double space between en- tries to allow for coding. RECEIPTS PER -100. 04 c6'. A) CABLE T.V. SYSTEMS 0301 101 .401 .182 401. 182. ADDITION.AL.' - INSURED I'NCLua BROAD FORM PROPERTY DAMAGE 9680 36. INCREASED LIMITS BASIC CHARGE 9390 113• 13: C) CONSTRUCTION OPERATIONS - OV6VER 0512 502000. .031 .020 17. 13. I k MIN. MI2 D) CABLE T.V.`SYSTEMS 7174 IF ANY .087 .052 17. 13. PER t� COST I(0,O. �. F) SLAN;KE7 CONTRACTUAL LIABILITY — 0574 50,000. .019 .093 44. 23. SERVICING OR I`PSTALLATION —BROAD MIN. tl't;: FORM i *Designates location to which Landlord's Liability Endorsement applies. tDescribed premium basis, if other than (1), (2) or (3). (CC- 100.1 -A 8.67 wl =D (Office Code -Symbol - Serial No. - Soffid nFSC PIPTIOW Or H47hRDS. C3.vwnecd Au m_; :d-es (Liabilitv) ; Covered Automobiles (Phvsical Damaae) - PolicV No. Page No. Entry Y No. Irii d's Vei No. Yt. New1 of or Mod. Used Purchased Yr. Mo. Trade Nome. Body Typa and Model R g Weight u t Ik ballonagc Bus Seat C.P. pr ce Rad ui of Cast Use (d over Iq SO m les Insured I Town and State P:inc Pull,' Gar gad Idanl l,aatlon Number Entry of a. specific premium charge . indicates floe insurance afforded for each. described Rating vehicle The insurance for any described vehicle applies also to its replac -ment, subject Cl ss to all the terms of the policy having reference Thereto. ord ADVANCE PREMIUM RATE DLD. LIMIT OF LIABILITY (each Covered Art.. _ Sze 81 Uab PD Lland i Com Fire C.P. yv Y V' f I AD` /ANC E PRLPA1UM ' M'd. Pa Un. Mirv. Theft" Co p. Com L_Fi lh efl_J• �.. CoIL, I fo "9.. 65 1 IL NCOL(4 I Territory Code hE1LJ1P0rc1' BEACH BASE 122. 65. BASE — x1.70 31. 1 5. L 4 DR. Sl 5Y8044112792 04 86 7 ,?n s rao 3r4C Xt.7L, t S;_n 5 SGC9�tie( QY� 3:1. k, c 6 6.> t��...:.. J'4$�Clk':>Yz2 1, J ;��1. Af. 3`t• '/i. 4 6b J t - Vct;��, IGB`ioi't3CC a`r. �. 3`l I y2.� ' (�.3) 5_)..v IOC,.. d In the D cnra.t. ' _ 1T Ph ys¢al DnmagC, is d c I• ion as Floet Auromod", is H.,d=d as follows for y qu r vehices here, it,., rpla,emaaie) t Car,; FGa ll. Lowing ' Llmjt of U.Nhly n A<Nal C.,h Value: (a) For Coll oa (b) A, rrspetl c ly,acrj red rid and (c) Far oth, Coomgce, B tha.,i,a ,dcatcd, *' Eric, "W' for W dstgr. , Led, Earthyaakn or Cxploslan on "C'• (or Combined Additional Co o ago if afforded. tS25 per disablement (owing Coverage eat w.ilohla in CaR(ornial. ParpcnaC Tar which the abo e described veh'clas are o be awed are "Pleasure and 6es nesi (or Private passenger and "Co nmcrcla P' far commercial ar -track type. tCC.toS:a9 / rl)n YrtGl AU1vrAA1R. Maximom Unit of L bility for 111 All c er-d mafcm.lril.w at any one locoli., $ .255-1000. Phy. ral Do. l All c ,ered oelo mobiles _ _. _ _ _ _ — $_2D Ori Di Entry of one orvnore. of the following code numbers indicates the coverages applicable to any newly oegnimc! vchkle (other than repincementsl: I. All covered automobiles, 4 All covered avtonrobi{es of ¢re commercial type. 2. All rogate -ed covered aubmobiles, 5. Excluding, under Collision Ca: arage. an, vehicle 3. All coveted meb,mablles of the privala not ho,ing as Actual Cash Valuo aI at Iciui 5500. passr.n9cr type. 6. EFcW hog veh rtes leased to the named insured.. Repo, rot Chaages shall be �r,bmilted: ❑ MONIF LY ❑ SEMI-ANNUALLY ❑ QUARTERLY K) ANNUALLY BRANCH OFFICE COPY 0 0 cs i° m X 177 (OLltce Code - Symbol Seriof No - Saftiej DESCRIPTION OF HAZARDS: Owned Automobiles (Liability); Covered Automobiles (Physical Damage) Policy No. Page No. E,,e.y No. Yr. of Mod'. New o Used Trude Nome: - Rey Weight Tk Goflonoge Bus Seer Cap. List P ^co To n. and Stole. Where Princpolly Gotiged .Ran Entry of a specific premium charge indicates the msurance afforded for each descnhed - g vehicle. The insurance. for any described vehicle applies also to ifs replacement, subject Class to all the terms of the policy having reference thereto. end ADVANCE PREMIUM RATr UED� 'LIMIT OF Lit BILIiY (r ch Co orhd A ton F lo].- Sze BI Liab tv PD L ab v Co `y F Coll _ PD /ANCc FP..fAIUM Nand Po Ur. Mt t 1P_G =Qom . Coop IF l e C 11 io lu d's Veh. No, Purchased Yr. Mo. BodY?YPe rd Model Rad rs p( Use (f over 50 ,files Cost to Inssled Ide n(icotibn Number Territory Code ( IrcU ( L 3LI3 )' I' t t f — _1 _P i PI ys cal Do_inyge s d for In the DacroedGos as Fleet (other c mvoroge _ . Comp. Is aI(orded os (olio s for new y acy iced ,v ehnlos (other II a eplacomei,ts) j Fne Thelt �" CoII. To -' J j 1 Lirnif of Liability. is Acteal Cash Valor: (a) For C,Al s an, (b) As rysT e<t re..lybiy ;ed vol ides 'nJ (c) For the, Coeragosw ss oth_rw se indicated. *"Enter "W for Wind-roan, Hoil. Ee,thggake or Explosion or "C" for Combined Additioeol Covorr,ge if afforded. I s25 per disoblemcnt (Towing Coverage riot ovailabfc in Colifomio). Purpous for which the obove described vehides are to be vied ore "Pleaswe o 1 H unycf for private tias :nper and "Co ,em,,ial" for commercial or tpuck type. <cc.toii . Mox.nmm Urn it 7 Any one covered mlomoSile of UaL%ilify (ur All covered setamobiles ol:ony one locatio,i :$ Plrysrtol Der, All covered avto ,obles- _ Entry of enu or more of the folloi,,ing code ritiribe i s rodl<otes the coverages oppl itabla to any newly c cqu red ,hide loftier iLan pig e rtenls): I. All covered sutnmobiles. A. All covered aelomob' fes of Ile commercial type. 2. All registered aoverad utomobilc "s. v... Ealu6459, under Collision Coverage, a .y vehicle 3. All c.vcrcd n t nobilas of the private not hating an Agroal Cosh Val,,, of m least >5015. passenger typ;s 6. Excluding vehides leased to the mm..ed insered . Rn,.,l of Chonges shall be subrnitled: , ❑ MONTHLY ❑ SEMI- ANNUALLY ❑ QUARTERLY ❑ ANNUALLY tntocnw non U ulmli O O w r M i Q11 0 r1 AUTOMOBILE SCHEDULE (Conl'd) 'Oil Cod.- Syrnl,.l -iu talj�.suilix) •' Policy No. r-7 FI�P VV TY' rAn loss to ve hlcles. indicated be y-..- g' 'y -;payable -- -___�Y r(,. y ow under Pb steal Dama c Covero es exce t Twin is as interest may o ercr I Lto the named insured and: \'eliiales in Ea :,y N' s) Name and Address of Loss Payee Vchldc; d cubed ; Fniry No(st Name and Add ... s +of. Loss Payee I N Etr ?ORT BEACH NAT'L. BANK, DOVEF� Property _. --- \\ - Po,,.,s DR., NEV.PCRT BEACH, CALIF. Hired �N COSt Of Hire LESSOR: BURCH AUTO LEASING CO., I ` I DJTa - e 1147 :rl. MAIN ST. AL HAMS RA, i RATES: B.Le 5. P.D. 3. Use CALIF. Liability i Hired Automobiles [Liability) Premium Basis - Cost: of Hlrc Location where automobiles will be principally used Types Purposes of Estimated Rates per 5100 Advance Premium. ' Bodily Property Bodily - Po,,.,s (if other than In dedaronon l) Hired COSt Of Hire Injury Damage Iniury I DJTa - e IF ANY i RATES: B.Le 5. P.D. 3. Use Liability Liability Liability Liab,Ialr INCLUDED Employee/ Class 2 Employees Estimated Average Number Location of Headquarters of Class 2 Employees ('f other than in decl aration 1) Bodiiy I Injury I Liability' Property Donege �. Liobii,y Non- Owned Automobiles (Liability) "State "a" for "Pleasure and Business ", "b" for "Commercic i" Premium Bnsis - Clncc 1 Pancras rant Clres �) Fmriln „ens .as vtvnvqurtcu cignated insured: Description of Insured Highway Vehicles: !. Any automobile awned by the named insured. �I Any private passenger automobile awned by the named insured. Any highway: vehicle to w.h.ch are attached dealer's license plates issued to the named insured. - Any highway vehicle described in the schedule'Iorwhich a premium is entered under” L) n. Mfrs 1," and o- highway veAlde own. rs hip of which is acquired during the policy period by the named insured as a replacement therefor. .Ago mobile equipment owned or leased 6y and, reg is hired in the nom. of in. named insisted. , AUTOMOBILE MEDICAL PAYMENTS INSURANCE Designated Person Insured Advance Premium O) S (2) S (3) Designation of Automobiles - Division I ❑ Any owned automobile �. Any hired automobile Any licensed owned private passenger automobile _ ® Any automobile described in the schedule for which o premium is entered under "Med. Pay "-. nAny non -owned automobile (CC�104.1) 171 Advance Premium Class 1 Persons Name of Each Location of Headquarters of Persons Named Herein Bodily Injury Prop rty I Damage (if (other than in dedawtlon l) (mBility Laoi, fly IF ANY i RATES: B.Le 5. P.D. 3. Rotes per Employee/ Class 2 Employees Estimated Average Number Location of Headquarters of Class 2 Employees ('f other than in decl aration 1) Bodiiy I Injury I Liability' Property Donege �. Liobii,y gadfly Injury Lability Property Damage Lability 2 .27 .14 MINIMUM PREM. FOR HIRED & NON—O'W'NED AUTOS .as vtvnvqurtcu cignated insured: Description of Insured Highway Vehicles: !. Any automobile awned by the named insured. �I Any private passenger automobile awned by the named insured. Any highway: vehicle to w.h.ch are attached dealer's license plates issued to the named insured. - Any highway vehicle described in the schedule'Iorwhich a premium is entered under” L) n. Mfrs 1," and o- highway veAlde own. rs hip of which is acquired during the policy period by the named insured as a replacement therefor. .Ago mobile equipment owned or leased 6y and, reg is hired in the nom. of in. named insisted. , AUTOMOBILE MEDICAL PAYMENTS INSURANCE Designated Person Insured Advance Premium O) S (2) S (3) Designation of Automobiles - Division I ❑ Any owned automobile �. Any hired automobile Any licensed owned private passenger automobile _ ® Any automobile described in the schedule for which o premium is entered under "Med. Pay "-. nAny non -owned automobile (CC�104.1) 171 COMPREHENSIVE AUTOMOBILE LIFE &CASUALTY LIABILITY INSURANCE BODILY INJURY LIABILITY COVERAGE PROPERTY DAMAGE LIABILITY COVERAGE The company will pay on behalf of the insured all sums which the insured shall become legally obligated to pay as damages because of bodily injury or property damage' to which this insurance applies, caused by an occurrence and arising out of the ownership, maintenance or use, . including loading and unloading, of any automobile, and.. the company shall have the right and duty to defend any suit against the insured seeking damages on account of such bodily injury or property damage; even if any of the allegations of the suit are groundless, false or fraudulent, and may make such investigation and settlement of any claim or suit as it deems expedient, but the company shall not be obligated to pay any claim or judgment or to defend any suit after the applicable limit of the company's liability has been exhausted by payment of judgments or settlements. Exclusions This insurance does not apply: (a) to liability assumed by the insured under any contract or agreement; (b) to any obligation for which the insured or any carrier as his insurer may be held liable under any workmen's com- pensation; unemployment compensation or disability bene- fits law, or under any similar law; '(c) to bodily injury to any employee of the insured arising out of and in the ..course of his employment by the insured, but this exclusion does not apply to any such injury arising out of and in the course of domestic employment by the insured unless benefits therefor are in whole or in port either payable or required to be provided under any work- men's compensation low; (d) to property damage to (1) property owned or being transported by The insured, or (2) property rented to or in the care, custody or control of the insured; or as to which the insured is for any purpose exercising physical control; other than prop. erty damage to a residence or private garage by a private passenger automobile covered by this insurance; (e). to bodily injury due to war; whether or not declared, civil war, insurrection, rebellion or revolution, or to any act or condition incident to any of the foregoing, with respect to expenses for first aid under the Supplementary Payments provision. II. PERSONS INSURED Each of the following is an insured under this insurance to the extent set forth below: (a) the named insured; (b). any partner or executive officer thereof, but with respect to a non -owned automobile only while such automobile is being used in the business of the named insured; (c) any other person while . using an owned automobile or a hired automobile with the permission of the named insured, provided his actual operation or (if he is not operating) his other actual use thereof is within the scope of such per- mission; but with respect to bodily injury or property dom- age arising out of the loading or unloading thereof, such other person . shall be an insured only if he is: (1) a lessee or borrower of the automobile, or (2), an employee of the named insured or of such lessee or borrower; (CC ,6) CAL PART (d) any other person or organization but only with respect to his or its liability because of acts or omissions of an insured under (a), (b) or (c) above. None of the following is on insured: any person while engaged in the business of his em- ployer with respect to bodily injury to any :fellow employee of such person injured in the course of his employment; the owner or lessee (of whom the named insured is a sub - lessee) of a hired automobile or the owner of a non -owned automobile, or any agent or employee of any such owner or lessee; (iii) an executive officer with respect to an automobile owned by him or by a member of his household; (iv) any person or organization, other than the named insured, with respect to (1) o motor vehicle while used with any trailer owned or hired by such person or organization and not covered by like insurance in the company (ex- cept a trailer designed for use with a private passenger automobile and not being used for business purposes . with another type motor vehicle), or (2) o trailer while used with any motor vehicle owned or hired by such person or organization and not covered by like insurance in the company; (v) any person while employed in or otherwise engaged. in duties in connection with on automobile business, other than an automobile business operated.. by the named insured. This insurance . does not apply to bodily injury or property damage arising out of (1) a non -owned automobile used in the conduct of any partnership or joint venture of which the insured is a partner or member and which is not designated in this policy as a named insured, or (2) if the named insured is o partnership, on automobile owned by or registered in the name of a partner thereof. Ill. LIMITS OF LIABILITY Regardless of the number of (1). insureds under this policy, (2) persons or organizations who sustain bodily injury or prop- erty damage, (3) claims made or suits brought on account of bodily injury or property damage or (4) :automobiles . to which this policy applies, the company's liability is limited as follows: Bodily Injury The limit of bodily injury liability Liability Coverage stated.. in the declarations as ap- plicoble to "each person' is the limit of the company's liability for all damages because of bodily injury sustained by one person as the result of any one occurrence; but subject to the above provision respecting "each person ", the total liability of the company for all damages because . of bodily injury sustained by two or more persons as the result of any one occurrence shall not exceed the limit of bodily injury liability..stated in thedeclare- -tions as applicable. to "each occurrence'. Property Damage The total liability of the company Liability Coverage for all damages because of all property damage sustained by one or more persons or organiza- tions as the result of any one occurrence shall not exceed the limit of property damage liability stated in the declarations as applicable to "each occurrence ". Bodily Injury and For the purpose of determining Property Damage the limit of the company's lia- bility, all bodily injury and. prop - Liability Coverage'. arty damage arising out of continuous or repeated expo- Printed in U.S.A. sure to substantially the some general connfns shall be con- sidered as arising out of one occurrence. IV. POLICY PERIOD; TERRITORY This insurance applies only to bodily injury or property domage which occurs during the policy period within the territory de- scribed in paragraph (1) or (2) of the definition of policy territory. V. ADDITIONAL. DEFINITIONS When used in reference to this insurance (including endorse - menis forming a part of the policy): "automobile business" means the business or occupation of selling, repairing, servicing, storing or parking automobiles; "hired automobile" means an automobile not owned by the named insured which is used under contract in behalf of, or loaned to; the named insured; provided such automobile is not owned by or registered in the name of (a) a partner or executive officer of the named insured or (b) on employee or agent of the nomlinsured who is granted an operating allowance of env sort for the use of such automobile; "non -owned automobile" means an automobile which is neither an awned automobile nor a hired automobile; "owned automobile" means an automobile owned by the named insured; "private .passenger automobile" means a four wheel private passenger or station wagon type automobile, "trailer" includes semi - trailer but does not include mobile equipment. VI. ADDITIONAL CONDITION Excess Insurance —Hired and Non -Owned Automobiles With respect to a hired automobile or a non -awned auto- mobile, this insurance shall be excess insurance over any other valid and collectible insurance available to the insured.. COMPREHENSIVE GENERAL LIABILITY INSURANCE 1. BODILY INJURY LIABILITY COVERAGE PROPERTY DAMAGE LIABILITY COVERAGE The company will pay on behalf of the insured all sums which the insured shall become legally obligated to pay as damages because of bodily injury or property damage to which this insurance applies, caused by an occurrence, and the company shall have the right and duty to defend any suit against the insured seeking damages on account of such bodily injury or property damage, even - if'any of the allegations of the suit are groundless, false or fraudulent, and may make such investigation and settlement of any claim or suit as it deems expedient, but the company shall not be obligated to pay any claim or judgment or to defend any suit after the applicable limit of the company's liability has been exhausted by payment of judgments or settlements. Exclusions This insurance does not apply: .(a) To liability assumed by the insured under any contract or agreement except an incidental contract; but this exclusion does not apply to a warranty of fitness or quality of the named insured's products or a warranty that work per- formed by or on behalf of the named insured will be done in a workmanlike manner; (b) to bodily injury or property damage arising out of the ownership, maintenance, operation, use„ loading or un- loading of (1) any automobile or aircraft owned or operated by or rented or loaned to the named insured, or (2) any other automobile or aircraft operated by any person in the course of his employment by the named insured; but this exclusion does not apply to the parking of an automobile on premises owned by, rented to or controlled by the named insured or the ways immediately adjoining, if such automobile is not owned by or rented or loaned to the named insured ;, (c) to bodily injury or property damage arising out of and in the course of the transportation of mobile equipment by on automobile owned or operated by or rented or loaned to the named insured; (d) to bodily injury or property damage arising out of the owner- ship, maintenance, operation, use, loading: or unloading of any watercraft, if the bodily injury or property damage occurs away from premises owned by, rented to or con- trolled by the named insured, but this exclusion does not apply to bodily injury or property damage included within the products hazard or the completed aperations hazard or resulting from operations performed for the named CGL PART insured by independent contractors or to liability assumed by the insured . under on incidental contract; (e) to bodily injury or property damage due to war; whether or not declared, civil war, insurrection, rebellion or revolution, or to any act or condition incident to any of the foregoing, with respect to (1) liability assumed by the insured under on incidental contract, or (2) expenses for first aid under the Supplementary Pay- ments provision; (f) to bodily injury or property damage for which the insured or his indemnitee may be held liable, as a person or argon - izetion engaged in the business of manufacturing, distribut- ing, selling or serving . alcoholic.. beverages or as an owner or lessor of premises .. used for such purposes, by reason of the selling, serving or giving of any alcoholic beverage (1) in violation of any statute, ordinance or regulation, (2) to a minor, (3) to a person under the influence of alcohol, or (4) which causes or contributes to the intoxication of any person; (g) to any obligation for which the insured or any carrier as his insurer may be held liable under any workmen's com- pensation, unemployment compensation or disability bene- fits law, or under any similar law; (h) to bodily injury to any employee of the insured arising out of and in the course of his employment by the insured; but this exclusion .does not apply to liability assumed by The insured under an incidental contract; (i) to property damage to (1) property owned or occupied by or rented to the insured, (2) property used by the insured, or (3) property in the care, custody or control of insured or as to which the insured is for any purpose exercising: physical control; but parts (2) and (3) of this exclusion do not apply with respect to liability under a written sidetrack agreement and part (3) of this exclusion does not apply with respect to property damage (other than to elevators) arising out of the use bf an elevator of premises owned by, rented to or controlled by the named insured; to property damage to premises alienated by the named insured arising out of such premises or any part thereof; (k) to bodily injury or property damage resulting from the failure of The named insured's products or work completed' by or for the named insured to perform the function or serve the purpose intended by the named insured, if such failure is due to a mistake or deficiency in any design, formula, plan, specifications, advertising material or printed instructions' prepared or developed by any insured, but this exclusion. does not apply to bodily injury 110raperty domage,.re- sulting from the active malfunctioning of such products or work; (1) to property damage to the named insured's .products arising out of such products or any part of such products; (m) to property damage to work performed by or on behalf of the named insured arising out of the work or any .portion thereof, or out of materials, . parts or equipment furnished in connection therewith; (n) to damages .claimed for the withdrawal, inspection, repair, replacement, or loss of use of the named insured's products or work completed by or for the named insured or of any property of which such products or work form