California can enforce the network neutrality law, judge rules in the event of loss to ISPs

Illustration of internet cables full of ones and zeros.

California may start enforcing the net neutrality law that it enacted more than two years ago, a federal judge ruled yesterday at a loss to Internet service providers.

The motion by broadband industry lobby groups for an injunction was denied by Judge John Mendez of the United States District Court for the Eastern District of California. Mendez did not issue a written order, but announced his decision at a hearing, and his denial of the ISPs’ motion was recorded on the agenda.

Mendez reportedly was not influenced by ISPs’ claims that a net neutrality law is not necessary because they did not block or restrict Internet traffic.

“I’ve heard that argument and I don’t find it convincing,” said Mendez, according to The Hollywood Reporter. “It will fall on deaf ears. Everyone is behaving in the best way since 2018, waiting for whatever happens on the DC circuit [court case over the FCC’s repeal of net neutrality]. I don’t put any weight on the argument that everything is fine and we don’t have to worry. “

Mendez, who was nominated by President Bush in 2008, also said: “This decision today is a legal decision and should not be viewed through the political lens. I am not expressing anything about the soundness of the policy. by federal courts. “

The industry lobby groups’ lawsuit against California will continue, but the state can enforce its law while the case is still pending. California Attorney General Xavier Becerra praised the decision, saying it means that “California may soon start implementing SB 822,” the net neutrality law.

“The ability of an Internet service provider to block, slow down or speed up content based on the user’s ability to pay for the service degrades the very idea of ​​a competitive market and the open transfer of information at the heart of our increasingly digital network and connected world, “said Becerra.

“Great victory”

The California lawsuit was filed by leading broadband industry lobby groups representing wired and mobile Internet providers. These groups are American Cable Association, CTIA-The Wireless Association, NCTA-The Internet & Television Association and USTelecom.

“Today’s federal court decision allowing California to enforce our net neutrality law is a major victory for open access to the Internet, our democracy and our economy,” said Senator Scott Wiener (D-San Francisco), who introduced California network neutrality legislation. “The Internet is at the heart of modern life. We all must be able to decide for ourselves where to go on the Internet and how to access information. We cannot allow large corporations to make these decisions for us.”

The California network neutrality law has also been challenged by the Trump administration’s Justice Department. President Biden’s DOJ voluntarily dropped the suit, leaving the broadband industry case as the remaining legal obstacle for California.

When the industry and the DOJ filed their lawsuits in 2018, California agreed to suspend state law enforcement until the end of the dispute over the actions of then Federal Communications Commission chairman Ajit Pai against net neutrality regulation. . Pai’s repeal of the FCC’s net neutrality rules was later upheld, but he lost his attempt to circumvent all state laws.

Despite the FCC’s loss of preemption, the Trump administration and the broadband industry resumed their fight against California, claiming that state law could not be applied because the FCC has “sole responsibility” for regulating interstate communications and “the Internet communications are inherently interstate “. After the Biden administration dropped the U.S. suit against California, the state said that “the United States’ voluntary rejection of its suit underscores the defendant’s arguments that SB 822 is not anticipated.”

California law prohibits Internet service providers from blocking or restricting legal traffic. It also prohibits the requirement of fees for websites or online services to provide or prioritize their traffic to consumers, prohibits paid data limit exemptions (called “zero rating”) and says that ISPs cannot try to escape the neutrality protections of decreasing the traffic speed at the network interconnection points.

FCC gave up the role of regulating broadband

California has yet to win the case in court to avoid a future decision that could overturn its network neutrality law. But with the victory over ISPs’ request for an injunction, California and its supporters say they are confident in their arguments.

Judge Mendez “found that the law has a solid legal basis and that ISPs trying to overthrow it are unlikely to prevail,” said Stanford law professor Barbara van Schewick.

“The previous Federal Communications Commission ensured this result when it decided that it had no authority over broadband,” said John Bergmayer, legal director of the consumer protection group Public Knowledge. “The DC Circuit [federal appeals court] has already made it clear that without the power to regulate, the FCC does not have the power to prevent states from regulating. However, broadband providers have rushed to the courts to prevent states from exercising their traditional consumer protection role. Judge Mendez correctly rejected his arguments. “

The four broadband lobby groups that filed the lawsuit said in a joint statement that “they will review the court’s opinion before deciding on the next steps,” according to The Washington Post.

“A state-by-state approach to Internet regulation will confuse consumers and hinder innovation, and the importance of broadband for everyone has never been more apparent,” said industry groups. “We agree with the court that a fragmented approach is unsustainable and that Congress must codify rules for an open Internet.”

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