Comcast offer of music services only as part of basic cable tier package is not unfair tying arrangement under Unruh Act.
Cite as
2007 DJDAR 8520Published
Jun. 11, 2007Filing Date
Jun. 8, 2007Summary
1st District California Court of Appeal, Division 1
Larry Hall, who is blind, and Thomas Belton (plaintiffs) subscribed to services provided by Comcast Cable Holdings LLC. (Comcast). They took issue with Comcast's offering FM or music services only as part of a basic cable tier package that included television cable service. Plaintiffs alleged they were forced to purchase unwanted cable service in order to access the music. They appealed from the summary judgment in favor of Comcast with respect to their causes of action for unfair competition and violation of the Unruh Act.
Affirmed. Business and Professions Code Section 17200 prohibits unfair competition in the form of unlawful, unfair, or fraudulent practices. Here, Comcast's requirement that subscribers purchase the basic cable tier did not constitute a tying arrangement that unlawfully curbed competition because neither plaintiff wanted or would have purchased the tied cable service. Comcast's allegedly unlawful practice thus could not have foreclosed competition with other sellers in the market. Nor could plaintiffs characterize the conditional provision of music services as "negative option billing," as both understood they were purchasing a package and were not billed for any service they did not order. With regard to the Unruh Act, cable services are not a public accommodation, precluding Hall's showing denial of access under the American with Disabilities Act. Lastly, in the absence of some restraint upon competition, plaintiffs could not prove Comcast's packaging of services was "unfair."
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The petition for a writ of certiorari is granted. The judgment is vacated and the case is remanded to the United States Court of Appeals for the Ninth Circuit for further consideration in light of Safeco Ins. Co. of America v. Burr, 551 U.S. ___ (2007).
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