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HomeMy WebLinkAbout08230 ORD - 11/02/196611/2/66 e j sy TEXAS: AN ORDINANCE AUTHORIZING AND DIRECTING THE CITY MANAGER, FOR AND ON BEHALF OF THE CITY OF CORPUS CHRISTI, TO ACCEPT AND APPROVE AN ASSIGNMENT AGREEMENT BETWEEN THE CORPUS CHRISTI BANK AND TRUST COMPANY, TRUSTEE, AND HERSHEL AND LYDA N. CHANCE, D /B /A C & T GIFTS AND NEWS, FOR A TERM OF FIVE YEARS, COVERING THE NEWS- STAND FACILITIES AT THE CORPUS CHRISTI INTERNATIONAL AIRPORT, A COPY OF SAID ASSIGNMENT AGREEMENT BEING ATTACHED HERETO AND MADE A PART HEREOF; AND DECLARING AN EMERGENCY. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CORPUS CHRISTI, SECTION 1. THAT THE CITY MANAGER IS HEREBY AUTHORIZED AND DIRECTED, FOR AND ON BEHALF OF THE CITY OF CORPUS CHRISTI, TO ACCEPT AND APPROVE AN ASSIGNMENT AGREEMENT BETWEEN THE CORPUS CHRISTI BANK AND TRUST COMPANY, TRUSTEE, AND HERSHEL AND LYDA N. CHANCE, D /B /A C & T GIFTS AND NEWS, FOR A TERM OF FIVE (5) YEARS, COVERING THE NEWSSTAND FACILITIES AT THE CORPUS CHRISTI INTERNATIONAL AIRPORT, A COPY OF SAID ASSIGNMENT AGREEMENT BEING ATTACHED HERETO AND MADE A PART HEREOF. SECTION 2. THE NECESSITY TO ACCEPT AND APPROVE THE AFORESAID ASSIGNMENT AGREEMENT COVERING THE NEWSSTAND FACILITIES AT THE CORPUS CHRISTI INTERNATIONAL AIRPORT IN ORDER THAT OPERATIONS MAY BEGIN WITHOUT DELAY CREATES A PUBLIC EMERGENCY AND AN IMPERATIVE PUBLIC NECESSITY REQUIRING THE SUSPENSION OF THE CHARTER RULE THAT NO ORDINANCE OR RESOLUTION SHALL BE PASSED FINALLY ON THE DATE OF ITS INTRODUCTION AND THAT SUCH ORDINANCE OR RESOLUTION] SHALL BE READ AT THREE SEVERAL MEETINGS OF THE CITY COUNCIL, AND THE MAYOR, HAVING DECLARED SUCH EMERGENCY AND NECESSITY TO EXIST, HAVING REQUESTED THE SUSPENSION OF SAID CHARTER RULE AND THAT THIS ORDINANCE BE PASSED FINALLY ON THE DATE OF ITS INTRODUCTION AND THAT SUCH ORDINANCE TAKE EFFECT AND BE IN FULL FORCE AND EFFECT FROM AND AFTER ITS PASSAGE, IT IS ACCORDINGLY SO ORDAINED, THIS THE is l DAY OF NOVEMBER, 1966. ATTEST � � �J 0 Pro• em �� THE CITY OF CORPUS CHRISTI, TEXAS CIT —SECRETARY �/ APPROVED AS FORM THI*3 OF NOV MBER,;1966: CITY AT` RN- 823 • TOM:B.IW:11 /1 /66 ASS I GNIIENT NEWSSTAND CONCESSION THE STATE OF TEXAS j COUNTY OF NUECES Y r� THIS AGREEMENT MADE BY AND BETWEEN THE CORPUS CHRISTI BANK & TRUST COMPANY, TRUSTEE, HEREINAFTER REFERRED TO AS ASSIGNOR, AND HERSHEL AND LYDA N. CHANCE, DBA C & T' GI FTS AND NEWS, WHOSE ADDRESS IS 724 SAVAGE LANE, CORPUS CHRISTI, TEXAS, HEREINAFTER REFERRED TO AS ASSIGNEE, W I T N E S S E T H: WHEREAS, THE ASSIGNOR HEREIN, THE CORPUS CHRISTI BANK & TRUST COMPANY, TRUSTEE, HAS BY AGREEMENT WITH THE CITY OF CORPUS CHRISTI, LEGALLY BECOME THE LESSEE OF CERTAIN LANDS AND PORTIONS OF THE TERMINAL BUILDING LOCATED WITHIN THE