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                                   Before the

                       Federal Communications Commission

                             Washington, D.C. 20554


                         )                               
                                                         
                         )                               
     In the Matter of        File Number EB-07-SE-232    
                         )                               
     Toys "R" Us, Inc.       NAL/Acct. No. 200832100044  
                         )                               
     Wayne, NJ               FRN # 0004496568            
                         )                               
                                                         
                         )                               


                  NOTICE OF APPARENT LIABILITY FOR FORFEITURE

   Adopted: May 6, 2008 Released: May 9, 2008

   By the Commission:

   I. INTRODUCTION

    1. In this Notice of Apparent Liability for Forfeiture ("NAL"), we find
       that Toys "R" Us, Inc. ("Toys "R" Us"), apparently willfully and
       repeatedly  violated Section 15.117(k)  of the Commission's Rules
       ("Rules") by failing to place the required Consumer Alert label
       immediately adjacent to and clearly associated with television
       receiving equipment that contains an analog broadcast television tuner
       but does not contain a digital broadcast television tuner (hereinafter
       "analog-only tuner") that it displayed or offered for sale or rent. We
       conclude, pursuant to Section 503(b) of the Communications Act of
       1934, as amended ("Act"), that Toys "R" Us  is apparently liable for a
       forfeiture in the amount of two hundred forty-eight thousand dollars
       ($248,000).

   II. BACKGROUND

    2. Congress has established February 17, 2009, as the deadline for the
       end of analog transmissions for full power television stations. The
       Commission is statutorily obligated to promote the orderly transition
       to digital television, "a critical step in the evolution of broadcast
       television." As we stated previously, "[w]e are committed to ensuring
       the rapid completion of that transition in a way that delivers the
       greatest possible benefits to the viewing public." As part of that
       commitment and in light of the upcoming deadline, we recently
       announced that "it is necessary and appropriate to require retailers
       to provide consumers with information regarding this transition date
       at the point of sale." We reached this conclusion after determining
       that consumer electronics industry efforts had not adequately informed
       consumers how analog-only television equipment purchased now will
       function when the transition to digital broadcasting ends.

    3. To ensure that consumers do not inadvertently buy analog-only
       television equipment without understanding that such devices will not
       be capable of receiving off-the-air television reception of digital
       signals after analog broadcasting ends unless connected to a
       digital-to-analog converter or a digital subscription service, we
       adopted rules requiring anyone that sells, offers for sale, or rents
       television receiving equipment that does not contain a digital
       television ("DTV") tuner to display a Consumer Alert at the point of
       sale. This requirement also applies to the sale or rent of analog-only
       television receiving equipment via direct mail, catalog, or electronic
       means (e.g., the Internet). These requirements are contained in
       Section 15.117(k) of the Rules, which became effective on May 25,
       2007.

    4. Section 15.117(k)(3) of the Rules requires that the Consumer Alert
       contain the following language:


                                   CONSUMER ALERT                            
                                                                             
         This television receiver has only an analog broadcast tuner and     
         will require a converter box after February 17, 2009, to receive    
         over-the-air broadcasts with an antenna because of the Nation's     
         transition to digital broadcasting. Analog-only TVs should          
         continue to work as before with cable and satellite TV services,    
         gaming consoles, VCRs, DVD players, and similar products. For more  
         information, call the Federal Communications Commission at          
         1-888-225-5322 (TTY: 1-888-835-5322) or visit the Commission's      
         digital television website at: www.dtv.gov.                         


       The Consumer Alert must be in a size of type large enough to be clear,
       conspicuous and readily legible, consistent with the dimensions of the
       equipment and the label. The alert either must be printed on a
       transparent material and affixed to the screen, in a manner that is
       removable by the consumer and does not obscure the picture when
       displayed for sale, or displayed separately immediately adjacent to
       each television receiver offered for sale and clearly associated with
       the analog-only model to which it pertains. In the case of other
       analog-only video devices that do not include a display (e.g., VCRs,
       DVD players), the Consumer Alert must be in a prominent location on
       the device, such as on the top or front, or displayed separately
       immediately adjacent to and clearly associated with the analog-only
       model to which it pertains. To the extent that any persons display or
       offer for sale or rent via direct mail, catalog, or electronic means
       analog-only television receiving equipment, they must prominently
       display the Consumer Alert as part of all advertisements or
       descriptions of such television receiving equipment, in clear and
       conspicuous print, and in close proximity to any images or
       descriptions of such equipment.

