The Supreme Court ruled on Thursday that the Federal Communications Commission has the authority to impose fines on cellphone carriers without a jury trial.
AT&T and Verizon had argued they were deprived of their constitutional right to a jury trial when the agency penalized them.
The case stemmed from fines levied against the companies for failing to adequately protect consumer information.
The carriers claimed that the FCC’s administrative process violated the Seventh Amendment of the Constitution.
The Court disagreed, holding that the fines were civil penalties, not criminal punishment, and thus did not require a jury.
This decision reinforces the power of federal agencies to enforce consumer protection laws through internal proceedings.
The ruling applies broadly, giving regulators a stronger hand in holding companies accountable for privacy violations.
Legal experts say the decision solidifies the FCC’s role as a key enforcer in the telecommunications industry.
