Time Warner Cable and Los Angeles resolve lawsuit over disputed fees
The Los Angeles City Council has approved a settlement that resolves a legal dispute with the region’s largest pay-TV provider, Time Warner Cable, over the payment of fees.
City Council members on Tuesday voted 15-0 to reclassify $5.2 million in fees that Time Warner Cable had paid under protest. The money will go into the city’s general fund, where it can be used for various services.
“This money will pay for police officers, firefighters, street paving, tree trimming and more,” City Attorney Mike Feuer said in a statement after the vote.
Tuesday’s action brings to an end nearly two years of legal wrangling.
Feuer in early 2014 filed a suit in federal court against Time Warner Cable, the dominant provider in Southern California, which provides high-speed Internet and cable TV service to more than 1.5 million homes in the region.
The suit demanded the cable provider pay the city nearly $10 million and claimed the company had shirked its responsibility during the financial crisis that strained the city’s budget.
City leaders on Tuesday hailed the agreement, saying it could free up as much as $50 million over the next 15 years to be deposited into the city’s general fund.
Time Warner Cable declined to discuss the settlement, which noted that the company had paid in full the various fees it owed the city.
Time Warner Cable is in the process of being acquired by smaller Charter Communications. The two companies are hoping to win federal and state approval for their $57-billion merger.
Times staff writer Emily Alpert Reyes contributed to this report
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