US Supreme Court to hear challenge over FCC fines for wireless carriers

The U.S. Supreme Court agreed to hear a dispute over nearly $200 million in FCC fines imposed in 2024 on major wireless carriers for sharing customer location data without consent, and the justices are expected to rule by the end of June.

The U.S. Supreme Court agreed on Jan. 9 to hear a dispute over fines the Federal Communications Commission imposed on major wireless carriers for sharing customer location data without users' consent. The penalties were assessed in 2024 and prompted legal challenges that reached appeals courts. Those courts issued conflicting rulings on whether the FCC's in-house enforcement process deprived companies of a constitutional right to a jury trial. The case arrives amid other recent Supreme Court decisions testing federal agencies' enforcement authority. Key points: - The dispute concerns nearly $200 million in fines the FCC imposed in 2024 for selling access to customer location data to third parties without securing consent. - Individual penalties included an $80 million fine for T-Mobile (including a $12 million figure tied to Sprint), about $57 million for AT&T, and nearly $47 million for Verizon. - The legal question is whether the FCC's initial assessment of penalties, before a court proceeding, violates the Seventh Amendment right to a jury trial. - Federal appeals courts split: the 2nd U.S. Circuit Court of Appeals upheld the FCC's fine against Verizon, while the 5th U.S. Circuit Court of Appeals ruled for AT&T that the process deprived the company of a jury trial. - Those conflicting appeals rulings led both Verizon and the FCC to seek review by the Supreme Court. - The Supreme Court is expected to hear arguments and issue a decision by the end of June. Summary: The Supreme Court will decide whether the FCC can impose initial penalty assessments through its in-house enforcement before a court proceeding, resolving a split among appeals courts. The case stems from nearly $200 million in 2024 fines over the sale of customer location data. The justices are scheduled to hear arguments and to rule by the end of June.