SITE OF CORPUS CHRISTI INTERNATIONAL AIRPORT, NUECES COUNTY, TEXAS; AND WHEREAS, THE AFORESAID AGREEMENT BETWEEN THE CORPUS CHRISTI BANK �. TRUST COMPANY, TRUSTEE, AND THE CITY OF CORPUS CHRISTI, WAS DULY AND LEGALLY APPROVED BY THE QUALIFIED VOTERS AT AN ELECTION HELD ON AUGUST 29, 1959; AND WHEREAS, THE CITY OF CORPUS CHRISTI MAINTAINS AND OPERATES CORPUS CHRISTI INTERNATIONAL AIRPORT AS A PUBLIC AIRPORT AND ALL USES INCIDENT THERETO, FOR THE BENEFIT OF THE PUBLIC; AND WHEREAS, ASSIGNEE PROPOSES TO ENGAGE IN THE BUSINESS OF OPERATING A GIFT SHOP AND NEWSSTAND CONCESSION, AS HEREINAFTER MORE PARTICULARLY DEFINED; AND WHEREAS, ASSIGNOR DEEMS IT ADVANTAGEOUS TO ASSIGN UNTO ASSIGNEE A CERTAIN PORTION OF THE LANDS LEASED BY ASSIGNOR FROM THE CITY OF CORPUS CHRISTI, COMPRISING APPROXIMATELY ONE HUNDRED (100) SQUARE FEET, AS HEREIN- AFTER MORE PARTICULARLY DESCRIBED, TOGETHER WITH THE RIGHT TO USE A PORTION OF THE TERMINAL BUILDING AND THOSE PRIVILEGES, RIGHTS, USES AND INTERESTS INCIDENT THERETO, AS HEREINAFTER SET OUT; AND WHEREAS, ASSIGNEE DESIRES TO OBTAIN ANDAVAIL ITSELF OF THE LAND TOGETHER WITH THE RIGHT TO USE THE PORTION OF SAID TERMINAL BUILDING, AS HEREINAFTER DESCRIBED,' AND OF THOSE PRIVILEGES, RIGHTS, USES AND INTERESTS INCIDENT THERETO, AS HEREINAFTER SET OUT: NOW, THEREFORE, IN CONSIDERATION OF THE PREMISES AND FOR AND IN CONSIDERATION OF THE CHARGES, FEES, RENTALS, COVENANTS AND AGREEMENTS CON- TAINED HEREIN, THE PARTIES HERETO DO HEREBY AGREE AS FOLLOWS: ARTICLE I DESCRIPTION OF ASSIGNED SPACE ASSIGNOR DOES HEREBY ASSIGN UNTO ASSIGNEE, SUBJECT TO ALL OF THE TERMS, CONDITIONS AND COVENANTS OF THIS AGREEMENT, ALL OF THAT CERTAIN PARTICULAR TRACT OF LAND CONTAINING ONE HUNDRED _(100) SQUARE FEET AS SHOWN AND DESCRIBED ON THE ATTACHED DRAWING MARKED EXHIBIT "Y AND AS OUTLINED THEREIN. IN ADDITION TO SAID TRACT OF LAND, THE ASSIGNEE HEREIN IS HEREBY GIVEN THE PRIVILEGE AND RIGHT TO USE THE AREA WITHIN THE TERMINAL BUILDING AT CORPUS CHRISTI INTERNATIONAL AIRPORT DESIGNATED AND DESIGNED FOR USE AS • A GIFT SHOP AND NEWSSTAND CONCESSION, AS SHOWN AND DESCRIBED ON THE ATTACHED EXHIBIT, MARKED EXHIBIT "A ". THE AFORESAID EXHIBITS, WHICH ARE ATTACHED HERETO, AND ARE MADE A PART HEREOF FOR ALL INTENTS AND PURPOSES AS IF COPIED VERBATIM HEREIN. THE PRIVILEGE AND RIGHT TO USE THE AREA WITHIN THE TERMINAL BUILDING SHALL BE UPON THE SAME TERMS AND CONDITIONS AS THE ABOVEMENTIONED TRACT OF LAND. IN THE EVENT THAT IT BECOMES NECESSARY TO MORE ACCURATELY DESCRIBE THE ASSIGNED TRACT OF LAND OR THE AREA WITHIN THE TERMINAL BUILDING, THEN THE PARTIES HERETO AGREE THAT A MORE EXACTING DESCRIPTION MAY BE PRE- PARED AND ATTACHED HERETO AND MADE A PART HEREOF. ARTICLE II PARTIES TO THIS AGREEMENT THE ASSIGNOR HEREIN, THE CORPUS CHRISTI BANK & TRUST COMPANY, IS THE LESSEE OF THE TRACT OF LAND HEREINABOVE DESCRIBED. THE CITY OF CORPUS CHRISTI LEGALLY LEASED SAID PREMISES TO THE ASSIGNOR HEREINAFTER SECURING THE APPROVAL OF THE QUALIFIED VOTERS OF THE CITY OF CORPUS CHRISTI -2- • AT AN ELECTION HELD ON AUGUST 29, 1959• UNDER THE LEASE BETWEEN THE CITY AND THE ASSIGNOR HEREIN, THE CITY RETAINED THE.RIGHT TO APPROVE ALL ASSIGN- MENTS AND SUB - LEASES AND TO APPROVE THE TERMS AND CONDITIONS CONTAINED THEREIN. THIS AGREEMENT IS AN ASSIGNMENT OF THE ABOVE DESCRIBED TRACT OF LAND FROM THE CORPUS CHRISTI BANK & TRUST COMPANY, TRUSTEE, TO THE ASSIGNEE HEREIN, HERSHEL AND LYDA N. CHANCE, DBA C & T GIFTS AND NEWS, AND THE CITY OF CORPUS CHRISTI BY ITS JOINDER HEREIN, AGREES TO ALL OF THE TERMS AND CONDITIONS CONTAINED HEREIN, INCLUDING THE USE OF THE ABOVE DESCRIBED AREA WITHIN THE TERMINAL BUILDING, AND THE CITY FURTHER AGREES THAT IN THE EVENT OF A JUDICIAL DETERMINATION THAT THIS ASSIGNMENT AGREEMENT WAS' ENTERED INTO CONTRARY TO LAW, OR THAT THE LEASE FROM THE CITY TO THE ASSIGNOR HEREIN WAS ENTERED INTO CONTRARY TO LAW, THEN THE CITY AGREES TO TAKE WHATEVER REASONABLE NECESSARY STEPS MAY BE REQUIRED TO PROVIDE THE ASSIGNEE HEREIN WITH A GOOD AND VALID LEASE OR ASSIGNMENT OF THE SPACE HEREINABOVE DESCRIBED. IT IS UNDERSTOOD, HOWEVER, THAT THIS AGREEMENT AND ASSIGNMENT MUST BE ACCEPTED AND APPROVED BY THE CITY, IN WRITING NOTED HEREIN, BEFORE THE CITY IS BOUND BY ANY OF THE TERMS OR CONDITIONS SET FORTH HEREIN. ARTICLE III PRIVILEGES, RIGHTS, USES AND INTERESTS IN ADDITION TO THE PRIVILEGES, RIGHTS, USES AND INTERESTS ATTACH- ING TO THE ASSIGNED PREMISES BY VIRTUE OF THE LEASE, THE FOLLOWING USES, RIGHTS AND INTERESTS ARE HEREBY AGREED UPON BY AND BETWEEN THE PARTIES: A. USE OF PREMISES. ASSIGNEE SHALL USE THE ABOVE DESCRIBED PRE- MISES FOR THE OPERATION OF THE NEWSSTAND CONCESSION, AS HEREINAFTER DEFINED -. NO OTHER USE SHALL BE MADE OF THE ASSIGNED PREMISES WITHOUT THE SPECIFIC PERMISSION OF THE CITY OF CORPUS CHRISTI PRIOR TO THE BEGINNING OF ANY OTHER USE. B. DEFINITION. THE NEWSSTAND CONCESSION AS HEREINAFTER REFERRED TO IS HEREBY DEFINED AS THE BUSINESS OF PURCHASING, STORING, DISPLAYING AND SELLING NEWSPAPERS, MAGAZINES, PERIODICALS, TOBACCO PRODUCTS, NOVELTY AND -3- GIFT ITEMS AND OTHER SIMILAR RELATED ITEMS REASONABLY AND NORMALLY SOLD THROUGH THIS TYPE OF A CONCESSION. C. GENERAL PRIVILEGES, RIGHTS, USES AND INTERESTS. IN ADDITION . TO THE ABOVE DESCRIBED ASSIGNED SPACE, ASSIGNEE HEREIN SHALL HAVE THE RIGHT TO USE THE PUBLIC AREAS AND PUBLIC AIRPORT FACILITIES INCLUDING THE USE OF THE AREA IMMEDIATELY SOUTH OF THE TERMINAL BUILDING, WHICH IS DESIGNATED AS THE SERVICE COURT, IN COMMON WITH OTHERS SO AUTHORIZED. IT IS MUTUALLY AGREED, HOWEVER, THAT THE RIGHT TO USE THE