A question for the legal types

[Andrew]

(This is prompted by the fact that ABCFamily continues to air the 700 club even after Pat Robertson's repeated awfulness, but it's a general question that I'd like to explore.)

If you sell something to me with the proviso that after purchase I can only do "A" with it but never "B", how is that valid once final payment is made? Once it's mine, I have the deed or keys or whatever, how do you have any control over what I do with it?

I know there are specific exemptions for copyrighted content, e.g. books, photos, DVDs, etc. I'm talking general property. If I buy your house and you say "okay, but you can't ever paint the bedroom purple" then what's to stop me painting the bedroom purple once escrow closes and the deal is done? It's not your house anymore, it's mine.

I would love to know how this works, in language suitable for someone who got most of their legal knowledge from LA Law.

[Alex]

Well, I'm not a legal type but here's my explanation.

Pat Robertson owned a TV network. Fox wanted to buy the network. Pat Robertson said "sure, but only if you agree to a contract with us requiring you to continue airing 700 Club. Also this contract will require that if you should sell the network in the future, continuation of this contract will be a requirement of the sale. If you fail to do this, penalties will be X, Y, and Z."

Sure, Fox now owns the network, but they also have a contract with Pat Robertson with certain requirements. And when they sold the network to Disney they could only do so (because of the terms of that contract) if Disney agreed to assume the deal with The 700 Club as well.

Presumably Disney could refuse to air the show but then they'd be subject to some substantial penalty under the terms of the contract. And I assume they are very substantial or Disney likely would have done so as a write-off already.

Similarly, if I sold you my house and it included a stipulation that I could live rent free in your basement and kicking me out would mean I get the house back then you couldn't wait until escrow closed and then kick me out. The contract is still in effect.

Such is my non-legal take on it.

[Kevy Baby]

I'm only an illegal type, so I can't help.

[Strangler Lewis]

I would think that if the network were an independent company and the 700 Club's contract was with that network, it would have to be assumed by anyone who bought it unless there's a deal to the contrary. As to the initial deal, it could raise antitrust concerns as a restraint of trade if anyone had such concerns anymore.

The initial deal could also be invalidated as an illegal restrictive covenant since the continuation of the 700 Club is contrary to public policy.

Note: The above is pulled out of my a** on a moment's notice and is for amusement purposes only.

[CoasterMatt]

Just put Kathy Griffin in Pat Robertsons' timeslot, pay him some money, and tell him to go to hell.

[Prudence]

Thank you for that flashback to property law. I realize that real property and the 700 club are different things (oh, the places I could take that....), but just for making me remember that the Rule Against Perpetuities exists I curse you.