DISCLAIMER:
Please Click on this link! FCC RULING
February 22, 1994
FREQUENTLY ASKED QUESTIONS REGARDING
CABLE TELEVISION REGULATIONS
The Federal Communications Commission has adopted a number of rules regarding
cable television as required by the Cable Television Consumer Protection and Competition
Act of 1992 (the "Cable Act"). The following information answers some frequently asked
questions about cable television regulation.
Q: My cable operator tells me that now I have to use equipment which I didn't need
before, such as a converter box or a remote control, and they want to charge me for the
use of this equipment. Do I have to use their equipment and do I have to pay for it?
A: Cable operators may require their subscribers to use specific equipment, such as
converters, to receive the basic service tier. They may include a separate charge on your bill
to lease this equipment to you on a monthly basis. This monthly rate must be based on the
operator's actual costs of providing the equipment to you. Operators may also sell equipment
to you, with or without a service contract. If an operator provides a choice between selling
and leasing the equipment, the monthly leasing rate will be regulated but the sales price will
be unregulated. If an operator only sells equipment and does not also lease equipment, then
the sales price must be the actual cost of the equipment plus a reasonable profit, and any
service contract should be based on the estimated cost to service the equipment. If the
customer buys the equipment but does not purchase a service contract, the customer can be
charged for repairs and maintenance. Cable operators may not prevent customers from using
their own equipment if such equipment is technically compatible with the cable system.
The rules require that charges for converters, remote controls, connections for additional
televisions, and cable home wiring be listed separately on your bill. If you have a question
about the rates your cable operator is charging for equipment, you should contact your local
franchising authority.
