McCaskill Presses for FCC Action, Given Concerns With MFN, ADM Clauses

Sen. Claire McCaskill, D-Mo., pressed FCC Chairman Ajit Pai on a video programming rulemaking, in a letter dated Monday. “After reviewing confidential documents from many of the largest cable and satellite providers and conducting dozens of interviews with television distributors and networks alike, I found that unconditional most favored nation (MFN) clauses and overly restrictive alternative distribution method (ADM) clauses may be limiting the number of choices that consumers have for viewing and purchasing content,” said McCaskill, ranking member of the Homeland Security Committee, who formerly investigated the issues in her role on the Permanent Subcommittee on Investigations (see 1606230061). “If adopted, the FCC’s proposed rule will prohibit certain types of MFN and ADM contract provisions as a means of removing ‘marketplace obstacles that may hinder independent programmers from reaching consumers.’” She sums up her findings over the course of the 16-page letter and called the FCC rule “a much needed step.” Commissioner Mignon Clyburn lauded McCaskill’s points and agreed commission action is needed, writing on Twitter. The agency has received and is reviewing the letter, a spokesman said.