Federal Appeals Court Expresses Doubts Over FCC’s Authority in Net Neutrality Revival

On Thursday, a federal appellate panel showed hesitation over the U.S. Federal Communications Commission’s (FCC) authority to reinstate net neutrality rules, suggesting that the agency may have overstepped its jurisdiction in reviving the regulations. This challenge, presented by internet service provider (ISP) groups, raises questions about the FCC’s regulatory reach. According to Reuters, the 6th U.S. Circuit Court of Appeals’ three-judge panel based in Cincinnati is evaluating the legality of the FCC’s actions as part of an ongoing lawsuit that could influence the future of net neutrality in the United States.

In early 2024, the FCC, encouraged by the Biden administration, moved to restore net neutrality rules initially enacted in 2015 under former President Obama. The rules, which were subsequently repealed in 2017 during the Trump administration, mandate that ISPs treat all internet traffic equitably without favoring specific users, restricting speeds, or selectively blocking content. This reclassification of broadband as a telecommunications service would allow for FCC oversight aimed at enforcing these neutrality standards, a decision that has drawn fierce opposition from the telecommunications industry while finding support among tech giants like Amazon, Apple and Google.

At the heart of the legal debate is whether the FCC holds the authority to enforce such extensive regulation over broadband providers, a question that Judge Richard Allen Griffin raised during the proceedings. According to Reuters, Judge Griffin questioned whether the FCC’s shifting stance across the last three administrations weakened its legal foundation for bringing back these rules. “If it’s a close call, should we not defer to the policy of Congress, which is to not provide for extensive regulation?” Griffin asked, suggesting that the FCC may lack clear legislative support for this level of regulatory authority.

Read more: FCC Requests Transfer of Net Neutrality Legal Challenges to DC Circuit Court

FCC Associate General Counsel Jacob Lewis defended the agency’s position, arguing that federal law grants the FCC broad latitude to interpret its regulatory powers over telecommunications, especially in cases with such economic and social importance. “Congress clearly understood that the commission would have to make these calls,” Lewis said, according to Reuters.

Currently, a different panel of the 6th Circuit has placed a temporary hold on the FCC’s net neutrality rules, effectively preventing them from taking effect until the broader case is resolved. This panel invoked the “major questions” doctrine, a legal principle that allows courts to block executive agency actions on matters of “vast economic and political significance” unless they are clearly authorized by Congress.

Telecom industry representatives argue that FCC overreach could create regulatory uncertainty and stifle innovation, while advocates for net neutrality contend that the rules are crucial to ensuring equal internet access for all users. The FCC, meanwhile, remains committed to reclassifying broadband in order to bring ISPs under its regulatory purview, a move it says is essential to protecting the open nature of the internet.

Source: Reuters