19 companies fined US$3.3 million for kids ad violations

The FCC proposed these penalties in 2022, related to Hot Wheels ads that ran during episodes of Mattel Playground Productions' Team Hot Wheels series.
September 9, 2024

The FCC has issued fines totaling US$3.3 million to 19 television channel operators for not complying with rules that govern running commercials during kids programming. 

In a forfeiture order dated September 6, the US regulatory agency confirmed fines that were first proposed two years ago in a notice against companies including Sinclair Broadcast Group and Nexstar Media Group. 

When license renewal applications were underway in 2020, select broadcasters reported to the FCC that a toy commercial for the Hot Wheels Super Ultimate Garage playset was “inadvertently aired on 11 occasions” in late 2018 during eight x 30-minute eps of Mattel Playground Productions’ Team Hot Wheels.

The Children’s Television Act of 1990 outlines rules for airing commercials during children’s programming, establishing (among other things) time-based limits of 10.5 minutes per hour on weekends and 12 minutes per hour on weekdays. 

In this particular instance, there was a violation of a policy related to running an ad during a TV series associated with the product it’s promoting—in such cases, the FCC considers it a “program-length commercial” and counts the entire series episode as commercial time. This policy was established to protect young viewers from being confused between what’s advertising and what’s programming.  

Sinclair was hit the hardest, with a fine of US$2.6 million, followed by Nexstar ($182,000) and Cunningham Broadcasting Group ($140,000). The FCC cited Sinclair’s extensive reach, as well as the fact that many licensees said Sinclair was the provider of the programming with the commercials embedded, as the reason for the hefty penalty. The commission also took into account Sinclair’s “lengthy history of prior offenses for similar violations; the extent, gravity and circumstances of the violations; and Sinclair’s ability to pay.” 

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