In an en banc decision, the United States Court of Appeals for the Ninth Circuit held today that the Federal Trade Commission has jurisdiction over AT&T Mobility's "unlimited mobile data" claims.
The FTC sued AT&T Mobility, alleging that AT&T's "unlimited" data claims were deceptive, because the company imposed restrictions on data speed for customers who exceeded a preset limit of data usage. AT&T had argued unsuccessfully that the case should be dismissed, because the FTC's jurisdiction does not extend to common carriers.
FTC Acting Chairman Maureen K. Ohlhausen praised the decision, saying that "It ensures that the FTC can and will continue to play its vital role in safeguarding consumer interests . . . ."
FTC Chairman Ajit Pai said that the decision is "a significant win for consumers."
I welcome the Ninth Circuit’s ruling as good news for consumers. It ensures that the FTC can and will continue to play its vital role in safeguarding consumer interests including privacy protection, as well as stopping anticompetitive market behavior.