CEA hailed the Supreme Court’s decision to hear the broadcasters’ case against Aereo (CD Jan 13 p5), President Gary Shapiro said in a statement Monday. CEA hopes the court “will rule for Aereo, innovation and consumers,” Shapiro said. Broadcasters’ contention that watching free over-the-air TV via a remote service like Aereo “is somehow infringing ignores the law, precedent and their obligation to provide free over-the-air broadcasting,” Shapiro said. A ruling against Aereo would “undercut” the court’s Cablevision decision, “which has unleashed a wave of investment and innovation in the cloud computing industry,” he said: “Such a decision would lock in legacy technologies, and prevent viewers from taking advantage of mobile and other products that we already take for granted.” Shapiro thinks it’s “notable” that the Aereo case comes before the Supreme Court “as we celebrate” the court’s “landmark” Betamax decision, he said. In that Sony case, the court ruled to protect “consumer rights and innovation, as we urge them to do in Aereo,” he said. “Aereo is just the latest in a line of innovations that broadcasters claimed would kill their industry. Instead, cable TV, the Betamax and the DVR gave the broadcasters new revenue streams and new audiences.” Some TV networks have threatened to halt over-the-air broadcasting if the court rules in Aereo’s favor, Shapiro said. “If these networks do not believe that broadcasting is a viable business, we encourage them to relinquish their spectrum for wireless Internet and other productive uses. New technologies arrive, human progress moves forward, and society benefits. No industry has the right to have its existing model preserved unchanged forever. If the broadcasters wish to be a successful digital-age industry, they must embrace innovation, not litigation."

The FCC Media Bureau said Pacifica is apparently liable for a $1,000 fine regarding its KPFK(FM) Los Angeles. The bureau alleged that Pacifica didn’t retain all required documentation in the station’s public inspection file, it said in a notice of apparent liability (http://bit.ly/KPWjKd). The station’s license renewal will be granted upon the conclusion of the forfeiture proceeding, the bureau said.

A broadcaster seeking to move from Channel 51, the one slot on the TV dial where there’s no FCC freeze on allowing full-power stations to move, reaffirmed its interest in making the change that was backed by a carrier earlier last week (CD Jan 9 p14). Moving KSBI Oklahoma City to Channel 23 is part of a voluntary agreement with that carrier, U.S. Cellular, said the station’s owner Family Broadcasting in a filing in docket 13-302 (http://bit.ly/1gYw0wg). “Operation on Channel 23 will eliminate potential interference to and from wireless operations in the Lower 700 MHz A Block."

The FCC Media Bureau seeks comment on LeSEA Broadcasting of South Bend’s petition for substitution of its previously allotted Channel 48. In 2010, the FCC substituted Channel 46 of LeSEA’s WHME-TV South Bend, Ind., for Channel 48 at the broadcaster’s request, the bureau said in an NPRM (http://bit.ly/1lZhzIA). LeSEA also requests a waiver of the FCC’s freeze on the filing of petitions for rulemaking by TV stations seeking a channel substitution, the NPRM said. The bureau proposed to substitute Channel 48 for Channel 46 with DTV power of 300 kilowatts and 295-meter height above average terrain, it said. Comments will be due 30 days after the notice is published in the Federal Register, it said. Meanwhile, another broadcaster seeking to move channel slots reiterated its interest in doing so, for channels where there’s no FCC freeze on such changes. (See separate report below in this issue.)

FCC Chairman Tom Wheeler’s comments made at the CES on retransmission consent intervention were “overlooked” and are a “positive” for broadcasters, a Guggenheim Partners analyst said. Wheeler’s comments on retrans “certainly indicated he was unlikely to support FCC intervention in signal blackouts,” analyst Paul Gallant said in a research note. “This is what broadcasters have been hoping for.” If the commission does stand down on retrans, “then the ball is solely in Congress’ court,” he said. “But, given that Republicans control the House and broadcasters tend to have rising influence in an election year, we continue to believe the odds are against Congress passing retrans legislation in 2014.”

Journal Broadcast Group closed on the $17 million sale of two Palm Springs, Calif., stations to OTA Broadcasting, Journal said in a news release Tuesday (http://bit.ly/K71OTC). The stations sold were NBC affiliate KMIR-TV and MyNetwork affiliate KPSE-TV, said Journal. Kalil & Co. represented Journal in the transaction and Media Venture Partners represented OTA.

A carrier backed a broadcaster’s request to move from Channel 51, the one spot on the TV dial where the FCC is accepting such requests from full-power stations. U.S. Cellular said Family Broadcasting Group should be allowed to move KSBI Oklahoma City to Channel 23, a change that’s the subject of a Media Bureau NPRM saying the move warrants consideration (http://bit.ly/1dgGnMY). The plan is in conjunction with a “voluntary industry settlement that will facilitate the offering of quality wireless broadband by a USCC affiliate,” said U.S. Cellular in a comment Tuesday in docket 13-302 (http://bit.ly/1erlM5c). “Family has demonstrated that the proposed change falls squarely within an express exception to the Commission’s ‘freeze’ on channel reallocations and assignment."

The FCC Media Bureau ordered a $4,500 forfeiture for Harpole Telecom, licensee of WUWT Union City, Tenn., for late filing children’s TV reports and failing to report the violations on its renewal application, said a forfeiture order issued Tuesday (http://bit.ly/1cWfYlY). The forfeiture amount was originally proposed at $20,000, but was reduced because of Harpole’s inability to pay the higher amount, the order said. The bureau also proposed a $1,000 fine for Mission Broadcasting, licensee of KTVE El Dorado, Ark., for failing to air announcements publicizing the existence and location of its kids’ TV reports for a year, said a notice of apparent liability (http://bit.ly/1a4EMnA).

The FCC Media Bureau upheld its dismissal of an application from Wynnewood Community Radio Association for a new noncommercial educational FM station in Wynnewood, Okla. WCRA’s application was filed by Tony Malaska, whose name served as the unincorporated association, the bureau said in a letter. The bureau said “unincorporated associations generally consist of two or more people, whereas Malaska is the sole officer and director of WCRA.” WCRA’s claim that the bureau erred on its ineligibility is based largely upon a new legal opinion, “which allegedly confirms and bolsters information that we previously rejected from WCRA’s principal about Oklahoma law,” it said. “This new evidence is inadmissible under the rules and thus forms no basis for reconsideration."

The FTC wants broadcasters to screen out advertising for fraudulent diet and weight-loss products, using a list of seven claims commonly made in such ads that “can’t be true,” said an agency news release. Ads for “bogus” products do “incalculable damage to the reputation for accuracy that broadcasters and publishers work hard to earn,” said an FTC letter to broadcasters (http://1.usa.gov/1ddzoEn) announcing the new campaign, called “Gut Check.” The list of tell-tale signs that should flag a fraudulent ad for broadcast ad sales teams includes claims that a product causes substantial weight loss “no matter what or how much the consumer eats,” or by rubbing a product into skin, or “causes permanent weight loss even after the consumer stops using product.” The FTC takes law enforcement action against fraudulent product sellers after such ads run, but “the most effective front-line defense is when media outlets have an effective in-house clearance program that screens out clearly deceptive diet ads,” said the letter to broadcasters. It urged broadcasters to point their ad sales teams to an online tutorial that teaches users how to spot weight-loss fraud (http://1.usa.gov/1adifII). The campaign also includes an FTC-created website for a fake weight-loss product called “FatFoe” (http://bit.ly/1htHpa1). “When consumers try to order FatFoe, they learn the ad is a warning from the FTC about diet rip-offs,” said the FTC in the release.