         5. Immediately after the rule became effective, the Commission's
            Enforcement Bureau began inspecting hundreds of stores throughout
            the country, as well as dozens of popular retailer websites, and
            observed many models of analog-only television receiving
            equipment on display without the required Consumer Alert labels.
            On June 6, 2007, the Enforcement Bureau issued a Citation to Toys
            "R" Us for offering for sale television receiving equipment
            having an analog-only tuner without displaying the required
            Consumer Alert in close proximity. Between June 7 and 14, 2007,
            the Enforcement Bureau conducted inspections at numerous stores
            and, based on those inspections, issued additional  Citations to 
            Toys "R" Us for violations at its stores. After affording Toys
            "R" Us a reasonable opportunity to respond to the first Citation,
            agents and investigators from the Enforcement Bureau began
            inspecting numerous additional Toys "R" Us  stores on July 16,
            2007,  in various states and once again observed in twenty-four
            (24) stores, television receiving equipment with analog-only
            tuners on display without the required Consumer Alert labels.

         6. Under Section 503(b)(1) of the Act, any person who is determined
            by the Commission to have willfully or repeatedly failed to
            comply with any provision of the Act or any rule, regulation, or
            order issued by the Commission shall be liable to the United
            States for a forfeiture penalty. Section 312(f)(1) of the Act
            defines willful as "the conscious and deliberate commission or
            omission of [any] act, irrespective of any intent to violate" the
            law. The legislative history to Section 312(f)(1) of the Act
            clarifies that this definition of willful applies to both
            Sections 312 and 503(b) of the Act and the Commission has so
            interpreted the term in imposing forfeitures pursuant to Section
            503(b). The Commission may also assess a forfeiture for
            violations that are merely repeated, and not willful.  "Repeated"
            means that the act was committed or omitted more than once, or
            lasts more than one day. To impose such a forfeiture penalty, the
            Commission must issue a notice of apparent liability and the
            person against whom the notice has been issued must have an
            opportunity to show, in writing, why no such forfeiture penalty
            should be imposed. The Commission will then issue a forfeiture if
            it finds by a preponderance of the evidence that the person has
            violated the Act or a Commission rule. As we set forth below, we
            conclude under this standard that Toys "R" Us  is apparently
            liable for forfeiture for its apparent willful and repeated
            violations of Section 15.117(k) of the Commission's rules.

        III. DISCUSSION

         7. Based on the evidence before us, we find that Toys "R" Us 
            apparently willfully and repeatedly violated Section 15.117(k) of
            the Rules by failing to display conspicuously and in close
            proximity to equipment with an analog-only tuner, in clear and
            conspicuous print, the required Consumer Alert label.
            Specifically, as detailed in Attachment B,  agents and
            investigators from the Enforcement Bureau observed a model of
            television receiving equipment having only an analog-only tuner
            on display in twenty-four (24) Toys "R" Us stores without the
            required Consumer Alert labels. Toys "R" Us  previously received
            eight (8) Citations for this same type of conduct prior to the
            agents' inspections.

         8. Under Section 503(b)(2)(D) of the Act, we may assess an entity
            that is neither a common carrier, broadcast licensee or cable
            operator a forfeiture of up to $11,000 for each violation or each
            day of a continuing violation, up to a statutory maximum
            forfeiture of $97,500 for any single continuing violation. In
            exercising such authority, we must take into account "the nature,
            circumstances, extent, and gravity of the violation and, with
            respect to the violator, the degree of culpability, any history
            of prior offenses, ability to pay, and such other matters as
            justice may require."

         9. The Commission's Forfeiture Policy Statement and Section 1.80 of
            the Rules do not establish a specific base forfeiture for
            violation of the analog-only tuner labeling requirements. In
            adopting the Consumer Alert labeling requirements, the Commission
            stated that "[a]ccurate communication of this impending change is
            a highly material disclosure for consumers contemplating the
            purchase of a television."  We also noted that it is a matter of
            public safety for consumers who rely on analog-only televisions
            to obtain critical emergency information.

