MediaBuyerPlanner: The motion filed by Entercom Communications to dismiss a suit brought against it by New York State Attorney General Eliot Spitzer has been denied by a New York State Supreme Court judge, clearing the way for Spitzer’s payola case to move forward.
The decision, which knocked down all of Entercom’s arguments for dismissal, came six months after Entercom’s filing, and allows Spitzer’s first case against a radio company for fraud and deceptive business practices to proceed to the discovery phase, according to Mediaweek.
The lawsuit claims that the company repeatedly engaged in deceptive schemes of choosing songs for airplay based on payments or non-cash consideration from labels and independent promoters.
Spitzer is seeking settlements from seven radio companies, including CBS Radio, Clear Channel, Cox Radio, and Emmis Communications.
In June, EMI settled with the state of New York over the alleged radio pay-for-play violations, paying a $3.75 million fine (in the form of a charitable donation to New York State not-for-profit music education and appreciation programs). It agreed to reform its radio promotion practices and to stop making payments and providing expensive gifts to radio stations and their employees in return for airplay.
Universal Music, Sony BMG Music Entertainment and Warner Music Group also settled with Spitzer earlier in the year.
Related stories:
- EMI Settles with Spitzer, Pays $3.75 Million Fine
- Payola Probes Increase Price of Summer Radio Fests
- Universal Music Pays Largest Payola Settlement to Date
- Clear Channel, CBS, Entercom & Citadel Face FCC Payola Probes
- Radio Reps, FCC Negotiate Payola Settlements
- Public Radio Workers Face Payola Charges
- Entercom First Radio Group Sued By Spitzer
- Payola Goes PrimeTime
- Payola Investigates Nation’s Top Radio Stations
- Clear Channel Fires Two for Payola Violations
- Mays: No Payola ‘Train Wreck’
- FCC will ‘Put the Fear of God’ Into Broadcasters
- FCC Opens Federal Payola Investigation
- Sony BMG Makes ‘Payola’ Settlement
