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Disney puts all eight ABC licenses in one courtroom, and calls the FCC's review existential

ABC, Disney and eight owned stations sued the FCC on First Amendment grounds to halt an early license review the network says is retaliation for its speech.

The Investor · Invest desk

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Photograph accompanying Disney puts all eight ABC licenses in one courtroom, and calls the FCC's review existential
Photo: fortune.com

What happened

  • ABC on Tuesday took the rare step of suing the Federal Communications Commission on First Amendment grounds, saying the agency's demand for early review of its broadcast licenses posed an "existential threat" to the network.
  • In the lawsuit, ABC, its parent company Disney and the eight ABC-owned stations whose licenses are affected asked a federal court to stop the early renewal proceedings.
  • The FCC under Chairman Brendan Carr, an ally of President Donald Trump, had ordered the early review in April, itself a rare move, of all eight licenses owned by ABC, years before they are set to expire.
  • Broadcast licenses are issued for eight-year periods.
  • The FCC cited the network's diversity and inclusion practices as a reason for the early review.

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Why it matters

ABC sued the Federal Communications Commission on Tuesday on First Amendment grounds, describing the agency's demand for early review of its broadcast licenses as an "existential threat" to the network [1]. The plaintiffs are ABC, parent company Disney and the eight ABC-owned stations whose licenses are affected, and they are asking a federal court to stop the early renewal proceedings outright [2].

The mechanics matter more than the rhetoric. Broadcast licenses run for eight-year terms [4], and the FCC under Chairman Brendan Carr ordered early review in April of all eight licenses ABC owns, years before they expire, which the source describes as a rare move in itself [3]. That means every one of ABC's owned-station licenses is now inside a single proceeding, brought forward from a schedule that otherwise reaches each station roughly once a decade [15][16]. Carr, a longtime commissioner named chairman by Trump in November 2025, has made clear he is considering revoking ABC's licenses, a process that would be drawn out [12]; the April order landed about five months into his tenure [17].

The commission's stated rationale was ABC's diversity and inclusion practices [5]. The timing was different: the order came shortly after a joke by late-night host Jimmy Kimmel angered President Trump, who has called for Kimmel's firing [6]. ABC's complaint puts that sequence at the center of its case, alleging that attacks on its journalism and programming have "escalated into express demands that ABC be stripped of its broadcast licenses because of its speech" [7]. It quotes Carr saying, in relation to Kimmel, "We can do this the easy way or the hard way. These companies can find ways . . . to take action . . . on Kimmel, or there is going to be additional work for the FCC ahead" [11].

For an operator reading this as an asset question rather than a culture-war one, the useful line in the filing is not "existential" but the one about remedy: ABC says it has "no alternative means to eliminate these ongoing and immediate threats other than total capitulation to the Administration's demands," and asks the court to immediately enjoin any action or threatened action tied to the early renewal applications [8]. A license is the legal basis on which a station operates, and Disney is telling a judge that the only non-judicial path available to it is compliance with editorial demands.

This is not the only open front. ABC is also fighting Carr's effort to make "The View" subject to equal-time rules, a question ABC says the commission decided in its favor more than two decades ago on the grounds that the show is a bona fide news program and therefore exempt [9]. The complaint frames the stakes as industry-wide: if the administration prevails, it argues, the message to every media company is "tell only the stories the Administration deems favorable, or face the coercive machinery of the federal government" [10].

Two outside markers. Free-speech attorney Floyd Abrams told the Associated Press by email that press-FCC tension is old, but "not until the Trump Administration has the government so directly, so deliberately and so dangerously sought to limit the freedom of the broadcast press" [13]. Anna Gomez, the sole Democrat on the commission, said the FCC has "waged a campaign of censorship and control against Disney's ABC stations" using the threat of revocation [14].

Watch the injunction ruling first, because it decides whether the renewal docket keeps running while the constitutional question is litigated [8]. Then watch whether the equal-time fight over "The View" is folded into the same theory of retaliation [9], and whether any other license holder joins the argument rather than settling quietly.

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