Adult networks seek scrambling stay. (adult cable TV; cable TV signal scrambling)

Multichannel News, March, 1996 by Hearn, Ted

WASHINGTON - Adult pay-per-view network Playboy Entertainment Group Inc. last week sought a stay in federal court of a new law that requires full audio and video scrambling of sexually explicit programming. At press time, a second adult programmer, The Spice Networks, was expected to follow Playboy's lead in declaring Section 505 of the Telecommunications Act of 1996 unconstitutional, said Spice general counsel Dan Barksy.

Playboy filed its widely anticipated suit on Feb. 26 in a Delaware federal court, stating that the mandate set to take effect on March 9 was unconstitutional and would cost the cable industry anywhere between $300 million and $1 billion to implement, depending on the blocking device. "Certainly, this would do significant harm to our...

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