        10. Similar issues arose regarding labeling requirements for wireless
            hearing aid-compatible handsets. In those cases, the Enforcement
            Bureau established a base forfeiture amount of $8,000 per handset
            model that failed to comply with the labeling requirements. The
            labeling requirements for wireless hearing aid-compatible
            handsets and the analog-only tuner labeling requirements both
            serve the important goal of ensuring that consumers have access
            to necessary information. In light of the similarities in these
            labeling requirements, we conclude that an $8,000 base forfeiture
            amount per unlabeled model or device in each store where Bureau
            agents and investigators observed a violation is appropriate for
            apparent violations of Section 15.117(k).

        11. We find that, beginning on July 16, 2007, as detailed in
            Attachment B, even after receiving the Citations warning of
            violations in its stores across the country,  Toys "R" Us
            displayed a model of equipment with an analog-only tuner in
            twenty-four (24) stores without the required Consumer Alert
            label. As a result, Toys "R" Us  continued to market television
            receiving equipment to consumers without adequately warning that
            the equipment contained an analog-only television receiver. Those
            consumers may not learn of their equipment's limitations until
            the analog-only devices cease to receive over-the-air television
            signals, long after any period for returning the equipment has
            expired. This scenario is precisely the outcome that our rule was
            intended to prevent. Applying the analysis set forth above to the
            facts of this case, we conclude that Toys "R" Us  is apparently
            liable for a  $248,000 forfeiture.

        IV. ORDERING CLAUSES

        12. Accordingly, IT IS ORDERED that, pursuant to Section 503(b) of
            the Communications Act of 1934, as amended, and Section 1.80 of
            the Commission's Rules, Toys "R" Us, Inc., is hereby NOTIFIED of
            this APPARENT LIABILITY FOR A FORFEITURE in the amount of two
            hundred forty-eight thousand dollars ($248,000) for violations of
            Section 15.117(k) of the Rules.

        13. IT IS FURTHER ORDERED that, pursuant to Section 1.80 of the
            Commission's Rules within thirty days of the release date of this
            Notice of Apparent Liability for Forfeiture, Toys "R" Us, Inc.,
            SHALL PAY the full amount of the proposed forfeiture or SHALL
            FILE a written statement seeking reduction or cancellation of the
            proposed forfeiture.

        14. Payment of the forfeiture must be made by check or similar
            instrument, payable to the order of the Federal Communications
            Commission. The payment must include the NAL/Account Number and
            FRN Number referenced above. Payment by check or money order may
            be mailed to Federal Communications Commission, P.O. Box 979088,
            St. Louis, MO 63197-9000. Payment by overnight mail may be sent
            to U.S. Bank - Government Lockbox #979088, SL-MO-C2-GL, 1005
            Convention Plaza, St. Louis, MO 63101. Payment by wire transfer
            may be made to ABA Number 021030004, receiving bank TREAS/NYC,
            and account number 27000001. For payment by credit card, an FCC
            Form 159 (Remittance Advice) must be submitted. When completing
            the FCC Form 159, enter the NAL/Account number in block number
            23A (call sign/other ID), and enter the letters "FORF" in block
            number 24A (payment type code). Requests for full payment under
            an installment plan should be sent to: Chief Financial Officer --
            Financial Operations, 445 12th Street, S.W., Room 1-A625,
            Washington, D.C.  20554. Please contact the Financial Operations
            Group Help Desk at 1-877-480-3201 or Email: ARINQUIRIES@fcc.gov
            with any questions regarding payment procedures. Toys "R" Us will
            also send electronic notification on the date said payment is
            made to Thomas.Fitz-Gibbon@fcc.gov.

        15. The response, if any, must be mailed to Federal Communications
            Commission, Enforcement Bureau, and must include the NAL/Acct.
            No. referenced in the caption.

        16. The Commission will not consider reducing or canceling a
            forfeiture in response to a claim of inability to pay unless the
            petitioner submits: (1) federal tax returns for the most recent
            three-year period; (2) financial statements prepared according to
            generally accepted accounting practices ("GAAP"); or (3) some
            other reliable and objective documentation that accurately
            reflects the petitioner's current financial status. Any claim of
            inability to pay must specifically identify the basis for the
            claim by reference to the financial documentation submitted.

        17. Requests for payment of the full amount of this Notice of
            Apparent Liability for Forfeiture under an installment plan
            should be sent to: Associate Managing Director, Financial
            Operations, 445 12th Street, S.W., Room 1A625, Washington, D.C.
            20554.