a part, if such products, work or property are withdrawn from the market or from use because of any .known or suspected defect or deficiency therein; (o) to property damage included within: (1) the explosion hazard in connection with operations identified in this policy by a classification code number which includes the symbol "X "., (2) the collapse hazard. in .connection with operations identified in this policy by o classification code number which includes the symbol "C, (3) the underground property damage hazard in con- nection with operations 'identified in this policy by a classification code number which includes the symbol ,,u„ PERSONS INSURED Each of the following is an insured under this insurance to the extent set forth below:: (a) if the named insured is designated in the declarations as an individual, the .person so designated but only with respect to the conduct of a business of which he is the sole proprietor, - (b) if the named insured is designated in the declarations as a partnership or joint venture, the partnership or joint venture so designated and any partner or member thereof but only with respect to his liability as such; (c) if the named insured is designated in the declarations as other than an individual, partnership or joint venture„ the organization so designated and any executive officer, director or stockholder thereof while acting within the scope of his duties as such; - (d) any person (other than an employee of the named insured) or organization while acting as real estate manager for the named insured; and (e) with respect to the operation, for the purpose of locomo- tion upon a public.. highway, of mobile equipment registered under any motor vehicle registration low, (i) an employee . of the named insured while operating any such equipment in the course of his employment, and (ii) any other person while operating with the permission of the named insured any such equipment registered in the name of the named insured and any person or organization legally responsible for such operation, but only if there is no other valid and collectible insur- ance available, either on a primary or excess basis, to such person or organization; provided that no person or organization shall be an insured under this paragraph (e) with respect to: (1) bodily injury to any fellow employee of such person . injured in the course of his employment, or (2) property damage to property owned by, rented to, in charge of or occupied by the named insured or the employer of any person described in subpara- graph (ii). This insurance does not apply to bodily .injury or property damage . arising out of the conduct of any partnership or joint venture of which the insured is a partner or member and which is not designated in this policy as named insured. III. LIMITS OF LIABILITY Regardless of the number of (1) insureds under this policy, (2) persons or organizations who sustain bodily injury or prop- erty damage, or (3) claims made or suits brought on account of bodily injury or0perty damage, the company's liability is limited as follows: Bodily Injury The limit of bodily injury liability Liability Coverage stated in the declarations as ap- plicable to "each person' is the limit of the company's liability for all damages because of bodily injury sustained by one person as the result of any one occurrence; but subject to the above provision respecting "each person ", the total liability of the company for all damages because of bodily injury sustained by two or more persons as the result of any one occurrence shall not exceed the limit of bodily injury liability stated in the declara- tions as applicable to "each occurrence Subject to the above provisions respecting "each person" and "each occurrence ", the total liability of the company for all damages because of (1) all bodily injury included within the completed operations hazard and (2) all bodily injury included within the products Hazard shall not exceed the limit of bodily injury liability stated in the declarations as "aggregate ". Property Damage The total liability of the company Liability Coverage for all damages because of all property damage sustained by one or more persons or organiza- tions as the result of anyone occurrence shall not exceed the limit . of property damage liability stated in the .declarations as ap- plicable to "each occurrence ". Subject to the above provision respecting "each occurrence ", the total liability of the company for all damages because of all property damage to which this coverage applies and described in any of the numbered subparographs below shall not exceed the limit of property damage liability stated in the declarations as "aggregate ": (1) all property damage arising out of premises oropera- tions rated on a remuneration basis or contractor's equipment rated on a receipts basis, including prop- erty damage for which liability is assumed under any incidental contract relating to such premises or op- erations, but excluding property damage included in subparagroph (2) below; (2) all property damage arising out of and occurring in the course of operations performed for the named insured by independent contractors and general su- pervision thereof by the named insured, including any such property damage for which .liability is as- sumed under any incidental contract relating to such operations, . but this subparagraph (2) does not in- clude property damage arising out of maintenance or repairs at premises owned by or rented to the named insured or structural alterations at such prem- ises which do not involve changing the size of or moving buildings or other structures; (3) all property damage included within the products hazard and all property damage included within the completed operations hazard.. Such aggregate limit sholl apply separately to the property damage described in subparagraphs (1), (2) and (3) above, and under subparographs ('1) and (2), separately with respect to each project away from premises owned by or rented to the named insured'. Bodily Injury and For the purpose of determining Property Damage the limit of the company's liability, Liability Coverage all bodily injury and property damage arising out of continuous or repeated exposure to substan- tially the some general conditions shall be considered as arising out of one occurrence. IV. POLICY PERIOD; TERRITORY This insurance applies only to bodily injury or property damage which occurs during the policy period within the policy territory. AUTOMOBILE MEDICAL FOMENTS INSURANCE I. AUTOMOBILE MEDICAL PAYMENTS COVERAGE The company will pay all reasonable medical expense in- curred within one year from the dote of the occident: Division 1. to or for each person who sustains bodily in- jury, caused by occident, while occupying o designated automobile which is being used by o person for whom bodily injury liability in- surance is afforded under this policy with respect to such used Division 2. to or for each insured who sustains bodily in. jury, caused by occident, while occupying or, while o pedestrian, through being struck by o highway vehicle. Exclusions This insurance does not apply: (o) to bodily injury to any person or insured while employed or otherwise engaged in duties in connection with on auto -. mobile business, if benefits therefor ore in whole or in port either payable . or required to be provided under any work- men's compensation law; (b) to bodily injury due to war, whether or not declared,. civil war, insurrection, rebellion or revolution, or to any act or condition incident to any of the foregoing; (c) under Division 1, to bodily injury to any employee: of the named insured arising out of and in the course . of employ- ment by the named insured, but this .exclusion does not apply to any such bodily injury arising out of and in the course of domestic employment by the named insured unless Benefits therefor ore in whole or in part either payable or required to be provided under any workmen's compenso- tion low; (d under Division 2, to bodily injury sustained while occupying o highway vehicle owned by any insured, or furnished for the regular use of any insured by any person or organization other than the named insured. IL PERSONS INSURED — DIVISION 2. Each of the following is on insured under this insurance to the extent set forth below; (a) any person designated as insured in the schedule.; (b) while residents of the some household as such designated person, his spouse and the relatives of either; and if such designated person shall die, any person who was on insured of the time of such death sholl continue to be an insured. III. LIMIT OF LIABILITY The limit of liability for Automobile Medical Payments Coverage stated in the declarations as applicable to "each person" is the limit of the company's liability for oil medical expense for bodily injury to any person, including any insured, as the result of any one occident When more than one medical payments coverage afforded by this policy applies to the loss, the company sholl not be liable for more than the amount of the highest applicable limit of liability. INSURANCE AGAINST UNINSURED MOTORISTS I. UNINSURED MOTORISTS COVERAGE (Damages for Bodily Iniury) The company will pay all sums which the insured or his legal representative sholl be legally entitled to recover as damages from the owner or operator of on uninsured highway vehicle because of bodily injury sustained by the insured, caused by occident and arising out of the ownership, maintenance or use of such uninsured highway vehicle; provided, for the purposes of AMP PART IV. POLICY PERIOD; TERRITORY This insurance applies only to accidents which occur during the policy period within the territory described in paragraph (1 ) or (2) of the definition of "policy territory ". V. ADDITIONAL DEFINITIONS The odditionoi definitions .applicable to automobile bodily injury liability insurance also apply to this insurance; and when used in reference: to this insurance (including endorsements forming o port of the policy): "designated automobile" means on automobile designated in the schedule and includes: (o) on automobile not owned by the named insured :while . temporarily used as a substitute for on owned automobile designated in the schedule when withdrawn from normal use for servicing or repair or because of its breakdown, loss or destruction; and (b) o trailer designed for use with a private passenger automobile, if not being used for business purposes with another type automobile and if not o home, office, store, display or passenger trailer, "highway vehicle" means o land motor vehicle or trailer other than (o) o form type tractor or other equipment designed for use principally off public roods, while not upon public roods, (b) o vehicle operated on roils or crowler treods, or (c) a vehicle while located for use as o residence; or premises; "medical expense" means expenses for necessary medical, surgical, x -ray and dental services, including prosthetic de- vices, and necessary ambulance, hospital, professional nursing and funeral services; "occupying" means in or upon or entering into or alighting from. VI. ADDITIONAL CONDITIONS Medical Reports; Proof As .soon as practicable the and Payment of Claim injured person or someone on his behalf shell give to the company written proof of claim, under ooth if required, and shall, after each request from the company, execute authorization to enable the company to obtain medical reports and copies of records. The injured person .shall submit to physical examination by physicians selected by the company when and as often as the company may reasonably require. The company may pay the injured person or any person or organization rendering . the services and such payment shall reduce the amount payable hereunder for such injury. Payment hereunder shall not constitute on admis- sion of liability of any person or, except hereunder, of the company. Excess Insurance Except with respect to on .owned :automobile, the insurance under Division 1 shall be excess insurance over any other valid and collectible automobile medical payments or automobile medical expense insurance. The insurance under Division 2 shall be excess insurance over any other valid and collectible automobile medical payments or automobile medical expense insurance available to the insured under any other policy. UM PART this coverage, determination as to whether the insured or such representative is legally entitled to recover such damages, and if so the amount thereof, sholl be mode by agreement between the insured or such representative and the company or, if they foil to agree, . by arbitration. No judgment against any person or organization alleged to be legally responsible for the .bodily injury shall be conclusive, as between the insured and the company, of the issues of liability of such person or organizat r of the amount of damages to which the insured is legally entitled unless.such judgment is entered pursuant to an action prosecuted by the insured with the written consent of the company. Exclusions This insurance does not apply: (a) to bodily injury to an insured with respect to which such insured, his legal representative or any person entitled to payment under this insurance shall, without written consent of the company, make any settlement with any person or organization who may be legally liable therefor; (b) to bodily injury to an insured while occupying a highway vehicle (other than an insured highway vehicle) owned by the named insured, any designated insured or any relative resident in the same household as the named or designated . insured, or through being struck . by such a vehicle) but this exclusion does not apply to the named insured or his rela- tives while occupying or if struck by a highway vehicle owned.. by a designated insured or his relatives; (c) so as to inure directly or indirectly to the benefit of any workmen's compensation or disability benefits carrier or any person or organization qualifying as a self - insurer under any workmen's compensation or disability benefits law or any similar law. 11. PERSONS INSURED Each of the following is on insured under this insurance to the extent set forth below: (a) the named insured and any designated insured and, while residents of the some household, the spouse .. and relatives of either; (b) any other person while occupying an insured highway vehicle; and (c) any person, with respect to damages he is entitled to re- cover because of bodily injury to which this insurance applies sustained by an insured under (a) or (b) above. The insurance applies separately with respect to each in- sured,except -with respect to the limits of the company's liability. LIMITS OF LIABILITY Regardless of the number of insureds under this policy, the company's liability is limited as follows: (a) The limit of liability stated in the declarations as applicable to "each person" is the limit of the company's liability for all damages because of bodily injury sustained by one person as the result of any one accident and, subject to the above provision respecting "each person ", the limit of liability stated in the declarations as applicable to "each accident" is the total limit of the company's liability for all damages because of bodily injury; sustained by two or more persons as the result of any one accident. (b) Any amount payable under the terms of this insurance because of bodily injury sustained in an accident by a person who is an insured under this coverage shall be reduced by (1) all sums . paid on account of such bodily injury by or on behalf of (i) the owner or operator of the uninsured highway vehicle and (ii) any other person or organization jointly or severally liable together with such owner or operator for such bodily injury; including all sums paid under the bodily injury liability coverage of the policy, and (2) the amount paid and the present value .. of all amounts payable on account of such bodily injury under any workmen's compensation law, disability benefits law or any similar law, (c) Any payment made under this insurance to or for .any insured shall be applied' in reduction of the amount of damages which he may be entitled to recover from any person insured under the bodily injury Lability coverage of the policy. (d) The company shall not be obligated to pay under this insur- ance that part of the damages which the insured may be entitled to Wer from the owner or operator of an unin. sured highway vehicle which represents expenses for medical services paid or payable under the medical pay - ments coverage of the policy. IV. POLICY PERIOD; TERRITORY This insurance applies only to accidents which occur during the policy period and within the United States of America, its territories or possessions, or Canada. V. ADDITIONAL DEFINITIONS When used in reference to this insurance (including endorse- ments forming a part of the policy): " designated insured" means an individual named in the schedule under designated insured; "highway vehicle" means a land motor vehicle.. or :trailer otherthan (a) a farm type tractor or other equipment designed for use principally off public roads, while not upon public roads, (b) a vehicle operated on rails or crawler - treads; or (c) a vehicle while located for use as residence or premises; :'hit -and -run vehicle" means a highway vehicle which causes bodily injury to on insured arising out of physical contact of such vehicle with the insured or with a vehicle .which the in- sured is occupying at the time of the accident; provided: (a) there cannot be ascertained the identity of either the operator or owner of such highway vehicle; (b) the insured or someone on his behalf shall have reported the accident within 24 hours to a police, peace or judicial officer orto the Commissioner of Motor Vehicles, and shall have filed with the company within 30 days thereafter a statement under oath that the insured or his legal rep- resentative has acause or causes of action arising . out of such accident for damages against a person or persons whose identity is unascertainable, and setting forth the facts in support thereof; and (c) at the company's request, the insured or his legal rep- resentative . makes available for inspection the vehicle . which the insured was occupying at the time of the accident; "insured highway vehicle" means a highway vehicle: (a) described in the schedule as an insured highway vehicle to which the bodily injury liability coverage of the policy applies; (b) while temporarily used as a substitute for an insured highway vehicle as described in subparagraph (a).above, when withdrawn from normal use because of its break- down, repair, servicing, loss or destruction; (c) while being operated by the named or designated insured or by the spouse of either if a resident of the some household;. but the term "insured highway vehicle" shall not include: (i) a vehicle while used as a public or livery conveyance, unless such use is specifically declared and described in this policy; (u) a vehicle . while being used without the permission of the owner; (iii) under subparagraphs (b) and (c) above, a vehicle owned by the named insured, any designated insured or any resident of the some household as the.. named or desig- nated insured; or (iv) under subparagraphs (b) and (c) above, a vehicle fur - nished' for the regular use of the named insured or any resident of the some household; "occupying" means in or upon or entering into or alighting from; "state" includes the.. District of Columbia; a territory or pos- session of the United States; and a province. of Canada; "uninsured highway vehicle" means: (a) a highway vehicle with respect to the ownership, main- tenance or use of which there is, in at least the amounts specified by the financial responsibility law of the state in which the insured highway vehicle is principally garaged, no bodily injury liability bond or insurance policy applicable at the time of the accident with respect to any person or organization legally responsible for the use of such vehicle, or with respect to which there is a bodily injury liability bond or insurance policy applicable at the time of the accident but -'to -pony writing the some denies coverage thereunder; or (b) a hit-and -run vehicle; but the term "uninsured highway vehicle" shall not include: (if an insured highway vehicle, (u) a highway vehicle which is owned or operated by aself- insurer within the meaning of any motor vehicle financial responsibility low, motor carrier law or any similar law, fill) a highway vehicle which is owned by the United States of America, Canada, a state, a political .subdivision of any such government or an agency of any of the fore- going. VI. ADDITIONAL. CONDITIONS Premium If during the policy period the number of insured highway vehicles owned by the named insured or spouse or the number of dealer's license plates issued to the named insured changes, the named 'insured shall notify the company during the policy period of any change and the pre- mium shall be' adjusted in accordance with the manuals in use by the company. If the earned premium thus computed exceeds the advance premium paid', the named insured shall pay the excess to the company; if less, the company shall return to the named insured the unearned portion paid by such insured. Proof of Claim; As soon as practicable, the insured Medical Reports or other person making claim shall . give to the company written. proof of claim, under oath if required; including full particulars of the nature . and extent of the injuries, treatment, and other details entering into the determination of the amount payable hereunder. The insured and every other person making claim hereunder shall submit to examinations under oath by any person named by the company and subscribe the some, as often as may reasonably be required. Proof of claim shall be made upon forms furnished by the company unless the company shall have failed to furnish such forms within 15 days after receiving notice of claim. The injured person shall submit to physical examinations by physicians selected by the company when and as .often as the company may reasonably require and he, or in the event of his incapacity his legal representative, or in the event of his .death his le of representative or the person or persons. entitled to sue therefor, . shall upon each request from the company execute authorization to enable the company to obtain medical reports and copies of records. Assistance and After notice of claim under this in- Cooperation of surance, the company may require the Insured the insured to take such action as may be necessary or appropriate to pre- serve his right to recover damages from any person or organization alleged to be legally responsible for the bodily injury; and in any action against the company, the company may require the insured to join such person or organization as a party defendant. Notice of If, before the company makes