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Supreme Court Rejects Verizon $47M FCC Fine Refund

Ars Technica •
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The Supreme Court has denied Verizon's petition for a $47 million refund of FCC fines related to the sale of device-location data without customer consent. The court issued its denial without explanation, effectively ending Verizon's ability to seek review from lower courts. This decision follows a June ruling where the Supreme Court upheld the FCC's penalty process against carriers, ruling 8-1 that it does not violate the Seventh Amendment.

Verizon, AT&T, and T-Mobile were collectively fined $196 million in 2024 for selling mobile users' real-time location data to aggregators, who then resold it to third parties. While Verizon's appeal is now closed, AT&T and T-Mobile continue their challenges. The carriers argued that selling device-location data was not illegal under telecom law and that they were entitled to jury trials.

The Second Circuit previously rejected Verizon's claims, determining that Customer Proprietary Network Information under Section 222 of the Communications Act includes device-location data. Verizon contended it was misled into paying the fine and that the FCC changed its position on whether forfeiture orders compel payment. The carrier argued it should be granted the same opportunity as AT&T to challenge the substantive legality of the fine itself.

Despite discontinuing the data-sharing programs, all carriers maintain that the fines were unjustified.