Court Rejects Wireless Carriers' Appeal

Court Alerts

In a loss for wireless communications providers, the Supreme Court on Tuesday let stand a lower court ruling preventing the industry from listing taxes and other government fees as separate line items on consumers' bills.

Sprint Nextel Corp. and T-Mobile USA Inc., which is owned by Deutsche Telecom, asked the justices to overturn the ruling. They said in court papers that state and local governments try to "hide" taxes and fees by barring carriers from listing them as separate items, requiring the companies instead to fold them in with the rest of their charges.

Consumer advocates, who support the lower court's ruling, responded that wireless companies frequently add a confusing array of charges that are not always the result of government taxes. Such complaints led the Federal Communications Commission to extend "truth in billing" rules to cell phones in 2005.

The legal question in dispute is whether the FCC was correct when it ruled in 2005 that federal law prohibits the states from barring separate line items. Federal communications law bars state regulation of rates but allows states to regulate "other terms and conditions" of service.

The 11th U.S. Circuit Court of Appeals overturned the FCC in 2006, ruling that line items on bills were "other terms and conditions" that states could prohibit. The justices' decision Tuesday allows that ruling to stand.

The issue is not completely settled, however. The Justice Department's Solicitor General, the Bush administration's lawyer, urged the court to turn down the case, even though the Solicitor General disagreed with the appeals court's ruling.

That's because the appeals court sent the case back to the FCC, and the agency is considering additional grounds for preempting state regulation of the wireless industry, the Solicitor General said. As a result, the issue is not yet ripe for Supreme Court review, the Solictor General said.

Related listings

  • Woman in court over explosives

    Woman in court over explosives

    Court Alerts 01/21/2008

    A woman is appearing in court in connection with the discovery of explosives during a Garda raid of a home.Two pipe bombs, a shotgun, ammunition and drugs were seized during the search at Barry Park, Finglas, in north Dublin, last Friday. The 22-year...

  • Texas Justice Charged in Arson Case

    Texas Justice Charged in Arson Case

    Court Alerts 01/18/2008

    A Texas Supreme Court justice has been charged with tampering with evidence in a fire that destroyed his home, a blaze the judge's wife is accused of setting, a television station reported Thursday.Justice David Medina was indicted in the June fire a...

  • IRS seeks millions from tax swindler

    IRS seeks millions from tax swindler

    Court Alerts 01/18/2008

    A telecommunications executive once called the biggest tax cheat in U.S. history is getting hit with new Internal Revenue Service demands seeking hundreds of millions of dollars just as he starts a nine-year federal prison term. The IRS sent Walter C...

New Rochelle, New York Personal Injury Lawyers

If you or a loved one has been injured in an accident, contact Kommer, Bave & Ollman, LLP, in New Rochelle, New York, immediately. We can answer all your questions and work with you to determine if you have the grounds for a personal injury lawsuit. The attorneys at our firm are determined to resolve even the most difficult of cases. We will work closely with you to determine the best course of action to get your claim or case resolved in the most efficient way possible. We will fight for your right to compensation! No one should have to suffer a financial burden from the result of another person’s carelessness. The attorneys at Kommer, Bave & Ollman, LLP will aggressively fight to ensure that justice is served on your behalf.

Business News

New York & New Jersey Family Law Matters We represent our clients in all types of proceedings that include termination of parental rights. >> read