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):Technical[4]Technical Document Styleņ ņŪ  ŪŌ2Ōa.Ō3  Ō€Ō  ŌŌ  ŌĢą..ąó ólE0 D:Technical[1]Technical Document StyleĢņņņ ņŌ  ŌŪ  ŪŌ2ŌI.Ō3  Ō€Ō  ŌŌ  ŌŌ  ŌĢĢóóą..ąó ól<a~:Technical[7]Technical Document Styleą..ąņ ņŪ  ŪŌ2Ōi)Ō3  Ō€.€€ó ól<a…:Technical[8]Technical Document Styleą..ąņ ņŪ  ŪŌ2Ōa)Ō3  Ō€.€€ó óR& ’’8BibliogrphyBibliographyą0..ąą°..°ąĢĢjD’’4Tech InitInitialize Technical StyleÓ(€  (ÓŲŲ ’’Cuy±ÉåTechnicalTechnical Document Style11.11.1.11.1.1.11.1.1.1.11.1.1.1.1.11.1.1.1.1.1.11.1.1.1.1.1.1.1fE’’2Doc InitInitialize Document StyleÓ€ÓČÓ(€ #   (ÓŲŲ !"(’’$˜˜Ģą0 ąą ą(’’$™™ą0 ąą0 ąą ą((’’$ššą0 ąą0 ąą0 ąą ą  ’’A_ekqw‡DocumentDocument StyleI.1.A.a.(1)(a)i)a)x?ćt2PleadingHeader for Numbered Pleading PaperÓČÓŃ °ŃŃč°ŃÖ€%’’Ö ŪŻ ƒ&ņ0(ŻÓ  ÓÓC€ - ’’$3fCÓŻ  ŻŌ€a¼XõōŌÓČÓŅX°ŅҰ°ŅÓ’’Ą°œXÓß?€d''ü°ų*–dEü°ų*?ßß?€d''°ų*–dE°ų*?ßĢĢą\\Ąą1ˆĢĢą\\Ąą2ˆĢĢą\\Ąą3ˆĢĢą\\Ąą4ˆĢĢą\\Ąą5ˆĢĢą\\Ąą6ˆĢĢą\\Ąą7ˆĢĢą\\Ąą8ˆĢĢą\\Ąą9ˆĢĢąųųĄą10ˆĢĢąųųĄą11ˆĢĢąųųĄą12ˆĢĢąųųĄą13ˆĢĢąųųĄą14ˆĢĢąųųĄą15ˆĢĢąųųĄą16ˆĢĢąųųĄą17ˆĢĢąųųĄą18ˆĢĢąųųĄą19ˆĢĢąųųĄą20ˆĢĢąųųĄą21ˆĢĢąųųĄą22ˆĢĢąųųĄą23ˆĢĢąųųĄą24ˆĢĢąųųĄą25ˆĢĢąųųĄą26ˆĢĢąųųĄą27ˆĢĢąųųĄą28Ō  ą.Ą+Ō(j2ņ0$ØØŻ ƒc†^!ŻÓ  ÓÓC€ - ’’$3fCÓŻ  Żp’’4Heading 2Underlined Heading Flush LeftņņņņĢóóóóV’’4Heading 1Centered Headingą@ģ..ģąņņņ ņˆĢĢóóó ób* ’’8Bullet ListIndented Bullet Listą0..ąššą0` ..` ąĢ “Ż ƒ,ņ0'ŻÓ  ÓÓC€ - ’’$$-CÓŻ  ŻÓcO°X°ĄģpČ xŠ (#€%Ų'0*ˆ,ą.813č5@8˜:š<H? A°œXcӀŌ€Xa¼XõōŌą Ą ąąQr r ģąņ ņFederal€Communications€Commission€ˆą€<<J(#ąDA€99„1395ó óˆŠ ° Š______________________________________________________________________________(j2ņ0$§§Ż ƒc†^!ŻÓ  ÓÓC€ - ’’$3fCÓŻ  Ż$’’35;AGMU]c1I.A.1.a.(1)(a)i)a)(’’$ņņŚ  ŚŚ  Śóó GŻ ƒ0½®$ŻÓ  ÓÓC€ - ’’$$-CÓÓӀ€€€€ņņŚ  Ś1Ś  Śó󀀀€€Ż  ŻņņSeeóó€MGC€Communications€Inc.€Revised€Proposed€Findings€of€Fact€and€Conclusions€of€Law€at€3,€šš€3€(July€2,Š ° Š1999)€(MGC€Proposed€Findings).€€(|&2½®$¤¤Ż ƒc†^!ŻÓ  ÓÓC€ - ’’$3fCÓŻ  ŻÓӀ€€€€ņņŚ  Ś0Ś  Śó󀀀€€ źŻ ƒ0½®$ŻÓ  ÓÓC€ - ’’$$-CÓÓӀ€€€€ņņŚ  Ś2Ś  Śó󀀀€€Ż  Ż47€U.S.C.€šš€101,€ņņet€seq.óó;€ņņseeóó€AT&T€Answer€at€3,€šš€6.€€ ‰Ż ƒ0½®$ŻÓ  ÓÓC€ - ’’$$-CÓÓӀ€€€€ņņŚ  Ś3Ś  Śó󀀀€€Ż  ŻņņSeeóó€MGC€Tariff€FCC€No.€1€(Complaint€Exh.€B);€Joint€Statement€of€Disputed€and€Undisputed€Facts€andŠ ° ŠLegal€Issues€at€1,€šš€2€(June€7,€1999)€(Joint€Statement)€(stipulating€to€accuracy€of€Complaint€Exh.