Competitive Enterprise Institute v. Federal Communications Commission, No. 18-1281 (D.C. Cir. 2020)Annotate this Case
This appeal involves conditions that the FCC imposed on a merger of three cable companies into a new merged entity, New Charter. Among other things, the conditions (1) prohibit New Charter from charging programming suppliers for access to its broadband subscribers, (2) prohibit New Charter from charging broadband subscribers based on how much data they use, (3) require New Charter to provide steeply discounted broadband service to needy subscribers, and (4) require New Charter to substantially expand its cable infrastructure for broadband service. The appellants include three of New Charter's customers, whose bills for cable broadband Internet service increased shortly after the merger. These appellants contend that the conditions caused this injury, which would likely be redressed by an order setting the conditions aside.
The DC Circuit held that these three individual appellants have standing to challenge the interconnection and discounted-services conditions, but not the usage-based pricing and buildout conditions. Furthermore, although the lawfulness of the interconnection and discounted-services conditions are properly before the court, the FCC declined to defend them on the merits. Accordingly, the court vacated the first and third conditions based on the FCC's refusal to defend on the merits. Finally, the court dismissed the remaining aspects of the appeal for lack of an appellant with Article III standing.