payment Legal Action of loss hereunder, the insured or his legal representative shall institute any legal action for bodily injury against any per- son or organization legally responsible for the use of a highway vehicle involved in the accident, a copy of the summons and complaint or other process served in connection with such legal action shall be forwarded immediately to the company by the insured or his legal representative. Other Insurance With respect to bodily injury . to an insured while occupying a. highway vehicle not owned by the named insured, this insurance shall .apply only as excess insurance over any other similar insurance available to such insured and applicable to such vehicle as pri- AUTOMOBILE PHYSICAL DAMAGE INSURANCE 1. COVERAGE AGREEMENTS 1. The company will pay for loss to covered automobiles: Comprehensive from any cause except collision; but, for the purpose of this cover- mary insurance, *his insurance shall then apply only in the amount by which the limit of liability for this coverage exceeds the applicable limit of liability of such other insurance. Except as provided in the foregoing paragraph, if the insured has other similar insurance available to him and applicable to the accident, the damages shall be deemed not to exceed the higher of the applicable . limits of liability of this insurance and such other insurance, and the company shall not be liable for agreater proportion of any loss to which this coverage applies than the limit of liability hereunder bears to the sum of the applicable limits of liability of this insurance and such other insurance. Arbitration if any person making claim hereunder and the company do not agree that such per -. son is legally entitled to recover damages from the owner or operator of an uninsured highway vehicle because of bodily injury to the insured, or do not agree as to the amount of pay- ment which may be owing under this insurance, then, upon written demand of either, the matter or matters upon which such person and the company do not agree shall be settled by arbitra- tion, which shall be conducted in accordance with the rules of the American Arbitration Association unless other means of conducting the arbitration are agreed to between the insured and the company, and judgment upon the award rendered by the arbitrators may be entered in any court having . jurisdiction thereof. Such person and the company each agree to con- sider itself bound and to be bound by any award made by the arbitrators pursuant to this insurance. Trust Agreement In the event of payment to any person under this insurance: (a) the company shall be entitled to the extent of such payment to the proceeds of any .settlement or judgment that may result from the exercise of any rights of recovery of such person against any person or organization legally respon- sible for the bodily injury because of which such payment is made; (b) such person shall hold in trust for the benefit of the com- pany all rights of recovery which he shall have against such other person or organization because of the damages which are the subject of claim made under this insurance, (c) such person shall do whatever is proper to secure and shall . do nothing . after loss to prejudice such rights; '(d) if requested in writing by the company, such person shall take, through any representative designated by the cam- pony, such action as may be necessary or appropriate to recover such payment as damages from such other person or organization, such action to be taken in the name of such person; in the event of a recovery, the company shall be reimbursed out of such recovery for expenses, costs and attorneys' fees incurred by it in connection therewith; (e) such person shall execute and deliver to the campony such instruments and papers as may be appropriate to secure the rights and obligations of such person and the company established by this provision. Payment of Loss Any amount due hereunder is by the Company payable (a) to the insured, or (b) if the insured be a minor to his parent or guardian, or (c) if the insured be deceased to his surviving spouse, otherwise (d) to a person authorized by law to receive such payment or to a person legally entitled to recover the damages which the .payment represents; provided, the company may at its option pay any amount .due hereunder in accordance with division (d) hereof. PHD PART age; breakage of glass and lass caused by missiles, . falling objects, fire; theft or larceny, windstorm, hail, earthquake, explosion, riot or civil commotion, malicious mischief or vandalism, water, flood, or (as to a covered automobile of the private passenger type) colliding.. with a bird or animal, shall not be deemed lass caused by collision; Fire, Lightning or caused b1f fire or lightning, Transportation. (b) smoke or smudge due to a sudden, unusual and faulty operation of any fixed heating equipment serving the premises in which the covered auto- mobile is located, or (c) the stranding; sinking, burning, col- lision or derailment of any conveyance in or upon which the .covered automobile is being transported; Theft caused by theft or larceny; Windstorm, Hail, caused by windstorm, hail, Earthquake or earthquake or explosion; Explosion Combined Additional caused by (a) windstorm, hail, earthquake or ex- plosion, (b) riot or civil commotion, (c) the forced lending or falling of any aircraft or its parts or equipment, (d) malicious mischief or vandalism; (e) flood or rising waters, or (f) external discharge or leakage of water; Collision caused by collision; provided that, with respect to each covered automobile, (i) under the Comprehensive coverage. (except as, to loss from any of the causes . described in the Fire, Lightning or Transportation coverage) and under the Collision coverage, such payment shall be only for the amount of each loss in excess of the deductible amount, if any, stated in the schedule as applicable. thereto; (ii) under the Combined Additional coverage, $25 shall be deducted from the amount of each loss caused by mali- cious mischief or vandalism. 2. The company will pay: Towing for towing and labor costs necessitated by the disablement of covered automobiles, pro- vided the labor is performed at the place of disablement. 3. Supplementary In addition to the applicable limits Payments of liability, the company will (a) with respect to such transportation insurance as is afforded herein, pay general average and .salvage charges.: for which the named insured becomes legally liable; (b). reimburse the named insured, in the event of a theft covered by this insurance of an entire covered auto. mobile of the private passenger type (not used as a public or livery conveyance and not, at time of theft, being held for sale by on automobile dealer), for ex- pense incurred for the rental of a substitute for such covered automobile during the period commencing 48 hours after such theft has been reported to the .company and the police and terminating, regardless of expiration of the policy period, when such covered automobile is returned to use or the company pays for the loss; but, as to any one such theft, such reimburse- ment shall not exceed $1.0 for any one day nor $300 total. 4. Such insurance as is afforded under each coverage ap- plies separately to each covered automobile, and a land motor vehicle and one or more trailers or semi - trailers at- tached thereto shall be held to be separate covered auto- mobiles as respects limits of liability and any deductible provisions applicable- thereto. Exclusions This insurance does not apply: (a) to any covered automobile while used as a public or livery conveyance, unless such use is specifically declared and described in the schedule; (b) to damage which is due and confined to: (i) wear and tear, or (ii) freezing, or (iii) mechanical or electrical breakdown or failure, unless such damage is the result of other loss covered by this insurance; (c) to tires, unless* (i) loss be coincident with and from the some cause as other loss covered by this insurance; or hi). .damaged by fire (and, if a covered automobile of the private passenger type, by malicious mischief or van- dalism) or stolen and, as to the covered automobile, loss caused by such damage or theft is covered by this insurance; (d) to loss due to (i) war, whether or not declared; civil war, insurrection, rebellion or revolution, or to any act or condition in- cident to any of the foregoing; (ii) radioactive contamination; (e) under the Comprehensive and Theft coverages, to loss or damage due to conversion, embezzlement or secretion by any person in possession of,a covered automobile under a bailment lease, conditional sale, purchase agreement, mort- gage . or other encumbrance; (f) under the Collision coverage, to breakage of glass if in- surance with respect to such breakage: is otherwise afforded herein; (g) under the Windstorm, Hail, Earthquake or Explosion and Combined Additional coverages, to loss resulting from rain, snow or sleet, whether or not wind - driven. II. LIMIT OF LIABILITY I. The limit of the company's liability for loss to any one covered automobile shall not exceed the least of the following amounts: (a) the actual cash value of such covered automobile, or if the loss is to a part thereof the actual cash value of such part, at time of loss; or (b) what it would then ..cost- to repair or replace such covered automobile or part thereof with other of like kind and quality, with deduction for depreciation; or (c) the limit of liability stated in the schedule as applicable to "each covered .automobile' under the coverage afforded for the loss to such covered automobile; provided that if such limit of liability is expressed as a stated amount it shall, with respect to a covered automobile newly acquired' during the :policy period and not described in the schedule, be deemed as having been replaced by "actual cash value' and (if this insurance is stated in the declarations as being "Fleet Automatic ".), subject to the above provisions, shall not in any event exceed the amount, if any, stated in the schedule as the "maximum limit of nobility" ap- plicable to "any one covered. automobile ". 1 If this insurance is stated in the declarations as being "Fleet Automatic ", the total limit of the company's liability for all loss directly attributable to a single happening: out of which loss occurs °shall not exceed: (a) as to all covered automobiles at any one location, the amount; if any, stated in the schedule as the "max- imum limit of liability" applicable thereto, subject to the above provisions respecting any one covered automobile; (b) as to all covered automobiles, the amount, if any; stated in the schedule as the "maximum limit of'lia- bility" applicable thereto, subject to the above pro- visions respecting (i) any one covered automobile and (ii) any one .location. 111. POLICY PERIOD; TERRITORY; PURPOSES OF USE This insurance applies only to loss which occurs during the policy period, while the covered automobile is within the United States of America, its territories or possessions, or Canada, or is being transported between ports thereof and, if a covered automobile described in the .schedule, is maintained and used for the purposes stated therein as applicable thereto. IV. ADDITIONAL DEFINITIONS When used in reference to this insurance (including en- dorsements forming. a ,part of the policy): "collision" .means 0) collision of . Pered automobile with another object or with a vehicle to which it is attached, or (II) upset of such covered automobile; "commercial type" means (if this insurance is stated in the declarations as being. "Fleet Automatic "): (i) a .land motor vehicle of the truck, pick -up, express, sedan or panel delivery type, including truck- -type tractors, trailers and semi- trailers, used for the trans- portation or delivery of goods or merchandise or for other business purposes, or 00 an altered private passenger type vehicle used for retail or wholesale delivery; "covered automobile" means a land motor vehicle, trailer or semi - trailer, including its equipment and other equipment permanently attached thereto (but not including robes, wearing, apparel or personal effects), which is either (a) designated in the schedule, by description or otherwise, as a covered automobile to which this insurance ap- plies and is (i) owned . by the named insured, or (ii) (if this insurance is stated in the declarations as being "Fleet Automatic ".) leased to the named insured for a term of not less than one yearander an agreement expressly prohibiting any right . of the lessor or owner to use such vehicle during the term of such lease except either as an operator employed by the named insured or for its repair or exchange; or, (b) if not so designated, such vehicle is newly acquired by the named insured during the policy period provided, however, that: (i) it replaces a described covered automobile, or as of the date of its delivery this insurance applies to all covered automobiles; and (ii) the named insured notifies the company within 30 days following such delivery date; but "covered automobile" does not include a vehicle owned by or registered in the name of any individual partner or executive officer of the named insured, unless specifically stated otherwise by endorsement forming a part of the policy; "loss" means direct and accidental loss or damage; "private passenger type" means a 4 -wheel land motor vehicle of the private passenger or station wagon type; as to "purposes of use "; "commercial" means use principally in the business oc- cupation of the named insured as stated in the declara- tions, including occasional use for personal, pleasure, family and other business purposes; "pleasure and business" means personal, pleasure, fam- ily and business use. V. CONDITIONS None of the Conditions of the policy shall apply to this insur- ance except. "Premium ", "Inspection and Audit ", "Sub. rogation", 'Changes ", ".Assignment "., "Three Year Policy ", "Cancellation ", and "Declarations ". This insurance shall also be subject to the following additional Conditions: Named Insured's In the event of loss the named Duties in Event insured shall: of Loss (a) protect the covered automobile, whether or not this insurance applies to the loss; and any further loss or damage due to the named insured's failure to protect shall not be recoverable under this insur- ance; reasonable expenses incurred in affording such protection shall be deemed incurred at the company's request; - (b) give notice thereof as soon as practicable to the company or any of its authorized agents and also, in the event of theft or larceny, to the police; (c) file wide company, within 91 days after loss, his sworn proof of'loss•in such form and including such information as the company may reasonably require and, upon the company's request, shall exhibit the damaged property and submit to ex- amination under oath; (d) cooperate with the company and, upon the com- pany's request, shall assist in making settlements, in the conduct of suits and in enforcing any right of contribution or indemnity against any person or organization who may be liable to the named in- sured because of loss with respect to which this insurance applies; and shall attend hearings and trials and assist in securing and giving evidence and obtaining the attendance of witnesses; but the named insured shall not, except at his own cost, voluntarily make any payment, assume any obligation, offer or pay any reward for recovery of stolen property or incur any expense other than as specifically provided in this insurance. Payment for Loss With respect to any loss covered by this insurance, the company may pay for said loss in money, or may: (a) repoir or replace . the damaged or stolen property, or (b) return at its expense any stolen property to the named insured, with payment for any resultant damage thereto, at any time before the loss is so paid or the property is so replaced, or (c) take . all or any part of the damaged or stolen prop- erty at the agreed or appraised value; but there shall be no abandonment to the company. Appraisal If the named insured and the company fail to agree as to the amount of loss, either may, within 60 days after proof of loss is filed, demand an appraisal of the loss. In such event the named insured and the company shall each select a competent appraiser, and the appraisers shall select a competent and disinterested. umpire The appraisers shall state separately the actual cash value . and the amount of loss and failing to agree shall submit their differences to the umpire. An award in writing, of any two shall determine the amount of loss. The named insured and the company shall each pay its chosen appraiser and shall bear equally the other expenses of the appraisal and umpire. The company shall not be held to have waived any of its rights by any act relating to appraisal Action Against Noaction shall lie against the company Company unless, as acondition precedent there- to, there shall have been full com- pliance with all the terms of this insurance nor until 30 days after proof of loss is filed and the amount of loss is determined as provided in this insurance. Other Insurance If the named insured has other in- surance against a loss covered by this insurance, the company .shall not be liable under this insur- ance for a greater proportion of such loss than the applicable limit of liability stated in the schedule bears to the total op- plicoble limit of liability of all valid and collectible insurance against such loss; provided, however, with respect to any covered automobile newly acquired during the policy 'period and not described in the schedule, this insurance shall not apply to any loss . against which the named insured has other valid and collectible insurance.. No Benefit None of the provisions of this insurance to Boilee shall inure directly or indirectly to the benefit of any carrier or other bailee for hire. NAUA No. 52— I'Dt710N, Sf.P'i MIICk, 19')2 AUTOMOBILE LOO PA "AG' ' EiO21`Ni NT I R'cviseo Saptcc:bcr'23, ;943) , With r spectda , cst of Verson or orgomzotion named in the d,clorotion: (or in the o'utomtobl!e sere a as'o pryce, its succass.,.-e o ...s s iho.up,il called the Lien - Holder) n Its copec,ty os conditional Vendor or or o rewr :c, in to p per:y . s c under t .'s policy, this Compony hereby ogrees os follows'. 7 Loss or. an ) • any. to the property descnbod in this policy shol! be payable firstly to the L en- Holder end econd! o .-•e in swreJ. as jnoir ) s may appear, provided nevertheless that upon demand by the Lien.Hcldcr upon ra Company *or .cp ^.rote s..:. lemOnt .t. omoun- of soid loss she!] be paid directly to the Lien -Homer to the extent of its interest end 'no bc'or.ce,. :f ody; a ^all be payable to :he Insured. 2. Tha Insu, c unifier this policy as to the interest only of the Lien-Holder sholl not be impaired in ony way by cry &toga in :he tli!e o:, z,norsnip of the property or by any breach of warranty or condition of trio Policy, or by any cmi s)on o: eyg,ca?, or 'cy t e pc: formancr of any act in violation of any terms or conditions of the policy or because of the failure to perform cry act r cuiro3 by t'ta %ems or conditions of the policy or because of the subjection of the property to any conditions, use or oPc :chef, no °ra t by ^.o policy or because of any false :statement concerning this policy or the sub)cct thereof, by ne r u d or -'he I sured's emplv�ccs agents or representatives; whether occurring before or after the attachment of -.ris crreemert o NnetEer b Ole or t o :ass; PROVIDED, however' that the wrongful conversion, emaezzlement or secretion by tea rurclrcser, Mor" gogor, O Lossoo in possession of the insured property under mortgogo, conditional sole cont:oct, lease core rrert, or other contract is not cove ci und.c. this po icy, unless specifically insured cgefnst and premium paid therefor. 3, In the at n' o of tho .Insure: to pay any premium or oddltionol premium which shell be or become duc .. under tar^t' of `:us policy. this Company ogrees to give written notice to the Lien - ;-:older of such non. poyment of premium c`tzr six y (60) Coy: tram Ono , ). : : ^in one n.ndred and twenty l 1207 days after due dote of such premium and it r. o cor :8ition of the co of nuer,ce of The rights Of . the L'an-Molder hereunder that the Lien - Holder when so notified in writing by this Company a' the.. orur: or tc.a Insured to pay -.such premium sholi . pay or cause to be paid the premium due within ten ( 10) days following r_ccipt a '.-.a Coil- ;)cry's ' nomond n w• 't n therefor, If the Lien- Holder sholl decline to pay said premium or additional prom um, thO r e tz cf.the .Lien -H car under this Automobile Loss Payable Endorsement shall not be terminated before ten ( 10). doss crier receipt e^ said written notice to the Lim - Holder. 4. f one Co ':pccy eiects to cancel this policy in whole or in pert for non- pcymcnt of premium, or for any other re"Gri. Tro Corepery will fen.ord c copy of the cencellotion notice to the Licn- Holder of its office specified hereinafter concurrently 'wits a of co-,.cc to the.. lnsyrcci but in such case this policy sholl continue in force for the benefit of the lien- Holder only for iien ( 10} day, after written notice o: such cancellation is received by the Lim - Holder. In no even;, as to the interest aniy of the n- =;elder, $boll con Lion of any insurance under this policy covering the property described in the policy be effected et 'rte r quest of t ^.e r m Insured oorc : 5 n 70) days after written notice of request for cccellotion shall hove' been givers to the Lien -Holde try, the Carn- pcny. in .ne event of conce'llotion of this policy the unearned premium shot[ be paid to the Lien - Holder,: Provided n • sold Lien- . Holder hcs ocvancoo the premium. 5, if ;here be cn.y otror insurance . upon the within- described property; this Compony sholl be (lob!e under this pe Qcy as to the Lien- Holcor only for the proportion of such loss or domego thct the sum hereby insured bases to the whole amount ..f 'valid and co'.`ac^:b.e insurance . of similar character on said property under policies hcid by, payable to and .expressly consen. d to by the Lien -Ha cr, and to the extent of payment so mode this Company shall be'subrogct ad (pro rote with oil other ir. ;urers ccntribut r'.g to said pcymmt) . to oil of the 'Lien- Holder's rights of'contr :bution under said other insurance. 