§ 114-104. Withholding fee revenues on sale of business.

(a)

If any hotel owner or operator liable for any amount due under this article transfers or sells its business, or quits the business, its successors or assigns shall withhold sufficient monies from the purchase price of the business and business assets, to satisfy the sum(s) due hereunder until the former owner or operator of said hotel produces either:

(1)

A receipt from the board or its designee showing that such indebtedness has been paid; or

(2)

A certificate signed by the board or its designee stating that no amount is due hereunder.

(b)

If the former owner or operator of a Hotel fails to produce either the receipt or certificate referenced in subparagraph (a) hereinabove, the purchaser of, successor to or assign of such business shall transmit to the board or its designee the sufficient monies withheld from the purchase price to satisfy the sums due under this article.

(c)

If the successor to, purchaser or assignee of a hotel fails to withhold from the purchase price and remit to the board or its designee the amount(s) required herein, such successor, purchaser or assignee shall be personally liable for payment of the amount of the outstanding fee revenues due hereunder to the extent of the purchase price of the hotel.

(Amd. of 2-25-14)