€B).€€ Ż ƒ0½®$ŻÓ  ÓÓC€ - ’’$$-CÓÓӀ€€€€ņņŚ  Ś4Ś  Śó󀀀€€Ż  ŻIt€appears€that,€under€its€tariff,€MGC€charges€$0.008832€per€minute€for€local€transport€service€and€$0.0785Š ° Šper€minute€for€local€switching,€ņņseeóó€MGC€Tariff€FCC€No.€1€šššš6.8.3.B€and€6.8.4.A,€for€a€total€per„minute€accessŠ zŹ Šcharge€of€approximately€8.73€cents.€€By€contrast,€in€the€Nevada€market€where€MGC€operates,€Sprint€Corp.,€theĻincumbent€LEC,€charged€approximately€0.514€cents€per€minute€for€similar€service.€€ņņSeeóó€Answer,€Exh.€7;€AT&TŠ ^ ŠRevised€Proposed€Findings€of€Fact€and€Conclusions€of€Law€at€4,€šš€8€(July€2,€1999)€(AT&T€Proposed€Findings).€€ wŻ ƒ0½®$ŻÓ  ÓÓC€ - ’’$$-CÓÓӀ€€€€ņņŚ  Ś5Ś  Śó󀀀€€Ż  ŻņņSeeóóComplaint€at€5,€šš€13.€€AT&T's€answer€does€not€address€this€allegation€in€MGC's€complaint.€€Under€ourŠ ° Šrules,€allegations€in€a€complaint€that€are€not€specifically€denied€are€deemed€to€be€admitted.€€47€C.F.R.€šš1.724(d).€ĻņņSee€alsoóó€AT&T€Proposed€Findings€at€19,€šš€37€(conceding€that€AT&T€initially€ordered€MGC's€services).€€ņņCf.óó€PhillipŠ D” ŠMiller€Deposition€at€25:18€„€26:10€(MGC€Hearing€Exhibit€No.€26).€€AT&T ORDERED SERVICEJULY 21 LTR dŻ ƒ0$ŻŻ  ŻJuly€21,€1998€letter€of€Phil€Miller€to€Kent€Heyman€(MGC€Hearing€Exh.€5).€€ wŻ ƒ0$ŻŻ  ŻņņSee,€e.g.óó,€47€C.F.R.€šš€1.730.€€ņņSee€generally€Implementation€of€the€Telecommunications€Act€of€1996,ĻAmendment€of€Rules€Governing€Procedures€to€Be€Followed€When€Formal€Complaints€are€Filed€Against€CommonĻCarriersóó,€Second€Report€&€Order,€13€FCC€Rcd.€17018€(1998),€ņņrecon.€pendingóó.€€(ņņFormal€Complaints€SecondĻReport€&€Orderóó)€€€ @Ż ƒ0$ŻŻ  Ż47€U.S.C.€šššš€201(b),€202,€203.€€ ZŻ ƒ0$ŻŻ  ŻņņSeeóó€May€20,€1999€letter€of€Ross€Buntrock€to€Magalie€Salas. ŗŻ ƒ0$ŻŻ  ŻņņSeeóó€ņņFormal€Complaints€Second€Report€&€Orderóó,€13€FCC€Rcd.€at€17021,€šš€4.€€We€have€determined€thatĻthis€complaint€falls€within€the€authority€that€the€Commission€has€delegated€to€the€Bureau.€€ņņSeeóó€47€C.F.R.Ļšš0.291.€€Our€order€is€therefore€effective€and€binding€on€the€parties€upon€its€release.€€ņņCf.óó€ņņFormal€ComplaintsĻSecond€Report€&€Orderóó,€13€FCC€Rcd.€at€17071„72,€šššš€101„03.€€ 2Ż ƒ0$ŻŻ  Ż47€U.S.C.€šš€201(b).€€ CŻ ƒ0$ŻŻ  ŻņņSee,€e.g.óó,€Answer€at€12,€šš€47.