Rogers Communications and Corus Entertainment are in a dispute over the carriage and alignment of several channels, which has now been elevated to the Federal Court of Appeal.

On Aug. 21, Rogers informed Corus it would be removing Slice from several of its TV packages. The company told Corus on Oct. 29 that it would move Home Network (formerly HGTV Canada) and Flavour Network (Food Network Canada) to different channels and replace them with the Rogers-operated HGTV and Food Network discretionary channels when they launch on Jan. 1, 2025.

Corus’ trademark and content output agreement with Warner Bros. Discovery (WBD) for HGTV and Food Network expires on Dec. 31, moving to Rogers the following day. Rogers has also acquired the rights to the Bravo licensing and content from NBCUniversal, with much of Bravo’s programming moving from Corus-owned Slice to the Rogers’ Bravo channel, launched on Sept. 1.

On Dec. 10, the Canadian Radio-television and Telecommunications Commission (CRTC) published a complaint from Corus alleging that Rogers had given itself undue preference with the placement of its own discretionary channels and subjected Corus to undue disadvantage by making Home and Flavour “less discoverable” by placing them on different channels.

In its response, Rogers said the CRTC should dismiss the complaint, arguing that “the channel realignments are necessary to avoid customer confusion and/or dissatisfaction” and that those channels are associated with the HGTV and Food Network brands. Realigning the channels was “taking necessary action to protect the value of its significant investments.”

Rogers also alleged that Corus is “attempting to mislead consumers” that Home and Flavour are rebrands of HGTV and Food Network and “unjustly profit off of customer confusion.”

However, Corus asserts that the Rogers-owned HGTV and Food Network channels will differ from HGTV Canada and Food Network Canada due to the “Corus-owned Canadian lifestyle programming that drives the popularity of these services.”

Regarding Slice, Rogers argued that it could exercise its right to alter the TV packaging due to the loss of premium Bravo content.

While the matter is still before the CRTC, the Commission privately issued two decisions to Rogers on Nov. 18 and 29 stating that repackaging Slice and relocating Home and Flavour would contravene the standstill rule under the Broadcasting Act. The rule stipulates that channels must be distributed under the same rates, terms and conditions from before a dispute arose.

On Wednesday (Dec. 18), Rogers filed a motion to the Federal Court of Appeal for leave to appeal the rulings, and for an expedited hearing.

According to court documents, Rogers argued that the CRTC exceeded its legal authority, calling the decisions an “arbitrary and one-sided application of the regulations” that “serve only to benefit Corus at the expense of consumers.”

In its argument to the Federal Court of Appeal, Rogers cited an earlier decision from the Ontario Superior Court of Justice, in which Corus was seeking an injunction for the Slice repackaging dispute. A judge dismissed the request and ruled that the companies’ affiliation agreement “does not prohibit Rogers from unilaterally removing [Slice] from its television packages.”

The judge also determined that “the interpretation and enforcement, including declaratory relief” of distribution regulations fall under the jurisdiction of the CRTC and the Federal Court of Appeal.

“This is another example of Rogers attempting to remove choice from Canadian viewers to benefit their own bottom line with blatant disregard for applicable rules,” a spokesperson for Corus told Playback Daily in a statement. “Aspects of the matter are still before the regulator, but we have received clear legal confirmation from them that after Dec. 30, Flavour Network and Home Network must continue to be carried at the same places on the dial, and in the same Rogers packages, as HGTV Canada and Food Network Canada currently occupy. This also applies to Slice.”

“This is about fair competition and the fact that the rules apply to everyone, including Rogers. We have every expectation that the regulator will enforce its decisions and assess penalties for breaches, as needed. Rogers’ basis for appeal appears weak to us and we expect the CRTC’s decisions and jurisdiction will be endorsed by the courts,” the spokesperson continued.

A spokesperson from Rogers referred Playback to the appeal, highlighting its argument that if the CRTC’s standstill decision is upheld, it will “confer on the Commission the ability to upend contracts between sophisticated commercial actors under the guise of dispute resolution.”

“They will enable the Commission to compel an indefinite, non-consensual contractual relationship between Rogers and Corus for services that Rogers no longer wishes to carry. And they will result in unprecedented intrusion into the business of television distributors like Rogers, to the detriment of their consumers,” Rogers continued.

Rogers Sports & Media is separately facing its own distribution problems with other BDUs. Eastlink informed its customers that Bravo, Food Network, HGTV and Magnolia Network would not be available as of Jan. 1. The company said Bravo programming will be available on Citytv+ and that HGTV, Food Network and Magnolia programming is available on Discovery+.

Meanwhile, Telus has said HGTV, Food Network, Discovery, ID and Magnolia Network will no longer be available, adding that customers can add Discovery+ through their Stream+ package or as an à la carte selection.

A Rogers Sports & Media spokesperson referred Playback to an earlier statement from Rogers Sports & Media president Colette Watson, noting that the company will “continue to work with all distribution partners to ensure viewers can watch this top-rated content where and when they want.”

This story was originally published on PlaybackOnline.