Reply #207: It's all clear now here are the facts as I know 'em

[BullwinkleJMoose]

Air America Radio contracted with Multicultural Radio Broadcasting to rent airtime in Chicago on WNTD 950AM (of about 168 hours/week) for a term from February 1, 2004 through January 31, 2005 (and presumably a similar deal for MRB's station in Los Angeles).

AAR did not have programming ready to go fill the air time, so MRB filled it with other alternative programming (in preference to transmitting dead air) until AAR started broadcasting. AAR feels that since MRB was getting compensated for the alternative programming, AAR should get a break on what it paid. Whether they bounced a check, put a stop payment on it, or simply asked MRB to hold off on cashing it until they worked out a deal (presuming a deal could or should be reached) is unclear, but MRB felt they were getting stiffed and locked the doors.

The correct thing for AAR to have done was to continue to keep it's account current and then seek arbitration to get a credit for the resold airtime that AAR believes they may be entitled to.

By playing hardball (attempting to withhold payments in whatever way this was attempted) AAR upped the ante and forced MRB's hand into taking drastic measures that will no doubt bite them both in the @ss. Only the lawyers will come out ahead on this one.

This is not a good harbring of the direction AAR is headed. Welcome to the big leagues.

BJM