New York Court Rejects Charter Motion to Dismiss Internet Speeds Lawsuit

The New York Supreme Court refused to dismiss the state’s lawsuit against Charter Communications that claims the company deceived customers about internet speeds (see 1801120009). In a ruling last week in case 450318-2017E, Judge Peter Sherwood rejected Charter arguments that federal law pre-empts the New York attorney general’s claims. The FCC’ net neutrality order doesn’t support Charter’s case, either, Sherwood said: It "includes no language purporting to create, extend or modify the preemptive reach of the [FCC] Transparency Rule.” Charter failed “to identify any provision of the [False Claims Act (FCA)] that preempts state anti-fraud or consumer-protection claims, or reflects any intention by Congress to make federal law the exclusive source of law protecting consumers from broadband providers' deceptive conduct,” Sherwood wrote. Neither the AG’s claims nor New York’s consumer protections laws conflict with the FCC’s transparency rule, the judge said. "It does not, contrary to defendants' arguments, provide a safe harbor for statements outside those disclosures.” A Charter spokeswoman said the court “made no ruling on the allegations about historic Time Warner Cable practices, and we will continue to contest these claims vigorously as the case progresses.” The company “not only delivers its advertised internet speeds, we have in fact raised the minimum broadband speeds that all our New York customers receive, at the same price,” she said.