A federal appeals court reversed a district court’s decision upholding...
A federal appeals court reversed a district court’s decision upholding an Oregon-approved interconnection agreement between Qwest and Western Radio Services. Western disputed the Oregon Public Utility Commission’s approval of the agreement and claimed that Qwest failed to negotiate the agreement…
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in good faith. The U.S. District Court in Portland had supported the Oregon commission and dismissed the good-faith claim. But in a ruling (http://xrl.us/bmybpi) released Thursday, the 9th U.S. Circuit Court of Appeals reversed the lower court’s decision to uphold the PUC and ordered the PUC to hold further proceedings consistent with the opinion. However, the appeals court affirmed the district court’s decision to dismiss the good-faith claim. The interconnection agreement violates the 1996 Telecom Act “insofar as it applies access charges, rather than reciprocal compensation, to calls exchanged between a [commercial mobile radio service] provider and a [local exchange carrier], originating and terminating in the same [local access and transport area], when those calls are carried by an interexchange carrier ('IXC'),” wrote Judge David Ebel for the San Francisco-based court. The involvement of an IXC does not alter the parties obligation to pay reciprocal compensation, he said. The 8th and 10th circuit courts have issued similar rulings and the FCC cited that case law “approvingly” in its Connect America Fund report and order, Ebel said. “While the PUC and the district court obviously did not have this clear guidance available to them at the time they rendered their respective decisions below, the FCC’s newly promulgated interpretation of the statute must yet be given effect.”