Telecom trade associations are asking the Supreme Court to put on hold New York’s move to force low rates on companies that provide internet service.

Wednesday’s filing asks the justices to pause a ruling from the 2nd Circuit Court of Appeals that dissolved a lower court injunction on the state’s Affordable Broadband Act, enacted in 2021. It requires broadband companies to charge no more than $20 to low-income households for internet service.

According to the filing, if a company doesn’t abide by the law, it could face a $1,000 fine for each violation through New York Attorney General Letitia James.

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“Absent this court’s intervention, on Aug. 16, 2024, New York would become the first government — federal, state or local — to regulate the retail rates that broadband providers (including applicants’ members) may charge,” the filing read.

The telecom trade groups argue that the Communications Act of 1934 preempts states’ rights to regulate their own broadband rates.

They say the 2nd Circuit’s ruling that the federal law doesn’t preempt New York’s broadband rate law “would open the door to a wave of unprecedented state rate regulation.”

“Streaming video and music, cloud storage, email and messaging, and videoconferencing services are all also interstate information services under the Communications Act. If federal law does not preempt state rate regulation of broadband, it also does not preempt state rate regulation of those other services,” the groups argue.

The petition was presented to Justice Sonia Sotomayor, who oversees petitions from the 2nd Circuit.

The case is New York State Telecommunications Association Inc. v Letitia James.

A spokesperson from Ms. James’ office didn’t immediately respond to a request for comment.