        18. IT IS FURTHER ORDERED that a copy of this Notice of Apparent
            Liability for Forfeiture shall be sent by Certified Mail, Return
            Receipt Requested, and regular mail, to Peter Rohrbach, Esq.,
            Hogan & Hartson LLP, 555 13th Street, NW, Washington, DC
            20004-1109, and to Joel S. Tenenberg, Litigation and Regulatory
            Counsel, Toys "R" Us, Inc., One Geoffrey Way, Wayne, NJ
            07470-2030.

       FEDERAL COMMUNICATIONS COMMISSION

       Marlene H. Dortch

       Secretary

                                  ATTACHMENT A


             Store - Location        Citation No.   Release Date   

           TOYS"R"US - Portland                                    
                                     C20073292007   June 6, 2007   
               Portland, OR                                        

           TOYS"R"US - Clackamas                                   
                                     C20073292011   June 11, 2007  
               Clackamas, OR                                       

          TOYS"R"US - Culver City                                  
                                     C20073290029   June 11, 2007  
              Culver City, CA                                      

         TOYS"R"US - National City                                 
                                     C20073294017   June 12, 2007  
             National City, CA                                     

         TOYS"R"US - Willow Grove                                  
                                     C20073240029   June 12, 2007  
             Willow Grove, PA                                      

           TOYS"R"US - Elk Grove                                   
                                     C20073296025   June 18, 2007  
               Elk Grove, CA                                       

           TOYS"R"US - Las Vegas                                   
                                     C20073290034   June 21, 2007  
               Las Vegas, NV                                       

           TOYS"R"US - Las Vegas                                   
                                     C20073290035   June 21, 2007  
               Las Vegas, NV                                       


                                  ATTACHMENT B

       .

