We previously reported on the FCC’s 2016 Privacy Order, “Protecting the Privacy of Customers of Broadband and Other Telecommunications Services” impacting Internet service providers’ data privacy practices and obligations and the corresponding timeline for compliance. Intervening events, however, have made the rules imposed by the 2016 Privacy Order moot. On June 26, 2017, the FCC adopted a new order providing guidance on reinstating the pre-2016 Privacy Order regulations. This order was issued pursuant to a joint resolution of Congress under the Congressional Review Act, signed by the President on April 3, 2017, disapproving the FCC’s 2016 Privacy Order. As a result, the 2016 Privacy Order has “no force or effect.” FCC Chairman, Ajit Pai, stated that the purpose of the new order is to “simply make clear that the privacy rules that were in effect prior to 2016 are once again effective.”

On December 2, 2016, the Federal Communications Commission (“FCC”) published its Report and Order entitled “Protecting the Privacy of Customers of Broadband and Other Telecommunications Services” (the “Order”) as a final rule in the Federal Register, adopting rules applicable to Internet service providers (“ISPs”) intended to protect the privacy of broadband consumers. Despite the publication of the rules in the Federal Register, uncertainty remains regarding when ISPs must be in compliance with some of these newly established privacy obligations. Although the rules are effective January 3, 2017, the FCC has made exceptions to the January 3, 2017 effective date for provisions which have not yet been approved by the Office of Management and Budget (“OMB”).[1] This includes many of the operative provisions of the new rules regarding ISPs’ data collection and use. Once such provisions are approved by the OMB, notice will be published in the Federal Register announcing their approval and corresponding effective dates.

Despite the uncertainty regarding the effective dates of many sections, the publication of the Order puts ISPs on notice of the new rules, and ISPs should begin revising their practices so that they are able to meet the earliest possible effective dates. Here is what ISPs need to know regarding compliance with the new rules:

The Federal Communication Commission’s (the “FCC”) landmark decision last year to reclassify Internet service providers (“ISPs”) as common carriers under Title II of the Communications Act of 1934 implicates policy issues that extend well beyond net neutrality.  Perhaps chief among them is the treatment of customer proprietary network information (“CPNI”) by broadband access providers.  The CPNI rules, which were adopted as part of the Telecommunications Act of 1996, were originally implemented to facilitate competition in the context of a landline telephone network, rather than address privacy concerns for broadband providers.  Yet as part of the FCC’s Open Internet Order (which is currently under legal challenge), these rules apply to broadband as well.