Sixth Circuit Appeals Court Stays the FCC's Net Neutrality Rules

'Because the broadband providers have shown that they are likely to succeed on the merits and that the equities support them, we grant the stay,' the court said.

Sixth Circuit Appeals Court Stays the FCC's Net Neutrality Rules
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WASHINGTON, Aug.1 , 2024 - A federal court in Ohio on Thursday blocked the Federal Communications Commission from moving forward with major regulations covering Internet Service Providers like AT&T, Comcast, and Verizon.

Sixth Circuit Stay Order

PER CURIAM. On May 22, 2024, the Federal Communications Commission issued a rule classifying broadband internet providers as common carriers subject to heightened regulatory requirements under Title II of the Communications Act of 1934. See Safeguarding and Securing the Open Internet, 89 Fed. Reg. 45404 (May 22, 2024) (to be codified at 47 CFR pts. 8, 20). The rule was set to go into effect on July 22, 2024. We administratively stayed this effective date until August 5, 2024. Several broadband providers asked this court to stay the final rule pending review of their petitions. Because the broadband providers have shown that they are likely to succeed on the merits and that the equities support them, we grant the stay.
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A panel of U.S. Court of Appeals for the Sixth Circuit in Cincinnati issued a stay that blocked enforcement of the Federal Communications Commission's Net Neutrality rules – which, among other things, ensured an open Internet for lawful content.

"Because the broadband providers have shown that they are likely to succeed on the merits and that the equities support them, we grant the stay," a three-judge panel said in a 14-page ruling.

FCC Chairwoman Jessica Rosenworcel issued a statement immediately after the decision was posted online.

“The American public wants an internet that is fast, open, and fair. Today’s decision by the Sixth Circuit is a setback but we will not give up the fight for net neutrality," she said.

The court also said the Net Neutrality rules likely violated the Supreme Court's major questions doctrine, which bars the FCC from resolving questions of vast economic and political significance without clear statutory authorization from Congress.

"The Communications Act likely does not plainly authorize the [FCC] to resolve this signal question. Nowhere does Congress clearly grant the [FCC] the discretion to classify broadband providers as common carriers," the court said.

The ruling should come as a major setback for Rosenworcel, who repeatedly predicted the rules would be upheld. It appears the rules could remain on hold for years as the Supreme Court is expected to decide the key legal issues in the end.

The FCC adopted the Net Neutrality rules on April 25 and were immediately appealed by national and regional trade associations for ISPs that combined likely serve about 90 percent of all Internet subscribers in the country.

Today's ruling, in a unanimous 3-0 vote, was handed down by Chief Judge Jeffrey Sutton, Circuit Judge Eric Clay, and Circuit Judge Stephanie Dawkins Davis. Sutton was appointed by President George W. Bush, Clay by President Bill Clinton and Davis by President Joe Biden.

The FCC released the rules on May 7, a 512-page document that classified broadband ISPs as common carriers under Title II of the Communications Act. The utility-style approach barred ISPs from blocking or throttling lawful content or accepting payment to favor content in a discriminatory manner.

The FCC's 2015 Net Neutrality rules - upheld by the U.S. Court of Appeals for the D.C. Circuit – were scuttled in 2018 by the FCC headed by Republican Chairman Ajit Pai.

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