Sorainen, acting on behalf of SIA Bauskas Dzive, the publisher of the Latvian newspaper of the same name, has persuaded the Latvian Supreme Court to partially satisfy a complaint against a decision of the Administrative District Court, which had refused to initiate a case on the basis of Bauskas Dzive’s application against the conduct of the Council of Iecava Region, itself the publisher of the Iecavas Zinas newspaper.
As reported by CEE Legal Matters last summer, Sorainen is advising Bauskas Dzive pro bono in its claims against the Council of Iecava Region. On behalf of Bauskas Dzive, Sorainen requested that Iecavas Zinas: (1) be prohibited from publishing articles that do not relate to the municipality's functions; (2) be excluded from the mass media register; and (3) be prohibited from operating in the advertising market. In addition, Sorainen requested that Bauskas Dzive be compensated for losses of more than 33,000 EUR.
According to Sorainen, "although the Latvian Supreme Court did not provide a comprehensive assessment as to what extent the conduct of the Council of Iecava Region should be considered to be legal by issuing the specific newspaper, the Court set strict rules that the newspaper (and any newspaper, in fact, issued by any municipality as a means of mass media) must observe." According to Sorainen, those rules are:
- the newspaper must be used for the benefit of the entire public;
- the publication must promote the principles and basis of the Latvian Constitution;
- the newspaper must not place unilateral emphasis on certain interests, groups, or political grouping;
- the publication must reflect a diversity of opinions, including those from political opponents.
In addition, the Supreme Court stressed that “use of state funds for such mass media is justified only if the editorial part of the mass media meets the highest standards of journalistic quality (the truthfulness of published information has been carefully checked, diversity of opinions is appropriately reflected, and the principles of journalistic ethics have been observed).”
According to Sorainen, "with this decision, the Cour' has partially bridged the legal gap that ruled over the so-called “municipal press,' which in fact simply imitated the free press and in essence should be recognized as advertising brochures for the municipality concerned."
The Court determined that, in Sorainen's words, "a top-level institution [Ministry of Environmental Protection and Regional Development] must ensure observance of these criteria, such as keeping to the main values of the Latvian Constitution and maintaining journalistic quality. Taking into account that presently almost none of the publications issued by municipalities in Latvia as a means of mass media meet these criteria, the ministry is expected to assess the conduct of municipalities when funding them. In turn, with regard to operations by municipalities in the advertising market, the SC acknowledged that private mass media are entitled to go to court if these operations threaten their existence. In these cases the private mass media can claim:
- a stop on unequal conditions and eliminating the threat;
- a stop on or at least a decrease in the scope of activities by mass media funded by a local authority in the advertising market;
- a stop on subsidies from state funds or introduction of a suitable funding mechanism."
Finally, according to Sorainen, "on the one hand, the SC decision builds a strong foundation for Bauskas Dzive to continue protecting its rights in court against the Iecava Regional Council; on the other hand, the decision opens the door for other regional mass media to go to court against municipalities when their informative publications unfairly compete in the advertising market. In addition, the means of protection indicated by the Court are sufficiently wide to enable each of the private mass media to claim a satisfactory solution to the situation."
Bauskas Dzive was assisted in its claim by Sorainen Partner Agris Repss, Senior Associate Andris Taurins, and Associate Jorens Jaunozols.
