A brewing Supreme Court battle over the Federal Communications Commission’s power to take enforcement actions against wireless carriers could have important implications for the ability of federal energy regulators issue their own fines.
In a pending case before the nation’s highest bench, the FCC has challenged a finding by a lower bench that the commission violated companies’ Seventh Amendment right to a jury trial when it imposed a more than $57 million penalty on AT&T for data breaches and violations of consumer privacy rights.
FCC has defended the constitutionality of its two-stage enforcement system under the Communications Act, which ultimately allows companies to contest fines before a federal court.
In an amicus brief filed Friday by the Citizens Utility Board of Illinois, the ratepayer advocate warned that if the Supreme Court upholds the decision by the 5th U.S. Circuit Court of Appeals, it could also prevent agencies like the Federal Energy Regulatory Commission and the Department of Energy from taking their own enforcement actions to ensure grid reliability, protect ratepayers and address information leaks about the nation’s nuclear weapons.
