FCC urges courts to ignore 5th Circuit ruling that agency can’t issue fines

The Federal Communications Commission (FCC) has challenged a US Court of Appeals for the 5th Circuit decision overturning a $57 million penalty against AT&T for selling customer data without consent, citing the Supreme Court’s June 2024 Jarkesy case. Despite the FCC’s history of regulating privacy and former chairman Brendan Carr’s opposition to such penalties, this ruling was unexpected and has drawn criticism from the FCC as undermining its authority over data privacy violations. Meanwhile, Verizon and T-Mobile are urging courts in their regions to follow the FCC’s lead, amid broader legal battles over the FCC’s role in balancing privacy rights with consumer protection regulations.