€€ ĀŻ ƒ0$ŻŻ  ŻņņSeeóó€AT&T€Proposed€Findings€at€19,€šš37;€Minitrial€Transcript€at€259:16„18€("[U]ltimately,€[AT&T€is]Ļnot€disputing€in€this€case€whether€we€ordered€service.").€€ VŻ ƒ0$ŻŻ  ŻņņSeeóó€AT&T€Proposed€Findings€at€38„41,€šššš77„81.€€ eŻ ƒ0$ŻŻ  ŻņņSeeóó€MGC€Tariff€FCC€No.€1€šššš€2.3.1€and€5.1€(Complaint€Exh.€B).€€ Ż ƒ0$ŻŻ  ŻņņSeeóó€MGC€Tariff€FCC€No.€1€šššš€5.5.1€and€5.6.1;€Minitrial€Transcript€at€259:19€to€260:4.€€At€no€point€inĻthis€proceeding€has€MGC€contested€the€assertion€that€its€tariff€permits€cancellation€of€service€with€30€days'Ļnotice.€€MGC TARIFF qŻ ƒ0$ŻŻ  ŻņņSee€supraóó€note€Õ4*AT&T ORDERED SERVICE4Õ5Õ  Õ.€€ ŽŻ ƒ0$ŻŻ  ŻņņSee€Interexchange€Carrier€Purchases€of€Switched€Access€Services€Offered€by€Competitive€LocalĻExchange€Carriersóó,€Petition€for€Declaratory€Ruling,€CCB/CPD€No.€98„43€(filed€October€23,€1998).€€ ‚Ż ƒ0$ŻŻ  ŻņņSeeóó€Minitrial€Transcript€at€300:1„13€(MGC€states€that,€prospectively,€an€IXC€could€simply€refuse€toĻaccept€a€LEC's€originating€access€traffic).€€ņņSee€alsoóó€MGC€Proposed€Findings€at€35,€šš65€("The€law€is€noticeablyĻsilent€with€regard€to€carriers'€ability€to€jointly€agree€not€to€complete€certain€types€of€traffic€from€one€network€toĻthe€other.").€€ ^Ż ƒ0$ŻŻ  ŻņņSee€supraóó€note€Õ MGC TARIFF Õ16Õ  Õ.€€ `Ż ƒ0$ŻŻ  ŻņņSeeóó€MGC€Proposed€Findings€at€27,€41„45,€šššš46„47,€75„83.€€ Ż ƒ0$ŻŻ  Ż47€U.S.C.€šš€251(b)(3);€ņņsee€also€Implementation€of€the€Local€Competition€Provisions€of€theĻTelecommunications€Act€of€1996óó,€Second€Report€&€Order,€11€FCC€Rcd.€19392,€19409,€šš€29€(1996)€(ņņLocalĻCompetition€Second€Report€&€Orderóó).€€ mŻ ƒ0$ŻŻ  ŻņņSee€Local€Competition€Second€Report€&€Orderóó,€11€FCC€Rcd.€at€19410,€šš€30.€€ ‰Ż ƒ0$ŻŻ  ŻņņInvestigation€of€Access€and€Divestiture€Tariffs,óó€Memorandum€Opinion€&€Order,€101€FCC2d€911,€925Ļ(1985).€€ HŻ ƒ0$ŻŻ  ŻņņóóņņSeeóó€47€U.S.C.€šš€226(e)(1)(A).€€ ĪŻ ƒ0$ŻŻ  ŻņņImplementation€of€the€Pay€Telephone€Reclassification€and€Compensation€Provisions€of€theĻTelecommunications€Act€of€1996óó,€Third€Report€&€Order,€14€FCC€Rcd.€2545,€2575€(1999).€€ ĮŻ ƒ0$ŻŻ  Ż47€U.S.C.€šššš€201,€202,€203,€214;€47€C.F.R.€šš€63.71€(establishing€procedures€for€discontinuance€orĻimpairment€of€service€by€domestic,€non„dominant€carriers).€€ bŻ ƒ0$ŻŻ  ŻņņSee€supraóó€paragraph€Õ "JULY 21 LTR"Õ4Õ  Õ. !