PUBLIC AIRPORT FACILITIES SHALL BE EXERCISED SUBJECT TO AND IN ACCORDANCE WITH THE RULES AND REGULATIONS OF THE FEDERAL AVIATION AGENCY, THE LAWS OF THE STATE OF TEXAS, IF ANY, AND IN ACCORDANCE WITH ALL REASONABLE AND APPLICABLE RULES, REGULATIONS AND ORDINANCES OF THE CITY OF CORPUS CHRISTI. D. SPECIAL PRIVILEGES, RIGHTS, USES AND INTERESTS. IN ADDITION TO THE ABOVE PRIVILEGES, RIGHTS, USES AND INTERESTS, ASSIGNEE SHALL HAVE THE FOLLOWING SPECIAL PRIVILEGES, RIGHTS, USES AND INTERESTS: ASSIGNEE SHALL BE ENTITLED TO PLACE AND ERECT SIGNS AND ADVERTISING MATERIAL WITHIN THE ASSIGNED PREMISES AND AT OTHER LOCATIONS ON THE AIRPORT PROVIDED THE SIZE AND SHAPE OF SUCH SIGNS AND OTHER ADVERTISING MATERIALS SHALL CONFORM TO THE GENERAL APPEARANCE OF THE AIRPORT AND THE BUILDINGS LOCATED THEREON AND PROVIDED THAT PERMISSION IS OBTAINED FROM THE CITY OF CORPUS CHRISTI PRIOR TO THE INSTALLATION OF ANY SIGN OR ADVERTISING MATERIAL AT ANY LOCATION OUTSIDE OF THE ASSIGNED PREMISES. E. EXCLUSIVE PRIVILEGES, RIGHTS, USES AND INTERESTS. IT. IS UNDERSTOOD BY AND BETWEEN THE PARTIES HERETO, THAT THE ASSIGNEE HEREIN SHALL HAVE THE EXCLUSIVE PRIVILEGE AND RIGHT TO OPERATE A GIFT SHOP AND NEWSSTAND CONCESSION WITHIN THE TERMINAL BUILDING AREA AT CORPUS CHRISTI INTERNATIONAL AIRPORT. IT IS SPECIFICALLY AGREED THAT NEITHER THE ASSIGNOR HEREIN NOR THE CITY OF CORPUS CHRISTI SHALL GRANT THESE SAME PRIVILEGES AND RIGHTS TO ANY OTHER PARTY DURING THE TERM OF THIS ASSIGNMENT AND AGREEMENT. -4- F. PRIVILEGES, RIGHTS, USES AND INTERESTS EXCLUDED. IT 15 SPECI- FICALLY AGREED AND STIPULATED THAT THE FOLLOWING PRIVILEGES, RIGHTS, USES AND INTERESTS ARE EXCLUDED FROM THIS ASSIGNMENT: 1. GROUND TRANSPORTATION FOR HIRE; 2. WESTERN UNION; - AUTOMOBILE RENTAL SERVICE jF ADVERTISING CONCESSIONS EXCEPT FOR THE ADVERTISING THAT MAY BE DONE WITHIN THE ASSIGNED PREMISES; 5. THE SALE OF FOOD AND DRINK; 6. THE SALE OF FLIGHT AND/OR TRIP INSURANCE EITHER BY MACHINE OR PERSONALLY BY EMPLOYEES OR AGENTS OR IN ANYWISE SELLING INSURANCE AT ANY PLACE ON AIRPORT PROPERTY. ARTICLE IV ACCEPTANCE OF PREMISES ASSIGNEE ACKNOWLEDGES THAT THE PREMISES HAVE BEEN INSPECTED AND DOES HEREBY AGREE TO AND DOES ACCEPT THE ASSIGNED PREMISES AND ALL FIXTURES LOCATED THEREIN OWNED BY THE CITY OF CORPUS CHRISTI. ASSIGNEE FURTHER AGREES THAT NO ALTERATION OR MODIFICATION OF THE EXISTING FIXTURES, INCLUD- ING SHOWCASES AND OTHER EQUIPMENT, AND NO INSTALLATION OF ADDITIONAL FIXTURES MAY BE MADE WITHOUT FIRST OBTAINING THE APPROVAL OF THE AIRPORT MANAGER. IF THE CITY DEEMS IT NECESSARY TO RELOCATE THE FACILITIES AND OPERATION OF THE ASSIGNEE TO ANOTHER SPACE AND THE ASSIGNEE 15 NOT AGREEABLE TO THE RELOCATION, THE ASSIGNEE MAY CANCEL THIS LEASE AFTER FIRST GIVING 30 DAYS' WRITTEN NOTICE OF ITS INTENTION