Disney's fight with the FCC over ABC licenses heads toward an October hearing
A federal judge is set to hear Disney's case on October 6, after the company sued the FCC in August over early reviews of ABC's broadcast licenses.
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Chart: DIS, one-minute prices, three sessions
Disney sued the Federal Communications Commission on August 18, arguing that the agency's early review of ABC's broadcast licenses amounts to an attack on free speech by the Trump administration, according to NBC News.
The FCC ordered Disney's eight owned and operated television stations to file their license renewals earlier than usual in late April, something the agency had not done in more than 50 years, NBC News and Reuters reported. The order came a day after President Trump urged ABC to fire late-night host Jimmy Kimmel, according to the same reporting. Trump has repeatedly called for ABC to lose its licenses over programming he dislikes.
The FCC has asked the judge, Loren AliKhan of the U.S. District Court in Washington, to dismiss Disney's lawsuit, saying a block on its review would hamper an investigation into alleged unlawful discrimination by Disney, Reuters reported. FCC Chair Brendan Carr has said he has not decided whether to refer Disney's licenses for a hearing, and the agency has agreed to give at least 48 hours' notice before making such a referral. AliKhan has set an October 6 hearing on the case. The Hill has reported that the eight ABC stations' licenses are not due for renewal until 2028 to 2031, depending on the station.
Disney's case rests on the argument that Trump's public pressure on the FCC creates an unconstitutional conflict of interest. Trump has continued to press regulators and foreign governments on other fronts largely without apparent constraint, and investors have already priced in elevated policy uncertainty under this administration, so the dispute is unlikely on its own to shift how markets weigh regulatory risk around Disney.