US Appeals Court Blocks FCC’s Move to Reinstate Net Neutrality Rules

A U.S. appeals court ruled on Tuesday that the Federal Communications Commission (FCC) lacked the authority to reinstate regulations requiring equal treatment of internet traffic. The ruling, issued by a three-judge panel of the Cincinnati-based 6th U.S. Circuit Court of Appeals, effectively bars the FCC from reviving rules that had originally been implemented during the Obama administration and repealed under former President Donald Trump.

The court’s decision hinged on the Supreme Court’s recent ruling in Loper Bright Enterprises v. Raimondo, which overturned a 1984 precedent granting deference to government agencies in interpreting laws under their jurisdiction. Per Reuters, the appeals court stated that applying the Loper Bright decision provided grounds to curtail the FCC’s efforts to “vacillate” on the matter.

The net neutrality rules, first adopted in 2015 under the Obama administration, require internet service providers (ISPs) to treat all data on their networks equally. This prohibits practices such as blocking or slowing access to specific content and forbids preferential treatment for certain users or companies through paid arrangements. However, these rules were rolled back in 2017 by the FCC under President Trump, leading to years of legal and political contention.

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

President Joe Biden has been a vocal supporter of restoring net neutrality and previously urged the FCC to revisit the rules. In April, the FCC, now under Democratic leadership, voted along party lines to reassume regulatory oversight of broadband internet and reestablish the open internet rules. However, industry groups quickly challenged the move, securing a temporary injunction while the case was under review.

The court’s ruling has broader implications for the authority of federal agencies. As Reuters noted, the decision reflects a growing trend in judicial scrutiny of administrative power, particularly in light of the Supreme Court’s recent emphasis on limiting agencies’ interpretive authority. The court concluded that the FCC’s attempt to reassert its oversight was inconsistent with the limits set forth in Loper Bright.

Proponents of the reinstated rules argue they are essential for ensuring a fair and open internet, while opponents claim such regulations impose unnecessary burdens on the telecommunications industry. The FCC’s proposed rules also aimed to enhance oversight capabilities, including monitoring internet service outages and addressing concerns about foreign telecom companies, particularly from China.

Source: Reuters