Ż ƒ0$ŻŻ  ŻIn€relevant€part,€MGC's€letter€stated:€€ĢĢą0..ąą8` ..` ąBased€upon€your€assurance€that€for€the€present€time,€AT&T€will€continue€to€completeĻcalls€to€and€from€MGC's€local€service€customers,€we€agree€at€this€time€to€engage€inĻnegotiations€with€AT&T€for€an€agreement€for€switched€services.€€However,€it€is€myĻunderstanding€that€MGC€is€free€to€include,€in€its€tariff,€any€such€charges€which€areĻjust€and€reasonable.ĢĢAugust€14,€1998€letter€of€Kent€Heyman€to€Philip€Miller€(MGC€Hearing€Exh.€No.€6).€€ kŻ ƒ0$ŻŻ  ŻAugust€26,€1998€letter€of€Philip€Miller€to€Kent€Heyman€(MGC€Hearing€Exh.€No.€7).€ jŻ ƒ0$ŻŻ  ŻOct€19,€1998€e„mail€from€Stephen€Sisk€to€Kent€Heyman€(MGC€Hearing€Exh.€No.€8).€€LEGAL RISKS øŻ ƒ0$ŻŻ  ŻDuring€the€hearing€in€this€case,€AT&T€introduced€evidence€tending€to€show€that€it€would€beĻunreasonably€burdensome€to€require€AT&T€to€develop€a€means€of€blocking€MGC's€traffic€from€coming€ontoĻAT&T's€network.€€Minitrial€Transcript€at€51„85,€115„118.€€We€credit€that€evidence.€€Our€decision€in€this€matterĻis€in€no€way€based€on€a€finding€that,€to€terminate€MGC's€service,€AT&T€was€required€to€block€MGC's€traffic.€€ ‹Ż ƒ0$ŻŻ  ŻņņSeeóóņ ņó óņņóó€47€U.S.C.€šš€258(a);€ņņImplementation€of€the€Subscriber€Carrier€Selection€Changes€Provisions€of€theĻTelecommunications€Act€of€1996;€Policies€and€Rules€Concerning€Unauthorized€Changes€of€Consumers€LongĻDistance€Carriersóó,€Second€Report€&€Order€and€Further€Notice€of€Proposed€Rulemaking,€14€FCC€Rcd.€1508,Ļ1510€(1998);€47€C.F.R.€šš64.1150.€Ģ Ż ƒ0$ŻŻ  ŻMr.€Taggart€testified€during€deposition:€€"[T]o€the€extent€that€calls€ended€up€being€blocked€by€MGC,Ļwe€felt€that€there€was€a€need€.€.€.€to€work€with€MGC€to€come€up€with€some€kind€of€communication€to€MGCĻlocal€customers€that€were€currently€PIC'ed€to€AT&T€and€[give]€them€their€options."€€William€Taggart€DepositionĻat€50:22€„€51:6€(MGC€Hearing€Exh.€No.€25).€€ öŻ ƒ0$ŻŻ  ŻņņSee,€e.g.,€id.óó€at€51:7„21€(Taggart's€testimony€that,€to€his€knowledge,€no€one€from€AT&T€discussed€withĻMGC€the€process€of€giving€shared€customers€the€option€of€choosing€either€a€different€IXC€of€a€different€LEC).€€ Ż ƒ0$ŻŻ  ŻņņId.óó€at€20:14„18.€€ņņSee€alsoóó€ņņidóó.