Robocall Ban Upheld, Broadened by Supreme Court in Speech Case
(Bloomberg) -- The U.S. Supreme Court broadened the federal ban on robocalls to mobile phones, eliminating an exception that had existed for government-debt collection while leaving the rest of the law intact.
In a splintered ruling, the court said the 2015 exception, which allowed robocalls if made to recoup debt owed to or guaranteed by the federal government, violated the Constitution's free speech guarantee. Writing the court's controlling opinion, Justice Brett Kavanaugh said that exception “favors speech made for collecting government debt over political and other speech.”
But Kavanaugh also said the court could strip out the exception without tossing the ban in its entirety.
“Constitutional litigation is not a game of gotcha against Congress, where litigants can ride a discrete constitutional flaw in a statute to take down the whole, otherwise constitutional statute,” Kavanaugh wrote for himself, Chief Justice John Roberts and Justice Samuel Alito.
The ruling is a defeat for political groups that had sought a new avenue for campaign activity in the months leading up to the November election. The challengers -- which included the Oregon Democratic Party, the Washington State Democratic Central Committee and a trade group that represents political consultants -- sought to overturn the entire robocall ban.
The ruling upholds the decision of a federal appeals court. President Donald Trump's administration defended the ban, along with the government exception.
Splintered Court
Justices Neil Gorsuch, Clarence Thomas and Sonia Sotomayor joined Kavanaugh in concluding that the government exception was unconstitutional.
Gorsuch and Thomas said they wouldn't have stripped the government exception from the statute and instead would have held that the measure could no longer be applied to the groups that sued. The two said Kavanaugh's approach amounted to a rewriting of the statute and left the suing groups without anything to show for their constitutional challenge.
“Severing and voiding the government-debt exception does nothing to address the injury they claim; after today's ruling, federal law bars the plaintiffs from using robocalls to promote political causes just as stoutly as it did before,” Gorsuch wrote for the pair. “What is the point of fighting this long battle, through many years and all the way to the Supreme Court, if the prize for winning is no relief at all?”
Three other justices -- Stephen Breyer, Ruth Bader Ginsburg and Elena Kagan -- said they would have upheld the government exception but agreed with the decision to keep the rest of the law intact.
The 1991 Telephone Consumer Protection Act imposes liability of up to $1,500 for any call or text placed to a mobile phone without prior consent using an automatic dialing system or artificial or prerecorded voice.
The case is Barr v. American Association of Political Consultants, 19-631.
©2020 Bloomberg L.P.
-
Opinion | India at 38: From Innovation Overperformer to Innovation Powerhouse
India now has 453 VC-backed deep science startups, 18 of them late-stage, after 117 percent growth since 2020. Laurus Labs, at USD 9.3 billion, is the most valuable deep science company in any middle-income economy outside China.
-
Navigating Energy Crossroads: S Jaishankar's Call For Diversified Supply Chains At G20 Ministerial Meeting
As geopolitical fault lines continue to test maritime trade routes and commodity flows, Jaishankar's message remains pertinent: true economic resilience requires open markets, protected transit lines, and a genuine commitment to multilateral cooperation rather than coercion.
-
Indians Are Travelling, But Not Every Journey Is A Holiday | The Week In Whys
Pilgrims, patients and working women are the real travellers, and the system hasn't quite caught up with them.
-
Getting To Work Costs Women More | The Reason Why
It is not just about women paying more than men. It is about women paying much more in cities than in villages.
-
AI Bias In Investing Cannot Be Eliminated, But It Can Be Governed
Framing is a particularly important example as identical financial information presented in terms of gains rather than losses can lead an LLM to reach a different assessment.
-
Joining The Dots | Dark Skies, Steady Diya: Why Hope Holds This Diwali
With war, a weak rupee and foreign outflows weighing on sentiment, policymakers at the NDTV World Summit and market veterans at NDTV Profit Ignite: Diwali Edition offered the same advice: stay invested and filter out the noise.
-
The Curious Case of Equitas Small Finance Bank And A CEO Who Quit For Stock
PN Vasudevan believes persistent investor concerns over a perceived conflict of interest had become a governance overhang on Equitas Small Finance Bank's stock, even as the lender improved profitability and asset quality.
-
Talking Points This Week: AI Cash Burn, A Tiger Comeback And An India That Still Finds Its Own Path
India is not immune to higher oil or tighter global liquidity, yet its earnings base is broader, its domestic policy levers are still available.
-
Foreign Investors Own Half Of HDFC Bank and ICICI Bank. An LTCG Cut Could Matter Most Here
Foreign portfolio investors have US$115 billion parked in HDFC Bank, ICICI Bank. If the government cuts long-term capital gains tax, Jefferies says returning foreign money could land here first.