TO CANCEL TO THE CITY MANAGER, POST OFFICE BOX 1622, CORPUS CHRISTI, TEXAS. ARTICLE V TERM THIS ASSIGNMENT AND AGREEMENT SHALL BE FOR A PERIOD OF FIVE (5) YEARS, SUBJECT TO THE RIGHT OF TERMINATION HEREINAFTER PROVIDED. THE TERM SHALL COMMENCE ON THE 15TH DAY OF FEBRUARY, 19671 AND SHALL TERMINATE FIVE (5) YEARS FROM SAID DATE. ARTICLE VI RENT ASSIGNEE AGREES TO PAY THE CITY OF CORPUS CHRISTI, AND THE CITY OF CORPUS CHRISTI AGREES TO ACCEPT A RENTAL OF ONE HUNDRED TWENTY -FIVE -5- DOLLARS ($125.00) PER MONTH FOR THE FIRST TWO YEARS AND .125.00 PER MONTH OR FIVE PERCENT (5`°°) OF GROSS REVENUE FOR THE LAST THREE YEARS WHICHEVER IS GREATER FOR THE USE AND OCCUPANCY OF THE ASSIGNED PREMISES AND FOR THE PRIVILEGES, RIGHTS USES AND INTERESTS AS ABOVE SET FORTH. THE FIRST MONTHS RENTAL SHALL BE PAID IN ADVANCE PRIOR TO THE DATE THE NEWSSTAND IS PLACED IN OPERATION BY ASSIGNEE AND IN NO EVENT LATER THAN FEBRUARY 151 1967. THEREAFTER THE RENTALS TO BE PAID BY ASSIGNEE HEREIN SHALL BE DUE AND PAYABLE ON A MONTHLY BASIS. AT THE END OF EACH MONTH DURING THE TERM OF THIS ASSIGNMENTS ASSIGNEE SHALL PREPARE A WRITTEN REPORT SHOWING THE GROSS INCOME FROM THE NEWSSTAND CONCESSIONS AS HEREINABOVE DESCRIBED AND SUBMIT SAID REPORT TO THE CITY ALONG WITH THE RENTAL TO BE PAID THEREFOR. SAID REPORT AND PAYMENT SHALL BE SUBMITTED AND PAID NO LATER THAN THE FIFTEENTH (15TH) DAY OF THE MONTH FOLLOWING THE MONTH FOR WHICH PAYMENT IS BEING MADE. AT THE END OF THE THIRDS FOURTH AND FIFTH YEARS UNDER THIS ASSIGNMENT, ASSIGNEE SHALL PREPARE A STATEMENT SHOWING WHETHER OR NOT 5% OF THE GROSS INCOME FROM THE NEWSSTAND CONCESSION EQUALS OR EXCEEDS $125.00 PER MONTH. IN THE EVENT THAT SAID 59 OF THE GROSS INCOME EXCEEDS $125.00 PER MONTH, THEN ASSIGNEE AGREES TO PAY THE DIFFERENCE AT THE SAME TIME AS THE MONTHLY PAYMENT FOR THE PRECEDING MONTH. ALL RENTALS TO BE PAID HEREUNDER SHALL BE PAID TO THE AIRPORT MANAGER. ARTICLE VII UNDERTAKINGS OF THE CITY OF CORPUS CHRISTI THE CITY HEREIN, AS PART OF THE CONSIDERATION, COVENANTS AND AGREES AS FOLLOWS: A. TO OPERATE THE CORPUS CHRISTI INTERNATIONAL AIRPORT AS A PUBLIC AIRPORT DURING THE TERM OF THIS ASSIGNMENT, SUBJECT TO AND CONSIST- ENT WITH AND PURSUANT TO THE SPONSORS ASSURANCES GIVEN BY THE CITY TO THE UNITED STATES GOVERNMENT UNDER THE FEDERAL AIRPORT ACT, AND SUBJECT TO THE CONDITIONS AND HAPPENINGS CONTAINED IN ARTICLE IX, PARAGRAPH E. OF THIS ASSIGNMENT. RE B. TO PROVIDE AND MAINTAIN THE NECESSARY HEATING AND COOLING OF THE ASSIGNED PREMISES AND OF THE PUBLIC AREAS WITHIN THE TERMINAL BUILDING AT TEMPERATURES WHICH WILL BE COMFORTABLE TO THE USERS THEREOF, AND TO PROVIDE THE NECESSARY LIGHTING AND POWER FOR SUCH LIGHTING WITHIN THE ASSIGNED PREMISES AND THE PUBLIC AREAS IN THE TERMINAL BUILDING. TO MAINTAIN