Top In-House Tech Lawyers Explain Why They Are Taking the FCC to Court on Net Neutrality
Top lawyers at Expa, Shutterstock and Automattic told Corporate Counsel why their companies are challenging the FCC.
March 06, 2018 at 03:50 PM
5 minute read
Net neutrality protestors. Photo: Diego M. Radzinschi/NLJ.
The pile of lawsuits against the Federal Communications Commission over its decision to overturn Obama-era net neutrality regulations has grown, with big-name technology companies banding together to file a petition in the U.S. Court of Appeals for the D.C. Circuit on Monday.
Foursquare, Kickstarter, Automattic, Etsy, Expa and Shutterstock filed the action as members of the Coalition for Internet Openness, a pro-net neutrality group. They are challenging the FCC, which back in December opted to overturn the 2015 Open Internet Order, a set of rules that require internet service providers to treat all content equally without blocking or slowing down access to specific sites.
General counsel from several of the companies involved in bringing the action spoke to Corporate Counsel on Tuesday about why they decided to take the leap.
➤➤ Get in-house news and commentary straight to your inbox with Inside Track by Stephanie Forshee. Learn more and sign up here.
“Any time an agency puts out an order or a rule the Administrative Procedure Act generally and the Communications Act specifically lay out the procedure for a court to review those actions,” Expa general counsel Michal Rosenn told Corporate Counsel. “So we worked with Steptoe & Johnson, which represents the coalition, and put together a petition.”
Rosenn, who moved to Expa from Kickstarter in November 2017, said Expa and a number of companies have been discussing next steps since the FCC's vote to overturn net neutrality late last year.
“A number of us wanted to continue our forms of action to file this petition for the court to review the FCC's latest order,” Rosenn said. “It was primarily Etsy and Kickstarter and us working on that, reaching out to other companies and filing a petition.”
Etsy also plans to file its own separate petition in the D.C. Circuit, according to the Coalition for Internet Openness.
As for Shutterstock GC Heidi Garfield, she says her company has had an “avid interest” in defending net neutrality since the FCC's decision, and joined the plan to petition a few weeks ago.
Both she and Rosenn said their involvement in the suit stems, at least in part, from a desire to help their platforms' users. Expa is a network of entrepreneurs that links startups to resources and funding, and Shutterstock allows photographers to post stock photos online. Their users are competing for internet traffic with larger companies and artists, and usually don't have pockets as deep as their competitors'.
“Expa is a startup studio so we help the best entrepreneurs bring their ideas to life. We help them get resources and create, so those are exactly the people who depend most on an open internet, [those] looking to start new companies and explore new ways to challenge incumbent companies to bring new options to users and consumers everywhere,” Rosenn said. “The only way they are able to succeed is if they are able to compete on a level playing field with the biggest companies.”
If users can't financially compete to provide fast internet speeds to those who want access to their products or prevent their sites from being blocked, it could hurt both creators and businesses like Shutterstock, Garfield said.
“Repealing rules related to net neutrality could have a domino effect—reduction in content creation, reduction in ad dollars, reduction in access, rights and opportunities at every step of the chain,” she explained.
Paul Sieminski, the GC of Automattic Inc., says he's also heard concerns from content creators. Automattic is well known for WordPress.com, which houses writing and blog posts from around the world. Sieminski says Automattic has spoken to representatives in Congress, which could still overturn the FCC's decision, and chose to join the petition as further action to restore net neutrality.
“Our users, who are by and large smaller publishers, smaller bloggers, small businesses, they use our business to set up an online store,” he said. “[These] people and businesses you can see being disadvantaged by a system where you essentially have to pay to access your end users.”
He said it's not clear how long it will take for the court to decide whether or not it will overturn the FCC's vote to repeal net neutrality, but it could be around a year. All three GCs said they hope the suit leads to a restoration of 2015's net neutrality laws.
“We're doing it for our own interests, but also the interests of all of our users and everybody, really, who cares about the internet being open,” Sieminski said.
This group of companies and their GCs are not the first to take legal action against the FCC over net neutrality. New York-based video sharing website Vimeo Inc., whose GC Michael Cheah is a vocal net neutrality advocate, filed a suit against the FCC in February alongside Mozilla Corp.
This content has been archived. It is available through our partners, LexisNexis® and Bloomberg Law.
To view this content, please continue to their sites.
Not a Lexis Subscriber?
