Enforcement, Investigations & Audits

As the COVID-19 pandemic rapidly unfolds, the Federal Communications Commission (“FCC”) has been active to keep communications services available through various waivers, extensions, and other regulatory relief. Kelley Drye’s Communications Practice Group is tracking these actions and what they mean for communications service providers and their customers. CommLaw Monitor will provide regular updates to its analysis of the latest regulatory and legislative actions impacting your business and the communications industry. Click on the “COVID-19” blog category for previous updates.

If you have any urgent questions, please contact your usual Kelley Drye attorney or any member of the Communications Practice Group. For more information on other aspects of the federal and state response to the COVID-19 pandemic, as well as labor and employment and other issues, please visit Kelley Drye’s COVID-19 Response Resource Center.


Continue Reading COVID-19: What Communications Service Providers Need to Know – April 13, 2020

Last week, in a major enforcement action, the FCC proposed $208 million in fines against the nation’s four largest wireless carriers—AT&T, Verizon, T-Mobile, and Sprint—for allegedly selling access to their customers’ location information without taking “reasonable measures” to protect the information against unauthorized disclosure. The FCC argued that such actions violated its rules regarding the protection of customer data known as customer proprietary network information (CPNI).

This enforcement action marks a series of firsts. It is the first CPNI enforcement action since the pre-2016 CPNI regulations were reinstated following the repeal of the broadband privacy rules by Congress in 2017. This is also the first large consumer protection enforcement action under Chairman Pai’s leadership—up to now, Chairman Pai has eschewed the principle-based enforcement of his predecessor in favor of more clear-cut rules violations. The action also generated criticism both for being too soft (and too late) and for potentially being beyond the Commission’s jurisdiction.


Continue Reading FCC Proposes Over $200 Million in Fines to Big Four Wireless Carriers for Allegedly Selling Customer Data Without Safeguards

Please join us on March 10, 2020 for Kelley Drye’s annual webinar discussing the state of the federal Universal Service Fund. This webinar, back for its 11th year, provides an in-depth look at all four USF programs and the USF contribution mechanism, highlighting major developments in the last year and trends for the upcoming year.

In the latest episode of Full Spectrum’s Inside the TCPA series, Partner Steve Augustino takes a closer look at shifting strategies to provide effective enforcement of TCPA violations. Unlike TCPA actions of the past, which focused primarily on the entity that is placing the call, these new TCPA actions rely upon new approaches to

The FCC proposed sweeping reforms to its process for suspending and debarring entities from participating in its largest funding programs, including the four Universal Service Fund (“USF”) programs, at its meeting on November 22, 2019. If adopted, the proposed rules would mark a sea change in FCC enforcement, allowing the FCC to cut off funding more quickly and for a wider range of alleged misconduct. The FCC also would expand the scope of these rules to cover its Telecommunications Relay Service (“TRS”) program and National Deaf-Blind Equipment Distribution Program (“NDBEP”), in addition to the High-Cost, Lifeline, E-Rate, and Rural Health Care USF programs.

The proposed rules also would impose new disclosure obligations on support recipients and require them to verify that they do not work with suspended/debarred entities. In addition, the proposed rules would create a federal reciprocity system, in which entities suspended/debarred from participating in funding programs administered by other agencies similarly would be prevented from participating in the FCC’s programs (and vice versa). The proposed rules would impact nearly every USF participant and warrant close attention. The FCC has not announced comment deadlines on its proposals, but they will likely occur in early 2020. While the FCC’s proposals are just the first step towards actual rule changes, the agency has shown every indication that it will continue moving full speed ahead on USF reform in the coming year.


Continue Reading FCC Plans Major Overhaul of Suspension and Debarment Rules for its USF, TRS, and Other Funding Programs

The FCC plans to follow last month’s major 911 location accuracy item with another significant public safety rulemaking at its next meeting scheduled for December 12, 2019. Under the FCC’s plan, all telecommunications carriers and interconnected VoIP service providers would be required to transmit calls to 988 to 24-hour crisis services maintained by the Department of Health and Human Services and the Department of Veterans Affairs. In addition, the FCC anticipates launching two rulemakings aimed at opening up more mid-band spectrum for commercial and unlicensed uses to meet growing consumer demand for wireless broadband. The meeting agenda also includes an item addressing contentious issues surrounding intercarrier switched access charges. Moreover, the FCC will vote on three enforcement actions at the December meeting. Although, per normal practice, the agency provided no specifics on the planned enforcement actions, enforcement meeting items normally entail large fines in high-profile FCC focus areas like robocalling. While not as jam-packed as prior meetings, the December agenda underscores the FCC’s steadfast focus on public safety and spectrum reallocation in 2019.

