Locast Loses Court Decision That May Affect Access to Local Stations

locast court decision

The popular live streaming service Locast has lost a court decision that may affect its future.

Locast is a live tv app that provides users with access to local channels in over 35 markets across the US.

The app is funded by donations that users pay monthly for uninterrupted service.

It has undergone legal scrutiny from major broadcast companies including CBS, ABC, NBC, and FOX.

In 2019, these 4 major broadcast corporations joined forces to file a lawsuit against Locast for violating copyright law.

The lawsuit alleged that Locast was retransmitting their television signals without permission.

However, Locast’s defense claimed that because they don’t charge customers for service, they are allowed to “boost” these signals for expanded access to local channels.

This would make them a nonprofit corporation and leave them exempt from copyright infringement lawsuits.

Unfortunately for Locast, a judgment was finally made ruling that Locast is not exempt and may be held liable.

Court documents noted the following:

Since portions of its user payments fund Locast’s expansion, its charges exceed those “necessary to defray the actual and reasonable costs of maintaining and operating the secondary transmission service

Because Locast made more money than was required to maintain and operate service, its claim as a nonprofit company was denied.

Excess money from donations was used to expand into new markets which should only be used to cover running costs.

Locast made a statement to its subscribers and more in an email addressing the judgment.

It reads as follows: