The American Federation of Radio and Television Artists (AFTRA) has taken note of the plans to use a bankruptcy auction for Inner City Media Corporation to exit Chapter 11. The union has filed its objections to the bidding procedures as proposed.
AFTRA has had its attorneys going over the proposed bidding procedures and they don’t like what they saw. Or rather what they didn’t see. The union says its contracts with three Inner City stations require them to be binding on any buyer if the station is sold. However, AFTRA says there is nothing in the bidding procedures filed in the court docket which require the auction winner to assume the union contracts. AFTRA wants the debtor to “clarify” that the union contracts have to go with the stations before the court approves any auction. A hearing on the auction rules is set for next Monday (1/9).
AFTRA represents on-air personnel at Inner City’s WLIB-AM & WBLS-FM New York and KBLX-FM San Francisco. They are far and away the largest of the company’s 17 radio stations.