Sponsor (Oct-Dec 1964)

SPOMTSOR WEEK TelePrompTer Charges CBS with Nuisance' Suit New York — The CBS suit against the TeleprompTer Corp., charging copyright infringement in CATV transmission of network shows, may be developing into a full-fledged battle — both in and out of court. in a strongly worded statement issued last week, TelePrompTer president Irving B. Kahn labeled the action a "nuisance suit," adding that it "strongly suggests an attempt to harass TelePrompTer Corp. and possibly others whose applications are now pending for CATV franchises in New York City." The CBS suit, filed in Federal Court, argued that the retransmission by TelePrompTer of copyrighted programs into the homes of subscribers by way of micro-wave relay, cable, or both, without license or permission from the copyright owners, constitutes an infringement of copyrights. Specifically named were such programs as CBS Reports, The Burden and Glory of John F. Kennedy, World War I, The Danny Kaye Show, The Dick Van Dyke Show and My Living Doll. Charging that the suit serves no useful purpose since other actions testing copyright aspects of CATV operations arc pending in the same court, Kahn declared: "CBS's allegations of copyright infringement by CATV are completely fallacious. (Parenthetically, we wonder why CBS has chosen to test this principle against TelePrompTer Corp., an independent company, rather than one of the many owners of CBS-affiliated stations who also own CATV systems.) CBS errs in characterizing CATV as a 'transmitting' service. CATV merely receives television signals and delivers them to viewers; it does not add or subtract from program content, including commercial messages, that it delivers." Kahn further contended that if the service his company performs "in providing a stronger, clearer. Advisory Committee Named for State Broadcast Meet Washington, D.C. — With the 1 0th annual conference of presidents of state broadcast associations set for Feb. 5, five station managers have been named to the program WPIX-FM Records Three 52-Week Contracts New York — In what it dubbed a "major breakthrough in FM advertising," the two-month-old WPIX-FM last week revealed that three major sponsors have signed "firm 52-week contracts" with the station. According to Lynn A. Christian, general manager, P. Lorillard & Sons has placed a 52-week order for both spot and program sponsorships for all of their tobacco products. First sponsorship will be Jan. 3. Agency for the buy was Lennen & Newell, Inc. 16 advisory committee for the meeting. Committee members will include Ralph W. Beaudin, president and general manager, WLS Chicago; Bernard E. Neary, vice president and general manager, WGBS Miami, Fla.; John F. Crohan, vice president and general manager, WCOP Boston; Robert C. LaBonte, general manager, KERG Eugene, Ore.; R. E. Lee Glasgow, vice president and general manager, WACO Waco, Tex. All are presidents of their respective state associations. In announcing the special committee, Alvin M. King, state association liaison director for the National Assn. of Broadcasters said: "This year marks the first time in the history of broadcasting that all 50 states and Peurto Rico are organized into state groups. We hope that broadcasters from each state organization will be present at the conference." more watchable picture is not lawful, then it follows that every apartment house master-antenna installation, and in fact every television setowner, violates the law every time an antenna is erected to get a better picture. If valid, the CBS contention would challenge the right of hotels, bars, airhnes and even hospitals to make tv available to their customers or patients." Suggesting the possibility of a counter-suit, Kahn said, "It is our opinion that CBS may be in violation not only of the Federal Communications Act in seeking to deny optimum television reception to a large segment of the public, but also of conspiracy with other copyright owners to misuse their copyright protection and to restrain competition." For its part, CBS pointed out that "CATV, as originally conceived, provides a television service to the public which might not otherwise be available. However, some CATV systems operate within the service area of CBS Television Network affiliates and duplicate an important portion of the network i program service to such stations. In this instance, they may well jeopardize the value of the copyrighted program service of the network to these stations by diverting, for a fee paid by the public, substantial portions of their audiences and their advertising support." CBS concluded: "Finally, should CATV retransmission of network programing force stations off the air in some communities, the present system of nationwide program distribution by the television networks through their affiliated stations could break down; the quality of television service in this country could be impaired; and the availability of such service would be diminished." CBS also emphasized that "once copyright is established" the network, for a minimum fee, will grant CATV systems permission to use its shows when those systems are the only way satisfactory tv service will be available. SPONSOR I J