6. Whenavar this Company shall pay to The Lien- Holder any sum for loss or damage under this policy and si-cil cairn 'that c. to tie insured no icbility therefor exists, this Company a its,option, may pay to the Lien- Holder the whole prlrctpe! su.m . end interest e or to come due from the insured on the obligation secured by the property insured under this policy; (with re and of oil a Company 9P assignment ,y i )n rest na y g p g onsfer, without recourse, ct smd obiigc- accrued) and thisGom cn shall thereupon receive o full and t, .on cv.o tno security as collateral thereto; but no subro oiion sholl im o)r the rt h'is of the Lien:Holder to recover the full amount of its claim, I 7 the covc.cge granted under this policy sholl continue in full force and effect as to the interest of the oniy, :at c pa., ad a ten i.10) days after expvetlan of said policy unless on ccceptobie policy to renewal thereof with loss. tr�re ,,,.r pcycbie fog the L. On -Ho :der n cccordcnce with the terms of this Automobile Loss Pcyoble Endorsement sholl hove beer. issued by some '.r.surcnce company and ccceptec by the Lien - Holder, in the event of o loss not otherwise covered during the exteri lid ten ( 10) dcy period iaerein referred to, . on annual policy covering the some hazards to the property insured under the original policy sholi be [ssuee end accepted by the Lien - Holder and Mortgagor, S S :.cc!d't'.o ownership and right of possession of any of the property covered under this policy become vestec in the 1-ien- Holder or its cg -:f, this pol:cy sholl continue for the term thereof for the benefit of the Lien - Holder (with oil incidents of own ship of the pc:icy lb . :, in such event, Paragraphs two (2), five 15) and six (6) of this Automobile Loss Payable Endorsements i r,o,linngar OPP yl provided, nevertheless, oil priviieges and endorsements which, by reason of the printed conditions of `.his po:icy c or may be necessary to mcinto)r. the validity of the contract ore hereby granted for o period of thirty (30) days end chi notices i.kewlse requ :red to DO given :o the Company by the Insured ore hereby waived for o period of thirty (30) days with the exception of regci-ements applying o: the time of or subsequent to a loss. 9. Al! notices herein provided to be given by the Company to the Lien - Holder in connection with this policy and this Autor.abila Loss Pcycbie Endorsemer f shall be moiled to or delivered to the Lien - Holder of its branch whose address is designcted' under the '.toss payee rem of the policy declarations. This ecdorsement farms o port of the policy to which attached, effective from its dote of issue unless otherwise stated herein. (: tie irf orma ;ton below is required only when ibis endorsemew is issued subsequenii ;o prepara: or,, of Endorsement effective .... ............................. .. ........... Policy No:............ III, ....... Endorse rent No:. Named Insured .............. .,:c C m 2y zncz Sumo:[ convpza 9 Hartford, Connecticut VV �\ y /l SITED TOURIST COVERAGE -MEW WARNING: Unless you have .automobile insurance written by a Mexican insurance company; you may spend many hours or days in jail if you have an accident in Mexico. Insurance coverage should be secured from a company licensed under the laws of Mexico to write such insurance in order to avoid complications and some other penalties possible under the laws of Mexico, including the possible impoundment of your automobile. It is agreed that such insurance as is afforded . by the policy also applies to accidents, occurrences and losses, during the policy period, within the Republic of Mexico subject to the following additional provisions: 1. LIABILITY The insurance does not apply to bodily injury or property damage which occurs in the Republic of Mexico unless:. (a) the bodily injury or property damage arises out of the ownership, maintenance or use of an owned automobile registered or principally garaged in the United States of America., its territories or possessions or Canada; and (b) the original suit for damages: because of such bodily injury or property damage is brought . within the United States of America, its territories or possessions or Canada. 2. PERSONS INSURED No person is an insured under the Liability and Medical Expense Coverage of this policy unless such person is domiciled in the United States of America, its territories or possessions or Canada. 3. PHYSICAL DAMAGE The named Insured agrees, that if this policy covers loss or damage to the automobile and said loss or damage makes necessary the repair of the automobile or replacement of any parts thereof, while the automobile is in the Republic of Mexico, that: (.1) The basis of adjustment for such repairs or replace ments shall not exceed their cost at the nearest place in the United States where they can be made; (2) The cost of towing,: transportation or salvage operations of the automobile while in the Republic of Mexico, shall not be recoverable hereunder and is not ,a contingency insured . by this policy; (3) The cost of sending an adjuster, if necessary, in excess oftwenty -five. (25) miles from the nearest United States border town to the location of the damaged automobile shall be borne by the Insured whenever an accident . which is the basis of a claim shall have occurred. 4. OTHER INSURANCE The insurance afforded by this endorsement shall be excess insurance over any other valid and collectible insurance available to the Insured and applicable to any part of an accident, occurrence or loss covered hereunder and the other insurance condition of the policy does not apply to the insurance afforded by this endorsement. This endorsement, issued by one of the below named companies, forms: a part of the policy to which attached, .effective on the inception date.of the policy. The .4Vtna Casually and Surety Company The Standard Fire Insurance Company Hartford, Connecticut (13942) ED. 9/67 6 A t Presidwo. This endorseme difies such insurance as is afforded by the provi of the policy relating to the following: COMPREHENSWE GENERAL LIABILITY INSURANCE MANUFACTURERS' AND CONTRACTORS' LIABILITY INSURANCE SMP LIABILITY INSURANCE BROAD FORM PROPERTY DAMAGE COVERAGE It is agreed that exclusion (i) of the policy is replaced by the following: (i) to property damage (1) to property owned or occupied by or rented to the in- sured, or held by the insured for sale or entrusted to the insured for storage or safekeeping, (2) except with respect to liability under a written sidetrack agreement or the use of elevators. to (i) property while on premises owned by or rented to the insured for the purpose of having operations per- formed on such property by or on behalf of the insured, tools or equipment while being used by the insured in performing his operations, (iii) property in the .custody of the insured which is to be installed, erected or used in construction by the insured, (iv) that particular part of any property, not on premises owned by or rented to the insured, (a) upon which operations are being performed by or on behalf of the insured at the time of the prop- erty damage arising out of such operations;. or (b) out of which any property damage arises, or (c) the restoration, repair or replacement of which has been made or is necessary by reason of faulty workmanship thereon by or, on behalf of the insured, but parts (a), (b) and (d of this exclusion do not apply (1) to the named insured's products where the insured has relinquished physical possession of such products to others, or (2) where the property damage arises out of the completed, operations. hazard, (v) property which is being transported by the insured by automobile, mobile equipment or team, . in. cluding the loading or unloading thereof. This endorsement, issued by one of the below named companies, forms a part of the policy to which attached, effective on the inception date of the policy unless otherwise stated herein. (The information below is required only when this endorsement is issued subsequent to preparation of policy.) Endorsement effective Named Insured THE /ETNA CASUALTY AND SURETY COMPANY, THE STANDARD FIRE INSURANCE COMPANY Hartford, Connecticut ALPS (CC- 105 -A) 2-67 Policy No. Endorsement No. Countersigned by (AUfihc,4.d R.,re erdaiv.) CONTRACTUAL LIABI'LIOINSURANCE ' (Blanket Coverage) The company, in consideration of the payment of the premium end subject to all of the provisions of the policy net expressly modified herein, agrees with the named insured as follows: SCHEDULE The insurance afforded for contractual liability is only with respect to such of the following. Coverages as are indicoted by a specific premium charge applicable thereto, The limit of the company's liability against each such Coverage shall be as stated herein, subject to all the terms of this policy having reference thereto. COVERAGES LIMITS OF LIABILITY ADVANCE Rotes Per $100`of -Cost PREMIUM Each Person Each Occurrence Aggregate DATE TYPED SEC AGENCY / P Cost INCL. ContraCtuol Bodil y Injury Liabilit y $ENDIT.'000 , gEND'T. •000 $ AND INITIALS SEE SEE INCL. Contractual Property Damage Liability 'END.IT. ,000 $ END t.r..000 $ TOTAL ADVANCE PREMIUM. $ 1NCL.° The following exclusions do not apply with respect to any agreement relating to construction, cherotion, or demolition operations: P Contracts may be designated ' in the General Liability Code Premium Bases- Rotes Per $100`of -Cost Advance Premium. - TAX DIST TRANS C POLICY EFFECTIVE DATE DATE TYPED Schedule or below AGENCY / P Cost B.1. P.D. B.I. P.D. I AND INITIALS BROKER n 1. COVERAGES— CONTRACTUAL BODILY INJURY LIABILITY CONTRACTUAL PROPERTY DAMAGE LIABILITY The company will pay an behalf of the insured oil sums which the insured, by reason of contractual liability assumed by him under any written Contract of the type designated in the schedule for this insurance, shall became legally obligated to pay as damages because of bodily injury or - property damage to which this insurance applies, caused by an occurrence; and the company sholl have the right and duty to defend any suit against the insured seeking damages an account of such bodily injury or property damage, even if any of the allegations of the suit are groundless, false or fraudulent, and may make such, in -, vestigation and settlement of any claim at suit as it deems ex- pedient, but the company sholl not be obligated to pay on claim- or judgment or to defend (1) any arbitration proceeding wherein the company is not en- titled to exercise the insured's rights in the choice of arbi- trators and in the conduct of such proceedings, or (2) any suit after the applicable limit of the company's liability has been exhausted by payment of judgments or settlements. (continued an reverse side) This endorsement, issued by one of the below named companies, forms a part of the policy to which attached, effective on the inception date of the policy unless otherwise stated herein. (The information below is required only when this endorsement is issued subsequent to preparation of policy.) Endorsement effective Policy No. Endorsement No. Named Insured Additional. Premium $ Return Premium $ In Adv. $ t. 1st Anniv. $ 2nd Anniv. $ THE (ETNA CASUALTY AND SURETY COMPANY THE STANDARD FIRE INSURANCE COMPANY Horti.N1, Connecticut 06115 Countersigned by_ (Author @ed. Repre,enmrrve) FOR COMPANY 'USE, ONLY LODE NAME o PAYY TAX DIST TRANS C POLICY EFFECTIVE DATE DATE TYPED AGENCY / P A TYPE A. AND INITIALS BROKER n P s E POLICY EXPIRATION DATE; OFFICE CODE. CIS CODE COUNTERSIGNING , _ CODES o N T. I TERRITORY ILIMITS OF LIABILITY FILE DEPT. UND: APP. UND. PROD I PLAN I STATE I RATE BI PD. I Al- (CC-244-A) 767 Eadusions. This insurance does not appl (a) to Mobility assumed by the insured any incidental contract; (b) to bodily .injury or .property damage for which the insured has assumed contractual liability, if such injury or damage occurred prior to the execution of the contract, (c) (1) if the insured is on architect, engineer or surveyor, to bodily injury or property damage arising out of professional serv- ices performed by such insured, including (i) the preparation or approval of mops, drawings, opin- ions, reports, surveys, change orders; designs or speci- fications, and (ii) supervisory, inspection or engineering. services; (2) if' the indemnitee of the insured is on architect, engineer or surveyor, to the liability of the indemnitee, his agents or employees, arising out of (i) the preparation or approval of maps, drawings, opin- ions, reports; surveys; change orders, designs or speci- ficotions, or (li) the giving of or the :foilure to give directions or instruc- tions by the mclemnitee, his agents or employees, pro- vided such giving or failure to give is the primary cause of the bodily injury or property damage; (d) to bodily injury or property damage due to war, whether or not declared, .civil war, insurrection, rebellion or revolution or to any act or condition incident to any of the foregoing; (e) to bodily injury or property damage for which the indemnitee may be held liable, as o person or orgonizotion engaged in the business of manufacturing, distributing, selling or serving alcoholic beverages or as art owner or lessor of premises: used for such purposes; by reason of the selling, serving or giving of any alcoholic beverage (1) in violation of any statute, ordinance or regulation; (2) to a minor, (3) to a person under the influence of alcohol, or (4) which causes or contributes to the intoxication of any person; (f) to any obligation for which the insured or any carrier as his insurer may be field liable under any workmen's compenso- tion, unemployment compensation or disability benefits low, or under any similar law; (g) to any obligation for which the insured may be held liable in on action on a contract by a third party beneficiary for bodily injury or property damage arising out of o project for o public authority; but this exclusion does not apply to on action by the public authority or any other person or organization engaged. in the project; (h) to property damage to (1) property owned or occupied by or rented to the insured,, (2) property used by the insured, or (3) property-in the care, custody or control of the insured or as to which the insured is for any purpose exercising physical control; (i) to property damage to premises alienated by the named insured arising out of such premises or any port thereof; (j) to bodily '. injury or property damage resulting from the failure . of the named insured's products or work completed by or for the named insured to perform the function or serve the purpose intended by the named insured, if such failure is due to o mistake or deficiency in any design, formula, plan, speci- ficotions, odvertising material or printed instructions prepared or developed by any insured;. but this exclusion does not apply to bodily injury or property damage resulting from the active malfunctioning of such products or work; (k) to property damage to the named insured's products arising out of such products or any port of such products; (1) to property damage to work performed by or on behalf of the named insured arising out of the work or any portion Thereof, or out of materials, parts or equipment furnished in connection therewith; (m)tc damages claimed for the withdrawal, inspection, repair, replacement, or loss of use of the named insured's products or work completed by or for the named insured or of any property of which such products or work form o port, if such products, work' or property ore withdrawn from the market or from use because of any known or suspected defect or deficiency therein; Unless stated in the schedule above as not applicable, the follow. ing exclusions also apply to contractual liability assumed' by the insured . under any agreement reloting to construction, alteration, or demolition. operations'. This insurance does not apply: (n) to bodily injury or property damage arising out of construc- tion, maintenance, or repair of watercraft or loading or un- loading thereof; (a) to bodily injury or property damage arising out of operations, within . fifty feet of any such railroad property, affecting any railroad bridge or trestle, 'tracks, rood beds, tunnel, underpass or crossing; (p) to bodily injury or property damage included within the com- pleted operations hazard or the products hazard; (q) to property damage included within (1) the explosion hazard, (2) the collapse hazard, or (3) the underground property damage hazard.. _ U. PERSONS INSURED of the following is an insured under this insurance to the ex set forth below: ('o) if the named insured is designated in the declarations as on individual, the person so designated; (b) if the named insured is designated in the declarations as a. partnership or joint venture, the partnership or joint venture so designated and any partner or member thereof but only with respect to his liability as such; (c) if the named insured is designated in the declarations as other than on indivduol, partnership or joint venture, the organi- zation so designated and any - executive officer, director or stockholder thereof while acting within the scope of his.. duties . as such. .111. LIMITS Of LIABILITY. Regardless of the number of (1) insureds under this policy, (2) ersons or organizations who sustain bodily injury or property do age, or (3) claims made or suits brought on account of bodily injury or property damage, the company's liability is limited as follows: Contractual Bodily injury Liability. The limit of bodily injury liability stated in the schedule as applicable to "each person' is the limit of the company's liobility for ali damages because of bodily injury sustained by one person as the result of any one occurrence; but subject to the above provision respecting "each person ", the total liability of the company for all damages because of bodily injury sustained by two or more persons as the result.of- any one occurrence sholl not exceed the limit of bodily injury liability stated in the schedule as applicable to "each occurrence" Contractual Property Damage Liability. The total liability of the company for all damages because of oil property damage _sustained by one or more persons or organizations as the result of any one occurrence shall not exceed the limit of property dam- age liability stated in The schedule as applicable to "each occur- rence" Subject to the above provision respecting "each occurrence ", the total liability of the company for oil .damages because of all property damage to which this coverage applies shall not exceed the limit of property damage liability stated in the schedule. as "aggregate ". Such aggregate .limit of liability applies separately with respect . to each project away from premises owned by or rented to the named insured. Contractual Bodily Injury and Property Damage Liability. For the purpose of determining the limit of the company's liability, oll bodily injury and property domage arising out of continuous or repeated exposure to substontiolly the some general condi- tions shell be considered as arising out of one occurrence. IV. POLICY PERIOD;' TERRITORY. This insurance applies only to bodily injury or property damage which occurs during the en- dorsement period within the policy territory. V. ADDITIONAL DEFINITIONS. When used in reference to this insurance (including endorsements forming a port of t'ne policy): "contractual liability" means liability expressly assumed under a written contract or agreement; provided, however, that can - traetuol liability sholl not be construed as including liobility under o warranty of the fitness or quality of the named insured's products or o warranty that work performed by or on behalf of the named insured will be done in a workmanlike manner; "suit" includes an arbitration proceeding to which the insured is required to submit or to which the Insured has submitted with the company's consent. VI. ADDITIONAL CONDITIONS. Arbitration. The company shall be entitled to exercise all of the insured's rights in the choice of arbitrators and in the conduct of any arbitration proceeding. Premium. The advance premium stated in the schedule is the es- timmed premium an account of such written contracts as are on file with or known to the company. The named insured shall notify the company of oil other written contracts entered into during the policy period to which this insurance applies. When used as o premium basis: 1. the ward "cost" moons the total cost of all work in connection with oil contracts of the type designated in the schedule for this insurance with respect to which "cost" is the basis of premium, regardless of whether any liability is assumed under such con- tracts by the insured. It includes the cost of all labor, materials and equipment furnished, used or delivered for use in the execution of such work, whether furnished by the insured, or others including oil fees, allowances, bonuses i; commissions mode, paid or due. It shall not include the cost a£ ony operations to which exclusions (n) or (o) apply,. unless such exclusions ore voided in the schedule. 2. the word "soles" means the gross amount of money charged by the named insured or by others trading under his name for oil goods and products sold or distributed during the policy. period and charged during the policy period for installation, . servicing or repair, and includes taxes, other than taxes which the named insured and such others collect us o separate item and remit directly to o governmental Division... This endorsement modifies such insurance as is afforded by the provisions of the policy relating to the following: ALL LIABILITY INSURANCE, OTHER THAN COMPREHENSIVE PERSONAL AND FARMER'S COMPREHENSIVE PERSONAL INSURANCE SINGLE LIMIT It is agreed that with respect to the insurance indicated below by F : 1. The total limit of the company's liability for all damages as the result of any one occurrence is the amount stated below as applicable to "each occurrence." Insuring Agreement 11I, Limits of Liability is amended accordingly. ' 2. Any aggregate limit of liability, the amount of which is specifically stated below or in the declarations, shall nevertheless continue to apply in accordance with all the terms of the policy applicable thereto. COVERAGES E� All Liability Insurance ❑ Comprehensive Automobile Liability Insurance ^'I Comprehensive General Liability Insurance LIMITS OF LIABILITY $ I nnn Ono each occurrence $ aggregate This endorsement., issued by one of the below named companies, forms a part of the policy to which attached, ef- fective on the inception date of the policy unless . otherwise stated herein. (The intorm.'ation below is required only when. this endorsement is issued subsequent to preparation of the policy..) Endorsement effective Named Insured Additional Premium $ Policy No. Return Premium, $ THE !ETNA CASUALTY AND SURETY COMPANY THE STANDARD FIRE INSURANCE COMPANY Hartford,' Connecticut Countersigned by FOR COMPANY USE ONLY Endorsement No. 1� In Adv. $ \ $ 1st Anniv. $',$ 2nd Anniv..