€at€24:12„15€(AT&T's€decision€to€continue€accepting€traffic€motivated€byĻconcern€about€"reaction€both€from€a€customer€standpoint,€from€an€MGC€standpoint€and€from€an€FCCĻstandpoint"). iŻ ƒ0$ŻŻ  ŻPhilip€Miller€Deposition€at€34:4„12€(MGC€Hearing€Exh.€No.€26)€(emphasis€added). eŻ ƒ0$ŻŻ  ŻņņSee€supraóó€paragraph€Õ "LEGAL RISKS"Õ16Õ  Õ.€€ •Ż ƒ0$ŻŻ  ŻņņSeeóó€MGC€Hearing€Exh.€No.€1,€"Presubscription€Requests€by€MGC€Customers€Accepted€by€AT&TĻFollowing€August€22,€1998."€€ ÉŻ ƒ0$ŻŻ  ŻWilliam€Taggart€testified€as€follows:ĢĢą0..ąQ:ą8` ..` ąWas€that€ever€discussed,€the€idea€of€coming€to€MGC€directly€and€saying€don't€allowĻyour€customers€to€PIC€AT&T€anymore?ĢĢą0..ąA:ą8` ..` ąWhen€we€told€MGC€that€we€did€not€want€to€purchase€their€service,€we€felt€that€it€wasĻtheir€decision,€whether€they€wanted€to€continue€to€PIC€customers€to€AT&T.ĢĢTaggart€Deposition€at€50:9„15.€€ VŻ ƒ0$ŻŻ  ŻņņSeeóó€AT&T€Proposed€Findings€at€28„29,€šššš€57„58.€€ –Ż ƒ0$ŻŻ  ŻņņSeeóó€47€C.F.R.€šš€51.209(b);€ņņLocal€Competition€Second€ņ ņó óReport€&€Orderóó,€11€FCC€Rcd.€at€19419„20,Ļšš50.€€ vŻ ƒ0$ŻŻ  ŻņņSeeóó€Joint€Statement€of€Disputed€and€Undisputed€Facts€and€Legal€Issues€at€5,€šš€26.€€ ÷Ż ƒ0$ŻŻ  ŻņņSee€MCI€Telecommunications€Corp.€v.€Pacific€Bell€Tel.€Co.óó,€8€FCC€Rcd.€1517,€1530,€šš€48€(1993),Ļņņvacated€in€part€on€other€grounds€sub€nom.€MCI€Telecommunications€Corp.€v.€FCCóó,€59€F.3d€1407€(D.C.€Cir.Ļ1995).€€  ’’Cƒ‰•›£«±Right ParRight-Aligned Paragraph NumbersI.A.1.a.(1)(a)i)a)3|j «%ō\  `&Times New RomanōōXō\  PŽ6G;ōP%ō\  `&Times New RomanXXjō\  PŽ6G;XP(O†^$””Ó  ÓÓC€ - ’’$3fCÓ d˜HP LaserJet 4,ü,,,,,ü03#37=CIQYag­­1.a.i.(1)(a)(i)1)a)š|ö&c€A{Ņ&ź:i¢Ų+00’U‹’ĄĄĄŻ ƒc†^!ŻÓ  ÓÓC€ - ’’$ CÓŻ  ŻŃ  ŃÖ€+’’ÖÓ  ÓŃ  ŃŌ€Xa¼XõōŌŃ8€a¼XXdšdČ8Ńņ ņŌ_ŌFEDERAL€COMMUNICATIONS€COMMISSIONŠ X ŠWashington,€D.C.€20554ó óŠ Hš ŠÓ  ÓĢĢą0  ąą0` (#(#ąą0ø ` (#` (#ąą0ø (#ø (#ąą0h(#(#ąą0Ąh(#h(#ą)Š Ą(#Ą(# ŠMGC€COMMUNICATIONS,€INC.ą h ąą Ą ą)Š  ° Šą  ąą ` ąą0 ø ąą0ø (#ø (#ąą0h(#(#ąą0Ąh(#h(#ą)Š Ą(#Ą(# Šą  ąą ` ąComplainant,ą0  ąą0h(#(#ąą Ą ą)Šč h(#h(# Šą0  ąą0` (#(#ąą0ø ` (#` (#ąą0ø (#ø (#ąą0h(#(#ąą0Ąh(#h(#ą)Š Ą(#Ą(# Šą0  ąą0` (#(#ąv.ą0ø ` (#` (#ąą0ø (#ø (#ąą0h(#(#ąą0Ąh(#h(#ą)ą0Ą(#Ą(#ąą p ąFile€No.€€EAD„99„002ŠČp (#(# Šą0  ąą0` (#(#ąą0ø ` (#` (#ąą0ø (#ø (#ąą0h(#(#ąą0Ąh(#h(#ą)Š Ą(#Ą(# Šą  ąą ` ąą ø ąą  ąą h ąą Ą ą)ĢAT&T€CORP.ą ø ąą  ąą h ąą Ą ą)Š ˜@  Šą  ąą ` ąą ø ąą  ąą h ąą Ą ą)Ģą  ąą0 ` ąDefendant.