Net neutrality regulations were set to take effect on July 22, but the U.S. Court of Appeals for the Sixth Circuit announced on Friday that it needs more time to decide whether to allow the rules to go into effect or to stay them until a lawsuit filed by multiple broadband trade groups is resolved.
The court has postponed the effective date of net neutrality until at least August 5. At that time, it may decide whether to let net neutrality take effect during the lawsuit.
Initially, the delay seemed like bad news for the Federal Communications Commission (FCC) because its net neutrality rules are delayed. However, Blair Levin, a policy analyst at New Street Research, said the short stay “tells us nothing about the ultimate outcome.”
This is big. The decision inherently signals the court’s determination of appellants’ likelihood of success on the merits against the @FCC. #TitleII #netneutrality https://t.co/YzXOCrzhXf
— Robert M. McDowell (@McDowellTweet) July 12, 2024
An administrative stay does not indicate the panel’s leaning, Levin wrote. Explaining its decision, a three-judge panel from the Sixth Circuit stated, “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 argue that the FCC broke the law by reclassifying broadband providers under Title II of the Communications Act when enacting net neutrality.
FCC Chairwoman Jessica Rosenworcel has repeatedly expressed confidence that the net neutrality rules will withstand judicial scrutiny. The court’s order also requested additional briefs from the parties to the dispute, to be filed no later than July 19. Levin noted that 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 significantly impacted all U.S. administrative agencies regarding the extent of their powers.
