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May 24, 2008
Cell phone fees on FCC docket for hearing
FCC chief Kevin Martin has announced that The FCC will hold a Public Hearing on early termination fees in the Commission Meeting Room directly following the June 12th open agenda meeting. The good news is that we'd been worried he'd actually hold a vote on an anti-consumer rule during the meeting, but pressure from consumer groups, including U.S. PIRG, has caused him to back down on this giveaway to the big cell phone companies, led by Verizon, that are seeking federal protection from ongoing lawsuits against the anti-competitive penalty fees that act to keep consumers from shopping around when upset about their service. The latest AP story notes that one of the consumer groups Martin and Verizon had been courting, AARP, is actually a plaintiff in one of the lawsuits against Verizon and that its position has not changed. Story from Channelweb. Our previous "October surprise, in May" blog with links to resources.
As I also note in a different previous blog, this unseemly effort is one of many by powerful interests to seek federal protection from enforcement of state consumer and public health laws. Big PhARMA, the car companies, medical device makers, banks and rent-to-own firms making predatory loans and others -- even including makers of flammable mattresses and chemical polluters opposing strong state laws against terrorist attacks -- are lined up before federal agencies, the courts and the Congress asking for protection from the powers of the states to protect the public, even when their products are defective or dangerous or their services sloppy and anti-competitive. While this Congress appears less pliant than previous ones on some matters, the Bush agencies and the courts are proving to be worse than complacent-- they are active aiders and abettors of the industry efforts.
UPDATE: over at his personal blog Gooznews, Merrill Goozner of the Center for Science in Public Interest blogs on the horrible Supreme Court decision in Riegel vs. Medtronic. The court held 8-1 that certain medical device companies whose devices have been rubber-stamped by FDA have immunity from lawsuits by injured consumers. As a commenter Marilyn correctly notes, "This is not a constitutional issue, so it could be remedied by legislation." We expect that even the Supreme Court will be shown that it has put its thumb on the scales on behalf of corporate interests quite a bit too heavily.
Posted by Ed Mierzwinski at May 24, 2008 08:15 AM
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