ą0` (#` (#ąą0h(#(#ąą0Ąh(#h(#ą)Šx Ą(#Ą(# Šą0  ąą0` (#(#ąą0ø ` (#` (#ąą0ø (#ø (#ąą0h(#(#ąą0Ąh(#h(#ą)Š Ą(#Ą(# ŠĢĢĢą@– – "ģąņ ņMEMORANDUM€OPINION€AND€ORDERó óˆŠ (Š ŠĢҰŅҰŅAdopted:€€July€16,€1999€ą€((7Š ąReleased:€€July€16,€1999ˆŠ ° ŠŅ°ŅҰŅĢBy€the€Deputy€Chief,€Common€Carrier€Bureau:ĢĢĢą@YY(ģąņ ņI.€€Introductionó óˆŠ ø` ŠĢą  ąŌ2’’ŌŚ  Ś1Ś  Ś.Ō3  Ōą ` ąIn€this€proceeding,€complainant€MGC€Communications,€Inc.,€asserts€thatŠ ˜!@ Šdefendant€AT&T€Corp.€has€improperly€refused€to€pay€for€originating€exchange€access€serviceĻthat€AT&T€ordered€and€accepted€pursuant€to€MGC's€validly€filed€tariff.€€AT&T€contends€that€itĻterminated€its€relationship€with€MGC€under€which€it€had€been€receiving€originating€accessĻservice.€€Accordingly,€AT&T€argues,€MGC's€continued€provision€of€access€service€constitutedĻthe€conferral€of€an€unwanted€service€for€which€AT&T€is€under€no€obligation€to€pay.€€For€theĻreasons€set€out€more€fully€below,€we€conclude€that€AT&T€failed€to€take€the€appropriate€stepsĻunambiguously€to€terminate€MGC's€access€service.€€We€therefore€grant€MGC's€complaint€andĻfind€that€AT&T€is€liable,€according€to€the€terms€of€MGC's€access€service€tariff,€for€those€accessĻservices€that€AT&T€has€accepted€but€for€which€it€has€not€paid.€Ģā āŌ_ŌŠ ų* #&B Šą@dd ģąņ ņŌ& Ą Ōā āII.€€Facts€and€Procedural€Historyó óˆŠ X ŠŌ_ŌńńĢą  ąą ` ąą ø ąą  ąńńŌ_ŌĢā āŌ_Ōą  ąŌ2’’ŌŚ  Ś2Ś  Ś.Ō3  Ōą ` ąMGC€is€a€facilities„based€competitive€local€exchange€carrier€(LEC),€whichŌ'ĄX_ ŌŠ ( Š Šprovides€equal€access€for€interexchange€carriers'€services,€and€local€exchange€and€long€distanceĻtelecommunications€services€to€its€customers€in€five€states.׃/ׯ ƒ.’’ŻņņŚ  Ś1Ś  ŚóóŻ  Ż×  ׀€AT&T€operates€as€a€non„dominantŠ  ° Šinter„exchange€carrier€(IXC)€throughout€the€United€States.€€Both€AT&T€and€MGC€are€subject€toĻthe€Commission's€jurisdiction€under€Title€II€of€the€Communications€Act€of€1934,€as€amendedĻ(the€Act).׃1$ׯ ƒ.’’ŻņņŚ  Ś2Ś  ŚóóŻ  Ż×  ׀€During€the€time€relevant€to€this€dispute,€MGC€had€on€file€with€the€Commission€itsŠ Ų€ ŠTariff€FCC€No.€1,€under€which€it€offered€both€originating€and€terminating€access€service.׃2¶ׯ ƒ.’’ŻņņŚ  Ś3Ś  ŚóóŻ  Ż×  ׀€UnderŠ Čp  Šits€tariff,€MGC's€rate€for€access€service€was€significantly€higher€than€that€charged€by€theĻincumbent€LECs€with€which€it€competed€in€its€various€markets.