THE BUILDING AND THE GROUNDS IN A NEAT AND ORDERLY MANNERS INCLUDING THE NECESSARY JANITORIAL SERVICE TO ACCOMPLISH SAME WITHIN THE ASSIGNED PREMISES AND THE PUBLIC AREAS. ARTICLE VIII UNDERTAKINGS OF ASSIGNEE- THE ASSIGNEE HEREIN, AS ADDITIONAL CONSIDERATION HEREOF HEREBY COVENANTS AND AGREES AS FOLLOWS TO -WIT: A. ASSIGNEE AGREES THAT IT WILL OPERATE THE NEWSSTAND AND GIFT SHOP AT LEAST SIXTEEN (16) HOURS A DAY MONDAY THROUGH SATURDAY. THE HOURS OF OPERATION WILL BE AT LEAST FROM 5:30 O'CLOCK A.M. TO 9:30 O'CLOCK P.M. ASSIGNEE FURTHER AGREES TO KEEP THE NEWSSTAND AND GIFT SHOP OPEN FOR AT LEAST EIGHT (8) HOURS ON SUNDAYS THE EXACT HOURS OF OPERATION ON SUNDAY TO BE DETERMINED BY MUTUAL AGREEMENT BETWEEN ASSIGNEE AND THE CITY OF CORPUS CHRISTI. B. ASSIGNEE AGREES THAT IT WILL AT ALL REASONABLE TIMES FURNISH GOODS PROMPT AND EFFICIENT SERVICE ADEQUATE TO MEET ALL OF THE DEMANDS FOR SUCH SERVICE AT THE AIRPORT AND TO FURNISH SAID SERVICE ON A FAIRS EQUAL AND NON- DISCRIMINATORY BASIS TO ALL USERS THEREOF AND TO CHARGE A FAIR, REASON- ABLE AND NON- DISCRIMINATORY PRICE FOR EACH UNIT OF SALE OR SERVICE; PROVIDED THAT ASSIGNEE WILL BE ALLOWED TO MAKE REASONABLE AND NON- DISCRIMINATORY. DIS- COUNTS, REBATES OR OTHER SIMILAR TYPE OF PRICE REDUCTIONS TO VOLUME PURCHASERS. ASSIGNEE SHALL NOT USE, SUFFER OR PERMIT ANY PERSON TO USE THE PREMISES HEREIN ASSIGNED FOR ANY ILLEGAL OR IMMORAL PURPOSES. NO PUBLICATION CONTAINING IMMORAL INDECENTj OBSCENE] OR VULGAR MATTER SHALL BE OFFERED FOR SALE OR DISTRIBUTIONS OR DISPLAYED. ARTICLE IX 'GENERAL PROVISIONS A. INDEMNIFICATION. IT AS EXPRESSLY UNDERSTOOD AND AGREED BY AND BETWEEN THE PARTIES HERETO THAT THE ASSIGNEE HEREIN IS AND SHALL BE -7- • i DEEMED TO BE AN INDEPENDENT CONTRACTOR RESPONSIBLE TO ALL PARTIES FOR ITS RESPECTIVE ACTS OR OMISSIONS AND FOR THOSE OF ITS AGENTS SERVANTS EMPLOYEES INVITEES, TENANTS AND SUBLESSEES, IF ANY AND THE CITY OF CORPUS CHRISTI SHALL IN NO WAY BE RESPONSIBLE THEREFOR. ASSIGNEE AGREES TO INDEMNIFY AND HOLD HARMLESS THE CITY OF CORPUS CHRISTI FROM ANY AND ALL LOSSES THAT MAY PROXIMATELY RESULT TO THE CITY OF CORPUS CHRISTI FROM ANY NEGLIGENCE OMISSION OR COMMISSIONS ON THE PART OF ASSIGNEES ASSIGNEES AGENTS SERVANTS, EMPLOYEES AND INVITEES. B. NOTICES. NOTICES TO THE CITY OF CORPUS CHRISTI SHALL BE DEEMED SUFFICIENT IF IN WRITING AND MAILEDj POSTAGE,PREPAID, ADDRESSED TO CITY MANAGERS P. 0. BOX 1622, CORPUS CHRISTI TEXAS OR TO SUCH OTHER ADDRESS AS MAY HAVE BEEN DESIGNATED IN WRITING BY THE AIRPORT MANAGER FROM TIME TO TIME. NOTICES TO ASSIGNEE SHALL BE DEEMED SUFFICIENT IF IN WRITING AND MAILED, POSTAGE PREPAID ADDRESSED TO ASSIGNEE AT 724 SAVAGE LANES CORPUS CHRISTI TEXAS. C. TAXES. THE ASSIGNEE AGREES TO PAY ANY AND ALL PERSONAL PROPERTY TAXES LEVIED FROM TIME