The U.S. Supreme Court ruled 8-1 to uphold the Federal Communications Commission's authority to fine wireless carriers without a jury trial. This decision affirms nearly $200 million in combined penalties against AT&T, Verizon, T-Mobile, and Sprint. The FCC issued the fines after the carriers sold real-time customer location data to third parties without proper consent.
Chief Justice John Roberts wrote that the FCC's forfeiture orders do not violate the Seventh Amendment. The Court found these orders are not independently legally binding and remain subject to challenges in federal court. This decision reinforces the agency's enforcement capabilities regarding data privacy violations.
AT&T shares fell following the news, which reversed a previous lower court victory for the company. T-Mobile shares also traded lower. AT&T faces a $57 million fine. Verizon must pay nearly $47 million. T-Mobile and Sprint face a combined $92 million penalty.