Supreme Court Upholds Fines Against AT&T and Verizon for Selling Location Data
AT&T and Verizon lose Supreme Court case over fines for selling location data
Image: Ars Technica
The U.S. Supreme Court ruled against AT&T and Verizon, affirming $104 million fines imposed by the FCC for selling users' location data without consent. The court found no violation of the right to a jury trial, as carriers could challenge fines in court after refusing payment.
- 01The Supreme Court ruled 8-1 against AT&T and Verizon regarding fines for selling location data without consent.
- 02The Federal Communications Commission (FCC) imposed fines totaling $104 million in 2024 for violations dating back to 2018.
- 03AT&T previously had its fine overturned by the 5th Circuit, while Verizon lost its appeal in the 2nd Circuit.
- 04Chief Justice John Roberts stated that the carriers could have obtained jury trials if they chose not to pay the fines.
- 05The ruling clarifies the legal obligations of carriers under the Seventh Amendment regarding jury trials in FCC forfeiture proceedings.
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In a significant ruling, the U.S. Supreme Court upheld fines against AT&T and Verizon, totaling $104 million, for selling users' real-time location data without consent. The case arose after the Federal Communications Commission (FCC) imposed these penalties in 2024 due to violations uncovered in 2018. AT&T had previously succeeded in having its fine overturned by the 5th Circuit, while Verizon faced a loss in the 2nd Circuit. The Supreme Court's decision, delivered in an 8-1 vote with Justice Clarence Thomas dissenting, addressed a split among circuit courts regarding the right to a jury trial. Chief Justice John Roberts, in the majority opinion, stated that the FCC's process did not infringe upon the carriers' Seventh Amendment rights. He explained that the carriers could have opted to challenge the fines in court after refusing to pay, which would have led to a jury trial. The ruling clarifies the legal framework surrounding FCC forfeiture proceedings and the obligations of telecommunications carriers.
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This ruling reinforces consumer privacy protections by upholding penalties for unauthorized data sales by major telecommunications companies.
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