TO TIME UPON ANY IMPROVEMENTS PLACED BY IT UPON THE ASSIGNED PREMISES. D. ALL OF THE TERMSj COVENANTS AND AGREEMENTS HEREIN CONTAINED SHALL BE BINDING UPON AND SHALL INURE TO THE BENEFIT OF SUCCESSORS AND ASSIGNS OF THE RESPECTIVE PARTIES HERETO. E. DESTRUCTION. IN THE EVENT THAT THE ASSIGNEE'S IMPROVEMENTS OR THE AIRPORT IS DAMAGED OR DESTROYED BY ACTS OF GOD OR THROUGH ENEMY ATTACK OR FOR ANY OTHER REASON OUTSIDE THE CONTROL OF ASSIGNEE AND /OR THE CITY OF CORPUS CHRISTI TO SUCH AN EXTENT THAT THE AIRPORT CANNOT BE OPERATED AS AN AIRPORTS THEN THIS ASSIGNMENT SHALL TERMINATE AND SHALL NO LONGER BE BINDING ON ANY PARTY HERETO. IN THE EVENT THAT THE ASSIGNED PREMISES AND IMPROVEMENTS OR THE OTHER AIRPORT FACILITIES REASONABLE AND NECESSARY FOR ASSIGNEE TO CONDUCT ASSIGNEE'S BUSINESS ARE PARTIALLY DESTROYED OR DAMAGED DUE TO ACTS OF GOD OR OTHER ACTS OUTSIDE THE CONTROL OF ASSIGNEE AND /OR THE CITY OF CORPUS CHRISTI TO SUCH AN EXTENT THAT THE ASSIGNED PREMISES MAY NOT ECONOMICALLY BE O -U- USED FOR THE USES AND PURPOSES FOR WHICH ASSIGNED, THEN THIS ASSIGNMENT SHALL BE SUSPENDED DURING THE PERIOD OF SUCH PARTIAL DAI4AGE OR DESTRUCTION AND SHALL NOT BEGIN OR RESUME UNTIL THE DAMAGE HAS BEEN REPAIRED. IT IS EXPRESSLY UNDERSTOOD, HOWEVER, THAT THE CITY OF CORPUS CHRISTI SHALL DETER- MINE AND SHALL BE THE SOLE JUDGE OF THE EXTENT OF THE DAMAGE OR DESTRUCTION TO THE AIRPORT AND SHALL HAVE AN OPTION TO EITHER DECLARE THIS ASSIGNMENT TERMINATED OR SUSPENDED OR TO REPAIR THE AIRPORT FACILITIES OR IN CASE OF DAMAGE OR DESTRUCTION TO ASSIGNEES IMPROVEMENTS TO EITHER DECLARE THE ASSIGN- MENT TERMINATED, SUSPENDED OR TO REQUIRE ASSIGNEE TO REPAIR HIS IMPROVEMENTS. F. SUBORDINATION. THIS ASSIGNMENT SHALL BE SUBORDINATE TO THE PROVISIONS OF ANY EXISTING OR FUTURE AGREEMENT BETWEEN THE CITY OF CORPUS CHRISTI AND THE UNITED STATES RELATIVE TO THE OPERATION OR MAINTENANCE OF THE AIRPORT, THE EXECUTION OF WHICH HAS BEEN OR MAY BE REQUIRED AS A CONDI- TION TO THE EXPENDITURE OF FEDERAL FUNDS FOR THE DEVELOPMENT OF THE AIRPORT. SHOULD THE EFFECT OF SUCH AGREEMENT WITH THE UNITED STATES BE TO TAKE ANY OF THE PREMISES UNDER THIS ASSIGNMENT OUT FROM UNDER THE CONTROL OF.THE CITY OF CORPUS CHRISTI OR TO SUBSTANTIALLY DESTROY THE COMMERCIAL VALUE OF THE ASSIGNED PREMISES, THEN THE CITY OF CORPUS CHRISTI MUST PROVIDE ADEQUATE PREMISES TO ASSIGNEE OR THIS ASSIGNMENT SHALL TERMINATE AND BE NO LONGER IN FORCE. G. TERMINATION. THIS ASSIGNMENT-SHALL TERMINATE AT THE END OF THE PERIOD SET FORTH IN ARTICLE V HEREINABOVE, AND ASSIGNEE SHALL HAVE NO FURTHER RIGHT OR INTEREST IN ANY OF THE ASSIGNED PREMISES OR IN ANY OF THE PRIVILEGES, RIGHTS, USES OR OTHER INTERESTS CONTAINED IN THIS ASSIGNMENT, AND ASSIGNEE AGREES TO VACATE AND TO SURRENDER ALL IMPROVEMENTS AND