Fox To Appeal Zahn Decision

TV Spy ^ | 03-28-02 | TVSpy

[Registered]

Fox To Appeal Zahn Decision

Fox had charged the agency with interfering with Ms. Zahn's contract after the CNN offer was presented last August. Rather than counter the offer within five business days, as the contract specified, Fox abruptly dropped Ms. Zahn, saying her contract agreement with the network had been breached.

But a New York State Supreme Court judge on Monday dismissed the suit, saying that the contract had not been breached because while Fox was guaranteed right of first refusal the network was not guaranteed right of first negotiation.

Fox News issued a statement that said, "Fox News disagrees with the judge's decision and believes Ms. Zahn's agency, N.S. Bienstock, tortiously interfered with her contract and acted in an unethical and dishonest manner. Fox News will file a notice of appeal Tuesday [March 26], and plans to vigorously pursue this appeal."

Ms. Zahn had originally intended to join CNN this month. Instead, she became the signature anchor of CNN's morning lineup after the terrorist attacks of Sept. 11.

[thinktwice]

The fact that Fox had the right of first refusal implies that Zahn had a right to negotiate with CNN. And then, after coming to some sort of CNN written offer to Zahn, Zahn would be required to notify Fox and give them a chance to beat the offered deal. That is what a right to first refusal is all about.

I'd say that Fox breached the contract by tossing Zahn out too quick.