New York Attorney General Eric Schneiderman achieved victory in his effort to keep a lawsuit accusing Charter Communications and its predecessor Time Warner Cable of engaging in false advertising in a state courtroom.
U.S. District Court Judge Colleen McMahon ruled that Charter’s efforts to transfer the case out of New York County Supreme Court to federal court were improper and not warranted. The case will now head back to its original venue as chosen by Schneiderman — Manhattan Supreme Court.
Charter argued the case belonged in federal court because a federal agency — the FCC — had enforcement powers over Charter’s broadband business. The cable company argued that the Communications Act passed by Congress gave federal courts sole jurisdiction over broadband matters. It also argued Net Neutrality imposed a requirement that states were not allowed to inconsistently regulate broadband providers.
Judge McMahon dismissed both arguments, noting the FCC has not ruled it had pre-emptive power over states to regulate broadband and Congress “did not intend for the federal statute to be the exclusive remedy for redressing false advertising and consumer protection claims.”
Schneiderman’s case alleging Time Warner Cable falsely advertised broadband service at speeds it knew it could not deliver will once again be heard by a New York court.