Business Services Industry

Law Drives Wedge Between Television, Cable Firms. (Originated from The Seattle Times)

Knight Ridder/Tribune Business News, September, 1993 by Taylor, Chuck

Sep. 30--The television ecosystem has gone haywire with the passage last year of the Cable Television Consumer Protection and Competition Act, which,

among other things, gives broadcast stations the right to seek compensation from cable companies for use of their signals.

The retransmission-consent provision, as it's called, was written into the bill to satisfy a powerful broadcast-television lobby, which helped get the Cable Act passed.

In a lot of cities, the result has been an all-out war of words, over the air and in print, between stations and cable systems as an Oct. 6 agreement deadline approaches.

Cable companies are refusing to pay cash to TV stations, at least directly. Some TV stations are threatening to withhold the right to...

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