       1. July 16, 2007, Toys "R" Us  Store # 8727, Tampa, FL


         Manufacturer   Device          Model #    Forfeiture Amount  

         Disney         "Princess" TV   DT1350P               $8,000  

                                        Subtotal              $8,000  


       2. July 16, 2007, Toys "R" Us  Store # 7009, Houston, TX


         Manufacturer   Device          Model #    Forfeiture Amount  

         Disney         "Princess" TV   DT1350P               $8,000  

                                        Subtotal              $8,000  


       3. July 16, 2007, Toys "R" Us, Store # 8744 , Brandon, FL


         Manufacturer   Device                 Model #    Forfeiture Amount  

         Disney         "Princess" TV          DT1350P               $8,000  

         Spectra        Strawberry s'cake TV   SS213                 $8,000  

                                               Subtotal             $16,000  


       4 July 17, 2007, Toys "R" Us  Store # 9529, Colorado Springs, CO


         Manufacturer   Device          Model #    Forfeiture Amount  

         Disney         "Princess" TV   DT1350P               $8,000  

                                        Subtotal              $8,000  


       5. July 17, 2007, Toys "R" Us  Store # 6315, Jersey City, NJ


         Manufacturer   Device                 Model #    Forfeiture Amount  

         Disney         "Princess " TV         DT1350P               $8,000  

         Spectra        Strawberry s'cake TV   SS213                 $8,000  

                                               Subtotal             $16,000  


       6. July 17, 2007, Toys "R" Us  Store # 6311, Carle Place, NY


         Manufacturer   Device          Model #    Forfeiture Amount  

         Disney         "Princess" TV   DT1350P               $8,000  

                                        Subtotal              $8,000  


       7. July 17, 2007, Toys "R" Us  Store # 8011, Bellevue, WA


         Manufacturer   Device                 Model #    Forfeiture Amount  

         Spectra        Strawberry s'cake TV   SS213                 $8,000  

                                               Subtotal              $8,000  


       8. July 18, 2007, Toys "R" Us  Store # 6362, Scranton, PA


         Manufacturer   Device                 Model #    Forfeiture Amount  

         Spectra        Strawberry s'cake TV   SS213                 $8,000  

                                               Subtotal              $8,000  


       9. July 18, 2007, Toys "R" Us  Store # 5817, Hayward, CA


         Manufacturer   Device                 Model #    Forfeiture Amount  

         Spectra        Strawberry s'cake TV   SS213                 $8,000  

                                               Subtotal              $8,000  


       10. July 19, 2007, Toys "R" Us  Store # 6328, North Bergen, NJ


         Manufacturer   Device          Model #    Forfeiture Amount  

         Disney         "Princess" TV   DT1350P               $8,000  

                                        Subtotal              $8,000  


       11. July 19, 2007, Toys "R" Us  Store # 8363, Columbia, MD


         Manufacturer   Device                 Model #    Forfeiture Amount  

         Spectra        Strawberry s'cake TV   SS213                 $8,000  

                                               Subtotal              $8,000  


       12. July 19, 2007, Toys "R" Us  Store # 7039, Woodlands, TX


         Manufacturer   Device          Model #    Forfeiture Amount  

         Disney         "Princess" TV   DT1350P               $8,000  

                                        Subtotal              $8,000  


       13. July 20, 2007, Toys "R" Us  Store # 9503, Overland Park, KS


         Manufacturer   Device                 Model #    Forfeiture Amount  

         Disney         "Princess" TV          DT1350P               $8,000  

         Spectra        Strawberry s'cake TV   SS213                 $8,000  

                                               Subtotal             $16,000  


       14. July 20, 2007, Toys "R" Us  Store # 9502, Independence, MO


         Manufacturer   Device                 Model #    Forfeiture Amount  

         Disney         "Princess" TV          DT1350P               $8,000  

         Spectra        Strawberry s'cake TV   SS213                 $8,000  

                                               Subtotal             $16,000  


       15. July 20, 2007, Toys "R" Us  Store # 8352, Norfolk, VA


         Manufacturer   Device          Model #    Forfeiture Amount  

         Disney         "Princess" TV   DT1350P               $8,000  

                                        Subtotal              $8,000  


       16. July 23, 2007, Toys "R" Us  Store # 8870, Burford, GA


         Manufacturer   Device                 Model #    Forfeiture Amount  

         Disney         "Princess" TV          DT1350P               $8,000  

         Spectra        Strawberry s'cake TV   SS213                 $8,000  

                                               Subtotal             $16,000  


       17. July 25, 2007, Toys "R" Us  Store # 7013, Baytown, TX


         Manufacturer   Device          Model #    Forfeiture Amount  

         Disney         "Princess" TV   DT1350P               $8,000  

                                        Subtotal              $8,000  


       18. October 4, 2007, Toys "R" Us, Store # 8744 , Brandon, FL


         Manufacturer   Device          Model #    Forfeiture Amount  

         Disney         "Princess" TV   DT1350P               $8,000  

                                        Subtotal              $8,000  


       19. October 5, 2007, Toys "R" Us  Store # 5639, Aiea, HI.


         Manufacturer   Device                 Model #    Forfeiture Amount  

         Disney         "Princess" TV          DT1350P               $8,000  

         Spectra        Strawberry s'cake TV   SS213                 $8,000  

                                               Subtotal             $16,000  


       20. November 1, 2007, Toys "R" Us, Store # 6359 , Whitehall, PA


         Manufacturer   Device                 Model #    Forfeiture Amount  

         Spectra        Strawberry s'cake TV   SS213                 $8,000  

                                               Subtotal              $8,000  


       21. November 1, 2007, Toys "R" Us  Store # 7820, Dallas, TX.


         Manufacturer   Device                 Model #    Forfeiture Amount  

         Disney         "Princess" TV          DT1350P               $8,000  

         Spectra        Strawberry s'cake TV   SS213                 $8,000  

                                               Subtotal             $16,000  


       22. November 7, 2007, Toys "R" Us  Store # 9215, Pittsburgh, PA.


         Manufacturer   Device                 Model #    Forfeiture Amount  

         Disney         "Princess" TV          DT1350P               $8,000  

         Spectra        Strawberry s'cake TV   SS213                 $8,000  

                                               Subtotal             $16,000  


       23. December 4 2007, Toys "R" Us, Store # 6330 , Paramus, NJ


         Manufacturer   Device                 Model #    Forfeiture Amount  

         Spectra        Strawberry s'cake TV   SS213                 $8,000  

                                               Subtotal              $8,000  


       24. December 6, 2007, Toys "R" Us  Store # 9213, Monroeville, PA


         Manufacturer   Device          Model #    Forfeiture Amount  

         Disney         "Princess" TV   DT1350P               $8,000  

                                        Subtotal              $8,000  


       TOTAL PROPOSED FORFEITURE: $248,000

       47 C.F.R. S: 15.117(k).

       The devices subject to this proceeding were offered for sale at
       various Toys "R" Us retail locations.

