2nd Circuit Upholds FCC Data Fine Against Verizon
The 2nd Circuit U.S. Court of Appeals on Wednesday upheld a $46.9 million fine against Verizon for violating FCC data rules. Judges heard the case in April and appeared skeptical of claims that Verizon had the right to a jury trial before the FCC handed down the fine (see 2504290060).
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“We conclude that device-location data is statutorily protected, that the FCC reasonably determined Verizon’s liability, and that the forfeiture order neither violates the applicable statutory limits nor Verizon’s asserted Seventh Amendment rights,” said a decision written by Judge Alison Nathan. “The customer data at issue plainly qualifies as customer proprietary network information, triggering the Communication Act’s privacy protections.”
In August, the D.C. Circuit upheld a similar fine against T-Mobile (see 2508150044), while the 5th Circuit earlier rejected a fine imposed on AT&T (see 2504180001). Industry observers said the issue could be headed to the U.S. Supreme Court to decide, given the split in the circuits.