Goto Section: 76.960 | 76.962 | Table of Contents

FCC 76.961
Revised as of September 2, 2011
Goto Year:2011 | 2013
§  76.961   Refunds.

   (a) Upon a finding that a rate for cable programming service or
   associated equipment is unreasonable, the Commission may order the
   cable operator to refund to subscribers that portion of previously paid
   rates which is deemed unreasonable.

   (b) The cumulative refund due subscribers shall be calculated from the
   date of the first complaint filed with the franchising authority until
   the date a cable operator implements a prospective rate reduction as
   ordered by the Commission pursuant to § 76.960. The Commission shall
   calculate refund liability according to the rules in effect for
   determining the reasonableness of the rates for the period of time
   covered by the complaint.

   (c) The cable operator, in its discretion, may implement a refund in
   the following manner:

   (1) By returning overcharges to those subscribers who actually paid the
   overcharges, either through direct payment or as a specifically
   identified, one-time credit to those subscribers' bills; or

   (2) By means of a prospective percentage reduction in the unreasonable
   cable programming service rate or equipment charge to cover the
   cumulative overcharge. This shall be reflected as a specifically
   identified, one-time credit on prospective bills to the class of
   subscribers that currently subscribe to the cable programming service
   or associated equipment at issue.

   (d) Refunds shall include interest computed at applicable rates
   published by the Internal Revenue Service for tax refunds and
   additional tax payments. Interest shall accrue from the date a valid
   complaint is filed until the refund issues.

   (e) At the time the Commission orders a cable operator to pay refunds
   to subscribers, the franchising authority must return to the cable
   operator an amount equal to that portion of the franchise fee that was
   paid on the total amount of the refund to subscribers. The franchising
   authority may return the franchise fee overcharge either in an
   immediate lump sum payment, or the cable operator may deduct it from
   the cable system's future franchise fee payments.

   [ 58 FR 29753 , May 21, 1993, as amended at  59 FR 17975 , Apr. 15, 1994;
    64 FR 35950 , July 2, 1999]


Goto Section: 76.960 | 76.962

Goto Year: 2011 | 2013
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