Appeals Court Grants FCC Request to Pause USF Challenge
Fifth Circuit stay halts proceedings in Consumers’ Research v. FCC until government funding resumes
Fifth Circuit stay halts proceedings in Consumers’ Research v. FCC until government funding resumes
WASHINGTON, November 5, 2025 – The Fifth Circuit Court of Appeals on Tuesday paused proceedings in the latest case targeting the federal Universal Service Fund.
The court granted a request filed Friday by the Federal Communications Commission to stay proceedings in Consumers’ Research v. FCC while the Justice Department and the FCC remain unfunded during the ongoing federal government shutdown.
The government shutdown “has effectively eliminated the ability of counsel who have worked on and are familiar with this case to handle the litigation while the lapse in appropriations continues,” wrote FCC counsel Jacob Lewis in the agency’s Oct. 31 motion.
Because of the impact that future plants pose to current ratepayers, state regulators want proof that proposed data centers will actually get built.
Supporters say the deal could expand broadband investment, onshore customer service jobs, and improve employee wages.
The company said it would seek a waiver to use the terrestrial spectrum for satellite service.
Verizon is asking Supreme Court to resolve a split between the D.C. and the Second Circuits, on the one hand, and the Fifth Circuit, on the other.
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