Court Reverses AT&T Order Seen Harming Consumer Protection


A U.S. appeals court restored regulators’ role in consumer-protection cases against telecommunications companies like AT&T.

The court said the Federal Trade Commission can regulate non-telephone activities by the communications giant, which also owns DirecTV.

The case drew dire warnings from the FTC and the Federal Communications Commission that without a reversal of a 2016 ruling, some telecommunications companies would fall into a regulatory gap where specific business practices could evade oversight, inhibiting consumer-protection cases. AT&T had argued that its activities fall under the supervision of the FCC under an exemption for common carriers like phone companies.

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