D* and NRTC end exclusive distribution agreement.
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DirecTV, NRTC End Original Sales Deal
The National Rural Telecommunications Cooperative and DirecTV announced this morning that they amended their original sales agreement, a move that effectively ends NRTC's exclusive DirecTV service distribution contract within rural areas.
DirecTV said with the new agreement, the NRTC's separate agreements for sale of the satellite TV service with its members and affiliates have been terminated, with an effective date of 90 days from today.
However, NRTC and DirecTV have further agreed to enter into a new relationship that will provide NRTC members an opportunity to continue to participate as non-exclusive DirecTV retailers and service providers. NRTC's members will be able to sell their exclusive contract rights to DirecTV, and turn around and enter into agreements to continue marketing and selling DirecTV services on a non-exclusive basis, the cooperative said. "This is a classic win-win situation for NRTC's members and DirecTV. NRTC's members will be able to realize value from the businesses that they have so successfully built over the last decade while DirecTV will be able to retain NRTC's member base as part of its new national retail network," said Bob Phillips, president and CEO at NRTC. The NRTC has had exclusive rights to distribute most DirecTV services in rural NRTC territories since 1994
The National Rural Telecommunications Cooperative and DirecTV announced this morning that they amended their original sales agreement, a move that effectively ends NRTC's exclusive DirecTV service distribution contract within rural areas.
DirecTV said with the new agreement, the NRTC's separate agreements for sale of the satellite TV service with its members and affiliates have been terminated, with an effective date of 90 days from today.
However, NRTC and DirecTV have further agreed to enter into a new relationship that will provide NRTC members an opportunity to continue to participate as non-exclusive DirecTV retailers and service providers. NRTC's members will be able to sell their exclusive contract rights to DirecTV, and turn around and enter into agreements to continue marketing and selling DirecTV services on a non-exclusive basis, the cooperative said. "This is a classic win-win situation for NRTC's members and DirecTV. NRTC's members will be able to realize value from the businesses that they have so successfully built over the last decade while DirecTV will be able to retain NRTC's member base as part of its new national retail network," said Bob Phillips, president and CEO at NRTC. The NRTC has had exclusive rights to distribute most DirecTV services in rural NRTC territories since 1994
Looks like Pegasus is also gone...
http://biz.yahoo.com/rc/040602/media_directv_1.html
Let the Satellite War Begin!
http://biz.yahoo.com/rc/040602/media_directv_1.html
Let the Satellite War Begin!
I despise Pegasus and they are the sole reason I don't have Directv. I hate to say that about any company but they are a royal pain to try to deal with.
I'm glad to not get scammed $4.95 each month for nothing anymore. Hey, don't laugh... that's a meal for me.
I can also get my TiVO service waived. Yahoooo!!!!!!
I can also get my TiVO service waived. Yahoooo!!!!!!
Looks like D* can sell in Pegasus territory, but it can't market to existing Pegasus customers from subscriber lists.
http://biz.yahoo.com/iw/040610/068501.html
Pegasus is still fighting though.
http://biz.yahoo.com/iw/040610/068501.html
Pegasus is still fighting though.
re pegasus
Is there money to be made off this as an installer?
Can I market direc to my extensive peg. customer list?
Glad to get rid of pegasus.
Is there money to be made off this as an installer?
Can I market direc to my extensive peg. customer list?
Glad to get rid of pegasus.
The latest developments, courtesy Multichannel News:
Pegasus: DirecTV, NRTC Trying to Destroy Us
-- Multichannel News, 6/15/2004 4:46:00 PM
Pegasus Communications Corp. subsidiary Pegasus Satellite Television Inc. filed a lawsuit late Monday against DirecTV Inc. and the National Rural Telecommunications Cooperative.
The suit -- an adversary complaint filed with the U.S. Bankruptcy Court for the District of Maine -- charged the defendants with “acting independently and in concert in an effort to destroy Pegasus and steal its business for their own enrichment in violation of substantial fiduciary, contractual and other duties owed to Pegasus.”
The complaint seeks actual and punitive damages, as well as rescission of various agreements entered into by the NRTC and DirecTV, including their purported termination June 1 of their direct-broadcast satellite distribution agreement and, by extension, Pegasus’ member agreements with the NRTC.
The complaint also seeks the appointment of a receiver to administer the NRTC.
“As the lawsuit makes clear, we believe that the NRTC and its officers and directors have engaged in a pattern of improper conduct that violates Pegasus' contractual rights, that constitutes a breach of the NRTC's and its officers' and directors' fiduciary duties and that violates settled principles governing cooperative associations,” Pegasus president Ted Lodge said in a prepared statement.
“At the same time, DirecTV has conspired with and aided and abetted the NRTC in this effort and has breached its own duties to Pegasus,” he added. “We believe the defendants have engaged in these unlawful activities in order to steal our business and divide the spoils amongst themselves.”
NRTC CEO Bob Phillips called the suit "absurd and unfounded," adding, "Pegasus continues its campaign to blame others for its own business failures and poor decision making."
On June 10, a federal judge in U.S. Bankruptcy Court in Portland, Maine, entered an order denying Pegasus’ request to prevent DirecTV from providing its DBS service directly to consumers in areas served by Pegasus Satellite Television.
