Washington Ass'n for Television & Children v. Federal Communications Commission

665 F.2d 1264, 214 U.S. App. D.C. 446
CourtCourt of Appeals for the D.C. Circuit
DecidedSeptember 11, 1981
DocketNos. 79-2223, 79-2224
StatusPublished
Cited by4 cases

This text of 665 F.2d 1264 (Washington Ass'n for Television & Children v. Federal Communications Commission) is published on Counsel Stack Legal Research, covering Court of Appeals for the D.C. Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Washington Ass'n for Television & Children v. Federal Communications Commission, 665 F.2d 1264, 214 U.S. App. D.C. 446 (D.C. Cir. 1981).

Opinion

Opinion for the Court filed by Circuit Judge MIRVA.

MIRVA, Circuit Judge:

The Federal Communications Commission (FCC) approved the transfer of control of Channel 20 in Washington, D.C., to the intervenor in this case, Taft Broadcasting Company (Taft). The appellant, Washington Association for Television and Children (WATCH), raises a variety of procedural and substantive objections to the manner in which the FCC performed. We hold that a number of these objections have become moot because of an intervening change in FCC policy with regard to the concentration of market power in the television broadcasting industry, and that the rest are without merit. We affirm the orders of the Commission.

I. BACRGROUND

On July 25,1978, Taft, after having negotiated a transfer of control of Channel 20 from Improvement Leasing Company (Improvement), filed an application to secure FCC approval. On August 17, 1978, the Commission issued a public notice that the application had been accepted for filing. This notice triggered the thirty-day period during which interested parties may file petitions asking the FCC to deny the application for transfer. See 47 C.F.R. § 73.-3584(a) (1980). WATCH did not file its petition to deny Taft’s application until March 19, 1979, seven months after the notice.

On April 3, 1979, Taft moved to dismiss WATCH’s petition as untimely filed. This motion was followed by a number of other pleadings from both WATCH and Taft. The FCC refused to accord WATCH the full party status it had sought in tendering its petition to deny, see 47 U.S.C. § 309(d) (1976), but it decided to treat WATCH’s contentions as “informal objections” under 47 C.F.R. § 73.3587 (1980) when it met to consider Taft’s application on August 1, 1979. The meeting, attended by six of the seven Commissioners, resulted in a tie vote and Taft’s application was not approved. The Commission did vote, however, to allow Taft to amend its application for reconsideration at a later date.

[449]*449Taft responded on the next day with an amendment to its programming proposals. The amendment sought to strengthen the case for an exemption from the FCC’s “Top 50 Policy.” This policy had been adopted by the FCC as a means to prevent a single entity from controlling a large number of television stations. The policy precluded a licensee from acquiring a fourth television station, either VHF or UHF, or a third VHF station, in the fifty largest television markets unless it could make a “compelling public interest showing”1 to justify a waiver. On August 2, the FCC met, decided to consider the amended application on August 10, and gave WATCH until August 8 to file comments.

Public notice of the upcoming August 10 meeting was given on August 6 and again on August 8. WATCH objected to the short notice and sought a temporary restraining order in the district court to prevent the August 10 meeting from taking place. It alleged that the August 2 meeting, as well as the notices of the August 10 meeting, were deficient under the Sunshine Act, 5 U.S.C. § 552b(e)(l) (1976), and the Commission’s own regulations, 47 C.F.R. § 0.605(e) (1980). The FCC responded by issuing a notice on August 9 that the meeting to consider Taft’s amended application would be held a full seven days later, on August 16. Consequently, WATCH withdrew its suit for a temporary restraining order.

At the August 16 meeting Taft’s application was approved by a vote of four to three. The Commission rejected all of WATCH’s objections and found both that a waiver of the Top 50 Policy was justified2 and that granting the application for transfer of control of Channel 20 would serve the “public interest, convenience, and necessity,” as required by 47 U.S.C. § 309(a) (1976). Because their contract had a termination date of August 17,1979, Taft and Improvement immediately proceeded to consummate the transfer.3

WATCH then moved the FCC to order the transfer rescinded because it could not legally take place before a written order had issued. Five days later, WATCH sought relief in this court through a mandamus proceeding. The court deferred action on WATCH’s petition until the Commission had an opportunity to act on the motion to rescind. On September 14, the FCC released an order denying the motion and holding that the transfer had not taken place illegally, Improvement Leasing Co., 73 F.C.C.2d 676 (1979) (“Premature Transfer Order*’); and on September 28 it released the order approving the transfer that it had adopted at its August 16 meeting, Improvement Leasing Co., 73 F.C.C.2d 655 (1979) (“Initial Transfer Order*’). Then this court dismissed WATCH’s petition for mandamus as moot because the FCC’s written order had issued. See In Re Washington Association for Television and Children, No. 79-1992 (D.C.Cir. Oct. 31, 1979).

WATCH appealed, pursuant to 47 U.S.C. § 402(b)(6) (1976), from both the Initial Transfer Order and the Premature Transfer Order. It seeks reversal based on the allegations made in its petition to deny Taft’s application, in its supplemental pleadings and communications with the Commission prior to the approval of the application, and in its attempts to have the transfer of the license rescinded.

II. DISCUSSION

A. Top 50 Policy

Prior to its acquisition of Channel 20, Taft already owned five VHF stations and [450]*450one UHF station in the top fifty television markets.4 In order for it to obtain an exemption from the Top 50 Policy, Taft had to make a “compelling public interest” showing of “the benefits in detail that are relied upon to overcome the detriment with respect to the policy of diversifying the sources of mass media communications to the public.” Multiple Ownership of TV Broadcast Stations, 22 F.C.C.2d 696, 700 (1968).

At its August 16 meeting, the Commission found that Taft had made such a showing. See Initial Transfer Order, 73 F.C.C.2d at 656-64. WATCH continues to object strenuously to that finding, and the three dissenting Commissioners objected as well, see note 2 supra. It is clear that the adequacy of Taft’s case for an exemption from the Top 50 Policy is the central substantive issue on this appeal. Were it not equally clear that the issue is moot, we should have to determine whether the Commission’s approval of the application was unreasonable, and whether any “substantial and material questions] of fact” existed so as to require a formal hearing pursuant to 47 U.S.C. § 309(e) (1976).

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665 F.2d 1264, 214 U.S. App. D.C. 446, Counsel Stack Legal Research, https://law.counselstack.com/opinion/washington-assn-for-television-children-v-federal-communications-cadc-1981.