You will find more information on the most significant proposed December meeting items after the break:


Continue Reading FCC to Propose National Crisis Hotline, Tackle Mid-Band Spectrum Items at December Meeting

After a long road that included questions over the scope of FTC and FCC jurisdiction, AT&T finally settled one of two cases challenging the unlimited data plans it offered to consumers.   On Tuesday, November 5, 2019 the Federal Trade Commission (“FTC”) moved to settle its October 28, 2014 complaint against AT&T Mobility, LLC (“AT&T” or “Company”) in which the FTC asserted that the Company was reducing the data speeds of customers grandfathered into unlimited plans after they had used a certain amount of data. The stipulated order, approved 4-0 by the FTC and awaiting final approval from the United States District Court for the Northern District of California, will require AT&T to dole out $60 million to eligible customers and prohibit the Company from portraying the amount or speed of mobile data in its plans, including unlimited, without disclosing any material restrictions accompanying such plans.

As we covered extensively in several previous blog posts, one of the primary consequences of the case were questions about the limits of the FTC’s jurisdiction. The case mirrored a time when the Federal Communications Commission (“FCC”) took opposing positions in successive administrations regarding whether mobile data services and other Broadband Internet Access Services (“BIAS”) were subject to FCC regulation. One of the central questions underlying the case was which agency, the FCC or the FTC, could regulate AT&T’s mobile data practices. After the FTC won a Ninth Circuit decision that its jurisdiction reaches to non-common carrier activities of common carriers (and the FCC concluded that mobile BIAS was not a common carrier service), AT&T agreed to settle the FTC case. However, so long as the jurisdiction of particular services remains in doubt, or is subject to changing FCC positions, service providers will face potential overlapping enforcement activities by the two agencies.


Continue Reading AT&T To Pay $60M to Settle 2014 FTC Data Throttling Complaint

The FCC plans to prohibit the use of Universal Service Fund (“USF”) support to purchase equipment or services from foreign entities that it determines pose national security risks at its next meeting scheduled for November 19, 2019. As we previously reported, the ban may severely impact participants in all federal USF programs and involve a costly “rip and replace” process to remove foreign-made equipment from domestic telecommunications networks. The FCC also expects to move forward on its heavily-anticipated E911 vertical accuracy (i.e., z-axis) proceeding and adopt new requirements for wireless carriers to better identify caller locations in multi-story buildings. Rounding out the major actions, the FCC anticipates proposing new rules for suspending and debarring entities from participating in USF and other funding programs; removing longstanding unbundling and resale requirements for certain telecommunications services; and widening the contribution base for the Internet Protocol Captioned Telephone Service (“IP CTS”) to include intrastate revenues.

The draft items cover the gamut of telecommunications issues, affecting everything from the construction of next-generation 5G networks to legacy intercarrier competition rules, and should be closely watched. You will find more details on the most significant November FCC meeting items after the break:


Continue Reading FCC to Address Public Safety Concerns at November Meeting

On October 7, the Enforcement Bureau (“EB” or “Bureau”) of the Federal Communications Commission (“FCC” or “Commission”) took action to enhance the method by which public safety and enterprise wireless providers file interference complaints and receive initial responses. In a Public Notice, the Bureau announced that a new interference complaint intake portal, which the Bureau sees as a “backstop” when private resolution efforts fail, is now operational for these types of spectrum users. The action was in response to the Commission’s 2015 Field Modernization Order, in which the FCC called on the Bureau to ensure that EB’s field offices respond to radiofrequency interference (“RFI”) complaints filed by public safety and industry users in a timely fashion.

Continue Reading FCC Enforcement Bureau Centralizes Filing of Interference Complaints; Parties Directed to First Exhaust Private Efforts to Resolve Cases of RFI

Featuring keynote remarks from FCC Commissioner Michael O’Rielly

Date/Time: Wednesday, October 2, 3:00 – 5:30 PM
Location: Kelley Drye & Warren LLP, 3050 K Street NW

This seminar will feature background presentations on the Universal Service Fund (“USF”) programs, remarks from FCC Commissioner Michael O’Rielly and a conversation with experts on the future of the USF programs. Attendees are encouraged to ask questions and participate in the discussion as we take a deeper dive into the issues.


Continue Reading FCBA Universal Service Fund Seminar on October 2nd