Cablevision-Fox Blackout Class Action

Angry New Yorkers have filed a class action lawsuit against Cablevision for taking away their Fox channels due to a contract dispute between the cable company and News Corporation. The plaintiffs claim Cablevision “played a game of chicken with News Corp. at the expense of Cablevision’s customers” and failed to engage in constructive negotiations prior to the deadline. As a result, they say, Cablevision is obligated to give its customers rebates for depriving them of Fox News, New York Giants football, Major League Baseball postseason and other Fox television programs.

More more than three million homes served by Cablevision in the New York metropolitan area have experienced a blackout of News Corporation’s Fox and local stations, thanks to the contract deadlock between the two companies. Two weeks ago, the channels were automatically tuned to Channel 1999, where it plays a looped message blaming News Corporation for trying to “extort unreasonable and unfair fee increases.”

The Cablevision Fox class action lawsuit is charging Cablevision for breaching its contract with customers by making a “material change” of its service. It further charges Cablevision with unfair, deceptive and fraudulent practices, and is asking that Cablevision be “enjoined from employing its negotiating strategies at the expense of its customers in the future.”

According to the Cablevision class action:

“This lawsuit seeks restitution for Cablevision’s three million customers, who have been deprived of the Fox Channels, which have been replaced by Cablevision’s annoying and self-serving loop, which whines about News Corp.’s supposed failure to negotiate in good faith. In the meantime, while depriving its customers of the Fox Channel’s programming, to date, Cablevision has refused to provide any rebate to its customers, who pay an average of approximately $150 per month to Cablevision.”

The Cablevision class action lawsuit is seeking about $450 million in damages, which is the equivalent of one month’s cable bill for the three million subscribers affected by the Fox blackout.

A copy of the Cablevision Class Action Lawsuit, entitled Gallo et al. v. Cablevision Systems Corp., can be read here. 

UPDATE: On July 6, 2017, Cablevision agreed to settle a class action lawsuit alleging subscribers were improperly denied access to several Fox channels during a contract dispute between the cable company and News Corporation. Under the terms of the proposed Fox blackout class action settlement, Cablevision will provide eligible Class Members with services worth about $7 to $10.

Updated November 1st, 2010

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