A U.S. appeals court ruled Thursday that the Federal Communications Commission lacks legal authority to reinstate a historic landmark. net neutrality rules.
The move is a blow to the outgoing Biden administration, which had ensured the restoration of the political system. Open Internet sets a priority. President Joe Biden signed a 2021 executive order encouraging the FCC to reinstate the rules.
A three-judge panel of the Cincinnati-based 6th U.S. Circuit Court of Appeals said the FCC lacked the authority to reinstate rules originally implemented in 2015 by the agency under the former Democratic President Barack Obama, but then repealed by the commission in 2017 under the former Republican president. President Donald Trump.
Net neutrality rules require Internet service providers to treat Internet data and users equally rather than restricting access, slowing speeds or blocking content for certain users. The rules also prohibit special deals in which ISPs offer enhanced network speeds or access to privileged users.
The court cited the Supreme Court’s June ruling in a case known as Loper Bright to overturn a 1984 precedent that had shown deference to government agencies in interpreting the laws they administer, in the latest move aimed at restricting the authority of federal agencies. “Implementing Loper Bright means we can put an end to the FCC’s hesitation,” the court ruled.
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The decision leaves in place state neutrality rules adopted by California and others, but could end more than 20 years of efforts to give federal regulators extensive oversight of the Internet.
New FCC Chairman Brendan Carr voted against reinstatement last year and welcomed the decision to invalidate what he called Biden’s “internet takeover.” He pledged to ease additional regulations.
FCC Chairwoman Jessica Rosenworcel called on Congress to act after the ruling. “Consumers across the country have told us time and time again that they want fast, open and fair internet. With this decision, it is clear that Congress must now answer their call, take responsibility for net neutrality, and enshrine the principles of the open Internet into federal law,” Rosenworcel said in a statement.
The FCC voted in April along partisan lines to take back regulatory oversight of broadband internet and restore open internet rules. Industry groups filed suit and managed to convince the court to temporarily block the rules while they considered the case.
USTelecom, an industry group whose members include AT&T and Verizon, said in a joint statement with other groups that filed the lawsuit that the ruling is “a victory for American consumers that will lead to more investment, innovation and competition in the dynamic digital market.
Former FCC Chairman Ajit Pai said the court’s decision should mean an end to efforts to restore the rules and a refocus on “what really matters to American consumers – like improving the access to the Internet and the promotion of online innovation.
The Trump administration is unlikely to appeal the decision, but net neutrality supporters could seek a review from the Supreme Court.
The rules would have given the FCC new tools to crack down on Chinese telecommunications companies and the ability to monitor internet service outages.
A group representing companies including Amazon.com, Apple, Alphabet and Meta Platforms had supported the FCC’s net neutrality rules.