Articles Tagged: Fcc


Supreme Court Bolsters FCC Fine Authority and SEC Disgorgement Power

The U.S. Supreme Court handed federal regulators two important victories, preserving enforcement tools that many companies had hoped the justices might narrow. In one decision, the Court ruled for the Federal Communications Commission in its dispute with ATT and Verizon over agency-imposed fines. In the other, the Court unanimously sided with the Securities and Exchange Commission, affirming the agency’s ability to seek broad disgorgement in enforcement actions involving investor fraud.

Taken together, the rulings stand out because they cut against the recent trend of heightened judicial skepticism toward administrative agencies.

Supreme Court Preserves FCC’s Penalty Process in AT&T Privacy Fight

The Supreme Court’s decision in FCC v. ATT, Inc. is a major win for federal agency enforcement and a significant development for the telecom industry. In a ruling issued June 4, 2026, the Court held that the Federal Communications Commission’s forfeiture process does not violate the Seventh Amendment, allowing the agency to continue imposing substantial monetary penalties through its existing administrative framework.

The dispute stemmed from FCC enforcement actions seeking roughly $57 million from ATT and $47 million from Verizon over alleged failures to safeguard customer location data.

Supreme Court Preserves FCC Fine Process in AT&T and Verizon Challenge

The Supreme Court in early June handed the Federal Communications Commission an important administrative-law win, rejecting a challenge by ATT and Verizon to the agency’s process for imposing telecom fines. The ruling preserves a key piece of the FCC’s enforcement toolkit and, just as notably, suggests the Court is not prepared to automatically extend its recent hostility toward some forms of agency adjudication into every regulatory setting.

The dispute centered on whether the FCC’s in-house enforcement mechanism for monetary penalties runs afoul of constitutional limits that have drawn increasing scrutiny in recent years.

Supreme Court Preserves FCC In-House Penalty Process in Telecom Privacy Dispute

The U.S. Supreme Court on Friday delivered a significant administrative-law win to the Federal Communications Commission, ruling 8-1 that the agency may continue using its longstanding internal enforcement process to pursue monetary penalties against regulated companies. The decision rejects a constitutional challenge brought by wireless carriers including Verizon and ATT in a case arising from FCC investigations into whether carriers failed to adequately protect customers’ location information.

At issue was the FCC’s two-step penalty framework.

Supreme Court Preserves FCC’s Telecom Privacy Penalty Authority

The Supreme Court on June 4 delivered an important win for the Federal Communications Commission, holding 8-1 that the agency may continue imposing data-privacy fines on telecommunications carriers through its existing enforcement framework. The ruling rejects a constitutional challenge brought by ATT and Verizon and leaves intact a key tool the FCC uses to police carrier handling of customer information.

Chief Justice John Roberts wrote the majority opinion.

Supreme Court Signals New Limits on FCC Administrative Fines

The U.S. Supreme Court appears inclined to further restrict federal agencies’ ability to impose monetary penalties through in-house proceedings, with oral argument suggesting meaningful support for telecom companies challenging the FCC’s fining process. If that instinct becomes doctrine, the decision could reshape not only communications enforcement, but also the broader administrative enforcement toolkit used across the federal government.

The dispute centers on whether the FCC may assess fines administratively against regulated entities such as ATT and Verizon, or whether the Constitution requires those claims to be tried before a jury in federal court.

Supreme Court Signals Doubt About Challenge to FCC’s In-House Penalty Process

The U.S. Supreme Court appeared reluctant at oral argument to upend the Federal Communications Commission’s internal enforcement process in a dispute brought by ATT and Verizon over privacy-related penalties exceeding $100 million. The case puts a familiar administrative-law question in sharp focus: when a federal agency seeks significant civil penalties, how much process is constitutionally required before those sanctions become final?

The telecom companies are challenging the FCC’s practice of assessing penalties through its own adjudicative machinery rather than requiring the government to proceed first in federal court.

Supreme Court Signals Skepticism of Telecom Bid to Limit FCC Penalty Process

The U.S. Supreme Court appeared hesitant during oral argument to embrace ATT and Verizon’s effort to upend the Federal Communications Commission’s in-house penalty process, a challenge that could have reshaped how federal agencies pursue civil enforcement.

The dispute stems from FCC allegations that the telecom companies failed to adequately protect customers’ location data, allowing sensitive information to be sold or accessed without sufficient safeguards.