Herring Networks Sues AT&T Over Declining U-verse Subscriptions
AT&T concealed that it was buying DirecTV and planned to wind down U-verse when it induced Herring Networks to sign a distribution agreement in 2014 for the cable company's A Wealth of Entertainment and One America News Network on U-verse,…
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and then reneged on a pledge to put those networks on DirecTV, Herring said in a lawsuit filed Wednesday in U.S. District Court in Los Angeles. Herring said its decreasing distribution on U-verse is resulting in smaller licensing fees, and asked for unspecified damages "believed to be in excess of $100 million," plus injunctive relieve blocking AT&T "from eroding AT&T U-verse subscribers." In a statement, AT&T called the suit "baseless." The telco said it offered to carry both Herring networks on DirecTV "at reasonable, market based terms" and the suit "is simply a ploy by Herring to negotiate a slanted deal."