Another Court Loss for EchoStar

By Ted Hearn
MultiChannel News

8/7/2006 9:50:00 PM

http://www.multichannel.com/article/CA6360281.html


EchoStar Communications suffered a court loss Monday regarding its ability 
to provide out-of-market feeds of ABC, CBS, NBC and Fox programming to 
about 1.2 million customers around the country, an EchoStar official said 
Monday.

EchoStar asked the U.S. Court of Appeals for the 11th Circuit to stay a key 
ruling while the case was on appeal at the U.S. Supreme Court, but the 
court refused the request Monday. The case returns to federal district 
court in south Florida Aug. 15, an EchoStar official said.

The 11th Circuit instructed the lower court to issue an injunction to stop 
EchoStar's distant network service. The 11th Circuit found that EchoStar 
had been selling the programming to hundreds of thousands of customers who 
were legally ineligible to buy it.

Previously, EchoStar asked the lower court to postpone the injunction until 
Sept. 11, claiming that the time could be used to reach an out-of-court 
settlement with hundreds of network affiliates that accused EchoStar of 
copyright infringement. Broadcasters have agreed to the Sept. 11 postponement.

Satellite subscribers may buy distant network signals from EchoStar if poor 
antenna reception prevents seeing their local affiliates. Network 
affiliates demonstrated in court that EchoStar sold distant programming to 
hundreds of thousands of subscribers who had adequate antenna reception.

Under the 11th Circuit's ruling, EchoStar would need to cut off an 
estimated 600,000 subscribers who have been receiving the network 
programming legally. Some on Capitol Hill are concerned that legally served 
consumers are going to swamp them in angry mail if they lose their distant 
network signals.


================================
George Antunes, Political Science Dept
University of Houston; Houston, TX 77204
Voice: 713-743-3923  Fax: 713-743-3927
antunes at uh dot edu



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