- Multiple broadband trade groups have sued the FCC over net neutrality
- Net neutrality was set to go into effect on July 22, but now a court has postponed that deadline
- The court is requesting more briefs because administrative powers are in question after a recent Supreme Court ruling
Net neutrality regulations were supposed to go into effect on July 22, but on Friday the U.S. Court of Appeals for the Sixth Circuit said it needs more time to determine if it will allow the rules to go into effect or stay them until it resolves a lawsuit filed by multiple broadband trade groups.
The court has postponed the effective date of net neutrality until at least August 5. At that time, it may provide a decision on whether to let net neutrality take effect, or not, during the lawsuit.
At first blush, the delay seemed like bad news for the Federal Communications Commission (FCC) because its net neutrality rules are delayed. But New Street Research policy analyst Blair Levin said the short stay “tells us nothing about the ultimate outcome.”
An administrative stay does not provide any indication of the way the panel is leaning, wrote Levin.
In explaining its stay, a three-judge panel from the Sixth Circuit wrote, “To provide sufficient opportunity to consider the merits of the motion to stay the FCC’s order, we conclude that an administrative stay is warranted.”
The groups filing the lawsuit in the Sixth Circuit claim the FCC broke the law when it enacted net neutrality by deciding to reclassify broadband providers under Title II of the Communications Act.
The FCC, led by Chairwoman Jessica Rosenworcel, has repeatedly expressed confidence that the net neutrality rules will withstand judicial scrutiny.
In its order last Friday, the court also asked for more briefs by the parties to the dispute, filed no later than July 19.
Levin said the court needs more time and more briefs to consider the new legal environment created by the Supreme Court’s recent overturning of the landmark case Chevron U.S.A. Inc. v. Natural Resources Defense Council. The Chevron ruling has thrown a major curveball to all U.S. administrative agencies in regard to the extent of their powers.