$ $ (Authorized Representative) AL- PS -DS -PC .ICC-324-A! 5.57 PN.INTE° 1'N V. 5. A. CODE NAME c PA Y'T TAX GIST. TRANS. C POLICY EFF. DATE I DATE AGENCY /,. M TYPE A ITYPEG AND BROKER s E P !INIT.I.AL$ POUCY EXP. DATE OFF ICE CODE C/S CODE COUNTERSIGNING CODES 9- ° N STA T. T ERR! TORY LIMITS OF LIABILITY FILE DEPT. UND. APPPLAN rSTATE RATE BI ED 8 AL- PS -DS -PC .ICC-324-A! 5.57 PN.INTE° 1'N V. 5. A. (AhENDED C;�WEJJ.MN PROVISION) It is agreed that this Policy shall not be cancelled or reduced in-coverage until 30 days after the 'parties liated'' below shall have received notice of such cancellation of reduction in coverage as evidenced by return receipt of notice addressed to: CITY OF NEWPORT BEACH NEWPORT BEACH, CALIF. It is further agreed that the first two sentences of the cancellation condition of the policy are amended to read as follows. This policy may be cancelled by the insured by (nailing written notice to the Company stating when, not less than 35 days thereafter, such cancellation shall be effective. This policy may be cancelled by the Company by mailing to the insured at the address shown, in this policy written notice stating when, not lass than 30 days thereafter, such cancellation shall be effective. U -115 This endorscmenr, issued by one of the below named companies, forms a parr of the policy to which attached, effective on the inception date of the policy unless otherwise stared herein. (The rnfamation below is required only wbem tbrs endorsement it issued rubtegacut to prspq ation of policy.) 'Endorsement effective Policy No. Endorsement No. Named. Insured Additional Premium $ Return Premium $. The s0tna Casualty and Surety Company The Standard Fire Insurance Company Countersigned. by - - (Authorized Representative) Hartford, Connecticut f COVE NAME c PAYMENT TAX DISTRICT TRANSACTION •LINE OF C POLICY EFF. DATE DATE TV?ED 1a_�O1' > �' TYPE BUSINESS A AND BROKER i,. ,M R IM1ITIA LS I OFF CE. CODE C/. POLICY EXPIRY DATE DaJ t nsL�rvlNU W) > it I . Es N I STAT l TERRITORY LIMITS OF LIABILITY DR, FORM OR � PLA1. REC, CLASS DISC. PREMIUM EXPOSURE I:S TATE RATE BL PD MED. ENDI:T FORM N0. (AhENDED C;�WEJJ.MN PROVISION) It is agreed that this Policy shall not be cancelled or reduced in-coverage until 30 days after the 'parties liated'' below shall have received notice of such cancellation of reduction in coverage as evidenced by return receipt of notice addressed to: CITY OF NEWPORT BEACH NEWPORT BEACH, CALIF. It is further agreed that the first two sentences of the cancellation condition of the policy are amended to read as follows. This policy may be cancelled by the insured by (nailing written notice to the Company stating when, not less than 35 days thereafter, such cancellation shall be effective. This policy may be cancelled by the Company by mailing to the insured at the address shown, in this policy written notice stating when, not lass than 30 days thereafter, such cancellation shall be effective. U -115 This endorscmenr, issued by one of the below named companies, forms a parr of the policy to which attached, effective on the inception date of the policy unless otherwise stared herein. (The rnfamation below is required only wbem tbrs endorsement it issued rubtegacut to prspq ation of policy.) 'Endorsement effective Policy No. Endorsement No. Named. Insured Additional Premium $ Return Premium $. The s0tna Casualty and Surety Company The Standard Fire Insurance Company Countersigned. by - - (Authorized Representative) Hartford, Connecticut 1 CODE ' NAME c PAYMENT ' TAX DISTINCT TRANSAOTION. LUM Ot e. YutieY err, un'e u iYrw m I TYPE BUSINESS A FYD i 'iGCRCY',� k P h_ INITIALS I S I OFFICE 'CQ DE ;C/ E. i. POLICY EXPIRY DATE cS "NING © 0 _I. VES fl STAT. TERRITORY LIMITS OF LIABILITY DR. FORM OR PLAN RES. CLASS DISC. PREMIUM I EXPOSURE. STATE RATE el PD , MED. 1 END" T FORM NO. CWREHENSIVE GENERAL LIABILITY ENDORSEIMNT ADDITIONAL INTEREST - PRINCIPAL It is agreed that the policy is extended to cover the additional Insured designated below subject to the following provisions: (1) The coverage afforded by this endorsement shall apply only to operations performed for such additional Insured by the named Insured or his subcontractors and general supervision thereof by such additional Insured, if the accident occurs in the course of such operations, (2) The premium for this endorsement shall be based on "cost ". The word "cost" means the total cost to the additional insured of all work let or sublet in connection with each specific project to or by the named insured,'in- cluding the cost of all labor, materials and equipment furnished, used or delivered for use in the execution of such work whether furnished by the principal contractor or sub - contractor, including all fees, allowances, bonuses or commissions made, paid or due, ADDITIONAL INSURED: COUNTY OF ORANGE PROJECT; ALL OPERATIONS' It is further agreed the premium shall be determined as follows: Rates Premium Cost B.I. P.D. B.I. P.D. U -152A T.B.D. INCL, INCL. INCL. INCL. This endorsement, issued by one of the below named companies,: Forms a parr of the policy to which attached, effcaive on the inception date of the policy unless otherwise slated herein. (The information below is required wily when this endorsement it issued rubreganu to preparation of policy.) Endorsement effective Policy No. Endorsement No. Named Insured Add: tional Premium .:$ Return Premium $ The ,G fina Casualty and Surety Company The Standard Fire Insurance Company Hartford, Connecticut (90455 -1 -13) 3 -67 COuntersigned'by - (Authorizes Representative) ' CODE NAME C 1— PAYMENT TAX DISTRICT _17 RANSACTION LINE OF G POLICY EFF. DATE IDhTE TYPED L AfE h'CYf TYPE DUSiIiE55 A AI;U .6NO FER _ M P INIT IFLS POLICY EX PINY GATE OEFICF CODE CjS COUNTERS ' t OCS ,NG CUDES n STAT. TERRITORY LIMITS OF LIABILITY Oft. FORM OR PEA'*' CLASS DISC. - PREMIUM - EXPOSURE NEC. STATE'. RATE 81 PD MIDI ENO'T FORM NO. COijPRFHENSIVE GERTERAL LIABILITY EINDORSEY2NT ADDITIONAL INTEREST - PRINCIPAL It is agreed that the policy is ex-tended to cover the additional Insured designated below subject to the following provisions: . (1) The coverage afforded by this endorsement shall apply only to operations performed for such additional Insured by the named Insured or his subcontractors and general supervision thereof by such additional Insured, if the accident occurs in the courseiof such operations, premium ( ) The for this endorsement shall be bast 2 � based on °cost ". The word "Cost" means.the total cost to the additional insured of all work let or sublet in connection with each specific project to or by the named insured, in- cluding the cost of all labor, materials and equipment furnished, used or delivered for use in the execution of such work whether furnished by the principal contractor or sub- contractor, including all fees, allowances, bonuses or commissions made, paid or due. ADDITIONAL INSURED: CITY OF NEUPORT BEACH, N&PORT BEACH, CALIF. PROJECT ALL OPERATIONS It is further agreed the premium shall be determined as follows: Rates Premium Cost B.I. P.D. B, I. P.D. U -152A T.B.D. INCL. INCL. INCL. INCL. This endorsement, issued by one of the blow named companies, forms a part of the policy to which attached, effective on the inception date of the policy unless otherwise stated herein. (The informcrion below it required only when this mdorn,naw it isn ed ssbtegurnt to preparation of policy: Endorsement effective Policy No. Endorsement No.' Named Insured Additional Premium $ Return. Premium $ The .Otna Casualty and ".surety Company The Standard Fire Insurance Company Countersigned by (Authorized Representative) Hartford, Connecticut /90455.1.8) aA7 COI•TREIIENSIVE GENERAL LIABILITY ENDORMIENT ADDITIONAL INTEREST - PRINCIPAL It is agreed that the policy is extended to cover the additional Insured designated below subject to the following provisions: (1) The coverage afforded by this endorsement shall apply only to operations performed for such additional Insured by the named Insured or his subcontractors and general supervision thereof by such additional Insured, if the accident occurs in the course of such operations, (2) The premium for this endorsement shall be based on "cost ". The word "cost" means the total cost to the additional insured of all work let or sublet in connection with each specific project to or by the named insured in- cluding the cost of all labor, materials and equipment furnished, used or delivered for use in the execution of such work whether furnished by the principal contractor or sub - contractor, including all fees, allowances, bonuses or commissions made, paid or due, ADDITIONAL INSURED: CITY OF SEAL BEACH PROJECT: ALL OPERATIONS It is further agreed the premium shall be determined as follows: Rates Premium Cost B.I. P.D. B, I. P.D. U -152A T.B.D. INCL. INCL. INCL. INCL. This endorstrucnc, issued by one of the below named companies, . forms a part of the policy to which attached, effective on the inception date of the policy unless otherwise stated herein.. (Tb, irfarmatian below is ryu and Daly when this endorsamtaa is issueA rubsryunut to ptrpwation of ,policy,) Endorsement effeceive Policy No. Endorsement No. Named Insured Additions; Premium $: Return Premium .$ T a. 4Mna Casua-hy and Surety Company Tu he '�.:tan?land :.ire insurance Company Countersigned by (Authorize Represcnra6ie). Hartford, 'Connecticut COOL NAME c PAYMEN] IA olsrNl 7 iiVnS FIOi LIBF.Or c � POC `I LFF, oAiE JAit 'PEG IYIE BUSINESS A nto J {i Y��� a;; �• P INITIALS OFf ICE COOL DlS` POLICY EXPIRY DATE 1 0� �rvu F, 1 IL 1 CY L;MITS OF LIABIII TY' DR, ORM FCLASSR I j 1 F`AT' R C. DISC, PREMIUM EXPOSURE j.S i RATE 61 PO MFD. i i 6 d END'T FORM NO. I i COI•TREIIENSIVE GENERAL LIABILITY ENDORMIENT ADDITIONAL INTEREST - PRINCIPAL It is agreed that the policy is extended to cover the additional Insured designated below subject to the following provisions: (1) The coverage afforded by this endorsement shall apply only to operations performed for such additional Insured by the named Insured or his subcontractors and general supervision thereof by such additional Insured, if the accident occurs in the course of such operations, (2) The premium for this endorsement shall be based on "cost ". The word "cost" means the total cost to the additional insured of all work let or sublet in connection with each specific project to or by the named insured in- cluding the cost of all labor, materials and equipment furnished, used or delivered for use in the execution of such work whether furnished by the principal contractor or sub - contractor, including all fees, allowances, bonuses or commissions made, paid or due, ADDITIONAL INSURED: CITY OF SEAL BEACH PROJECT: ALL OPERATIONS It is further agreed the premium shall be determined as follows: Rates Premium Cost B.I. P.D. B, I. P.D. U -152A T.B.D. INCL. INCL. INCL. INCL. This endorstrucnc, issued by one of the below named companies, . forms a part of the policy to which attached, effective on the inception date of the policy unless otherwise stated herein.. (Tb, irfarmatian below is ryu and Daly when this endorsamtaa is issueA rubsryunut to ptrpwation of ,policy,) Endorsement effeceive Policy No. Endorsement No. Named Insured Additions; Premium $: Return Premium .$ T a. 4Mna Casua-hy and Surety Company Tu he '�.:tan?land :.ire insurance Company Countersigned by (Authorize Represcnra6ie). Hartford, 'Connecticut This endorsement modifies such insurance as is afforded by the provisions of the policy relating to the following: AUTOMOBILE LIABILITY INSURANCE APPLICATION OF INSURANCE TO 01 OF HIRED AUTOMOBILE AND CERTIFICATE' It is agreed that such insurance as is afforded by the policy for Bodily Injury Liability, for Property Damage Liability and for Automobile Medical Payments , with respect to the hired automobile described below applies to the owner or any lessee, other than the named Insured, of the automobile, and to any agent or employee of such other or lessee, as 'insured, but only while the automobile is used in the business of the Named Insured stated in the declarations, or by or on behalf of the Named Insured for personal or pleasure purposes. It is further agreed that with respect to any Physical Damage Insurance afforded by the policy that loss under such coverage shall be payable to the Named Insured, the Named Lessor and Mortgagee as declared in the policy. In event of cancellation, notice shall be given to the Named Lessor and Mortgagee. EURCH AUTO LEF,SING CO. rSSOR 1147 W. - ?AIN SgT'. MORTGAGEE (END, 49A applies to Mtg.) DESCRIPTIOIrOF `11TridHiE 67 LINCOLN 4 DR. SED. 5YC2N412792 KIND OF INSURANCE COMPREHENSIVE AUTOMOBILE BODILY INJURY LIABILITY a THOUSAND DOLLARS EACH PERSON /ACCIDENT BaC'vO,CW SBNGLE LIMIT PROPERTY DAMAGE LIABILITY w THOUSAND DOLLARS EACH ACCIDENT COMPREHENSIVE OR FIRE & THEFT ACTUAL CASH VALUE COLLISION 1pOe DEDUCTIBLE EXPIFUITION DATE OF POLICY hw? ,mAca This erdorsemcnt, issued by one of the below named companies, forms a part of the policy to which attached, effective on the inception dare of the policy unless otherwise stated herein. (The information below is required only when tau endorsownr is issued sgbsefv,w so preparosion of policy.) Endorsement effective Policy No. Endorsement No. Famed Insured - Additional Premium $ Return Premium $ LhCC -1004 - The C-t a Casualty and Surely Company The Z-4aidard Fire Insurance Company Countersigned. by (Authorized Represanxtii•e) Hartford, Connecticut - - Cu OE NAME t. PAYMENT TAX DISTRICT TRANSACTION IIHE OF C.I. POLICY EFF. DATE DATE !Y,-EH ! lR V TYPI UUSIYESS N AI" End. �. I AT pF "i ICE CODE .POLKA EXPIRY DATE GOWN RYIGSIIG � 6 cool y STAT: TcRRITORY I I-IMdTS OF LIAU.LITP OR. Form OR PLAY REC. CLASS DISC.. PREMIUM EXPOSURE STAT° RATE BI PD' MED. EYO'T FORM N0. This endorsement modifies such insurance as is afforded by the provisions of the policy relating to the following: AUTOMOBILE LIABILITY INSURANCE APPLICATION OF INSURANCE TO 01 OF HIRED AUTOMOBILE AND CERTIFICATE' It is agreed that such insurance as is afforded by the policy for Bodily Injury Liability, for Property Damage Liability and for Automobile Medical Payments , with respect to the hired automobile described below applies to the owner or any lessee, other than the named Insured, of the automobile, and to any agent or employee of such other or lessee, as 'insured, but only while the automobile is used in the business of the Named Insured stated in the declarations, or by or on behalf of the Named Insured for personal or pleasure purposes. It is further agreed that with respect to any Physical Damage Insurance afforded by the policy that loss under such coverage shall be payable to the Named Insured, the Named Lessor and Mortgagee as declared in the policy. In event of cancellation, notice shall be given to the Named Lessor and Mortgagee. EURCH AUTO LEF,SING CO. rSSOR 1147 W. - ?AIN SgT'. MORTGAGEE (END, 49A applies to Mtg.) DESCRIPTIOIrOF `11TridHiE 67 LINCOLN 4 DR. SED. 5YC2N412792 KIND OF INSURANCE COMPREHENSIVE AUTOMOBILE BODILY INJURY LIABILITY a THOUSAND DOLLARS EACH PERSON /ACCIDENT BaC'vO,CW SBNGLE LIMIT PROPERTY DAMAGE LIABILITY w THOUSAND DOLLARS EACH ACCIDENT COMPREHENSIVE OR FIRE & THEFT ACTUAL CASH VALUE COLLISION 1pOe DEDUCTIBLE EXPIFUITION DATE OF POLICY hw? ,mAca This erdorsemcnt, issued by one of the below named companies, forms a part of the policy to which attached, effective on the inception dare of the policy unless otherwise stated herein. (The information below is required only when tau endorsownr is issued sgbsefv,w so preparosion of policy.) Endorsement effective Policy No. Endorsement No. Famed Insured - Additional Premium $ Return Premium $ LhCC -1004 - The C-t a Casualty and Surely Company The Z-4aidard Fire Insurance Company Countersigned. by (Authorized Represanxtii•e) Hartford, Connecticut - - Q The .Etna Casualty and Surety Company ❑ The Standard Fire Insurance Company Hartford. Connecticut To .`. : 30 $ CEACH NATI CURL OR. NEWPORT i?EP.C:Hs CALIF. Date 4a —$-6 3' n ,yu G LIFE &CA UAL7Y Gentlemen: This is to certify that insurance policies, subject to their terms, conditions and exclusions, are at present in force in the Company indicated above by O, as follows: Name of Insured PACIFIC CABLE SF.R{lICESa INC. Covering 13,6j L PYCCLra 5Y22n4IZV,2 KIND OF INSURANCE LIMITS OF LIABILITY I POLICY N0. EFFECTIVE EXPIRATION Each Person Each Occurrence Aggregate Workmen's Compensation „ v � Manufacturers' & Contractors' Bodily Injury Liability $ 000 $ 000 $ 000 $ 000 Property Damage Liability Owners' or Contractors' r "_ Protective Bodily Injury Liability $ 000 $ 000 e1 G x { Property Damage Liability RH HI { �� M ; $ 000 '$ 000 w�� h_i XaYe `w �..✓ Comprehensive Automobile 3 R {� Bodily Injury Liability $ 000 $ 000 ,. 599.L- 233—CG 6- 25,49 { i x Property Damage Liability $ ,000 Comprehensive General Bodily Injury Liability $ 000 $ 000 $ 000 Property Damage Liability _ ' $ $ 1000 1000 I Bodily Injury Liability $ ,000 $ 000 $ 1000 Property Damage Liability E $ 000 $ 000 N x 1,OCO�CC3. i %LZ L FIT. EO;i REHEN$IVE 4 OLLISICN $1041- DEDUCTIBI -C. In event of cancellation, written notice will be given to the party to whom this certificate is addressed. .:. ... ... .._ ...... . >:. _. .. - . BY .Authorized Representative (CC- 277-1) , C/ f-�)ZSr4WJW1nCe She ! -Etna Casualty and Surety Company ❑ The Standard .Fire Insurance Company Hartford, Connecticut 4 ii UFE & 6ASUALTY To vz:/",1 BEACH LEISURE WR14 Date 4.5 -613 P 0. BOX 97 SEAL BEACH,..CALIF. Gentlemen: This is to certify that insurance policies, subject to their terms, conditions and exclusions, are at present in force in the Company indicated above by p, as follows: Name of Insured PACIFIC CAULE SEPIVICES, $..C. sD! UIESTCLIFF LR., %U1 ?QRT 8 ACi3, CPZ -IF. Covering KIND OF INSURANCE LIMITS OF LIABILITY POLICY N0: EFFECTIVE EXPIRATION Each Person Each Occurrence Aggregate Workmen's Compensation 'f Manufacturers' & Contractors' ;. Bodily Injury Liability $ 000 $ 000 Property Damage Liability �$ 000 $ 000 Owners' or Contractors' .. ' Protective s Bodily Injury Liability $ 000$ 000 ,a a u $ ,000 $ 000 Property Damage Liability; Comprehensive Automobile ,- Bodily Injury Liability $ 000 $ 000 z Property Damage Liability ' _ .; $ ,000 `. Comprehensive General Bodily Injury Liability $ ' ,000 $ ' ,000 $ ry ,000 59 ?.L- 23406 —CC 6-26-63 6,2a -69 Property Damage Liability w >° $ " ,000 $ a ,000 Bodily Injury Liability $ ,000 $ 000 $ 000 Property Damage Liability x $ 000 $ 000 In event of cancellation, written notice will be given to the party to whom this certificate is addressed. - . -- -- - _ By Authorized. Representative '- (CC- 277 -1) - - .. •del %��cfc�� c�, �v.1�i���z�� � , !� iF, ;s LIFE &CASUAt.IY The .r-=tna casually and Surety Company �] The standard Fire, Insurance company Hartford, Connecticut To I'RVIINE CC. Date E-7-D3 UsG ORD ROAD I RV 1 N E,x CALIF. _ Gentlemen: This is to certify that insurance policies, subject to their terms, conditions and exclusions, are at present in force _ in the Company indicated above by p, as follows: Name of Insured E'2.:PMT EEACH CABL:EVISION Covering ALL O'PERATI0ids KIND OF INSURANCE LIMITS OF LIABILITY POLICY NO. EFFECTIVE EXPIRATION Each Person Each Occurrence Aggregate Workmen's Compensation Manufacturers' & Contractors' Bodily Injury Liability $ 000 I$ 000 111 , ? :3 $ 000 $ 000 Property Damage Liability Owners' or Contractors' Protective Bodily Injury Liability $ 000 $ 000 Property Damage Liability $ 000 $ 000 Comprehensive Automobile Bodily Injury Liability $ 000 $ 000 " Property Damage Liability 55Jkt- 2606 -CC 6 -26-63 6— zee -60 °x' $ + 000 Comprehensive General Bodily Injury Liability $ 000 $ 000 $ 000 Property Damage Liability °` , ,x , $ 000 $ ,000 Bodily Injury Liability Property Damage Liability 41v °411 L In event of cancellation; written notice will be given to the party to whom this certificate is addressed. (CCG277-1) ,000'$ 000.$ 000 I i' 4� xn$, 000 $ 000 T CO M! ACV €c COLL. 00. CED. ._ ...: '.. ... By Authorized Representative C] The Etna Casualty and Surety Company f-1 The Standard. Fire Insurance Company Hartford, Connecticut To IRVIkJE COMPAANY . P�-�FORD TIOAD � U �,, I i.i,viiqE, cALiFOR.-`JIA L.. .... UFE&CASUALTY Date Eff: 6-23-63 Gentlemen: This is to certify that insurance policies, subject to their terms, conditions and exclusions, are at present in force in the Company indicated above by ❑, as follows: Name of Insured NEEITORT DLACHI CA� LEVJCTo`S 501 t,estcliff ila,,,"por-t Beach, Cali'onrida Covering KIND OF INSURANCE LIM116 UI- LIABILI[Y POLICY NO. EFFECTIVE EXPIRATION Each Person Each Occurrence Aggregate Workmen's Compensation Manufacturers' & Contractors' Bodily Injury Liability $ 000 $ 1000 ^ $ 000 $ 000 Property Damage Liability i Owners' or Contractors' Protective Me, Bodily Injury Liability $ 000 ' $ 000 le ,Property Damage Liability $ '000 $ 000 Comprehensive Automobile Bodily Injury Liability $ 1,000 '000 $ 1,000 '000 C-28-68 G - 2 C - 6 0 Property Damage Liability $ coo '000 Comprehensive General Bodily Injury Liability $ 1 0 o o 000 1,000 000 $ 1 300 000 AJ,280 6 6-28-63 28-69 Property Damage Liability L 000 000 $1,00o 000 Bodily Injury Liability $ 000 $ 000 $ 000 Property Damage Liability $ 000 $ 000 in event of cancellation. written notice will be given to t f�d P-.