Net neutrality rules set aside by federal appeals court

Modified: January 14, 2014 at 1:18 pm •  Published: January 14, 2014
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WASHINGTON (AP) — In a setback for the Obama administration's goal of Internet openness, a federal appeals court Tuesday set aside Federal Communications Commission rules designed to ensure that transmission of all Internet content be treated equally.

The anti-discrimination and anti-blocking requirements bar broadband providers from prioritizing some types of Internet traffic over others.

A three-judge panel said that the FCC has the authority to regulate broadband providers' treatment of Internet traffic. However, the judges concluded that the FCC failed to establish that its regulations don't overreach.

“Even though the commission has general authority to regulate in this arena, it may not impose requirements” that violate statutory mandates, wrote appeals judge David Tatel. The judges said the FCC's rule in effect treated all Internet service providers as common carriers — transporters of people or goods for the general public on regular routes at set rates. Examples of common carriers include airlines, railroads, trucking companies and utilities.

But the court said the commission itself already had classified broadband providers as exempt from treatment as common carriers, which set up a legal contradiction. The FCC failed to establish that its regulations do not impose common carrier obligations on the Internet companies, the judges ruled.

FCC Chairman Tom Wheeler said the commission will now consider its options, including an appeal, to ensure that networks on which the Internet depends provide a free and open platform.



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