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Delhi HC says TRAI’s ad cap reasonable, gives relief to Maa TV till 13 March
NEW DELHI: This may come as a jolt to the television broadcasters who were hoping to get a relief from the Telecom Regulatory Authority of India’s (TRAI) ad cap regulation which limits their airing of advertisements to 12 minutes per hour.
Hearing the petition filed by Hyderabad-based Maa Television Network against the sector regulator’s 12-minute ad cap regulation, the Delhi High Court Tuesday observed that the cap on advertisements is a ‘reasonable exercise’.
The High Court bench comprising acting Chief Justice BD Ahmed and Justice S Mridul also said that even the permitted 12 minutes of advertising during a one-hour programming is ‘ridiculous’.
“Twelve minutes of advertisement in 60 minutes of a programme is ridiculous.
The content becomes an advertisement and the ads become the content,” the bench observed. It maintained that what TRAI is doing is reasonable.
“Take an opinion poll. Everyone will say no to advertisements.” The news might come as a rude shock to the News Broadcasters Association (NBA), music channels (Mastiii, 9XM, Music India and B4U Music) and some other regional broadcasters who have already got interim relief against any coercive action till 13 March when the court will start hearing the case.
Incidentally, even after making this observation, the court gave interim relief to Maa TV against TRAI’s action till the next date of hearing, i.e. 13 March.
“Till disposal of the writ petition, no coercive measures be taken against the petitioner,” the court stated. After the ad cap regulation was notified in May 2012, the broadcasters were supposed to decrease their ad time in a phased manner and were to adhere to the 12-minute cap starting 1 October 2013.
While the three big networks—Star India, Zee Entertainment Enterprises Ltd and Viacom18—started following the diktat, fearing major losses in their business, the NBA, music broadcasters and other regional broadcasters appealed to sector tribunal TDSAT for relief.
However, after hearing arguments and counter-arguments for over a month, the TDSAT had to dismiss the case in the wake of a Supreme Court order that said that TRAI regulations can only be challenged in High Courts. Following this, the broadcasters moved the Delhi High Court and managed to get a relief till 13 March.
Legally speaking, the High Court also has not stayed the regulation. It has only directed the regulator not to take any coercive action against the defaulter.
Meanwhile, some other broadcasters, including Multi Screen Media, who were not following the ad cap, started abiding by it. MSM CEO NP Singh confirmed to TelevisionPost.com in an earlier interaction that all the channels of the group had started going by the ad cap. Even among the channels which have got relief from the court, Music India started following the ad cap.
“Even if the matter is sub judice, we have limited our advertising to comply with the norm,” Media Worldwide CMD Prashant Chothani had told TelevisionPost.com recently.
In another interaction, Star India COO Sanjay Gupta had also asserted that the 12-minute ad cap is a step in the right direction and beneficial for the whole industry.
“I think it’s a losing battle they are fighting, but now it is clearly established. This really changes the way the business runs,” Gupta had said. All said and done, it is just a matter of time before the High Court comes out with its directive.
Delhi HC says TRAI’s ad cap reasonable, gives relief to Maa TV till 13 March | TelevisionPost.com
NEW DELHI: This may come as a jolt to the television broadcasters who were hoping to get a relief from the Telecom Regulatory Authority of India’s (TRAI) ad cap regulation which limits their airing of advertisements to 12 minutes per hour.
Hearing the petition filed by Hyderabad-based Maa Television Network against the sector regulator’s 12-minute ad cap regulation, the Delhi High Court Tuesday observed that the cap on advertisements is a ‘reasonable exercise’.
The High Court bench comprising acting Chief Justice BD Ahmed and Justice S Mridul also said that even the permitted 12 minutes of advertising during a one-hour programming is ‘ridiculous’.
“Twelve minutes of advertisement in 60 minutes of a programme is ridiculous.
The content becomes an advertisement and the ads become the content,” the bench observed. It maintained that what TRAI is doing is reasonable.
“Take an opinion poll. Everyone will say no to advertisements.” The news might come as a rude shock to the News Broadcasters Association (NBA), music channels (Mastiii, 9XM, Music India and B4U Music) and some other regional broadcasters who have already got interim relief against any coercive action till 13 March when the court will start hearing the case.
Incidentally, even after making this observation, the court gave interim relief to Maa TV against TRAI’s action till the next date of hearing, i.e. 13 March.
“Till disposal of the writ petition, no coercive measures be taken against the petitioner,” the court stated. After the ad cap regulation was notified in May 2012, the broadcasters were supposed to decrease their ad time in a phased manner and were to adhere to the 12-minute cap starting 1 October 2013.
While the three big networks—Star India, Zee Entertainment Enterprises Ltd and Viacom18—started following the diktat, fearing major losses in their business, the NBA, music broadcasters and other regional broadcasters appealed to sector tribunal TDSAT for relief.
However, after hearing arguments and counter-arguments for over a month, the TDSAT had to dismiss the case in the wake of a Supreme Court order that said that TRAI regulations can only be challenged in High Courts. Following this, the broadcasters moved the Delhi High Court and managed to get a relief till 13 March.
Legally speaking, the High Court also has not stayed the regulation. It has only directed the regulator not to take any coercive action against the defaulter.
Meanwhile, some other broadcasters, including Multi Screen Media, who were not following the ad cap, started abiding by it. MSM CEO NP Singh confirmed to TelevisionPost.com in an earlier interaction that all the channels of the group had started going by the ad cap. Even among the channels which have got relief from the court, Music India started following the ad cap.
“Even if the matter is sub judice, we have limited our advertising to comply with the norm,” Media Worldwide CMD Prashant Chothani had told TelevisionPost.com recently.
In another interaction, Star India COO Sanjay Gupta had also asserted that the 12-minute ad cap is a step in the right direction and beneficial for the whole industry.
“I think it’s a losing battle they are fighting, but now it is clearly established. This really changes the way the business runs,” Gupta had said. All said and done, it is just a matter of time before the High Court comes out with its directive.
Delhi HC says TRAI’s ad cap reasonable, gives relief to Maa TV till 13 March | TelevisionPost.com
