DirecTV Told to Stop ‘Misleading” Ads

0

A federal court judge in Missouri has told DirecTV Group Inc. to stop running ads that imply bankrupt competitor Charter Communications Inc. might stop offering cable TV service.

In a temporary ruling issued late Wednesday, a U.S. District Court judge said he acted to “prevent irreparable harm to Charter?and told DirecTV it would have to significantly alter the ads to resume running them, according to wire service reports.

Charter, which filed Chapter 11 in March to reorganize $21.7 billion in debt, sued the El Segundo satellite TV provider earlier this month. Charter, based in St. Louis, called the print and broadcast ads “false and misleading.?p>The ads claim Charter, which has 5.5 million customers, is unable to provide the latest technology, add high-definition channels or offer new programming because of the Chapter 11. Charter said it remains competitive and expects to emerge from bankruptcy soon.

The ads have been running in seven states, including Missouri, Illinois and Michigan.

DirecTV shares were up 35 cents, or 1.4 percent, in midday trading on the Nasdaq.

No posts to display