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Legal Update

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Memorandums

Subjects:
        FCC Establishes Noncomercial Educational Low Power FM Service 2/7/00
        Employment & Workplace Issues Sexual Harassment, Contracts, etc. 11/15/98

FCC Establishes Noncommercial Educational Low Power FM Service
2/7/00

        The FCC, in a lengthy Report & Order, has just established two new classes of LPFM radio stations (100 watts and 10 watts). The new service will be strictly noncommercial, with no commercial ownership nor involvement allowed. Licenses will be issued after a filing window is established (which is expected to open in May of this year), for a term of up to 8 years, with renewal expectancy if the station has served the public interest. No license transfers will be allowed. Only 100 watt stations may be applied for in the first window, and during this first transition period, only local, noncommercial/non-profit entities/associations or governmental agencies may apply for authorizations.

        The Commission expects this new LPFM service to be truly “local” in nature, with a primary coverage area/radius of approximately 3.5 miles for 100 watt stations and 1 to 2 miles for 10 watt stations. LPFM stations must protect existing full-power stations (FM, TV Channel 6, & AM directionals). No retransmission of other stations’ programming will be allowed.

        Media cross-ownership prohibitions, multiple ownership restrictions and media attribution rules have also been enacted, as well as prohibitions/restrictions on time brokerage, LMAs and other non-local, as well as commercial, involvement in the new LPFM service. However, traditional noncommercial sponsorship/credit mention/underwriting has not been banned.

        The three criteria for determining which applicant should receive a CP/License in the case of mutually exclusive applications filed in the upcoming filing windows are:
1)    “Local” entity -- established community presence (2 year minimum);
2)     Proposed operating hours (12 hours per day, with a minimum of 8 per day required);
3)    Local program origination (at least 8 hours per day to receive credit).

        “Time-sharing” proposals with one or more other applicants will be used to break comparative ties.

        There are several other facets of this FCC action which may be of interest to you and your organization and we are available to discuss this in more detail.

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Employment & Workplace Issues Sexual Harassment, Contracts, etc.
11/15/98
Introduction:
          Over the last three decades we have all seen changes taking place in the way our clients develop their businesses. As business needs change, we have expanded our legal services in compatible fields: communications, intellectual property: copyright, trademark, and Internet; international and general business matters, including contract, franchising, employment and financial facilitations.

          We plan to feature different areas of our practice and updates in legal trends. Because any given situation is fact-intensive, the following general information is not intended to be solely relied upon as legal advice. Please feel free to contact us if we may be of assistance.

Sexual Harassment.
          We have all witnessed an increased awareness of sexual harassment. It is noted in the papers almost every week, in sports, the factory, and the general office workplace. The U.S. Supreme Court recently handed down three very important sexual harassment decisions. As a result, the law of the land now holds that both direct demands for sex as a condition for continued favorable employment, as well as employer- created/tolerance of a "hostile work environment" through unwelcome conduct, expose the employer to potential liability. A "hostile work environment" can be unwittingly created simply by allowing harassing conditions or incidents to exist and not effectively intervening to stop them and appropriately discipline the offender(s). This includes telling of offensive jokes, and exposure to employees of obscene or indecent material viewable or circulating in an office over the Internet or through e-mail. Contract labor and temporary employees are also entitled to protection from discrimination/harassment. Affirmative defenses for the employer have been somewhat expanded, depending on the situation presented and how it is handled.

Training Important.
          Employee/supervisor awareness and sensitivity training programs should be implemented and taken seriously, as the employer (in the absence of such programs), may well be held accountable for the actions (however non-sanctioned) of its supervisors. It is critical that an effective written anti-discrimination/sexual harassment policy be formulated and adopted by every business. Just as importantly, the policy must be initially and regularly communicated to all employees at all levels (including management/supervisors).

Insurance Available But Not a Panacea.
          While insurance carriers are now writing policies to cover employment practices and discrimination liability, they may well not cover punitive (as opposed to compensatory) damages, nor statutory/regulatory fines or penalties. Insurance carriers will require detailed and effective workplace policies to provide/continue coverage.

Employment Checklist Available.
          We have composed and have available an enumerated checklist for clients' basic review/compliance purposes.

Other Areas of Possible Employment Discrimination Concern.
          Discrimination includes employment actions/determinations based on age, race, color, creed, ethnicity, national origin, gender, sex orientation or preference, physical disability/handicap, religion or religious beliefs, marital state, children, pregnancy. Even though your business may be relatively small in terms of the number of employees, this does not mean an employer should ignore sensitive employment issues. Having effective policies in place and taking preventative steps will go a long ways towards avoiding or minimizing situations and negative consequences which might otherwise develop or become potentially much more difficult to deal with left unattended, unguided or unstructured. Failure to promote, and wrongful discipline/transfer/demotion/termination actions also raise the potential for employee private/class actions and/or grievances.

Covenants Not to Compete & Trade Secrets Protection.
          There are several important concerns with valued employees who choose to leave employment for an actual or potential competitor. Within reason, an employer may protect itself from unfair loss of customers, customer lists, programs and processes developed while the employee was in your employ, as well as competition from key-like employees. This area is fairly fact and situation unique.

Additional Assistance.
          Please feel free to contact us if you would like additional information or would like assistance with developing, reviewing, and/or maintaining effective employment contracts, non-compete, and trade secret protection, anti-discrimination policies, avoidance procedures, responses to situations, or related concerns or incidents.


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