The internet industry is suing California over its net neutrality law



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Google CEO: Net neutrality 'a principle we all need to fight for'

The internet industry is suing the state of California over its days-old net neutrality law.

The lawsuit, filed on Wednesday by major trade groups, is the second major lawsuit filed against the state over the law – the first is brought by the Justice Department.

On Sunday evening, California Governor Jerry Brown signed the law. Under the law, the Internet service providers will not be allowed to block or slow specific types of content or applications, or charge apps or companies fees for faster access to customers.

Subsequently, the federal government has been in the process of being sued in the United States. The DOJ argues states can not pass their own laws governing internet companies, because broadband services cross state lines. It is fighting the state over a clause in the 2017 order repealing Obama-era federal net neutrality protections. In that order, the FCC said it could pre-empt state-level net neutrality laws.

Daniel Lyons, an associate professor at Boston College Law School, said CNN.

A lot is riding on the outcome. The California law is considered to be the most thorough state-level net neutrality legislation yet passed, and other states are expected to use it as a blueprint for their own laws.

If California wins in short, it would open the door to those other states to take similar actions. However, the FCC could try to come back with an order to block their efforts again, Lyons said.

California will likely claim that the pre-emption provision is invalid, Lyons said, while the federal government will attempt to get an injunction to stop the law from taking effect. in doing so, it will claim that the law will cause harm if allowed to take effect.

"These attempts at a preliminary injunction seem weak and are likely to fail for the same reasons as the Internet Service Provider [ISP] FCC's training industry was unable to form a net neutrality rules in 2015, "said telecommunications attorney Pantelis Michalopoulos, a partner at Steptoe & Johnson LLP, who has argued net neutrality cases." The Internet Service Providers offer speculative theories about why they will irreparable injury. These theories do not seem to satisfy the test for a preliminary injunction. "

The industry groups are represented by major companies including AT & T, Comcast and Verizon, and other providers. The groups had previously lobbied against the state law. (CNN is owned by AT & T.)

"We oppose California's action to regulate the access to it because it threatens to negatively affect services for millions of consumers and to harm the new growth and economic growth." Republican and Democratic administrations, time and again, have embraced the notion that actions are preempted by federal law , USTelecom, CTIA – The Wireless Association, The Internet & Television Association, and the American Cable Association said in a statement. "We will continue our work to ensure Congress adopts bipartisan legislation to create a permanent framework for protecting the internet that consumers expect and deserve."

In a statement Wednesday afternoon, Attorney General Xavier Becerra said the state would fight to protect its new law.

"This country has been brought to power by the United States of America." California, the country's economic engine, has the right to exercise its sovereign powers under the Constitution and we will do everything we "Becerra said in a statement.

State Senator Scott Wiener, co-author of the bill, previously told CNN he expected the ISPs to sue over the law.

"The internet service providers have every right to sue California, just like California has every right-indeed an obligation-to protect our residents' access to an open internet," Wiener said after the trade groups filed their suit.

CNNMoney (San Francisco) First published October 3, 2018: 5:46 PM ET

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