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Clear Channel Files Counterclaim Against Stern, Infinity"
SAN ANTONIO -- Clear Channel Communications today filed a countersuit against One Twelve Inc. -- a company owned by shock jock Howard Stern -- and Infinity Broadcasting Corp., charging breach of contract and claiming more than $3 million in damages.Stern's company and Infinity, the distributor of his daily radio show, sued Clear Channel several weeks ago, claiming that Clear Channel had no right to drop the Stern show in six markets earlier this year.Clear Channel's counterclaim alleges that it had every right to do so, since certain shows were not in compliance with federal law and Federal Communications Commission regulations, as is explicitly required by the contracts between the parties. The contracts also stipulate that Clear Channel could not alter the show in any way, meaning the company was powerless to delete unlawful content before it aired."The radio show was pulled because Mr. Stern and Infinity refused to assure us that future programs would conform to the law," says Andy Levin, Clear Channel's chief legal officer. "That was a key term in the agreement, and we gave them every opportunity to make good on their word before we permanently retired the show."Continuing to broadcast the show would have put Clear Channel's radio licenses in jeopardy, Levinson adds. "We simply weren't willing to put the future of our radio station licenses in the hands of Mr. Stern or Infinity," he says. "Fortunately, our contract doesn't require us to do that."Clear Channel is suing for damages relating to lost advertising revenue, refund of monies paid to Infinity and One Twelve while the show was suspended, and indemnification for fines imposed by the FCC relating to the Howard Stern show.Clear Channel Communications Inc. is a global provider of media and entertainment with radio and television stations, outdoor advertising displays, and live entertainment venues in 65 countries.Visit Clear Channel Communications Inc.: www.clearchannel.com"