On June 1, the NRTC announced that it no longer had the exclusive rights to distribute DirecTV’s DBS service in its territories, which terminated Pegasus’ exclusive agreements, as well.
And in April, a federal jury awarded DirecTV $51.5 million in damages from Pegasus regarding a lawsuit Pegasus filed claiming that DirecTV breached a joint marketing contract. Then in May, a federal district court judge granted DirecTV’s motions to eliminate all remaining claims against it by Pegasus and Golden Sky Systems Inc. in the parties’ four-year-old lawsuit.
Pegasus: DirecTV, NRTC Trying to Destroy Us
-- Multichannel News, 6/15/2004 4:46:00 PM
Pegasus Communications Corp. subsidiary Pegasus Satellite Television Inc. filed a lawsuit late Monday against DirecTV Inc. and the National Rural Telecommunications Cooperative.
The suit -- an adversary complaint filed with the U.S. Bankruptcy Court for the District of Maine -- charged the defendants with “acting independently and in concert in an effort to destroy Pegasus and steal its business for their own enrichment in violation of substantial fiduciary, contractual and other duties owed to Pegasus.”
The complaint seeks actual and punitive damages, as well as rescission of various agreements entered into by the NRTC and DirecTV, including their purported termination June 1 of their direct-broadcast satellite distribution agreement and, by extension, Pegasus’ member agreements with the NRTC.
The complaint also seeks the appointment of a receiver to administer the NRTC.
“As the lawsuit makes clear, we believe that the NRTC and its officers and directors have engaged in a pattern of improper conduct that violates Pegasus' contractual rights, that constitutes a breach of the NRTC's and its officers' and directors' fiduciary duties and that violates settled principles governing cooperative associations,” Pegasus president Ted Lodge said in a prepared statement.
“At the same time, DirecTV has conspired with and aided and abetted the NRTC in this effort and has breached its own duties to Pegasus,” he added. “We believe the defendants have engaged in these unlawful activities in order to steal our business and divide the spoils amongst themselves.”
NRTC CEO Bob Phillips called the suit "absurd and unfounded," adding, "Pegasus continues its campaign to blame others for its own business failures and poor decision making."
On June 10, a federal judge in U.S. Bankruptcy Court in Portland, Maine, entered an order denying Pegasus’ request to prevent DirecTV from providing its DBS service directly to consumers in areas served by Pegasus Satellite Television.
On June 1, the NRTC announced that it no longer had the exclusive rights to distribute DirecTV’s DBS service in its territories, which terminated Pegasus’ exclusive agreements, as well.
And in April, a federal jury awarded DirecTV $51.5 million in damages from Pegasus regarding a lawsuit Pegasus filed claiming that DirecTV breached a joint marketing contract. Then in May, a federal district court judge granted DirecTV’s motions to eliminate all remaining claims against it by Pegasus and Golden Sky Systems Inc. in the parties’ four-year-old lawsuit.
yet another lawsuit, from Daily Variety:
Satellite lawsuits continue to fly. In the latest salvo, DirecTV has sued EchoStar. The industry leader slams its smaller rival for running "false and misleading" ads that claim customers of Pegasus Communications may lose their signals when Pegasus' contract with DirecTV ends.
Satellite lawsuits continue to fly. In the latest salvo, DirecTV has sued EchoStar. The industry leader slams its smaller rival for running "false and misleading" ads that claim customers of Pegasus Communications may lose their signals when Pegasus' contract with DirecTV ends.
I found a bunch of the legal documents. The latest denial was boring, just says the request is denied, one sentence with zero detail. The restraining order request was 5 parts: make NRTC give Pegasus exclusive rights to peg's territories, NRTC and directv wouldn't be allowed to implement "their purported termination" (love the phrasing) of their agreement, stop directv from soliciting, marketing or providing switching consent forms to peg customers, make nrtc and directv send peg customers to peg customer service, and stop directv putting out that annoying 'tune to channel 205' message.
oh cool, i can cut and paste the denial. The peg motions are scans converted to pdf. 
The hearing reference is from peg submitting a reply earlier that day and Judge Haines said in a hearing that he wasn't convinced and issued this denial. The arguments are kinda interesting reading, tho.
UNITED STATES BANKRUPTCY COURT
DISTRICT OF MAINE
For the reasons set forth on the record in the course of hearings conducted June 21, 2004, it is ORDERED that the plaintiff’s motion for a temporary restraining order or, in the alternative, a preliminary injunction, is hereby DENIED.
DATED June 21, 2004 /s/ James B. Haines, Jr.
James B. Haines, Jr.
U.S. Bankruptcy Judge
The hearing reference is from peg submitting a reply earlier that day and Judge Haines said in a hearing that he wasn't convinced and issued this denial. The arguments are kinda interesting reading, tho.UNITED STATES BANKRUPTCY COURT
DISTRICT OF MAINE
ORDER DENYING INTERLOCUTORY INJUNCTIVE RELIEF
For the reasons set forth on the record in the course of hearings conducted June 21, 2004, it is ORDERED that the plaintiff’s motion for a temporary restraining order or, in the alternative, a preliminary injunction, is hereby DENIED.
DATED June 21, 2004 /s/ James B. Haines, Jr.
James B. Haines, Jr.
U.S. Bankruptcy Judge
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