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Judge Won’t Let FCC’s Net Neutrality Repeal Stop Lawsuit Alleging Charter Throttled Netflix

An anonymous reader quotes a report from The Hollywood Reporter: [I]n the first significant decision referring to the repeal [of net neutrality] since FCC chairman Ajit Pai got his way, a New York judge on Friday ruled that the rescinding of net neutrality rules wasn’t relevant to an ongoing lawsuit against Charter Communications. New York Attorney General Eric Schneiderman filed the lawsuit almost exactly a year ago today. It’s alleged that Charter’s Spectrum-TWC service promised internet speeds it knew it couldn’t deliver and that Spectrum-TWC also misled subscribers by promising reliable access to Netflix, online content and online games. According to the complaint, the ISP intentionally failed to deliver reliable service in a bid to extract fees from backbone and content providers. When Netflix wouldn’t pay, this “resulted in subscribers getting poorer quality streams during the very hours when they were most likely to access Netflix,” and after Netflix agreed to pay demands, service “improved dramatically.” This arguably is the kind of thing that net neutrality was supposed to prevent. And Charter itself pointed to the net neutrality repeal in a bid to block Schneiderman’s claims that Charter had engaged in false advertising and deceptive business practices. New York Supreme Court Justice O. Peter Sherwood isn’t sold.

He writes in an opinion that the FCC’s order “which promulgates a new deregulatory policy effectively undoing network neutrality, includes no language purporting to create, extend or modify the preemptive reach of the Transparency Rule,” referring to how ISPs have to disclose “actual network performance.” And although Charter attempted to argue that the FCC clarified its intent to stop state and local governments from imposing disclosure obligations on broadband providers that were inconsistent with FCC’s rules, Sherwood notes other language from the “Restoring Internet Freedom Order” how states will “continue to play their vital role in protecting consumers from fraud, enforcing fair business practices… and generally responding to consumer inquiries and complaints.”


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