| Abstract: | The 1934 Communications Act established a dual system of federaland State telecommunications regulation. The act gave the FederalCommunications Commission (FCC) authority to regulate interstateand foreign telecommunications but not intrastate communications,a market reserved for the states. As part of its move to deregulatethe telecommunications market in the 1970s, the FCC sought toextend its jurisdiction by preempting state regulatory authorityover telecommunications activities traditionally consideredintrastate. In 1986, however, the U.S. Supreme Court, in itsdecision in Louisiana Public Service, restricted federal preemptionof state laws and reinforced the dual regulatory system. Withthe break-up of AT&T, the FCC has renewed its preemptionactivities, claiming that the preemption is necessary in orderto foster an efficient nationwide telecommunications system.Several cases now pending in federal courts will test the breadthand depth of the Supreme Court's holding in Louisiana PublicService, and thereby, the future of the dual regulatory system. |
