WASHINGTON, D.C.—The FCC has issued an order proposing fines totaling $720,000 against Nexstar for violations in how it negotiated a 2023 retransmission consent agreement with Hawaiian Telcom Services Company.
In a statement to TV Tech, a Nexstar spokesperson said: “Nexstar believes the proposed forfeiture is unwarranted, excessive, and in violation of the law and we will challenge the FCC’s action.”
The fines stem from a complaint filed by Hawaiian Telcom on July 5, 2023 against Nexstar alleging good faith violations during 2023 negotiations to renew a 2020 retransmission consent agreement with six Nexstar stations in Hawaii.
The stations were removed from the telco at the end of June 2023 after being unable to negotiate a new deal. The parties eventually executed a renewal agreement on July 20, 2023
“Based on our review of the record, we find that: “Hawaiian Telcom has failed to meet its burden of proving that Nexstar breached its duty to negotiate retransmission consent in good faith (under the per se standards or the totality of the circumstances test) by refusing to extend the parties’ 2020 agreement until the parties reached either a new agreement or an impasse,” the FCC’s order said.
But the order found that “Hawaiian Telcom has met its burden of proving that Nexstar, based on the totality of the circumstances, breached its duty to negotiate in good faith by proposing terms for renewal of the parties’ agreement that sought to foreclose Hawaiian Telcom from filing complaints with the Commission. We, therefore, deny the Complaint with respect to Count I, and grant the Complaint with respect to Count II to the extent discussed herein.”
The FCC is proposing a $120,000 forfeiture from Nexstar for each of the six Nexstar-owned stations: KHON-TV (Fox, CW, GRIT and Rewind TV) and KHII (MyNetwork TV), and their satellite stations (KHAW-TV, KGMV, KGMD-TV and KAII-TV).
Nexstar now has 30 days to pay the fines or file materials with the FCC to get the amounts reduced.