       47 U.S.C. S: 503(b).

       2002 Biennial Regulatory Review, Report and Order and Notice of
       Proposed Rulemaking, 18 FCC Rcd 13620, 13825 P: 532 (2003).

       Id.

       Second Periodic Review of the Commission's Rules and Policies
       Affecting the Conversion To Digital Television, Second Report and
       Order, 22 FCC Rcd 8776 P: 1 (2007) ("Second DTV Periodic Report and
       Order").

       Id. at 8781-2 P: 10.

       Id. at 8784 P: 14. See 47 C.F.R. S: 15.117(k). In the Second DTV
       Periodic Report and Order, the Commission defined "point of sale" as
       the "place where televisions are displayed for consumers prior to
       purchase." See Second DTV Periodic Report and Order,  22 FCC Rcd at
       8781 n.29.

       Second Periodic Review in the Commission's Rules and Policies
       Affecting the Conversion to Digital Television, 72 Fed. Reg. 28894-01
       (May 23, 2007).

       47 C.F.R. S: 15.117(k)(1).

       Id.

       47 C.F.R. S: 15.117(k)(2).

       Toys "R" Us, Portland OR, Citation No. C20073292007 (Enf. Bur.,
       Portland, OR, Office, rel. June 6, 2007).

       See Attachment A for a list of the citations issued to Toys "R" Us
       (collectively "Citations"). In preparing the Citations,  Enforcement
       Bureau staff relied on  publicly available information, including
       retailer and manufacturer websites, to identify the television
       receiving equipment with analog-only tuners.

       On June 14, 2007, Toys "R" Us responded to the first Citation. See
       Letter from Joel S. Tenenberg, Litigation and Regulatory Counsel, Toys
       "R" Us, Inc., to the Enforcement Bureau, Federal Communications
       Commission, dated June 14, 2007. Toys "R" Us also filed responses to
       the other Citations. We note that following issuance of the Citations,
       the Enforcement Bureau, after reviewing the devices' technical
       specifications and user's manuals, determined that the following
       Citations referred to erroneously identified equipment models:
       Citation Nos. C20073290034 (Starlight Randix Corp. PC1310ATV),
       C20073296025 (Starlight Randix Corp. PC1310ATV) and C20073292007
       (Barbie Bar322). In light of this evidence, we hereby cancel the
       relevant portions of the above citations with respect to those models.

       See Attachment B for a listing of the stores and the models observed
       at each store.  Enforcement Bureau staff determined that these models
       had analog-only tuners by consulting the manufacturer's product
       manuals or, if such were unavailable, the models' technical
       specifications from the Toys "R" Us website.

       47 U.S.C. S: 503(b)(1)(B); 47 C.F.R. S: 1.80(a)(2).

       47 U.S.C. S: 312(f)(1).

       H.R. Rep. No. 97-765, 97th Cong. 2d Sess. 51 (1982).

       See, e.g., Application for Review of Southern California Broadcasting
       Co., Memorandum Opinion and Order, 6 FCC Rcd 4387, 4388 (1991)
       ("Southern California Broadcasting Co.").

       See, e.g., Callais Cablevision, Inc., Grand Isle, Louisiana, Notice of
       Apparent Liability for Monetary Forfeiture, 16 FCC Rcd 1359, 1362 P:
       10 (2001) ("Callais Cablevision") (issuing a Notice of Apparent
       Liability for, inter alia, a cable television operator's repeated
       signal leakage).

       Southern California Broadcasting Co., 6 FCC Rcd at 4388 P: 5; Callais
       Cablevision, Inc., 16 FCC Rcd at 1362 P: 9.

       47 U.S.C. S: 503(b); 47 C.F.R. S: 1.80(f).

       See, e.g., SBC Communications, Inc.,  Forfeiture Order, 17 FCC Rcd
       7589, 7591 P: 4 (2002) (forfeiture paid).

       Attachment B lists the dates of the Enforcement Bureau inspections,
       the analog-only models identified in violation of Section 15.117(k),
       as well as the Toys "R" Us  stores involved.

