CABL Forum - Daystar Television Network

Posted on Sat, Sep. 18, 2004

Panel rules on network dispute

By Darren Barbee

Star-Telegram Staff Writer

Dish Network subscribers may soon have trouble tuning in to Bedford's Daystar Television Network and the Southern Baptist Convention's FamilyNet TV of Fort Worth.

An arbitration panel sided this month with Christian broadcaster Sky Angel in its 17-month contract dispute with Dish Network. The panel's decision to remove Daystar and FamilyNet requires a judge's approval, and a hearing is scheduled for Oct. 20 in Denver, court records show.

Daystar, which is seen locally on Channel 2, broadcasts televangelists such as Dallas Bishop T.D. Jakes, Euless' James Robison and Grapevine's Benny Hinn.

It is not clear when the two Christian networks might be removed from Dish Network, the nation's second-largest satellite provider with access to millions of homes. Both were still broadcasting Friday on Dish Network, according to a spokesman for the network's parent company, EchoStar Communications Corp., based in Englewood, Colo.

Randy Singer, chairman of the FamilyNet board of directors, said the network will not be greatly affected by the decision because of its strategy to enter cable markets. The broadcaster, operated by the Southern Baptist Convention's North American Mission Board, is seen on cable in Keller.

"This is not a major disaster or major setback for FamilyNet," Singer said.

Daystar, one of the world's largest Christian broadcasters, will continue to be broadcast on DirecTV, on Sky Angel and on cable in some markets.

"Even if the court ratifies the arbitrator's recent decision ... Sky Angel should do the right thing and allow the two Christian Networks, Daystar and FamilyNet, to stay on the Dish Network," Daystar's founder, the Rev. Marcus Lamb, said in an e-mail Thursday.

The dispute began when Sky Angel accused Dish Network of violating a 1996 agreement giving Sky Angel exclusive rights to broadcast Christian content on the network, according to court documents.

In April, Sky Angel asked a Denver court to order Dish Network to cease carrying Daystar and FamilyNet because both offer Christian content and were added to the Dish Network lineup after the 1996 agreement.

Last week, an American Arbitration Association panel found that EchoStar had violated the contract and awarded Sky Angel $2.43 million for past economic damages and $748,000 for legal fees.

EchoStar plans to appeal the decision, spokesman Steve Caulk said.

"We feel that the ruling is unjustified," Caulk said, declining to comment further.

Though Daystar was not allowed to join the lawsuit, the legal action has caused a clash between Daystar and Sky Angel.

Lamb said in an e-mail Friday that Daystar "has made several sincere efforts in the last few weeks to try and reconcile [with Sky Angel] ... but they haven't responded," Lamb said.

Nancy Christopher, a Sky Angel spokeswoman, said in an e-mail Friday that "ultimatums and veiled threats are not our idea of reconciliation."

The Federal Communications Commission is also conducting an inquiry into whether Daystar has violated FCC rules, including an allegation that Daystar has broadcast advertisements on its noncommercial TV stations.

Lamb said Sky Angel is responsible for the allegations, which are based on "false and misleading statements."

IN THE KNOW

Online

• Daystar Television Network www.daystar.com
• Sky Angel www.skyangel.com
• FamilyNet TV www.familynettv.com
• Dish Network www.echostar.com

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Daystar Television Network