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Appeals Court Agrees To Fast-Track Review In Nielsen-Cumulus Case.

The U.S. Court of Appeals for the Second Circuit has agreed to fast-track the appeal in the high-stakes ratings dispute between Cumulus Media and Nielsen, setting an expedited briefing schedule and promising to hear the case “as soon as practicable.” The review stems from a January decision in which the U.S. Court of Appeals for the Second Circuit which placed a temporary administrative stay on a lower court ruling that had blocked Nielsen from linking national and local market ratings.


In a motion filed earlier this month, Cumulus asked the court to expedite its decision-making on whether that stay should remain. Cumulus said it and Nielsen had agreed to speed things up by seeking an abbreviated briefing schedule and holding oral arguments as soon as possible on the underlying question of whether the stay should be kept in place.


“Time is of the essence,” Cumulus argued, saying it hoped to have a decision on whether the policy tying national and local market ratings would be allowed by September. That is when, under its current contract with Nielsen, Cumulus is set to will lose access to nationwide ratings. If that occurs, Cumulus says will cause “immediate and irreparable injury” to the company as both local stations and Westwood One will be unable to develop “credible” advertising proposals for clients. It also reiterated its allegations that Nielsen is “a monopolist” that has violated the antitrust laws by refusing to sell national ratings numbers unless Cumulus also purchases Nielsen’s local ratings data.


Second Circuit Judge Maria Araújo Kahn has granted the motion, meaning legal paperwork will begin hitting deadlines next week. She didn’t set a date for oral arguments, but promised to move quickly. “The appeal will be heard as soon as practicable following completion of briefing,” Kahn wrote in a one-page order.


Cumulus Media filed an antitrust lawsuit filed in October. The broadcast group asked the court to block Nielsen from implementing a tying policy that conditions access to national radio ratings data on the purchase of separate local radio ratings data. Cumulus Media calls it a “textbook abuse of monopoly power” that harms competition by preventing radio stations from freely choosing the local radio ratings data providers they want.


Cumulus Media cites internal Nielsen documents stating that the company earns most of its audio ratings revenue from local ratings. Cumulus Media also recounts that after it raised objections, Nielsen offered to sell the national product alone. But according to the filing, Cumulus Media says the proposed rate was 10-times what it currently pays that it left no practical choice but to buy all of Nielsen’s local data.


Nielsen maintains its policies and practices are “legally compliant,” and has vowed to fight to keep them in place alleging Cumulus is waging a “lawfare” campaign by using antitrust claims as a weapon to win better pricing in what the ratings giant insists is “nothing more than a contract dispute.” In a counterclaim filed earlier this month, Nielsen has also alleged that Cumulus breached the terms of its now-expired 2023 contract when it shared details of the ratings product with its rival Eastlan Ratings. Cumulus and Eastlan have not yet responded to those allegations.

 
 
 

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