Judge lifts injunction in WOHL case

LIMA - A judge has ruled the parent company of WLIO can move forward in trying to take the Fox affiliate from WOHL, but is doing so at its own risk.

Block Communications can try to make its own deal with Fox Broadcasting to become its local affiliate, ruled Judge Richard Warren, of Allen County Common Pleas Court, but is proceeding "at its own peril."

Greg and Kathleen Phipps, owners of WOHL, filed a lawsuit against Block Communications, accusing Block of undermining efforts to extend a local affiliate agreement between WOHL and Fox Broadcasting. Specifically, the Phippses said Block looked at their books under a nondisclosure agreement and illegally used that information.

The Phippses wanted Warren to maintain an injunction preventing a deal until the Dec. 15 trial. In a written ruling, Warren denied the request.

While the injunction was denied, Attorney Marc Kessler called the ruling a good decision, saying it leads the way for a jury to award punitive damages to the Phippses.

"I think the judge took a very careful review of the evidence and has also identified the fact that if we do go to a jury, he is going to allow punitive damages to go to a jury," he said. "To me, it's a good decision because it sets this matter up appropriately for trial, for our client to have its day in court."

Keith Wilkowski, attorney for Block, said he is pleased with the ruling to deny the injunction, but declined to comment further, saying he had not had time to go over the full ruling.

Kessler is not concerned about Block being free to deal with Fox before the trial, saying it likely would take that long for anything to be final.

The disagreement started as Phipps struggled to pay his bills and tried to sell the station. Block expressed interest in buying the station and asked to review the books, agreeing it wouldn't use any proprietary information against WOHL.