§ 1.9040   Contractual requirements applicable to spectrum leasing arrangements.

   (a) Agreements between licensees and spectrum lessees concerning spectrum
   leasing arrangements entered into pursuant to the rules of this subpart must
   contain the following provisions:

   (1) The spectrum lessee must comply at all times with applicable rules set
   forth in this chapter and other applicable law, and the spectrum leasing
   arrangement may be revoked, cancelled, or terminated by the licensee or
   Commission  if the spectrum lessee fails to comply with the applicable
   requirements;

   (2) If the license is revoked, cancelled, terminated, or otherwise ceases to
   be in effect, the spectrum lessee has no continuing authority or right to
   use the leased spectrum unless otherwise authorized by the Commission;

   (3) The spectrum leasing arrangement is not an assignment, sale, or transfer
   of the license itself;

   (4) The spectrum leasing arrangement shall not be assigned to any entity
   that  is  ineligible  or  unqualified to enter into a spectrum leasing
   arrangement under the applicable rules as set forth in this subpart;

   (5) The licensee shall not consent to an assignment of a spectrum leasing
   arrangement unless such assignment complies with applicable Commission rules
   and regulations.

   (b)  Agreements  between  licensees  that hold licenses subject to the
   Commission's installment payment program (see § 1.2110 of subpart Q of this
   part and related service-specific rules) and spectrum lesseeys must contain
   the following additional provisions:

   (1) The express acknowledgement that the license remains subject to the
   Commission's priority lien and security interest in the license and related
   proceeds, consistent with the provisions set forth in § 1.9045; and

   (2) The agreement that the spectrum lessee shall not hold itself out to the
   public as the holder of the license and shall not hold itself out as a
   licensee  by  virtue  of  its  having  entered into a spectrum leasing
   arrangement.

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