Media Groups Dispute Collaboration Charge


MEDIA GROUPS DISPUTE COLLABORATION CHARGE
[SOURCE: San Francisco Chronicle 12/7, AUTHOR: Ryan Kim]
MediaNews Group and Hearst Corp., the two companies that own nearly all of the large daily newspapers in the Bay Area, are disputing charges that they are collaborating on a business deal that is anti-competitive and illegal. In a brief filed in federal court Wednesday, attorneys for MediaNews -- which owns the San Jose Mercury News, Contra Costa Times, Oakland Tribune and several smaller Bay Area newspapers -- and Hearst Corp., parent company of The Chronicle, challenged the arguments behind a temporary restraining order that prevents them from taking steps toward consolidating advertising or distribution. The two companies said a restraining order is unnecessary because they have no plans to work together immediately. But if they do pursue shared business operations, there is no evidence the collaboration would be illegal and would cause irreparable harm, company lawyers argued. "No one ... is threatened with imminent harm by agreements that do not yet exist, are not being pursued at this time, would be limited to lawful arrangement if they were, and, in all events, could be undone by Court order at any time," according to the joint brief. [You know, the "Hey, trust us" defense.]
http://www.sfgate.com/cgi-bin/article.cgi?f=/c/a/2006/12/07/BUGETMQNHP1....

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