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The Supreme Court ruled Tuesday against AT&T and Verizon in a closely watched dispute over federal penalties tied to the sale of consumers’ real-time location data
The decision preserves the FCC’s authority to impose financial penalties through its administrative enforcement system.
It is a major victory for federal regulators seeking to police privacy violations in the telecommunications industry.
Verizon, however, lost a similar challenge before the 2nd Circuit, creating conflicting rulings that prompted Supreme Court review.
In an 8-1 decision, the justices sided with the FCC and overturned the 5th Circuit’s ruling. Justice Clarence Thomas was the lone dissenter, ARSTechnica reported.
The dispute stemmed from $104 million in FCC fines imposed on AT&T and Verizon in 2024 over allegations that the companies improperly handled customers’ real-time location data, conduct first brought to light in 2018, the outlet noted.
Under the FCC framework, companies can pay a fine and seek review through the federal appeals courts rather than having the case initially decided by a jury.
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