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Children's Broadcasting sues ABC, Disney.


MINNEAPOLIS--(BUSINESS WIRE)--Sept. 27, 1996--Children's Broadcasting Corporation (CBC (1) (Cell Broadcast Center) See cell broadcast.

(2) (Cipher Block Chaining) In cryptography, a mode of operation that combines the ciphertext of one block with the plaintext of the next block.
) (Nasdaq NM: AAHS) announced today that it has filed a lawsuit in the United States District Court for the District of Minnesota The United States District Court for the District of Minnesota is the Federal district court whose jurisdiction is the state of Minnesota. It was established by an act of Congress on March 17, 1849. , against the Walt Disney Company and ABC Radio Networks, Inc., for injunctive relief injunctive relief n. a court-ordered act or prohibition against an act or condition which has been requested, and sometimes granted, in a petition to the court for an injunction.  and to recover significant damages for Defendants' alleged deliberate attempts to misappropriate mis·ap·pro·pri·ate  
tr.v. mis·ap·pro·pri·at·ed, mis·ap·pro·pri·at·ing, mis·ap·pro·pri·ates
1.
a. To appropriate wrongly: misappropriating the theories of social science.
 CBC's unique radio programming format and force CBC out of the children's radio market.

CBC has had a strategic relationship with ABC ABC
 in full American Broadcasting Co.

Major U.S. television network. It began when the expanding national radio network NBC split into the separate Red and Blue networks in 1928.
 since 1995. ABC and its new parent company Disney have allegedly used that relationship to obtain confidential business information of CBC which CBC alleges is being unlawfully used by ABC and Disney to develop and market a competing children's radio network in substantially the same format marketed by CBC.

As part of CBC's strategic relationship with ABC, ABC agreed to serve as the national advertising sales representative for CBC, has been responsible for all scheduling and billing of network commercial time on the Radio AAHS(R) network, and further agreed to work with CBC to strengthen and expand the Radio AAHS(R) network. CBC has alleged that ABC and Disney tried to gain an unfair competitive advantage at a time when they were serving in a capacity of trust, with a duty of loyalty to CBC.

Children's Broadcasting Corporation's Radio AAHS(R) is an award-winning radio programming mix of music, news, stories and games, produced and distributed for children age 12 and under and their parents. The Company's Radio AAHS(R) format, which broadcasts via satellite from its flagship station WWTC-AM in Minneapolis is available to approximately 40 percent of the country. Radio AAHS(R) has an affiliated network of 32 stations across the country, including company owned or operated stations in New York New York, state, United States
New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of
, Los Angeles, Philadelphia, Dallas, Detroit, Minneapolis, Kansas City, Denver, and including a radio station in Chicago which CBC has contracted to acquire subject to FCC (1) (Federal Communications Commission, Washington, DC, www.fcc.gov) The U.S. government agency that regulates interstate and international communications including wire, cable, radio, TV and satellite. The FCC was created under the U.S.  approval. It is the only live, 24-hour radio network for children and their families in the United States. The Radio AAHS(R) website can be found at http://www.radio-aahs.com and also in full audio via NetRadio at http://www.netradio.net.

CONTACT: Children's Broadcasting Corp., Minneapolis

Lance W. Riley, CBC General Counsel, 612/330-9521
COPYRIGHT 1996 Business Wire
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1996, Gale Group. All rights reserved. Gale Group is a Thomson Corporation Company.

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Publication:Business Wire
Date:Sep 27, 1996
Words:373
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