Missouri AG warns Dish Network in Fox dispute

JEFFERSON CITY, Mo. -- The dispute between Fox and Dish Network has drawn the attention of Missouri Attorney General Chris Koster, who has notified the satellite television carrier it is violating consumers' contracts by refusing to carry certain Fox networks.

In a release from his office, Koster said Dish is violating a July 2009 agreement by ceasing transmission of Fox Sports Midwest, Fox Sports Kansas City, FX and the National Geographic Channel, among others, to Missouri subscribers.

In the statement, Koster says Dish subscribers entered into contracts believing the channels would be provided for the duration and might not have done so had they known that would not be the case. Koster goes on to say that Dish's costs have gone down due to not providing Fox programming but subscribers' monthly rates have not changed.

"Essentially, subscribers are paying for the cost of receiving Fox programming when they are not," Koster said in the release. "Dish Network is being unjustly enriched by engaging in this unfair practice."

Fox and Dish could not reach a new agreement at the beginning of October with Dish removing 19 Fox regional sports networks, the National Geographic Channel and FX from the Dish Network channel lineup.

The two sides disagree over how much the network should get from Dish to provide its service. Dish, in a statement released at the beginning of October, claimed Fox was asking for a 50 percent increase for its programming. Fox denied that assertion, although the company did not provide an estimate for how much of an increase it was seeking.

In place of the Fox channels, Dish is offering customers a package of 19 other sports-related channels and two high-definition movie channels. However, Koster wants Dish to notify subscribers that they may cancel their service without a cancellation fee and for customers to be given a credit refund in the same proportion that the company's costs of providing service has decreased.

"Dish's efforts to provide restitution in the form of alternative channels is insufficient and doesn't alter the fact that they are in violation of Missouri law and the 2009 agreement," Koster said.

If there is not an agreement with Fox in place by Nov. 1, Fox's main broadcast channel will be removed from Dish Network, meaning Dish customers will lose access to shows such as "Glee," "House," "The Simpsons" and NFL coverage.

A representative for the attorney general said Koster will give Dish 10 to 14 days to respond to his complaint before considering further action.