---
title: "Federal Communications Commission Faces Lawsuit Over TV Ownership Rule Repeal"
url: https://noti.group/federal-communications-commission-faces-lawsuit-over-tv-ownership/
language: en
publisher: "Noti Group"
section: "Technology"
published: 2026-10-05T20:47:48.000Z
updated: 2026-10-06T11:03:04.042Z
id: cfce54ea-0ac0-4732-9311-049f55bcce96
source: "Ars Technica https://arstechnica.com/tech-policy/2026/10/cable-lobby-to-sue-trump-fcc-over-repeal-of-national-tv-ownership-cap/"
attribution: "Link to https://noti.group/federal-communications-commission-faces-lawsuit-over-tv-ownership/ and name Noti Group when you quote or summarize this story."
---

# Federal Communications Commission Faces Lawsuit Over TV Ownership Rule Repeal

Cable lobby groups are taking legal action against the Federal Communications Commission's decision to scrap the National Television Ownership Rule, which could lead to higher monthly TV bills for consumers.

Cable lobby groups have informed the Federal Communications Commission that they intend to take legal action against the agency's decision to scrap the National Television Ownership Rule.

This rule limits the number of broadcast TV stations a single company can own, and its repeal is likely to give larger broadcast TV station groups significant leverage when negotiating retransmission fees with cable providers. As a result, consumers may face higher monthly TV bills due to increased costs passed on by these providers.

The cable lobby groups represent major players in the industry, including Comcast, Charter, and other prominent operators. These companies have also expanded their reach through mergers, such as Charter's acquisition of Cox Communications earlier this year.

Charter completed its purchase of Cox in August despite opposition from advocacy groups that argued it would concentrate too much power in the hands of a few large cable companies, allowing them to dictate prices and terms for Internet distribution. The FCC ultimately approved the deal after rejecting protests from these groups.

The Federal Communications Commission voted to eliminate the National Television Ownership Rule on August 6, but its repeal order was not published until October 1 following an unusually long delay.

The Federal Communications Commission's plan to eliminate the National Television Ownership Rule has sparked a lawsuit from cable lobby groups. They are seeking to keep the rule in place until litigation over the FCC's authority to repeal it is resolved.

The groups argue that the FCC's decision to scrap the 39 percent ownership cap violates a directive from Congress in 2004. At that time, lawmakers specifically set the cap at this threshold as part of the Consolidated Appropriations Act.

According to the petition filed by the cable lobby groups, the Congressional action was clear and unambiguous. They point out that lawmakers explicitly referenced the 39 percent cap multiple times in the statute.

The groups claim that repealing the rule will allow favored broadcast companies to expand their reach, potentially giving them greater influence over news coverage of the administration. This could lead to a situation where media outlets are subject to political pressure.

The cable lobby's petition highlights the potential for the FCC to use case-by-case reviews as a means to favor certain broadcasters and disfavor others based on their perceived loyalty to President Trump.

The cable industry groups plan to sue the Federal Communications Commission (FCC) in a US appeals court once the commission's order is published in the Federal Register. This move comes after the FCC repealed the national TV ownership cap, which restricts how much of the market can be controlled by a single company.

The petition submitted to the FCC is primarily a procedural step, as the commission is unlikely to stay its own order. Instead, the cable groups will seek relief through the courts once they have filed their lawsuit. They hope to obtain a preliminary injunction that would keep the TV ownership cap in place while the case is being litigated.

The filing was made by state and regional cable industry groups representing companies from across the country. These groups include some of the largest cable operators, such as Comcast, Charter, and Cox. The petitioners are seeking to block the FCC's decision to repeal the national TV ownership cap.

The FCC has argued that it has the authority to reexamine the national cap rule in response to changing circumstances. According to the commission, the 2004 law does not prevent it from eliminating the cap outside of its quadrennial reviews of media rules. The FCC claims this interpretation is supported by the language of the statute itself.

The cable industry groups disagree with the FCC's reading of the law and believe that the commission has overstepped its authority. They argue that Congress specifically directed the FCC to maintain the national TV ownership cap during quadrennial reviews of media rules.

The cable lobby groups have taken a crucial step in challenging the FCC's decision to repeal the national TV ownership cap by filing a petition arguing that the agency cannot change the cap without congressional approval.

According to the petition, the 2004 law clearly references the 39 percent cap as statutory, not regulatory. This means that any changes to the cap would require legislative action from Congress rather than just a decision by the FCC.

The cable lobby's argument is further bolstered by a provision in the Telecommunications Act of 1996 that requires divestiture of stations exceeding the 39 percent national audience reach limitation within two years. The petition also highlights Congress' explicit statement that forbearance authority under 47 U.S.C. § 160 shall not apply to anyone or entity exceeding the 39 percent cap.

The FCC's decision to repeal the ownership cap has drawn criticism from media advocacy groups, with Free Press announcing plans to join allies in appealing the decision in court. The group argues that changing the cap would require congressional action and that the FCC is overstepping its authority by making this change without legislative approval.

The cable lobby has announced plans to sue the Trump FCC over its decision to repeal the national TV ownership cap. This move comes after the commission approved a waiver for the Nexstar Media Group's purchase of Tegna, which would have resulted in an unprecedented level of consolidation in the broadcast industry.

The Nexstar/Tegna combination would reach 80 percent of US households, or 54.5 percent when applying the "UHF discount". This significant market share is a major concern for cable groups, who argue that it will lead to higher retransmission consent fees and ultimately harm consumers. A federal judge has already ordered Nexstar and Tegna to keep their assets separate while an antitrust lawsuit proceeds.

The petition from cable groups points out that the harms resulting from the Nexstar/Tegna deal are merely a preview of what is to come if the national limit is repealed. They argue that further consolidation will lead to higher consumer prices, which would be detrimental to the public interest. The cable lobby's decision to sue the FCC reflects their growing concern about the commission's actions.

The lawsuit aims to stay the order repealing the national TV ownership cap, pending a review of its implications on the broadcast industry and consumers. If successful, this could potentially block the further consolidation of media outlets in the US.

---
Source: [Ars Technica](https://arstechnica.com/tech-policy/2026/10/cable-lobby-to-sue-trump-fcc-over-repeal-of-national-tv-ownership-cap/)  
Published by Noti Group: https://noti.group/federal-communications-commission-faces-lawsuit-over-tv-ownership/