�V to whom this certificate is addressed. (CC-277-1) ------- --- ----- LIFE &CASUALr( The 4i!Etna Casualty and Surety Company F� The Standard Fire Insurance Company Hartford, Connecticut To SAYSIiGIZE CiV!'J-J:,;T`y ' M0C=`I0N Date Newl-ort 30ach, Ca--lifornia Eff: 6-23-33 Gentlemen: This is to certify that insurance policies, subject to their terms, conditions and exclusions, are at present in force in the Company indicated above by pp, as follows: ri-,�ACI-i AFLI,'VISION Name of Insured 501 Dover Drivc , 131eacn, call for%11--, Covering KIND OF INSURANCE LIMITS OF LIABILITY POLICY NO. EFFECTIVE EXPIRATION Each Person Each Occurrence Aggregate Workmen's Compensation 777� 77 Manufacturers' & Contractors' Bodily Injury Liability $ 000 $ '000 Property Damage Liability $ 000 $ '000 Owners' or Contractors, Protective Bodily Injury Liability $ '000 $ '000 $ 000 $ Property Damage Liability '000 Comprehensive Automobile Bodily Injury Liability $ 1,000 000 $ 1 rJo (3 000 L2896 6-28—S3 Property Damage Liability $ 1'000 '060 Comprehensive General Bodily Injury Liability $ 151000 000 $ 1-,094 000 $ 1,000,000 Ar c�06 6 — 2 c, S 2 �-6 ' Property Damage Liability $ $ L 0001 '000 Bodily Injury Liability $ 000 $ 000 $ 000 Property Damage Liability $ 000 $ 000 -7- F In ovent of cancellation, —;J Q written notice will be given to the party to whom this certificate is addressed. By— Authorized Representative (CC-277-1) 3 G- F-7,� ® M i uFe &CASUALTY The .Etna Casualty and Surety Company Q The Standard Fire Insurance Company Hartford., Connecticut To City of Neirport Beach Date November 8 9 1963 Att. &ir.' J. P. DcChaine, Asst City Mgr. 3300 Newport Boulevard Newport Beach, California 92660 Gentlemen: This is to certify that insurance policies, subject to their terms, conditions and exclusions, are at present in force ` in the Company indicated above by O, as follows: 1 — Name of Insured Newport Beach Cablevision, Inc. Covering All operations of the insured KIND OF INSURANCE `I'" "'J ", 1.1.1`.111 POLICY NO: EFFECTIVE EXPIRATION Each Person Each Occurrence Aggregate Workmen's Compensation + a Mir I Manufacturers' & Contractors' Bodily Injury Liability $ ,000 $ 000 =< $ 000 $ 000 Property Damage Liability Owners' or Contractors' Protective Bodily Injury Liability $ ,000 $ ,000 Property Damage liability r w; $ 000 $ 000 4 Comprehensive Automobile Bodily Injury 'Liability $ ,000 $ 000 i Property Damage Liability $ 000 Comprehensive General Bodily Injury Liability $ ,000 $ 000 $ ,000 f Property Damage Liability ;!: $ 000 $ 000 �;i s �, •, Comiprehe sive Bodily Injury ' Liability $ 1000 $ 000 $ 000 and Property Damage Liability w $ 000 $' 000 3 Auto F Gw oral Combined Single Limit $1,000,000 5SAL2i306CC '/26/6'3 16/26/69 w event of cancellation, will beo v PEACOCK INSURA`1 " INC. written notice will be given to the party to whom this certificate is addressed. �� /-�-��i1.. Authorized Rep ' pe3Entative (=277.1) DEFINITIONS v When used in this policy (including endorsements forming a part hereof): "automobile" means a land motor vehicle, trailer or semi- trailer designed for travel on public roads; (including any ma- chinery or apparatus attached thereto), but does not include mobile. equipment; "bodily injury" means bodily injury, sickness or..disease sustained . by any person; "collapse hazard" includes "structural property damage" as defined herein and property damage to any other property at any time resulting therefrom. "Structural property damage" means the collapse of or structural injury to any building or struc- ture due to 0) grading of land, excavating, borrowing, filling, back- filling, tunnelling, pile driving, cofferdam work or caisson work or (2) moving,.. shoring, .underpinning, raising or demolition of any building or structure or removal or rebuilding of any structural support thereof. The collapse hazard does not include property damage (1) arising out of operations performed for the .named insured by independent contractors; or (2) included within the completed operations hazard or the underground property damage hazard,. or (3) for which liability is assumed by the insured under an incidental contract; "completed operations hazard" includes bodily injury and property damage arising out of operations or reliance upon a (b) the existence of tools, uninstalled equipment or abandoned or unused materials, or (c) operations for which the classification stated in the policy or in the company's manual specifies "including completed "damages" includes damages for death and for care and loss of services resulting from bodily injury and damages for loss of use of property resulting from property damage; "elevator" means any hoisting or lowering device to connect floors or landings, whether or not in service, and all appliances thereof including any car, platform, shaft, hoistway, stairway; runway, power equipment and machinery; but does not include an automobile servicing hoist, or hoist without a platform outside a building if without mechanical power or if not attached to building walls, or a hod or material hoist used in alteration, construction or demolition operations, or an inclined conveyor used exclusively for carrying property or a dumbwaiter used exclusively for carrying property and having a comportment height not exceeding four feet; "explosion hazard" includes property damage arising out of blasting or explosion. The explosion hazard does not include property damage. (1) arising out of the explosion of air or steam vessels, piping under pressure prime movers, machinery or power transmitting equipment, or (2) arising out of operations performed for the named insured by independent contractors, or (3) included within the .completed operations hazard or the underground property damage hazard, or (4) for which liability is assumed . by the insured under an incidental contract; "incidental contract" means any written (1 ) lease of premises, (2) easement agreement, except in connection with construction or demolition operations on or adjacent to a railroad, (3) under- taking to indemnify a municipality required by municipal ordi- nance, except in connection with work for the municipality, (4) sidetrack agreement, or (5) elevator maintenance. agreement; "insured" means any person or organization qualifying as an 'insured in the "Persons Insured" provision of the applicable insurance coverage. The 'insurance afforded applies separately to each insured against whom claim is made or suit is brought, except with respect to the limits of the company's liability; "mobile equipment" means a land vehicle (including any ma- chinery or apparatus attached thereto), whether or not self - propelled, (1) not subject to motor vehicle registration, or (2) maintained for use exclusively, on premises owned by or rented to the named insured, including the ways immediately adjoining, or (3) designed for use principolly off public roads, or (4) designed or maintained for the sole purpose of affording mobility to equip- ment of the following types forming on integral port of or per manently attached to such vehicle: power cranes, shovels, loaders, diggers and drills; concrete mixers (other than the mix - in- transit type); graders, scrapers, rollers and other road con- struction or repair equipment; air- compressors, pumps and generators, including spraying, welding, and building cleaning equipment; and geophysical exploration and well servicing equipment; "named insured" means the person or organization named in Item 1. of the declarations of this policy; "named insured's products" means goods or products man- ufactured, sold, handled or distributed by the named insured or by others trading under his name; including any container thereof (other than a vehicle), but "named insured's products" shall not include a vending machine . or any property other than such container; rented to or located for use of others but not sold; "occurrence" means an accident, including injurious exposure to conditions, which results, during the policy period, in bodily injury or property damage neither expected nor intended from the standpoint of the insured; "policy territory" means: (7,) the United States of America, its territories or possessions, or Canada, or (2) international waters or air space, provided the bodily injury or property damage does not occur in the course of travel or transportation to or from any other country, state or nation, or (3) anywhere in the world with respect to damages because of bodily injury or property damage arising out of a product which was sold for use or consumption within the territory described in paragraph (1). above, provided the original suit for such damages is brought within such territory; "products hazard" includes bodily injury and property damage.. arising out of the named insured's products or reliance . upon a representation or warranty made at any time with respect thereto, but only if the bodily injury or property damage occurs away from premises owned by or rented to the named insured and after physical possession of such products has been re- linquished to others; "property damage" means injury to or :destruction of tangible Property; "underground property damage hazard" includes underground property damage as defined herein and property domegga to any other property at any time resulting therefrom. "Under- ground .property damage means property damage to wires; conduits, pipes, mains, sewers, tanks, tunnels, any similar property, and any apparatus in connection therewith, . beneath the surface of the ground or water, caused by and occurring during the use of mechanical equipment for the purpose of grad- ing land, paving, excavating, drilling, borrowing, filling, back- filling or pile driving. The underground property damage hazard does not include property damage (1) arising out of operations per- formed for the named insured by independent contractors or (2) included within the completed operations hazard, or (3) for which liability is .assumed by the insured under an incidental contract. representation or warranty made .. at any time with respect thereto, but only if the bodily injury or property damage occurs after such operations have been completed or abandoned and occurs away from premises .. owned by or rented to the named insured. "Operations" include materials, parts or equipment furnished in connection therewith. Operotions shall be deemed completed at the earliest of the following times; (1) when all operations to be performed by or on behalf of the z named insured under the contract have been completed, y (2) when all operations to be performed by or on behalf of the x named insured at the site of the operations have been completed, or (3) when the portion of the work out of which the injury or damage arises has been put to its intended use by any 22 person or organization other than another contractor or subcontractor engaged in performing operations for a principal as a port of the some project. .,i. Operations which may require further service or maintenance work, or correction, repair or replacement because of any defect 0., or deficiency, but which are otherwise . complete, shall be deemed �— .completed. The completed operations hazard does not include bodily injury or property damage arising out of (a) operations in connection with the transportation of property, unless the bodily injury or property damage arises out of o condition in or on a vehicle created by the loading or (b) the existence of tools, uninstalled equipment or abandoned or unused materials, or (c) operations for which the classification stated in the policy or in the company's manual specifies "including completed "damages" includes damages for death and for care and loss of services resulting from bodily injury and damages for loss of use of property resulting from property damage; "elevator" means any hoisting or lowering device to connect floors or landings, whether or not in service, and all appliances thereof including any car, platform, shaft, hoistway, stairway; runway, power equipment and machinery; but does not include an automobile servicing hoist, or hoist without a platform outside a building if without mechanical power or if not attached to building walls, or a hod or material hoist used in alteration, construction or demolition operations, or an inclined conveyor used exclusively for carrying property or a dumbwaiter used exclusively for carrying property and having a comportment height not exceeding four feet; "explosion hazard" includes property damage arising out of blasting or explosion. The explosion hazard does not include property damage. (1) arising out of the explosion of air or steam vessels, piping under pressure prime movers, machinery or power transmitting equipment, or (2) arising out of operations performed for the named insured by independent contractors, or (3) included within the .completed operations hazard or the underground property damage hazard, or (4) for which liability is assumed . by the insured under an incidental contract; "incidental contract" means any written (1 ) lease of premises, (2) easement agreement, except in connection with construction or demolition operations on or adjacent to a railroad, (3) under- taking to indemnify a municipality required by municipal ordi- nance, except in connection with work for the municipality, (4) sidetrack agreement, or (5) elevator maintenance. agreement; "insured" means any person or organization qualifying as an 'insured in the "Persons Insured" provision of the applicable insurance coverage. The 'insurance afforded applies separately to each insured against whom claim is made or suit is brought, except with respect to the limits of the company's liability; "mobile equipment" means a land vehicle (including any ma- chinery or apparatus attached thereto), whether or not self - propelled, (1) not subject to motor vehicle registration, or (2) maintained for use exclusively, on premises owned by or rented to the named insured, including the ways immediately adjoining, or (3) designed for use principolly off public roads, or (4) designed or maintained for the sole purpose of affording mobility to equip- ment of the following types forming on integral port of or per manently attached to such vehicle: power cranes, shovels, loaders, diggers and drills; concrete mixers (other than the mix - in- transit type); graders, scrapers, rollers and other road con- struction or repair equipment; air- compressors, pumps and generators, including spraying, welding, and building cleaning equipment; and geophysical exploration and well servicing equipment; "named insured" means the person or organization named in Item 1. of the declarations of this policy; "named insured's products" means goods or products man- ufactured, sold, handled or distributed by the named insured or by others trading under his name; including any container thereof (other than a vehicle), but "named insured's products" shall not include a vending machine . or any property other than such container; rented to or located for use of others but not sold; "occurrence" means an accident, including injurious exposure to conditions, which results, during the policy period, in bodily injury or property damage neither expected nor intended from the standpoint of the insured; "policy territory" means: (7,) the United States of America, its territories or possessions, or Canada, or (2) international waters or air space, provided the bodily injury or property damage does not occur in the course of travel or transportation to or from any other country, state or nation, or (3) anywhere in the world with respect to damages because of bodily injury or property damage arising out of a product which was sold for use or consumption within the territory described in paragraph (1). above, provided the original suit for such damages is brought within such territory; "products hazard" includes bodily injury and property damage.. arising out of the named insured's products or reliance . upon a representation or warranty made at any time with respect thereto, but only if the bodily injury or property damage occurs away from premises owned by or rented to the named insured and after physical possession of such products has been re- linquished to others; "property damage" means injury to or :destruction of tangible Property; "underground property damage hazard" includes underground property damage as defined herein and property domegga to any other property at any time resulting therefrom. "Under- ground .property damage means property damage to wires; conduits, pipes, mains, sewers, tanks, tunnels, any similar property, and any apparatus in connection therewith, . beneath the surface of the ground or water, caused by and occurring during the use of mechanical equipment for the purpose of grad- ing land, paving, excavating, drilling, borrowing, filling, back- filling or pile driving. The underground property damage hazard does not include property damage (1) arising out of operations per- formed for the named insured by independent contractors or (2) included within the completed operations hazard, or (3) for which liability is .assumed by the insured under an incidental contract. SUPPLEMENTARY The company will pay, in addition to the applicable limit of liability: (a) all expenses incurred by the company, all costs taxed against the insured in any suit defended by the company and all interest on the entire amount of any judgment therein which accrues after entry of thejudgmentand before the company has paid or tendered or deposited in court that part of the judgment which does not exceed the limit of the company's liability thereon; (b) premiums on appeal bonds required in any such suit, . premiums on bonds to release attachments in any such suit for an amount not in excess of the applicable limit of liability of this policy, and the cost of boil bonds required PAYMENTS • of the insured because of accident or traffic law violation arising . out of the use of any vehicle to which this policy applies, not to exceed $250 per bail bond, . but the company shall have no obligation to apply for or famish any such bonds; (c) expenses incurred by the insured for first aid to others at the time of an accident, . for bodily injury to which this policy applies; (d reasonable expenses incurred by the insured at the com- pany's request, including actual loss of wages or salary (but not loss of other income) not to exceed $25 per day because of his .attendance at hearings or trials at such request. NUCLEAR ENERGY LIABILITY EXCLUSION (Broad Form) 1. This policy does not apply: A. Under any Liability Coverage, to bodily injury or property damage (1 ) with respect to which an insured under this policy is also on insured under a nuclear energy liability policy issued by Nuclear Energy Liability Insurance Association, Mutual Atomic Energy Liability Under- writers or Nuclear Insurance Association of Canada, or would be an insured under any such policy but for its termination upon exhaustion of its limit of liability; or (2) resulting from the hazardous properties of nuclear material and with respect to which (a) any person or organization is required to maintain financial pro- tection pursuant to the Atomic Energy Act of 1954, or any law amendatory thereof, or (b) the insured is, or had this policy not been issued would be, . en- titled to indemnity from the United States of Amer- ica, or any agency thereof, under any agreement entered into by the United States of America, or any agency thereof, with any person or organization. B. Under any Medical Payments Coverage, or under any Sup- plementary Payments .provision relating to first aid, to expenses incurred with respect to bodily injury resulting from the hazard. ous properties of nuclear material and arising out of the opera, tion of a nuclear facility by any person or organization. C. Under any Liability Coverage, . to bodily injury or property damage resulting from the hazardous properties of nuclear material, if (1) the nuclear material (a) is at any nuclear facility owned by, or operated by or on behalf of, an in. sured or (b) has been discharged or dispersed therefrom; A the nuclear material is contained in spent fuel '. or waste at any time possessed, handled, used, pro- cessed, stored, transported or disposed of by or on behalf of an insured; or (3) the bodily injury or property damage arises out of the furnishing by on insured of services, materials; ports or equipment in connection with the planning, construction, maintenance, operation or use of any nuclear facifity, but if such facility is located within the United States of America, its territories or possessions or Canada, this exclusion (3) :applies only to property damage to such nuclear facility and any property thereat 11. As used herein: "hazardous properties" include radioactive, toxic or explosive properties; "nuclear .material" means source material, special nuclear material or byproduct material; "source material ", "special nuclear material ", and "byproduct material" have the meanings given them in the Atomic Energy Act of 1954 or in any law amendatory thereof; "spent fuel" means any fuel element or fuel component, solid or liquid, which has been used or exposed to radiation in o nuclear reactor; "waste" means any waste material (1) containing byproduct material and '(2) resulting from the operation by any person or organization of any nuclear facility included within the definition of nuclear facility under paragraph (a) or (b) thereof;, "nuclear facility" means (a) any nuclear reactor, (b) any equipment or device . designed or used for (1.) separating the isotopes of uranium or plutonium, (2) processing or utilizing spent fuel, or (3) handling, processing or packaging waste, (c) any equipment or device used for the processing, fabricating or alloying of special nuclear material if at any time the total amount of such material in the custody of the insured at the premises where such equipment or device is located consists of or contains more than 25 grams of plutonium or uranium 233 or any combination thereof, or more than 250 grams of uranium 235, (d) any structure, basin, excavation;, premises or place prepared or used for the storage or disposal of waste, and includes the site on which any of the foregoing is located, . all operations conducted on such site and all premises used for such operations; "nuclear reactor" means any apparatus designed or used to sustain nuclear fission in a self - supporting chain reaction or to contain critical mass of fissionable material; "property damage" includes all forms of radioactive contamina- tion of property. CONDITIONS 7. Premium All premiums for ;this policy shall be com- puted in accordance. with the company's rules, rates, rating plans, premiums and minimum premiums appli- cable to the insurance afforded herein. Premium designated in this policy as "advance premium" is a deposit premium only which shall be credited to the amount of the earned premium due . at the end of the policy period. At the close of each period (or part thereof terminating with the end of the policy period) designated in the declarations as the audit period the earned premium shall be computed for such period and, upon notice thereof to the named insured, shall become due and payable. If the total earned premium for the policy period is less than the premium previously paid, the company shall return to the named insured the unearned portion paid by the named insured. The named insured shall maintain records of such information as is necessary for premium computation, and shall send copies of such records to the company at the end of the policy period and at such times during the policy period as the company may direct: 2. Inspection and Audit The company shall be per- mitted but not obligated to inspect the named insured's property and operations at any time. Neither the company's right to make inspections nor the making thereof nor any report thereon shall constitute an under- ® CON 6ITION S'(Contin ued) is taking, on behalf of or for the benefit of the named insured or others, to determine or warrant that such property or operations are safe. The company may examine and audit the named insured's books and records at any time during the policy period and extensions thereof and within three years after the final ter- mination of this policy, as for as they relate to the subject matter of this insurance. 3. Financial Responsibility laws When this policy is certified as proof of financial responsibility for the future under the provisions of any motor vehicle financial responsibility low, such insurance as is afforded by this policy for bodily injury liability or for property damage liability shall comply with the provisions of such law to the extent of the coverage and limits of liability required by such low. The insured agrees to reimburse the company for any payment made by the company which it would not have been obligated to make under the terms of this policy except for the agreement contained in this paragraph. 