California won’t enforce its net neutrality law until legal challenges to the Federal Communications Commission’s rollback of Obama-era rules are resolved.

The Justice Department and trade groups representing AT&T Inc., Verizon Communications Inc. and other internet service providers (ISPs) sued to block the state law in the U.S. District Court for the Eastern District of California. State Attorney General Xavier Becerra (D) and the suing parties agreed to ask the court to delay that proceeding until final resolution of the rollback challenges, according to an Oct. 26 court filing.

California’s enforcement delay is a “substantial concession” that “reflects the strength...