Subscribe Now
Not a Bloomberg Law Subscriber?
Subscribe Now
NOT FOR REPRINT
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
You Might Like
View AllMarriott's $52M Data Breach Settlement Points to Emerging Trend
2024 Ransomware Payments Poised to Shatter Record, as Gangs Target 'Big Game'
2 minute readCleared in HP Fraud Trial, British Tech Tycoon Mike Lynch Now Missing at Sea
FTC Probing Use of Browser Histories, Other Personal Info to Individualize Product Prices
4 minute readTrending Stories
- 1Judge Denies Sean Combs Third Bail Bid, Citing Community Safety
- 2Republican FTC Commissioner: 'The Time for Rulemaking by the Biden-Harris FTC Is Over'
- 3NY Appellate Panel Cites Student's Disciplinary History While Sending Negligence Claim Against School District to Trial
- 4A Meta DIG and Its Nvidia Implications
- 5Deception or Coercion? California Supreme Court Grants Review in Jailhouse Confession Case
Who Got The Work
Michael G. Bongiorno, Andrew Scott Dulberg and Elizabeth E. Driscoll from Wilmer Cutler Pickering Hale and Dorr have stepped in to represent Symbotic Inc., an A.I.-enabled technology platform that focuses on increasing supply chain efficiency, and other defendants in a pending shareholder derivative lawsuit. The case, filed Oct. 2 in Massachusetts District Court by the Brown Law Firm on behalf of Stephen Austen, accuses certain officers and directors of misleading investors in regard to Symbotic's potential for margin growth by failing to disclose that the company was not equipped to timely deploy its systems or manage expenses through project delays. The case, assigned to U.S. District Judge Nathaniel M. Gorton, is 1:24-cv-12522, Austen v. Cohen et al.
Who Got The Work
Edmund Polubinski and Marie Killmond of Davis Polk & Wardwell have entered appearances for data platform software development company MongoDB and other defendants in a pending shareholder derivative lawsuit. The action, filed Oct. 7 in New York Southern District Court by the Brown Law Firm, accuses the company's directors and/or officers of falsely expressing confidence in the company’s restructuring of its sales incentive plan and downplaying the severity of decreases in its upfront commitments. The case is 1:24-cv-07594, Roy v. Ittycheria et al.
Who Got The Work
Amy O. Bruchs and Kurt F. Ellison of Michael Best & Friedrich have entered appearances for Epic Systems Corp. in a pending employment discrimination lawsuit. The suit was filed Sept. 7 in Wisconsin Western District Court by Levine Eisberner LLC and Siri & Glimstad on behalf of a project manager who claims that he was wrongfully terminated after applying for a religious exemption to the defendant's COVID-19 vaccine mandate. The case, assigned to U.S. Magistrate Judge Anita Marie Boor, is 3:24-cv-00630, Secker, Nathan v. Epic Systems Corporation.
Who Got The Work
David X. Sullivan, Thomas J. Finn and Gregory A. Hall from McCarter & English have entered appearances for Sunrun Installation Services in a pending civil rights lawsuit. The complaint was filed Sept. 4 in Connecticut District Court by attorney Robert M. Berke on behalf of former employee George Edward Steins, who was arrested and charged with employing an unregistered home improvement salesperson. The complaint alleges that had Sunrun informed the Connecticut Department of Consumer Protection that the plaintiff's employment had ended in 2017 and that he no longer held Sunrun's home improvement contractor license, he would not have been hit with charges, which were dismissed in May 2024. The case, assigned to U.S. District Judge Jeffrey A. Meyer, is 3:24-cv-01423, Steins v. Sunrun, Inc. et al.
Who Got The Work
Greenberg Traurig shareholder Joshua L. Raskin has entered an appearance for boohoo.com UK Ltd. in a pending patent infringement lawsuit. The suit, filed Sept. 3 in Texas Eastern District Court by Rozier Hardt McDonough on behalf of Alto Dynamics, asserts five patents related to an online shopping platform. The case, assigned to U.S. District Judge Rodney Gilstrap, is 2:24-cv-00719, Alto Dynamics, LLC v. boohoo.com UK Limited.
Featured Firms
Law Offices of Gary Martin Hays & Associates, P.C.
(470) 294-1674
Law Offices of Mark E. Salomone
(857) 444-6468
Smith & Hassler
(713) 739-1250