4. Insured's Duties in the Event of Occurrence, Claim or Suit (a) In the event of an occurrence; written notice containing particulars sufficient to identify the insured and also reasonably obtainable information with respect to the time, place and circumstances thereof, and the names and addressesof the injured and of available witnesses, shall be given by or for the insured to the company or any of its authorized agents as .soon as practicable. The named insured shall promptly take at his expense all reasonable steps to prevent other bodily injury or property damage from arising out of the some or similar conditions, but such expense .. shall not be.. re- coverable under this policy. (b) If claim is made or suit . is brought against the insured, the insured shall immediately forward to the company every demand, notice, summons or other process :. received by him or his re- presentative. (c) The insured shall cooperate with the company and, upon the company's request, assist in making settlements, in the conduct of suits and in enforcing any right of contribution or indemnity against any person or organization who may be liable to the insured because of bodily injury or property damage with respect to which insurance Is afforded under this policy; and the insured shall attend hearings and trials and assist in securing and giving evidence and obtaining the attendance of witnesses. The insured shall not, except at his own cost; voluntarily make any payment, assume any obligation or incur any expense other than for first aid to others at the time of accident. 5. Action Against Company No action shall lie against the company .unless, as a condition precedent thereto there shall have been full compliance with all of the terms of this policy, . nor until the amount of the insured's obligation to pay shall have been finally determined either by judgment against the insured after actual trial or by written agreement of the insured, the claimant and the company. Any person or organization or the legal representative thereof who has secured such judgment or written agreement shall thereafter be entitled to recover under this policy to the extent of the.. insurance afforded by this policy. No person or organiza- tion shall have any right under this policy to join the company as a party to any action against the insured to determine the insured's liability, nor shall the company be impleaded by the insured or his legal representative. Bankruptcy or insolvency of the insured or of the insured's estate shall not relieve . the com- pany of any of its obligations hereunder. 6. Other Insurance The insurance afforded by this policy is primary insurance, except when stated to apply in excess of or contingent upon the absence of other insurance. When this insurance is primary and the insured has other insurance which is stated to be.. applicable to the loss on an excess or contingent basis, the amount of the company's liability under this policy shall not be reduced by the existence of such other insurance. When both this insurance and other insurance apply to the loss on the same basis, whether primary, excess or contingent, the company shall not be liable under this policy for a greater proportion of the loss than that stated in the applicable con- tribution provision below. (a) Contribution by .Equal Shares. If all of such other valid and collectible insurance provides for contribution by equal shares, the company shall . not be liable for a greater propor- tion of such loss than would be payable if each insurer contributes an equal share until the shore of each insurer equals the lowest applicable limit of liability under any one policy or the full amount of the loss is paid, and with respect to any amount of loss not so paid the remaining insurers then continue to contribute equal .. shares of the remaining amount of the loss until each such insurer has paid its limit in full or the full amount of the loss is paid. (b) Contribution by Limits. If any of such other insurance does not provide for contribution by equal shares, the com- pany shall not be liable for a greater proportion of such loss than the applicable limit of liability under this policy for such loss bears to the total applicable limit of liability of all valid and collectible insurance against such loss. 7. Subrogation In the event of any payment under this policy, the company shall be subro- gated to all the insured's rights of recovery' therefor against any person or organization and the insured shall execute and deliver instruments and papers and do whatever else is neces- sary to secure such rights. The insured shall do;nothing after loss to prejudice such rights. S. Changes Notice to any agent or knowledge possessed by any agent or by any other person shall not effect a waiver or a change in any part of this policy or estop the company from asserting any right under the terms of this policy; nor shall the terms of this policy be waived or changed, except by endorsement issued to form a part of this policy. 9. Assignment Assignment of interest under this policy shall not bind the company until its consent Is endorsed hereon; if, however, the named insured shall die, such insurance as is afforded by this policy shall apply T) to the named insured's legal representative, as the named insured, but only while acting within the scope of his duties as such„ and (2) with respect to the property of the named insured, to the person having proper temporary custody thereof, as insured, but only until the appointment and qualification of the legal representative. 10. Three Year Policy If this policy is issued for a period of three years, the limits of the company's liability shell apply separately to each con- secutive annual period thereof. 11.. Cancellation This policy may be cancelled by the named insured by mailing to the .company written notice stating when thereafter the cancellation shall be effective. This policy may be cancelled by the company by mailing to the named insured at the address shown in this policy, written notice stating when not less than ten days there- after such cancellation shall be effective. The mailing: of notice as aforesaid shall be sufficient proof of notice. The effective date of cancellation stated in the notice shall become the end of the policy period. Delivery of such written notice either by they named insured or by the company shall be equivalent to mailing. If the named insured cancels, earned premium shall be com- puted in accordance with the customary short rate table and procedure. If the company cancels, earned premium shall be computed pro rata. Premium adjustment may be made either at the time cancellation is effected or as soon as practicable after cancellation becomes effective', but payment or tender of un- earned premium is not a condition of cancellation. 12. Declarations By acceptance of this policy, the named insured agrees that the state- ments in the declarations are his agreements and representations; that this policy is issued in reliance upon the truth of such re- presentations and that this policy embodies all agreements existing between himself" and the company or any of its agents relating to this insurance. IN WITH ESS WHEREOF, The Atna Casualty and Surety Company has caused this policy to be signed by its President and a. Secretary at Hartford, Connecticut, and countersigned on the declarations page by a duly authorized agent of the Company. Secretary President Mr. Lou Scott, Senior Vice President Foote, Cone, and Belding 2727 West Sixth Street Los Angeles, California Dear Mr. Scott: AilI �� II �J IRVINE, CALIFORNIA 9.28.64 914 • 344 -01$ C March 26, 1968 This letter is in response to our meeting of March 22, 1968 regarding your interest to purchase television and FM signals from Cablevision's CATV antenna site located on Signal Peak for service to a CATV system which your firm proposes to the City of Newport Beach. We are interested in exploring the feasibility of pro- viding signals to your proposed system and attempt to develop terms and conditions mutually acceptable should your firm or its subsidiary be awarded a Newport 'Beach CATV franchise. This letter does not constitute an agreement, an acceptance of an offer by Cablevision, or an offer by Cablevision but is merely an indication of interest. I have discussed with R.L.Watson., Senior Vice President of The Irvine Company, of Foote, Cone, and Belding's interest to explore the purchase of the Community Cablevision Company. At this time, we do not desire to explore the possibility. The Community Cablevision Company is extremely gratified of your interest and we extend best of luck in your efforts to establish CATV service in the City of Newport Beach. Very truly yours, r Wayne R. Hauser, Manager Community Cablevision Company 1?OOTH, Coxzr & BELDI:\G 2727 WEST SIXTH S7H6LT LOS ANGELGS 90057 LOUIS E. SCOTT Scnlor Y{oe 1'rceWoat i March , 1965 As an inducement to John R. Frost, Louis C. Peterson and Jon C. Peterson ("Sellers") to enter into an agree- ment of even date with Newport Beach Cablevision, Inc. ( "Buyer "), a wholly -owned subsidiary of Foote, Cone & Belding, Inc. , for sale to Buyer of all of the issued and outstanding capital stock of Pacific Cable Services, Inc., Yoote, Cone & Belding, Inc., hereby guarantees that Buyer will have sufficient funds to pay in full the purchase price due Sellers under the aforesaid agree- m ent. FOOTE, CONE & BELDING, INC. cc CONTRACT ESCROW AGREEMENT It is understood that Sellers have not as yet produced for examination by Buyer the exhibits to that certain Buy -Sell Agreement dated March 29, 1968, wherein and whereby Jack R. Frost, Mildred C. Frost, Louis H. Peterson and Jon C. Peterson have agreed to sell all Capital Stock of Pacific Cable Services, Inc. to Newport Beach Cablevision, Inc. Therefore, the executed Agreement shall not be deemed delivered until all the exhibits referred to in said Agreement shall have been attached to said Agreement and Buyer's counsel has approved said exhibits as containing no provisions the effect of which would be to jeopardize the continuation of any of said franchises as a result of consummation of this Agreement. It is understood that Buyer's counsel shall have no right to disapprove said exhibits for any reason other than stated in the preceding sentence, and that such approval shall not be unreasonably withheld. The executed Agreements shall be held in escrow by the attorneys for the respective parties until said approval of Buyer has been given, whereupon the Agreement shall be delivered to all parties. ATF-O PAN _:1q)1 cs a Mildred C. ost Luis% cZ�l ete son 6L �,,/ i 7 JO}? C� pe Gerson,, SELLERS NEWPORT BEACH CABLEVISION, INC. ATTEST: By�t rem den BUYER By _� z Sacret=y- A 6'R E E M E N T A Agreement entered into this J" day of March# 1968, between John R. Frost., Louis 11. Peterson and Jon C. Paterson (herein collectively called *Sellers") and Now- port Beach Cablevision, Inc„ a California corporation (heroin called "Buyer ".). P R E A M B L E sellers are the owners of all the issued and. outstanding capital stock of Pacific Cable Services, Inc. (heroin called "PCs "), a Delaware corporation (formerly named Warner Bros. TV Services, Inc.), which holds fran- chises and /or agreements'for the construction and opera- tion of community television and F14 antenna systems.( "CATV Systems ") in Newport Beach and Mission Viejo, California, and Seal Beach. Leisure world, a retirement community to Gated within the corporate limits of Seal Beach, California. Sellers desire to.sell, and Buyer desires to purchase, all of the issued and outstanding stock of PCs on the terms and conditions hereinafter set forth. 1. Purchase Price. Sellars agree to well, and Buyer agrees to purchase, 50 shares of no par value common stock of PCs, and all rights in or pertaining thereto, con- stituting all of the issued and outstanding capital stock of PCs, for a total purchase price of $2 750000, subject to adjustment as hereinafter provided. As further consideration for the purchase price, Sollars agree to assign to PCs all claims for monies due and owing by.PCS to any of Sellers and to discharge the note payable to Norman W: Frost in the amount of $6,000. The purchase price shall be paid by certified 1 - chocks payable to the joint order of the firm Keatingo & Sterling and Mr. William F. Peters. The firm of Keatingo & Sterling and William P. Patera shall hold said purchase pries in trust for Sollars until the deferred balance is adjusted and payable to Sellers pursuant to Section 7 hereof. Said firms are authorized, without further in- structions or consents from Sellers, to pay out upon proper invoices the fees of Sellers' counsel, respectively, from the portion of said funds due each Seller after receipt of such funds. Sellers agree that Keatinge & Sterling and William F. Peters shall not be liable for the sufficiency or correctness of any instrument, document or instructions pertaining to said deposit aid disbursements of funds and Sellers jointly and severally hereby hold said Ieatinge & Sterling and William;F. Peters free from any liability whatsoever for acts performed hereunder. Buyer shall have no responsibility with respect to distribution or allocation of the purchase price among the individual sellers. 2. Warranties of Sellers. Sellers make the following warranties, which shall be true at the execution of this agreement and at the time of the Closing: a. 'PCs is validly incorporated under the laws of Dolaware, is duly qualified to transact busi- ness in the State of California, and is in good standing in both of said States. b. They are the owners of all of the out- standing shares of PCSi, consisting of 50 shares of no par value common stock and all rights therein, that they have the power to transfer (subject to obtaining a Consent To Transfer from the California Commissioner of Corpo- rations, which Sellers shall use their best efforts to _2- obtain promptly), all of said shares free of any right, claim, lion or encumbrance in favor of any other person or entity, and that no other person or entity has any right to purchase or acquira any other shares of PCS. C. All of said shares of PCS were validly issued for proper consideration received by PCS, and are non - assessable. d. PCS is not in any way indebted to warner Bros. Pictures, Inc., and Warner Bros, Pictures, Inc., holds no security interest in any of the assets of PCS. o. The following ordinances, resolutions and agreements relating to the CATV franchises and other rights granted to PCS in Newport Beach, Mission Viejo, and Seal Beach, California, to the best of Sellers' kncwl- edge and belief have been duly adopted (as to ordinances and resolutions) or ontered into (as to agreements), that all of said ordinances, resolutions and agreements are in full force and effect without amendment, and that Exhibits A through E attached constitute true and complete copies of said ordinances, resolutions and agreements, including all exhibits and attachments to each: (i) Ordinance No. 1197 adopted by the City Council of the City of Newport Beach on December 27, 1966, granting a franchise for the City of New - port leach, excepting certain areas described in said ordinance, for a term of 15 years (Exhibit A). (ii) Resolution adopted by the Board of Supervisors of Orange County on March /C , 19661 granting to PCS a franchise for the "Mission Viejo Community" consisting of approximately 11,000 acres, for a term of 25 years (Exhibit B). (iii) Preliminary letter agreement dated January 20, 1966, between Mission Viejo Company and PCS leasing land and granting eascmnts to PCS, and .containing certain other undertakings by the parties, all related to the construction and operation of the CATV System (Exhibit C). (iv) Agreement dated March 9, 1966, between Pacific Telephone and Telegraph Company ( "PT &T ") and - 3 -, PCs for the leasing by PT &T to PCs of facilities for the operation of a CATV system in the Mission Viejo. community (Exhibit D) (v) License, Lease and Agreement, elated July 5, 1967, (with attachments) by and between Golden Rain Foundation and PCs, granting PCs a franchise to, render CATV service within the.. Seal Beach Leisure World community (Exhibit L'). f. The agreement between PCs and PT&T dated January 5, 1968, represents the entire understanding between the parties thereto with respect to the leasing Of CATV facilities in Newport Beach (Exhibit r.). g. The ordinances, resolutions and agree- mints listed in subparagraphs (a) and (f) abovo.constitute all of the documents relating to the three CATV franchises hold by PCs. h. None of the Sellers has any knowledge of any infirmity in the franchisor granted to PCs under any of the foregoing ordinances, resolutions and agrneiwnts, nor do Sellers have knowledge of any adverse affect on any of said franchises which will be caused by consummation of this transaction. i.. PCS has no liabilities at ,larch 31, 19680 other than those which will be shown on the financial statements to be prepared by Mautz, Plourde a Co. pursuant to paragraph 7.a below, and that PCs will incur no liabili- ties between March 31, 1968, and the Closing, except for liabilities which may be incurred in the ordinary course of operations during said period. 3. Approvals jjX Newport Beach City Council. Buyer's obligation to purchase shall be subject'to the following actions being taken by the City Council of Newport Beach on or before April 30, 1968; a. Adoption of a resolution retroactively approving the change of CATV franchise from Warner Bros. - 4 - Tv Sarvices,'inc., to PCs; and b. Adoption of a resolution approving the sale of all of the outstanding shares of PCs to .Buyer without imposing any new conditions on the franchise (other than those volunteered in the letter from Louis S. Scott, President of Buyer, dated March 25, 1268) which might reasonably be expected to have a materially adverse effect on the profitability of operation of the proposed CJXTV System. if the above specified approvals of the Newport Beach City Council have not been obtained by April 30, 1968, either party shall have the right to terminate this agreement upon giving written notice to the other, in which event the parties shall be free of all further obligation to each other (except for any breaches of this agreement occurring prior to said termination), 4. Status cf Mission Viejo and Seal Beach Franchises. Id, on the date all action of the Newport Beach City Council required by Paragraph 3 has been taken, there has been any materially adverse development concerning the •mission Viejo or Seal Beach franchises, Buyer shall have the right to terminate this agreement, in which event the parties shall have no further obligation to each other (except for breaches of this agreement occurring prior to said termination). For purposes of the preceding sentence, a "materially adverse development" shall include, but not be limited toe a. The assertion by the grantor of either franchise that approval of the grantor, or of any other party whose action or consent was required to make the original franchiso.grant� effective, must be obtained for the change of ownership of PCs; 5 b. Failure of the Federal Housing Administra- tion to have granted its approval of the Seal Beach fran- chise or any leases or other agreements related thereto; or c. The imposition of any new condition on either franchise which might reasonably be expected to have ,a materially adverse effect on the profitability of operation of the CATV System. 5. Tire of Closing. The Closing shall take place at the offices of Keatinge & Sterling in Los Angeles, California, at a mutually agreeable time approximately 5 days after the action of the City Council of Newport Beach, required by paragraph 4, has boon taken provided that, on t:o date said approval is obtained there have been no adverse developments (as defined in paragraph 4 above) with respect to the other two franchises. 6. Deliveries at Closing. a. By Sellers. (i) Certified copies of the Articles of Incorporation of PCs. (ii) The corporate seal and all minute books, records and files of PCs. (iii) Current certificate from the Secretary of State of Delaware showing PCs to be in good standing. {iv) Current certificate from the California Secretary of state PCs is qualified to do business in the State of California-and is in good standing. (v) Notes of PCs, in the amount of $325,000, to which shall be attached an assignment by Louis 11. and Jon C. Pet-crson of all their interest in said notes, including their claims for interest in default; along with appropriate documents to obtain release of any security interest in the assets of PCs filed pursuant to the Uniform Comiercial Code.. (vi) An assignment by Louis 11. Paterson and Jon C. Paterson of all their rights .in and to the loan payable to them by PCs (as shown on balance shoat of Flautz, Plourde a Co. at.Deceiber 31, 1967) including all claims for interest in default. - 6 - (vii) Authorization of the California Securities Commissioner for the transfor to Buyer of all of the issued and outstanding shares of PCs. (viii) Share cortificatcs representing 50 common shares of PCs, duly endorsed in blank, by Sellers.'-i 6 X) Resignations of all directors and officers of PCs, dated on the closing date. b. By Buyer; (i) A certified check payable to the joint order of Keatinge & Starling and t•.illam P. Peters in the amount of $2.25,OOO. The $50,000 balance of the purchase price shall be deferred for adjustment and subsequent payment ,pursuant to paragraph 7 below. 7. Deferred Balance of Purchase Price. The deferred balancer of the purchase price shall be adjusted . and paid to Sollars, not earlier than the closing and . not more than 60 days thereafter, in accordance with the following provisions: a. Sellers shall cause to be prepared by the firm of Mautz, Plourde & Co. financial statements as of March 31, 19680 which statements shall be prepared on a basis consistent with the financial statements as of December 31, 1967, contained in a report of that firm dated March 7, 1968. b, The purchase price shall be increased, (by increasing the amount of the deferred balance) by an.asountt equal to the amount by which refundable deposits with the Pacific Telephone & Telegraph Co. have been increased above the amounts shown on the financial statements as of December 31, 1967. c. Sellers warrant that the total assetse ,exclusive of the amounts referred to in subparagraph (b) above, at March 31, 1968, will be substantially the same amount as the total asserts shown on the financial statements prepared by Mautz, Plourde & Co, as of December 31, 1967. , 7 d. The deferred purchase price will be reduced by the amount of any liabilities (other than liabilities or obligations discharged by Sellers or assigned to Buyer pursuant to paragraph 1. above) reflected in the financial statements as of March 31, 1968. o, It is recognized by tho parties that certain liabilities are in dispute. Such liabilities will be reflected at the full amount claimed by the creditor and will be separately identified in the financial state. scants as of March 31, 19680 and will be deducted from the deferred purchase price as described in paragraph (d) above. Buyer represents that it will use reasonable efforts to achieve a favorable settlement of such disputed liabilities and, to the extent any such liability is settled for less than the liability shown in the financial !. statements as of March 31,, 1968, the difference will be remitted to the Sellers upon such settlement being achieved. f. At Buyer's expense, Arthur Andersen. & Co, will be engaged to make a purchase investigation of the financial statements prepared by Mautz, Plourde & Co., as of March 31, 1963. The report rendered by Arthur Andersen & Co. will be used as the basis for determining the assets and liabilities pursuant to subparagraphs (b). (c) and (d) above. 