       Section 503(b)(5) states that no forfeiture liability shall be
       determined against any person who does not hold a license, permit,
       certificate, or other authorization issued by the Commission unless,
       prior to issuance of any Notice of Apparent Liability, such person is
       "(A) sent a citation of the violation charged; (B) is given a
       reasonable opportunity for a personal interview with an official of
       the Commission at the field office of the Commission which is nearest
       to such person's place of residence; and (C) subsequently engages in
       conduct of the type described in such citation." 47 U.S.C. S:
       503(b)(5). The apparent violations discussed in this NAL are subject
       to forfeiture because we have afforded Toys "R" Us  a reasonable
       opportunity for a personal interview or to submit a written response
       to its first Citation before conducting a second round of inspections
       that would count towards potential forfeiture liability. See supra
       para. 5 and notes 15 and 16. To the extent that the television
       receiving models involved in this NAL differ from those listed in the
       Citations, no additional citations are necessary because the more
       recent apparent violations are "conduct of the type described" in the
       earlier Citations - violations of Section 15.117(k). See HighTech CB
       Shop, Forfeiture Order, 20 FCC Rcd 12514, 12516 P: 9 (Enf. Bur. South
       Central Region 2005), recon. denied, 20 FCC Rcd 19269 (Enf. Bur.
       2005). In any event, the requirements of Section 503(b)(5) do not
       apply to Toys "R" Us, which is a Commission licensee and therefore
       subject to forfeiture under Section 503(b)(2) of the Act without first
       receiving notice via a citation. See, e.g., Stations WPTA233 and
       WPVX249 licensed to Toys "R" Us in the Industrial/Business Pool
       Private Land Mobile Service.

       47 U.S.C. S: 503(b)(2)(D). The Commission twice amended Section
       1.80(b)(3) of the Rules, 47 C.F.R. S: 1.80(b)(3), to increase the
       maximum forfeiture amounts, in accordance with the inflation
       adjustment requirements contained in the Debt Collection Improvement
       Act of 1996, 28 U.S.C. S: 2461. See Amendment of Section 1.80 of the
       Commission's Rules and Adjustment of Forfeiture Maxima to Reflect
       Inflation, Order, 15 FCC Rcd 18221 (2000) (adjusting the maximum
       statutory amounts from $10,000/$75,000 to $11,000/$87,500); Amendment
       of Section 1.80 of the Commission's Rules and Adjustment of Forfeiture
       Maxima to Reflect Inflation, Order, 19 FCC Rcd 10945 (2004) (adjusting
       the maximum statutory amounts from $11,000/$87,500 to
       $11,000/$97,500).

       47 U.S.C. S: 503(b)(2)(E). See also 47 C.F.R. S: 1.80(b)(4), Note to
       paragraph (b)(4): Section II. Adjustment Criteria for Section 503
       Forfeitures.

       See The Commission's Forfeiture Policy Statement and Amendment of
       Section 1.80 of the Rules to Incorporate the Forfeiture Guidelines,
       Report and Order, 12 FCC Rcd 17087, 17115 (1997), recon. denied, 15
       FCC Rcd 303 (1999) ("Forfeiture Policy Statement").

       Second DTV Periodic Report and Order,  22 FCC Rcd at 8782-3 P: 12.

       Id. at 8783  P: 12. See also 47 C.F.R. S:S: 11.1-11.61, 79.2.

       See Pine Telephone Inc., Notice of Apparent Liability, 22 FCC Rcd
       9205, 9210 P: 11 (Enf. Bur., Spectrum Enf. Div. 2007); IT&E Overseas,
       Inc., Notice of Apparent Liability, 22 FCC Rcd 7660, 7665 P: 10 (Enf.
       Bur., Spectrum Enf. Div. 2007).

       We caution Toys "R" Us  and other retailers that future cases
       involving repeat offenders may result in the imposition of forfeitures
       on a continuing violation basis.

       "After the transition, absent a label requirement, even cable and
       satellite subscribers might be surprised to find that they cannot
       receive television broadcasts over-the-air on an analog-only
       television purchased today if they choose to discontinue subscription
       service or their cable or satellite service is terminated by disaster,
       service disruption, or for non-payment of their bills." Second DTV
       Periodic Report and Order, 22 FCC Rcd at 8783 P: 12.

       See Attachment B regarding the calculation of the total proposed
       forfeiture amounts.

       47 U.S.C. S: 503(b), 47 C.F.R. S:S: 1.80, 15.117(k).

       See 47 C.F.R. S: 1.1914.

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       Federal Communications Commission FCC 08-124

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       Federal Communications Commission FCC 08-124