A recent decision by the FCC emphasizes the enforcement focus of the FCC. At issue is the broadcast of a Hot Wheels commercial aired during a “Hot Wheels-themed” TV show. As noted by FCC Commission Brenden Carr, “A technical error at its central facility caused the broadcaster to insert those ads for Hot Wheels toys during the kids’ show Team Hot Wheels.” Of course, this type of technical error will always result in multiple broadcasts, triggering multiple violations. The FCC found that running this Hot Wheels commercial during a Hot Wheels Show violated the rules:
“We find that the licensees listed in Appendix A (collectively, Broadcasters) willfully and repeatedly violated section 73.670 of the Rules, by failing to comply with the limits on commercial matter in children’s programming. This Order follows a Notice of Apparent Liability for Forfeiture (NAL) released on September 20, 2022, in which the Commission found that the NAL Broadcasters’ multiple airings of a commercial for a Hot Wheels‑themed toy during a Hot Wheels-themed television show apparently fit within the Commission definition of a program-length commercial. After considering the responses to the NAL filed by the Respondent Broadcasters,[1] we find no reason to cancel, withdraw, or reduce the penalties proposed, and we hereby affirm the NAL and its proposed forfeitures for all the broadcasters subject to this Forfeiture Order in the amounts specified in Appendix B.”
The total fines assessed by the FCC amount to $3.34 million. The fines will vary from station to station ranging from $20,000 to $2.65 million. Under FCC procedure, the Commission must go to court to impose the fines. Stations will have an opportunity to defend themselves before the fine is collected.
These types of errors are often difficult to detect. Stations tend to rely on central hubs regarding the insertion of advertising content. The same may be true for some syndicated children’s programs.
It appears the FCC will now be aggressive and impose fines on all stations airing content that violates its rules. As a result, local stations may want to have a process to examine such content, especially children’s programs, to make sure they do not get caught up in future enforcement activity.
You can see the FCC’s decision here.
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