THIS SERVICE AGREEMENT (the “Agreement”) is made and entered into this 6th day of March 2002, by and between Comcast Cablevision of the South, Inc. (the “Company”), whose address is 29777 Telegraph Road, Suite 4400B, Southfield, Michigan 48076, and Oakland University, a Michigan constitutional body corporate (the “Owner”), whose address is 144 Oakland Center, Rochester, Michigan 48309-4401 and who owns or has control over certain real estate and improvements listed on Attachment A consisting of One Thousand Sixty (1060) combined residential units (the “Premises”).
The Company has been granted by the Cities of Auburn Hills and Rochester Hills, respectively (the “City” or the “Franchise Authority”) the franchise to construct and operate a
cable communications system in the cities of Auburn Hills and Rochester Hills, respectively. The Owner desires to provide cable communications services to the Premises, including, but not limited to, cable television service (the “Services”) and the Company is willing to maintain and
operate a cable communications system for such purposes on the Premises in accordance with the terms and conditions below.
NOW, THEREFORE, for good and valuable consideration, the parties, intending to be legally bound, agree as follows:
1. The System. The Company has installed all facilities necessary to transmit the Services to
the Premises (the “System”). The ownership of all parts of the System installed by the
Company, including but not limited to all cables, wires, equipment and appurtenant
devices, shall be and will remain the personal property of the Company. At no time during
or after the term hereof shall the Owner or any third party have the right to use the System
or any portion thereof for any purpose, notwithstanding the provisions of paragraph 11
2. Access. The Owner will allow Company employees to enter all common areas of the
Premises for the purposes of auditing, disconnecting service, installing, maintaining,
repairing, replacing or removing equipment and apparatus connected with the provision of
the Services and will use reasonable efforts to assure the Company access to any parts of
the Premises over which it does not have control for the same purposes. The Owner will
also allow Company employees reasonable access to designated reception areas in the
Premises, upon prior notice and approval of the Owner, to market Services to residents of
the Premises. Owner will supply the names and unit numbers of residents at reasonable
intervals. Owner shall reasonably cooperate with the Company to prevent (i) the
unauthorized possession of converters or channel selectors and (ii) the unauthorized
reception of the Services.
MDU 204 (9/01)
3. Delivery of Services. The Owner has the authority to grant and does hereby grant to the Company during the term hereof the nonexclusive right and limited license to construct,
install, operate and maintain multi-channel video distribution facilities on the Premises (whether by cable, satellite, microwave or otherwise) and to deliver the Services to the Premises, unless otherwise required by applicable law.
Services to the Premises shall be provided immediately upon execution of this Agreement, except that Services to the University Student Apartments that are currently under construction shall be provided no later than August 21, 2002.
The Company agrees to install, at its sole cost and expense, all facilities necessary to transmit the Services to the University Student Apartments, including, but not limited to, distribution cables, amplifiers, pedestals, lock boxes, cable home wiring, cable home run wiring, connectors, splitters, wall plates, equipment and appurtenant devices. All work shall be done by the Company in a proper and workmanlike manner in accordance with Federal Communications Commission regulations, industry standards and local codes. The Company agrees to repair and/or replace any damage to the University Student Apartments resulting from installation of the facilities. Prior to such installation, construction plans prepared by the Company shall be reviewed and approved by the Owner, provided that Owner’s approval shall not be unreasonably withheld. Owner shall locate on such plans all underground facilities existing on the Premises. Owner shall give the Company at least 20 days notice of the opening of utility trenches for the University Student Apartments so that the Company may, at its option, install the facilities in the common utility trenches, and shall otherwise cooperate with the Company in the construction and installation of the facilities for the University Student Apartments.
The Company will be responsible for obtaining all necessary permits, licenses and approvals in connection with the construction, installation and operation of the System. All construction, installation, operation, maintenance, and delivery shall be at the sole cost and expense of the Company.
4. Fees and Charges for Services. The terms, conditions, charges and fees for Preferred
Services provided to residents of the Premises shall be contained in Attachment B, a Bulk Bill Addendum between the Owner and the Company. The Owner assumes no liability or responsibility for Expanded Service charges contracted for by individual residents. All billing and collections for Expanded Service charges contracted for by individual residents will be accomplished by the Company.
