A federal judge on Wednesday ruled in favor of a Lansdowne homeowners association, saying the Dulles-based telecommunications firm OpenBand’s exclusive video programming services to the community was illegal.
The Lansdowne on the Potomac Homeowners Association had filed suit against OpenBand in August 2011, claiming a series of exclusive easements that kept competitors from providing cable service to the community was illegal.
OpenBand holds an exclusive easement contract with Broadlands developer Van Metre, which was agreed on in May 2001, that allows the firm to provide service for four communities for at least 25 years, with an option for an extension of up to 75 years. In addition to Lansdowne on the Potomac, those communities include Lansdowne Village Green, Leisure World and Southern Walk.
In his summary judgment, U.S. District Judge Anthony Trenga said OpenBand was “permanently enjoined and restrained from enforcing any contractual provision that grants the right to exclusively provide video programing services to … Lansdowne on the Potomac Homeowners Association Inc. or the residents of Lansdowne on the Potomac, including, without limitation, any right to exclude or prevent any other provider of video programming services from accessing plaintiff’s property or premises, or those of its residents.”
On Thursday, Lansdowne on the Potomac HOA President Jeff Chapman called the judge’s decision a milestone toward a bigger fight with OpenBand.
“The HOA is extremely pleased with the court’s decision declaring OpenBand’s exclusivity unlawful. Yesterday’s decision is a significant milestone in the HOA’s efforts to unravel OpenBand’s anti-competitive and unconscionable scheme,” Chapman said.
The HOA wasn’t the first to file suit against the telecommunications firm.
In June 2011, Southern Walk Homeowners Association sued OpenBand, also alleging the exclusive easements violated Federal Communication Commission laws.
U.S. District Judge Gerald Lee dismissed the suit in February without prejudice, meaning the HOA could refile at any time. Two weeks later, the HOA filed an amended complaint. That complaint was struck down in August 2011.
Since then, Southern Walk filed an appellate brief with the Fourth Circuit Court of Appeals.
In an emailed statement, Ben Young, director of government affairs for OpenBand, didn’t directly say the firm would appeal the judge’s ruling on the Lansdowne on the Potomac lawsuit, but he did say, “A few months ago Judge Lee ruled in OpenBand’s favor in an identical case. There are now competing opinions from Judges Lee and Trenga in the Eastern District. The issue will be resolved by the Fourth Circuit.”
Editor’s Note: OpenBand is a subsidiary of M.C. Dean, a Dulles-based engineering firm. M.C. Dean is the former owner of the Loudoun Independent, which merged with the Loudoun Times-Mirror in July 2010. Bill Dean, M.C. Dean CEO and president, holds a minority interest in Times Community Media and sits on its Board of Directors.
Great news for the hostages in the communities “served” by OpenBand.
Excellent news! Lets hope Southern Walk is next.
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