Second Circuit – Solicited Fax Rule: Gorss Motels Inc., et al. v. FCC, et al.

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United States Court of Appeals for the Second Circuit

Solicited Fax Rule

Hobbs Act channeling mechanism

Gorss Motels Inc., et al. v. FCC, et al.

20-1075-ag

Judges Jacobs, Sullivan, and Menashi

Background: The petitioners challenge a Federal Communications Commission order that removed the Solicited Fax Rule from the Code of Federal Regulations. The order was issued in response to a decision from the D.C. Circuit which held that the Solicited Fax Rule was unlawful. At issue is whether the D.C. Circuit’s decision binds the Second Circuit and whether the agency erred by repealing the Solicited Fax Rule following the ruling.

Ruling: The Second Circuit denied the petition. The court held that it is bound by the D.C. Circuit’s decision vacating the rule and that that the agency did not err. The court noted that the Hobbs Act’s channeling mechanism made the D.C. Circuit the sole forum for addressing the validity of the rule and the agency was bound to comply.

Aytan Y. Bellin, of Bellin & Associates, for the petitioners; Adam G. Crews, of the Federal Communications Commission, and Robert Nicholson, United States attorney, for the respondent.