A. In the event any new territory is annexed to the city which is contiguous to only one franchise area in the city, such new territory shall become, by operation of law, a part of such franchise area immediately upon the effective date of such annexation.
B. In the event any new territory becomes annexed to the city which is contiguous to more than one franchise area in the city or is not contiguous to any franchise area, then the council shall determine at a public hearing which grantee or grantees, if any, shall serve such new territory.
C. In the event any portion of the unincorporated territory covered by an existing franchise or license granted by the county of Los Angeles is annexed to the city prior to the time that the grantee of such county franchise or license has commenced installation of a cable television system within such territory, all rights acquired by such grantee under its county franchise or license shall terminate by operation of law as of the date on which the annexation to the city becomes effective.
D. In the event any portion of unincorporated territory covered by an existing franchise or license granted by the county of Los Angeles is annexed to the city after the grantee thereof has commenced or completed construction and installation of a cable television system within such territory, the rights reserved under such franchise or license to the county of Los Angeles or to any officer thereof shall inure to the benefit of the city, and all regulatory provisions of this chapter and any other rules and regulations applicable to cable television systems operating within the city, whether then in effect or subsequently adopted, shall be applicable to and binding upon such grantee. In addition, the grantee shall be obligated to pay annually to the city the percentage of gross receipts established by the county of Los Angeles in such franchise or license which are derived from its operations within the annexed territory for five years or until termination of the franchise, whichever is of the shorter time duration, at which time the council may establish the percentage of gross receipts to be paid to the city. (Prior code § 7-18)