5. Customer Service. The Company shall provide customer service in accordance with its franchise agreement with the Franchise Authority. The Company will maintain a local or toll-free telephone number which will be available to its subscribers 24 hours a day, seven days a week. Company representatives will be available to respond to customer telephone inquiries during normal business hours. The Company will begin working on service interruptions promptly and in no event later than the next business day after notification of the service problem, excluding conditions beyond the control of the Company.
6. Interference. Neither the Owner nor anyone operating on its behalf will tap or otherwise interfere with the System for any purposes. Notwithstanding anything else in this Agreement to the contrary, the Company shall not interfere with the right of an individual resident to install or use his own private reception device, provided, however, that should any device or any facility belonging to a resident (or Owner) not comply with the technical specifications established by the FCC, including, but not limited to, signal leakage, which interferes with the Company’s delivery of the Services, the Company reserves the right to discontinue service to the Premises, or, at the Company’s discretion, the individual unit, until such non-conformance is cured by the Owner or resident as the case may be.
7. Term. This Agreement, when duly executed by both parties, shall constitute a binding agreement between the Owner and the Company and their respective successors and assigns for a term of ten (10) years. This Agreement shall automatically renew for successive periods of two (2) years unless either party shall provide the other with a minimum sixty (60) days written notification of its intention not to renew at the end of the then current term.
8 Insurance. The Company agrees to maintain public liability insurance and property damage liability insurance as required by the Company's franchise agreement with the Franchise Authority. Upon request, the Company will provide the Owner with a certificate evidencing such insurance.
The Company also agrees to maintain the following insurance during the term of this Agreement:
1. Comprehensive General Liability – Naming Owner as an additional insured and
including: Premises-Operations; Independent-Contractors’ Protective; Products &
Completed Operations; Broad Form Property Damage; and Contractual.
a. Combined single limits for bodily injury and property damage:
i. One Million Dollars Each Occurrence
ii. One Million Dollars Annual Aggregate
b. Products and Completed Operations Insurance to be maintained for one year
after termination of the Agreement.
c. Property Damage Liability Insurance shall include X, C and U coverage.
2. Workers’ Compensation – Employer’s Liability – State Statutory requirement One
3. Comprehensive Automobile Liability with combined singled limits for bodily injury
and property damage of: One Million Dollars each occurrence.
Certificates of insurance are to be furnished to Owner for all coverage prior to commencement of any work by the Company under this Agreement. The Company shall provide certificates of insurance at each insurance policy renewal date during the term of this Agreement. The Company shall be responsible for any deductible or retention amounts on Company’s policies.
The above policies shall contain a covenant requiring 30 days written notice to the Owner before cancellation, reduction or other modifications of coverage.
9. Indemnification. The Company shall indemnify, defend and hold the Owner harmless
from any and all claims, damage or expense arising out of the actions or omissions of the Company, its agents and employees with respect to the construction, installation, operation, maintenance or removal of the System and the Services provided to residents at the Premises pursuant to this Agreement. The Owner shall indemnify, defend and hold the Company harmless from any and all claims, damage or expense arising out of the actions or omissions of the Owner, its agents and employees. In no event shall either Owner or the Company be liable for any consequential, indirect, incidental, special or punitive damages whatsoever. Nothing in this Agreement shall create or be deemed to create a waiver of governmental immunity by the Owner. This indemnification provision shall survive the expiration or termination of this Agreement for claims, damage or expense arising out of the action or omissions of the Company arising prior to the termination or expiration of this Agreement.
a) Default. In the event either party defaults in the performance of any of the material
terms of this Agreement, the non-defaulting party shall give the defaulting party written
notice specifying the nature of such default and identifying the specific provision in this
Agreement which gives rise to the default. The defaulting party shall have sixty (60)
days to either (i) notify the non-defaulting party that no default occurred, (ii) cure the
default, or (iii) if such default is incapable of cure within such sixty (60) day period,
commence curing the default within such sixty (60) day period and diligently pursue
such cure to completion. In the event the default is not cured, or a cure is not
commenced, within such sixty (60) day period, the non-defaulting party may terminate
this Agreement upon thirty (30) days written notice without further liability of either
b) Loss of Franchise. This Agreement shall terminate automatically without any
further liability on the part of the Company in the event the Company’s franchise
with the Franchise Authority or any renewal thereof ceases to be in effect.
11. Removal of System. Upon termination of this Agreement for any reason, the Company shall have a period of six (6) months in which it shall be entitled but not required to remove the System, excluding the cable home wiring but including the cable home run