At issue for the courts…does an FCC license grant property rights in $40 billion lawsuit…
Chief Judge Kimberly Moore, leading the panel, predicted the case is destined for the Supreme Court, calling the property rights issue “inadequately briefed” and suggesting a remand to the lower Court of Federal Claims for further development. Moore and her colleagues challenged the government’s portrayal of licenses as mere “fishing permits” without takings protections, noting that licensees invest billions with expectations of limited FCC modifications and renewal rates exceeding 99 percent. The appeal stems from a November 2024 ruling that partially rejected the government’s dismissal motion, allowing Ligado’s claims to advance despite arguments that the Communications Act strips courts of jurisdiction.
Ligado, which emerged from bankruptcy in 2015, alleges the DoD’s L-band operations (1525-1559 MHz) effectively nullified its licenses by blocking commercial deployment, constituting an unconstitutional taking. The company has poured over $5 billion into acquiring and developing the spectrum. Industry groups like USTelecom, filing as amici, warned that rejecting property status for licenses could chill investments in 5G and 6G infrastructure, as carriers fear uncompensated federal interference.
Long History With GPS Industry…
At the heart of the dispute lies Ligado’s history of controversy over GPS interference risks. The company’s proposed high-power terrestrial broadband in the lower L-band was shelved by the FCC in 2012 after studies revealed potential overload of adjacent GPS frequencies (1559-1610 MHz), risking signal degradation or outages for aviation, agriculture, emergency services and precision timing. DoD and NTIA tests flagged interference up to 10,000 times safe thresholds, stoking national security fears that derailed Ligado’s plans—even after it shifted to satellite-focused operations.
No ruling emerged from last week’s arguments, but the panel’s tone favors Ligado, potentially paving the way for a merits trial before an inevitable high court showdown on spectrum rights in an era of intensifying federal-commercial spectrum clashes.
