Virginia broadband law sparks legal clash as a federal appeals court rules that the rail industry group can challenge state regulation over fiber-optic cable crossings. This is reported by the railway transport news portal Railway Supply.

Virginia Broadband Law Under Court Scrutiny

Virginia Broadband Law Faces Court Battle
A Norfolk Southern train in downtown Roanoke. Photo by Dwayne Yancey.

A federal appellate court revived a major lawsuit involving Virginia broadband law, which aims to accelerate internet expansion across railway corridors but now faces legal hurdles from the railroad industry.

Don’t miss…Four Bids Submitted in Croatian Railway Tender Worth €620 Million

The Fourth U.S. Circuit Court of Appeals ruled that the Association of American Railroads can argue the state statute conflicts with federal regulations under the Interstate Commerce Commission Termination Act (ICCTA).

Why Virginia Broadband Law Faces Pushback?

Lawmakers passed the statute in 2023 after internet providers complained about high crossing fees and long delays that hindered rural broadband projects. It won unanimous support in Virginia’s legislature.

However, railroads argue the law is “void and unenforceable” because it overrides federal authority and violates constitutional property rights. The initial lawsuit was dismissed for lack of standing, but the appeals court reopened the preemption challenge.

Meanwhile, the Virginia Supreme Court ruled in May that Cox Communications cannot use the 2023 law to impose eminent domain on railroad property, closing two related federal cases involving Norfolk Southern and CSX.

Senator Bill Stanley, the bill’s sponsor, acknowledged lawmakers might revisit the measure, especially after early warnings from Senator Mark Obenshain about potential constitutional issues. The case now returns to district court for further review.

Source: cardinalnews.org

News on railway transport, industry, and railway technologies from Railway Supply that you might have missed:

Don’t miss…Alstom Secures New Contract with Kawasaki for R211 Subway Cars

Find the latest news of the railway industry in Eastern Europe, the former Soviet Union and the rest of the world on our page on Facebook, Twitter, LinkedIn, read Railway Supply magazine online.

Place your ads on webportal and in Railway Supply magazine. Detailed information is in Railway Supply media kit