8. Purer Undertakings of Sellers. a. They will cooperate in the conduct of the purchase audit to be conducted pursuant to paragraph 7. above by furnishing all information requested from them by Arthur Andersen & Co., and by mating themselves available to representatives of Arthur Andersen & Co. at all reasonable times. 8 b. They will extend all cooperation requested by or on bohalf of Buyer in preserving, PCS's CATV franchise in Newport Beach, r1ission Viejo, and Seal Beach. c. John 32. Frost hereby warrants that from the date of execution of this Agreowe nt until the expiration of one year after the Closing he will not attempt to obtain a CATV franchise, or in any way assist anyone other than PCS to obtain a CATV franchise in the corporate limits of Newport Beach, Seal Beach or within the Iliz sion Viejo Cowaunity, California. 9, Arbitration, Any disaVreoiranta between the parties concerning the proper interpretation or application of this agreement shall be submitted to abitration. After reasonable efforts have been riade to resolve any such issues by agreement, either party may serve upon the other a demand for submission of the disputed issue or issues to arbitration, and in such demand shall name the arbitrator appointed by it. The other party shall than appoint its arbitrator within 20 days after receipt of the demand, and the two arbitrators thus appointed shall select the third arbitrator within 30 days after appointment of the second arbitrator. The hearing shall then be held in Los Angeles, California as soon as possible, and shall be conducted under the rules of the American Arbitration Association. The determination of a majority of the arbitrators and the assessment of costs of the arbitration proceedings (other than counsel fees and expenses) between the parties shall be conclusive and binding upon the parties. 10. Notices. All notices to the respective parties, shall be directed to the following, addresses, or to such other address as any party may later specify in writing; Y a. To Seller i1r. John R. Frost c/o Mr. Graham L. Sterling, Jr. 453 South Sprint Street Los Angeles, California Mr. Louis Ii. and Mr. Jon C. Peterson c/o t;r. 17illiam L. Paters 458 South Spring Street Los Angolos, California b. To Buyer Newport Beach Cablevision, Inc. c% Mr. Louis E. Scott 2727 West Sixth Street Los Angeles, California 90057 11, Buyer undertakes to use its best efforts to obtain or assure approvals of the grantors of franchises to PCS to the sale to Buyer of all the outstanding shares of PCS and to preserve the existing franchises, rights and agreements of PCS; it being understood, however, that Buyer need not employ or otherwise engage any officers or employees of PCS for the purposes of this paragraph 11. 22. Upon the execution of this Agreement and the Agreement of Settlement Among Sellers, all of the parties hereto represent to each other than none has any claims against any other (excepting only such claims as may. arise in the future based upon breach of this Agroemont),. IN WITNESS WHERi:OF, the parties hereto have affixed their signatures and seals as of the date first abovs written, Jots R. frost `Scirca C. Trost Louis H. ;OtOTI,on z% ,U 6W itleiv ` r � a l ' PACIFIC CABLE SERVICES, INC. (Formerly Warner Bros.. T V Services, Inc.) Schedule of Expenses From Inception to June 30, 1967 From Inception September i i L, 1966 January 1, 1967 May 1, 1967 From Inception to August 31, 1966 to Decembers31, 1966 to April 30, 1967 to June 30, 1967 to June 30, 1967 Selling Expenses: Sales Commissions $ - $ 70.00 $ 388.00 $ 471,00 $ 929.00 Advertising 45.00 45.00 - - 90.00 Sales Promotion and Solicitation 1,403.83 - - - 1,403.83 o Total Selling Expenses $ 1,448 <83 115.00 $ 388.00 $ 471.00 $ 2,422.83 5 General and Administrative Expenses: c Salary - Executive $23,000.00 $ 8,700.00 $ 7,466.66 $ 4,333.32 $43,499.98 Z, Salaries - Office 8,701.00 3,314.00 2,211.50 800,00 15,026.50 Payroll Taxes and Insurance 3,371,45 160.47 673.29 261.74 4,466.96 F Group Insurance 961.48 713.87 1 195.38 - 1,870.73 z Office Supplies and Postage 2,774.76 411.28 1 147.97 306.70 3,640.71 a Equipment Rent - Office 599.45 334.20 - - 933.65 a Equipment Rent - Automobile - - 133,85 267.70 401.55 Office Rent 2,735.55 3,051.00 3,051.00 493.20 9,330.75 0 Office Lease Cancellation Penalty - - 1,624.80 - 1,624.80 U Repairs and Maintenance - Office Premises 553.19 - - - 553.19 `6 Telephone 5;499.98 1,783.28 1,231_65 546.42 9,061.33 W Taxes and Licenses 52.76 34.36 70.08 110.84 268.04 0 Insurance 247.19 144.00 144.00 151.13 686.32 D Automobile Expenses - - 98.50 500..33 598.83 0 Travel, Lodging and Business Conferences 12,495.31 2,394.65 1,;81,55 303.35 16,374.86 d Legal and Accounting Services 8,646.09 3,539.11 7,056.78 2,952.65 22,194.63 Dues and Subscriptions 456.26 95.53 154.00 80,00 785.79 Amortization - Newport Beach Franchise - - 33.33 22,22 55.55 D Miscellaneous Expenses 299.37 152.40 219.14 26.25 697.16 Q Total General and Administrative Expenses E $ 70;393.85 ; 24 828.15 25,693.48 11,1,5 S 71,33 Market and Technical Research Expenditures: Salaries - Marketing and Forecasting $26,455.84 $ 4,844.16 $ - $ - $31,300.00 Salaries - General Engineering 11,380.00 2,240.00 1,250.00 2,500.00 17,370.00 Contract Engineering and Technical Studies 5,192.52 6,032.76 3,361.60 - 14,586.88 ;Municipality Fees and Expenses 2,051,91 1,000.00 - - 3,051.91 Legal Services re Applications for CATV Permits 2,500,00 4,080.82 ( - - 6,580.82 Market Surveys 17,902.05 6,223.10 1,254.43 - 25,379.58 General Consulting.Services 1,433.41 - - 300.00 1,733.41 Total Market and Technical Research Expenditures S 66,915.73 ; 24 420.84 S 5,866.03 $ 2,800.00 100 002.50 (The accompanying auditor's report and notes are an integral part of this statement) Schedule B -1 PACIFIC CABLE SERVICES, INC. (Formerly Warner Bros. T V Services, I'nc'.) Balance Sheet June 30, 1967 A S S E T S Exhibit A -LIABILITIES AND NET WORTH Current liabilities: Current Assets: Accounts Payable - Trade $ 5,155.14 Cash in Bank Note 8 Petty Cash contract Payable re Automobile - Current Portion 2 ,794.00 1,5 5.56 $ 5,284.71 Payroll Taxes Payable Accounts Receivable Accrued Interest Payable 250.00 Loan Receivable - Stockholder 662•.50 761.91 254.25 Refundable Deposit - Pacific Telephone and ' 3,000.00 Telegraph Co. - Note 1 Long -Term Liabilities: Accrued Interest Receivable 663.60 • Prepaid Expenses: Less Amount Shown as Current Liability 1,525.12 $ 1,525.56 29.86 n Performance Bond re Pacific Telephone and Notes Payable - Louis H. and Jon C. Peterson - Note 6 a Telegraph Co. - Current Portion Loans Payable - Louis H. and Jon C. Peterson - Note 7 $ 306.67 Total Long -Term Liabilities Insurance 362,525.56 Taxes and Licenses 1,796.28 i Interest 172'62 Z o Total Current Assets - 351.12 2,626.69 $ 12,571.77 4 Allowance for U -ixe "d and Intangible Assets: Cost Depreciation & Net Book L6 Equipment and Improvements re Amortization Value W CAT'V System - Note 2: D Seadend Equipment $21,260.90 $2,228.00 $19,032 Tower and Antennas : "encing 1,762,59 178,37 -.90 1,584 -.22 _ inv-ntory of Equipment - Note 5 628.00 45,737.62 62.76 565.24 n' Ctilur Equipment 45,737.62 P.ut mobile 804.22 218.76 585.46 DN Ne„?ort Beach Franchise - Note 3 3,076.00 2,000.00 3,076.00 Q Total Fixed and 55.55 1,944.45 F Intangible Assets 5,269.33 $2 743.44 72,525.89 Cthe•' Assets: R<fundable Deposit - Pacific Telephone Security Deposit and Telegraph Co. -Note 1 $ 5,308.80 - Pacific Telephone and Security Telegraph Co. -Note 1 1,626.00 Deposits - Other Performance Bond re Pacific Telephone and Telegraph Co. 294.60 Non- Current Portion Premium on Notes Payable - Note 6 1,560.00 Total Other, Assets 27,147.02 " 35,936.42 Total Assets S121.034,08 Mle =ccompanying auditor's report and notes are an integral part of this statement) Exhibit A -LIABILITIES AND NET WORTH Current liabilities: Accounts Payable - Trade $ 5,155.14 Account Payable - Pacific Telephone and 'Telegraph Co.- Note 8 contract Payable re Automobile - Current Portion 2 ,794.00 1,5 5.56 Payroll Taxes Payable Accrued Interest Payable 1 ,249.28 Deposits Received from Prospective Customers 662•.50 Advance Payments Received from Customers, 254.25 Total Current Liabilities ' $ 12,946.73 Long -Term Liabilities: Contract Payable re Automobile: Total $3,051,12 Less Amount Shown as Current Liability 1,525.12 $ 1,525.56 Loan Payable - Norman W. Frost Notes Payable - Louis H. and Jon C. Peterson - Note 6 325 5,000.00 Loans Payable - Louis H. and Jon C. Peterson - Note 7 ,000.00. 30.000.00 Total Long -Term Liabilities 362,525.56 ,Vet Worth: Capital Stock - Authorized 1,000 Shares of Common Stock, No Par Value; Issued and Outstanding 50 Shares $ 7,500.00 Earned Surplus (Deficit) - Note 10: ' Net Loss from inception to June 30, 1967 - Exhibit B (261 ,938 21) Total Net Worth (254,438.21) Total Liabilities and Net Worth S 121 034/.08 • .! PACIFIC CABLE SERVICES, INC. (Formerly Warner Bros. T V Services, Inc.) Notes to Financial Statements June 30, 1967 NOTE 1: On November 13, 1965 the corporation deposited $10,000.00 in cash with Pacific Telephone and Telegraph Company as security for the performance of all the corporation's obligations under a "Contract for Community Antenna Television Channels" executed on March 9, 1966. This contract covers installation and operation of a CATV System in Mission Viejo Development, Laguna hills, Cali- fornia. This deposit was applied by Pacific Telephone and Telegraph Company as follows: Amount applied on current charges by the telephone company $ 1,738.00 Amount retained by the telephone company as a "Cash Reserve" - non - interest bearing 1,626.00 Amount transferred to "Basic Termination Liability" account 6;636.00 Total $10.000.00 Paragraph 5 of the contract stipulates that the deposit balance (Basic Ter- mination Liability) shall bear interest at the rate of six per cent (6%) per annum. The deposit and accrued interest thereon shall be returned to the corporation at the rate of one one - hundred - twentieth (1/120) of the deposit balance per month. The following is a summary of the "Basic Termination Liability" deposit account. Total "Basic Termination Liability" deposit $ 6,636.00 Less Payments received thereon from 7 -1 -66 to 6 -30 -67 - 12 payments @ $55.30 663.60 Deposit balance as of June 30, 1967 5 5 972.40 Amount shown as Current Asset $ 663..60 Amount to be refunded subsequent to June 30, 1968 . shown as Other Asset 5.,308.80 Total L_5 972.40 NOTE 2: The corporation has established and is currently operating a Community Antenna Television (CATV) System in Mission Viejo Development, Laguna Hills, California. On January 20, 1966, a letter of agreement with the Mission Viejo Company, developer of 'Mission Viejo, was executed regarding the CATV System to be pro- vided. In March, 1966, the Orange County Supervisors adopted a. resolution granting the company a non-exclusive franchise for a term of twenty -five (25) years:. The franchise fee is two per cent (2 " /,.) of annual gross receipts beginning in 1971 and annually thereafter. G O 3 a 0 z a N F z a z 0 u U PACIFIC CABLE SERVICES, INC. (Formerly Warner Bros. T V Services, Inc.) Notes to Financial Statements June 30, 1967 NOTE 3; The corporation has received a CATV Franchise for the city of Newport Beach, Orange County, California. This non - exclusive franchise was granted on December 27, 1966 by the city council and accepted by the company on Jan- uary 10,'1967. The franchise is for a term of fifteen (15) years beginning January 27, 1967. An acceptance fee of $2,000.00 was paid to the City of Newport Beach and the annual franchise fee is three per cent (3.%) of the annual gross receipts derived from operations within the city. The company expects to commence construction of this system in the fall of 1967. NOTE 4; As of June 30, 1967 the corporation was engaged in negotiations for the ex- clusive right to serve approximately 6,500 apartments at Seal Beach Leisure World. As of August 25, 1967 the Boards of Directors of.Golden Rain Founda- tion and fifteen mutual companies have accepted in principal the company's proposal. - NOTE 5: Inventory of equipment as of June 30, 1967 consisted of the following:. Eight (8) Jerrold "J Series" VHF Antennas Channels 2, 4, 5, 6, 7, 9, 11, and 13 $ 374.25 Forty -seven (47) Jerrold COM; Channel. Commander, Signal Processing Units 38,006.75 Forty -seven (47). Jerrold CCV, Converter Output Modules for COM Units 7,356.62 Total $45-737,62 This equipment was acquired for use in future CATV Systems. However, in August, 1967, the company sold twelve (12) Jerrold COM Channel Commanders and Converter Output Modules for $9,300.00. These units were considered to be surplus equipment and would not be required by the company for the CATV Systems presently comtemplated. m a 0 r 0 a z z a z a r z 0 U U a PACIFIC CABLE SERVICES, INC. (Formerly Warner Bros. T V Services, Inc.) Notes to Financial Statements June 30, 1967 NOTE 6: On January 5, 1967 the corporation executed two promissory notes to Warner Bros. Pictures, Inc. totaling S325,000.00. These notes are :secured by a Security Agreement covering all the .assets of the corporation as of January 5, 1967, excluding cash and inventory of equipment (see note 4), consisting primarily of the assets presently in use in the CATV System located at Mission Viejo Development, Laguna Hills, California.. The above notes were issued in full and complete satisfaction of cash advances to the corporation by Warner Bros. Pictures, Inc. in the amount of '$289,600.00 and Inter - Company Charges made by Warner Bros. Pictures, Inc. during the period November 5,`1966 to December 24, 1966 in the amount of $8,252.98. The dif- ference between the face amount of the notes issued and the liabilities satis- fied, $27,.147.02, represents additional consideration given by the corporation in exchange for the deferral of payment of the company's obligations to Warner Bros. Pictures, Inc. The terms of these notes are as follows: 1. $25;000.00 Promissory Note was due and payable on or before February 15, 1967 without interest and if not so paid by said date, the note bears interest at the rate of six per cent (61) per annum from February 15, 1967 until paid. 2. $300,000.00 Promissory Note was due and payable on June 30, 1967, _ without interest. If said note was not paid by June 30, 1967 then the note bears interest at the rate of six per cent (6%) per annum from June 30, 1967 until paid. Furthermore, the principal and interest on the unpaid balance is payable . out of gross income of the corporation computed seperately each year, the first year to run from July 1, 1967 to June 30, 1968. The amount of each payment shall be computed as follows: First $300,000 of gross income 6/' $300,001 to $400,000 of gross income 7% and continuing at the rate of one per cent (.1 %) on each additional $100,000 increment of gross income to a maximum of fourteen per cent (14I). On May 1, 1967 Warner Bros. Pictures, Inc. sold and assigned their entire interest in the above notes to Louis H. and Jon C. Peterson.. 0 0 v a 0 a N a z 0 u Q ® 1 • PACIFIC CABLE SERVICES, INC. (Formerly Warner Bros. T V Services, Inc.) Notes to Financial Statements June 30, 1967 NOTE 7: During the period April 1, 1967 to June 30, 1967, Louis H. and Jon C. Peterson advanced $30,000.00 in cash to Pacific Cable Services, Inc. for working capital, of which $15,000.00 was advanced prior to April 29, 1967. Under an agreement. dated April 29, 1967, between the Petersons and Pacific Cable Services, Inc., the Petersons are required to purchase from the corporation nineteen (19) shares of capital stock for the sum of $110,000.00. To become effective, this agreement requires the corporation to fulfill two principal conditions on or before September 30, 1967. First, the company is required to successfully conclude negotiations for a CATV System at Seal Beach Leisure World (see note 4); and secondly, the corporation is required to obtain a valid permit from the California Commissioner of Corporations to issue the above mentioned stock.. In addition to the $110,000,00 consideration for the nineteen (19) shares of capital stock, the Petersons have agreed to contribute to the capital of the company the $15.,000.00 Cash Advances made prior to the agreement of April 29, 1967. The additional $15,000.00 Cash Advances made subsequent to April 29, 1967 will be used to satisfy in part the amount the Petersons have agreed to pay for the capital stock_ Thus, as of June 30, 1967 there remains an unpaid balance of $95,000.00 under the April 29, 1967 agreement. NOTE 8: The account payable to Pacific Telephone and Telegraph Company in the amount of $2,794.00 is being disputed by Pacific Cable Services, Inc. The amount due the telephone company is based upon statements received from them for CATV charges :only. Discussions have been held with the telephone company concerning their computation of the number of cable miles, and an agreement has been reached that substantial discrepancies exist in the billings. The corporation estimates that they have been overbilled approximately fifty (50) to sixty (60) per cent during the period June. 1, 1966 to June 30, 1967. The total amount of cable rent billed during this period was $6,191.61 and the company expects to receive a credit from the telephone company of approximately $3,100.00 NOTE 9: From inception to January 5, 1967 this corporation was a wholly -owned sub- sidiary of Warner Bros.. Pictures, Inc. On January 5, 1967, Mr. John R. Frost acquired one hundred per cent (100 %) of the capital stock from Warner Bros. Pictures, Inc. and is presently the sole owner of the corporation. NOTE 10: This corporation was incorporated on October 1, 1964 under the laws of the State of Delaware. The corporation remained inactive until November, 1965, at which time it commenced operations in the CATV business. The company adopted a fiscal year ending August 31. MAUTZ, PLOURDE &'CO: ACCOUNTANT5. AND AUDITORS 3402 CENTURY BOULEVARD INGLEWOOD, CALIFORNIA 90303 OREGON B -7255. August 29, 1967 Board of Directors Pacific Cable Services, Inc. (Formerly Warner Bros. T V Services, Inc.) 1501 Westcliff Drive Newport Beach, California Gentlemen: L t � r` We have prepared, and are-enclosing herewith., the Balance Sheet of Pacific Cable Services, Inc. as of June 30, 1967, and the related Statement of Profit and Loss from inception of the corporation to June 30, 1967. The Statement of Profit and Loss includes the corp'oration's first fiscal year ended August 31, 1966, and the periods September l to December 31, 1966, January 1 to April 30, 1967, and May 1 to June 30, 1967. The terms of our engagement required us to perform a detailed examination of the books and records of the corporation which were maintained by Warner Bros. Pictures, Inc. through April 30, 1967, and to complete the accounting records for the period May 1, 1967 through June 30, 1967. During the latter period, all accounting determinations were made by our office. Our examina- tion was limited to the books, records and documents in the possession of the company and we were not required to .independently verify or confirm any of the information contained therein. Because of the nature of our engagement and the limitations expressed above, we are unable to express an independent opinion as to the accompanying finan- cial statements. RJP /jb Enclosures Yours very truly, Mautz lourde & Co. PACIFIC CABLE SERVICES, INC. (Formerly Warner Bros. T V Services, Inc.) Statement of Profit and Loss From Inception to June 30, 1967 From Inception Septem to August 31, 1966 to Dece Income: Base Service Fees $ 350,50 $ 1,309.4 Other Service Fees and Extra Outlets - - I,nstallation Charges 506,00 661,5 Total Income $ 856.50 Less Direct Costs and Expenses - CATV System- Pre-Wiring Costs - Materials and Supplies W - Contract Installation Fees Installation Costs - Pacific Tel, & Tel; Co, - Materials and Supplies < - Contract Installation Fees 0 Repairs and Maintenance Temporary Power Facilities a Utilities z. Cable Rent - Pacific Telephone & Telegraph 'o Co. (Note 8) Rent - Temporary Headend Facilities Equipment Rental 0 Depreciation - CATV System U Total Direct Costs and Expenses - "� CATV System W Cross Loss on Operations cc 7 0 Less Other Operating Expenses - Schedule B -1: J Selling Expenses a General and Administrative Expenses N Total Other Operating Expenses D < Net Loss on Operations 2 Other Income and (Expenses): Interest Income Interest Expense Loss on Sale of Equipment Total. Other Income and (Expenses) Net Loss before Market and Technical Research Expenditures Less Market and Technical Research Expenditures - Schedule B -1 1, 1966 January 1, 1967 May 1, 1967 From Inception 31, 1966 to April 30, 1967 to June 30, 1967 to June 30, 1967 $ 1,090,50 $ 1,025.50 $ 3,775.98 - 88.50 88,50 29,50 - 1,197.00 1,970,98 $ 1,120,00 $ 1,114,00 $ 5,061.48 $ 2,104,57 $ 2,433.8 $ - $ - $ 4,538,38 940,75 1,031,0 227.50 294 -.25 2,493.55 313,50 676.5 528,00 572,00 2,090,00 45.07 3.34,4 700,58 - 1,080.08 271,26 597.2 360.18 36,80 1,265,46 724.46 1,023.2 497.71 156,68 2,402,05 4,566,10 817.3 40.00 490,00 5,913.42 231.78 531,0 197.93 53.98 1,014.78 483,00 1,573,9 2,524.65 1,610.01 6,191.62 505,00 600,0 280.00 140,00 1,525,00 258,91 319.3 ( 319,42 133,37 1,031,00 562,65 829.7 859.98 435.54 2,687.89 11,007.05 10,767.60 6,535,95 3,922.63 $( 10,150.55) 8,796,62) $( 5,415.95) $( 2,808,63) $ 1,448.83 70,393,85 71,842,68 $( 81,993.23) $ 98.70 98.70 $( 81,894.53) 66,915,73 $ 115,0( $ 388,00 24,828,1. 25,693.48 4,943,15 3,739.77) $ 127.71 $ 123.31 ( 312,50) 16.95) i 127.74 Net Loss $(148,810,26) (The accompanying auditor's report and notes are an integral part of this statement) Exhibit B 3,612.03) 4,420,84 58,032.87:) 32.233.23 $( 27,171.75) $ 471,00 $ 2,422,83 11,155,85 132,071.33 26,081,48 11,626.85 134,494,16 $(31,497,43) $(14,435,48) $(161,665,91) $. 60.00 $ 409,75 ( 350.00) ( 662.50) ( 16.95) (. 206.14) ( 290.00) ( 269,70) $(31,703.57) 5,866.03 $(37,569,60) $ (14,725.48) 2,800,00 $(17,525.48) $(161,935.61) 100,002,60 S, (261938.21)