Court Orders Channel 24 to Pay Distribution Debt, Raising Concerns for Channel 14

A court ruling has mandated Channel 24 (Musica 24 Ltd.) to pay nearly one million shekels owed to the Second Authority for Television and Radio for distribution fees related to broadcasts on the Idan Plus digital platform. This decision follows the expiration of a statutory exemption period known as the "infant protection" which ended on July 1, 2018, after which payment obligations automatically resumed until March 5, 2019.

The court emphasized that the Second Authority lacks the legal authority to grant exemptions from mandatory distribution fees without explicit legislative backing. Consequently, any informal promises or assurances of free distribution lack legal validity. Channel 24's defense, which cited surprise at the payment demand and invoked principles of reliance and fairness, was entirely rejected by the court.

The judgment also required Channel 24 to pay fees for an additional 30-day period after it formally requested to cease broadcasting, as the authority reasonably relied on draft regulations as administrative guidance. The ruling sets a strict legal precedent limiting broadcasters' ability to avoid statutory payment obligations based on informal understandings or regulatory ambiguities.

This verdict is particularly significant for Channel 14, which faces a similar but much larger claim of approximately six million shekels in unpaid distribution fees. The court's clear stance that statutory payment duties override claims of reliance or regulatory gaps narrows the legal options available to broadcasters contesting the Second Authority's collection efforts.