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The Courts Government United States

Supreme Court Sides With Trump Administration On Federal Regulation of Telecom Companies (apnews.com) 73

An anonymous reader quotes a report from the Associated Press: The Supreme Court sided with the Trump administration Thursday in upholding the power of federal regulators to enforce data privacy laws on telecommunications companies. The 8-1 decision (PDF) preserved one of the Federal Communications Commission's key tools, though the companies also won a concession from the Republican administration that could shift the regulatory landscape.

The appeal from telecommunications giants Verizon and AT&T challenged a combined $100 million in penalties imposed after the agency determined that the companies had failed to safeguard customer location data. The companies argued that the FCC's process was unconstitutional because it gave them little opportunity to tell their side of the story in front of a jury. The administration defended the fines are an essential regulatory tool. But the government also said companies did not have to pay the penalties right away, a regulatory shift in the companies' favor.

The Supreme Court agreed, affirming the FCC's power to order fines when challenges are still available. "The orders at issue did not settle the carriers' legal obligations because, stated simply, they did not create an obligation to pay," Chief Justice John Roberts wrote for the majority. [...] Other agencies use similar enforcement methods, so a sweeping victory for AT&T and Verizon could have had widespread effects, advocates said.

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Supreme Court Sides With Trump Administration On Federal Regulation of Telecom Companies

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  • by Anonymous Coward

    You're shitting me.

  • 8-1 decision (Score:5, Informative)

    by fahrbot-bot ( 874524 ) on Thursday June 04, 2026 @02:19PM (#66175524)

    For the TL;DR crowd. Clarence Thomas was the single dissent.

    • by OrangeTide ( 124937 ) on Thursday June 04, 2026 @02:53PM (#66175602) Homepage Journal

      Verizon and AT&T should have offered the other justices interest-free loans to buy an RV. Really a huge slip up for these large corporations to not have used the levers they had available to them.

      • They already got "Justice" Thomas dissenting.

        The other "conservative Justices" prefer private jet trips to private enclaves to have ridiculously expensive wines and caviar with benefactor billionaires who want influence.

        • Re: (Score:1, Troll)

          by OrangeTide ( 124937 )

          Really short-sighted on the GOP's part to have chosen justices that are expensive to bribe.

          Democrats have things far easier, you can push your agenda through if you add a token gesture to a woke ideology. We could have gotten the Keystone Pipeline on track if the oil executives would have promised a bird sanctuary every 100 miles along the pipeline staffed by trans biologists or whatever gets center-right liberals excited.

    • Imagine everyone's shock and surprise.

  • One ruling for Donald Trump... One ruling for Americans... One more ruling for Donald Trump.. and one more ruling for Americans...
  • by schwit1 ( 797399 ) on Thursday June 04, 2026 @02:36PM (#66175558)

    The primary question presented to the Supreme Court was whether the administrative enforcement and forfeiture provisions of the Communications Act of 1934 violate the Seventh Amendment and Article III of the Constitution by allowing the FCC to impose steep monetary penalties without guaranteeing the defendant a right to a jury trial.

    The FCC fined ATT and Verizon for illegally sharing location data. The companies said this was not permitted because Jarkesy required a jury trial.

    The majority distinguished the FCC's process from the unconstitutional SEC framework struck down in Jarkesy. Because the Communications Act leaves the ultimate mechanism of forced collection up to a subsequent federal court proceeding—where a jury trial remains available if a carrier refuses to pay—the preliminary administrative fact-finding by the FCC is a constitutionally permissible mechanism.

    The 2 companies can refuse to pay the fines. The FCC could then take them to court where a trial would decide.

    • Thanks! It's amazing how awful most of the headlines are. Here at slashdot we have

      Supreme Court Sides With Trump Administration

      which is not at all true, it has nothing to do with the President or any decision or policy that he or anybody in the administration made. It's actually, as you point out, corporations challenging a government power nearly 100 years old.

      It would be just as reasonable to say, "Supreme Court Sides with Carter Administration," which of course would be silly.

      Over at SCOTUSblog, a more reputable source of news, their headline read

  • by Himmy32 ( 650060 ) on Thursday June 04, 2026 @02:39PM (#66175562)

    "No obligation to pay” having the meaning that they could be fined but not pay, and instead take it to federal court in front of a jury. The argument by the telecos was that their reputations were harmed by just being accused of wrongdoing before it made it to court, which only Thomas agreed with.

    This is a little different than what a layman reading might imply of the fine being optional or just "delayed".

    • Boo fucking hoo.

      Don't sell people's private data, and you don't have to deal with the reputational damage that comes with selling people's private data.

      That reputational damage would have occurred whether the FCC disclosed their behavior through regulatory filings and fines, or someone just wrote a story in ${PRESS_PUBLICATION}. And it's truthful behavior - they actually did the thing being said.

      Fuck your "reputational harm" for doing exactly what is being said you are doing.

    • How many US laws protect the reputation of living persons? Corporations have the money to protect their reputations while their customers don't have the money to protect their privacy or reputation.

      Also, is the government always bearing the cost of litigation? The government is entitled to damages when the corporation loses the fight protecting its "reputation". The government needs to recoup wasted time or every corporation will fight every judgement against it, for the benefits of its reputation and

    • It's exactly what a layman would understand the right to a jury trial to be; if you disagree with the fine, you can wait until they prove it in court to pay.

      That's exactly how every other fine works.

      You were so eager to agree the gubermint is bad that you didn't even rub two brain cells together before deciding what you think the dispute is about, nor did you put on your thinking cap before choosing an angle of attack.

  • by geekmux ( 1040042 ) on Thursday June 04, 2026 @05:52PM (#66175826)

    The appeal from telecommunications giants Verizon and AT&T challenged a combined $100 million in penalties imposed after the agency determined that the companies had failed to safeguard customer location data.

    When we say failed to safeguard, do we perhaps mean to include all those times a random three-letter Federal entity came marching into a civilian communications company to give a nice reach-around the Fourth Amendment in order to access data normally prohibited by the US Constitution for every valid reason?

    Asking for a Founding Father who's up to 275RPM in the grave..

Use the Force, Luke.

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