EQUIP- MENT OWNED BY THE CITY, UNLESS ASSIGNEE AND THE CITY RENEGOTIATE SAID ASSIGN- MENT AND ENTER INTO A MUTUALLY SATISFACTORY AGREEMENT EXTENDING THE TERM HEREOF. ASSIGNEE AGREES TO RETURN ALL IMPROVEMENTS AND EQUIPMENT OWNED BY THE CITY IN GOOD CONDITION, REASONABLE WEAR AND TEAR EXCEPTED. . H. CANCELLATION. DEFAULT OF PAYMENT OF ANY OF THE RENTALS PRO- VIDED FOR HEREINABOVE SHALL GIVE THE CITY OF CORPUS CHRISTI THE RIGHT TO TERMINATE THIS ASSIGNMENT AT ANY TIME AFTER THIRTY (30) DAYS NOTICE IN -9- WRITING HAS BEEN GIVEN TO ASSIGNEE, UNLESS WITHIN SAID TIME ASSIGNEE HAS FULLY COMPLIED WITH THE RENTAL PROVISIONS. DEFAULT OF ANY OF THE OTHER AGREEMENTS ON THE PART OF ASSIGNEE SHALL LIKEWISE GIVE THE CITY OF CORPUS CHRISTI THE RIGHT TO TERMINATE THIS ASSIGNMENT AT ANY TIME AFTER THIRTY (30) DAYS NOTICE IN WRITING HAS BEEN GIVEN TO ASSIGNEE, UNLESS WITHIN SAID TIME ASSIGNEE HAS FULLY COMPLIED WITH OR CORRECTED THE CONDITIONS,.PROVIDED, HOWEVER, THAT THE CITY- OF CORPUS CHRISTI AGREES TO INCLUDE IN SUCH NOTICE A STATEMENT WITH RESPECT TO THE I ARTICLE, AGREEMENT OR CONDITION WHICH THE CITY OF CORPUS CHRISTI CLAIMS THAT ASSIGNEE IS IN DEFAULT OF. ARTICLE X TRANSFER OR ASSIGNMENT THE WRITTEN AUTHORITY OF THE CITY OF CORPUS CHRISTI SHALL BE OBTAINED BY ASSIGNEE PRIOR TO ANY SALE, ASSIGNMENT, TRANSFER OR SUBASSIGN- MENT OF THIS ASSIGNMENT. EXECUTED IN DUPLICATE ON THIS DAY OF 1966. ASSIGNEE: C & T GIFTS AND NEWS HERSHEL B. CHANCE, PARTNER LYDA N. CHANCE, PARTNER ASSIGNOR: CORPUS CHRISTI BANK & TRUST COMPANY, ATTEST: TRUSTEE BY SECRETARY ACCEPTED AND APPROVED: ATTEST: CITY OF CORPUS CHRISTI, TEXAS BY CITY SECRETARY HERBERT W. WHITNEY, CITY MANAGER APPROVED AS TO LEGAL FORM THIS DAY OF , 1966: ITY ATTORNEY CORPUS CHRISTI, TEXAS lzkd DAY OF , 19(L. TO THE MEMBERS OF THE CITY COUNCIL CORPUS CHRISTI, TEXAS FOR THE REASONS SET FORTH IN THE EMERGENCY CLAUSE OF THE FORE- GOING ORDINANCE, A PUBLIC EMERGENCY AND IMPERATIVE NECESSITY EXIST FOR THE SUSPENSION OF THE CHARTER RULE OR REQUIREMENT THAT NO ORDINANCE OR RESOLUTION SHALL BE PASSED FINALLY ON THE DATE IT IS INTRODUCED, AND THAT SUCH ORDINANCE OR RESOLUTION SHALL BE READ AT THREE MEETINGS OF THE CITY COUNCILS I, THEREFORE, HEREBY REQUEST THAT YOU SUSPEND SAID CHARTER RULE OR REQUIREMENT AND PASS THIS ORDINANCE FINALLY ON THE DATE IT IS INTRO- DUCED, OR AT THE PRESENT MEETING OF THE CITY COUNCIL. RESPECTFULLY, 0 Pro -Tem THE CITY OF CORPUS CHRIST9, TEXAS THE CHARTER RULE WAS SUSPENDED BY THE FOLLOWING VOTES DR. MCIVER FURMAN JACK BLACKMON PATRICK J. DUNNE DR. P. JIMENEZ, JR. KEN MCDANIEL RONNIE SIZEMORE WM. H. WALLACE THE ABOVE ORDINANCE WAS PASSED BY THE FOLLOWING VOTER DR. MC I VER FURMAN ajl_� JACK BLACKMONQ./ PATRICK J. DUNNE DR. P. JIMENEZ, JR. KEN MCDANIEL BONNIE SiZEMORE Wm. H. WALLACE