׃3ׯ ƒ.’’ŻņņŚ  Ś4Ś  ŚóóŻ  Ż×  ׀€Š ØP  ŠĢą  ąŌ2’’ŌŚ  Ś3Ś  Ś.Ō3  Ōą ` ąIn€January€1998,€AT&T€began€purchasing€both€originating€and€terminating€localŠ ˆ0  Šaccess€service€from€MGC€under€the€terms€of€MGC's€Tariff€FCC€No.€1.׃4Ģ ׯ ƒ.’’ŻņņŚ  Ś5Ś  ŚóóŻ  Ż×  ×Ō €5 Ō€€Between€January€andŠ x  ŠJuly€1998,€AT&T€accepted€all€traffic€that€MGC€sent€to€its€network,€and€it€paid€MGC€at€theĻtariffed€rate.€€On€July€21,€1998,€an€AT&T€representative€wrote€to€MGC€for€the€claimed€purposeĻof€terminating€AT&T's€arrangement€with€MGC€for€originating€access€service.€€The€parties'Ļdispute€in€this€case€involves€only€originating€access€service,€which€permits€MGC€subscribers€toĻplace€calls€(either€toll€or€toll„free)€over€AT&T's€network.€€AT&T€continues€to€purchase,€underĻthe€terms€of€the€tariff,€MGC's€terminating€access€service,€which€allows€AT&T€to€complete€callsĻto€MGC's€local€service€subscribers.€€ĢŠ ų  Šą  ąŌ&  ŌŌ2’’ŌŚ  Ś4Ś  Ś.Ō3  ŌŌ €6 Ōą ` ąIn€relevant€part,€AT&T's€July€21€letter€stated:Š X ŠĢą0..ąą8` ..` ąRecently,€AT&T€examined€MGC€Communication's€switched€access€billĻand€concluded€the€rates€being€charged€to€AT&T€are€not€competitiveŌ'  Ō€with€present€market€rates.€€AT&T€has€concluded€that€it€cannot€continueĻto€purchase€MGC€Communication's€service€at€these€higher€rates.ĢĢą0..ąą8` ..` ąWe,€therefore,€give€notice€that,€effective€August€22,€1998,€thirty€daysĻfrom€the€date€of€this€letter,€AT&T€will€not€purchase€switched€accessĻservices€under€the€terms€and€conditions€of€the€MGC€CommunicationĻtariff.€€At€least€for€the€present,€AT&T€will€continue€to€complete€calls€toĻand€from€MGC€Communication's€local€services€customers,€in€order€toĻavoid€inconvenience€to€those€customers.× ƒ7 ××  ׀€ĢĢAs€of€August€22,€1998,€AT&T€stopped€paying€for€the€originating€access€service€that€itĻreceived€from€MGC.€€On€at€least€two€subsequent€occasions,€AT&T€reiterated€its€intention€toĻcontinue€completing€calls€to€and€from€MGC's€customers.€€At€least€through€June€28,€1999,€theĻdate€of€the€hearing€in€this€matter,€MGC€continued€to€provide€originating€local€access€serviceĻto€AT&T,€and€AT&T€continued€to€accept,€but€not€pay€for,€the€service.€€ĢĢą..ąŌ2Ō5.Ō3  Ōą` ..` ąIn€December€1998,€MGC€contacted€the€Commission€to€initiate€this€complaintĻunder€the€Accelerated€Docket€procedures€of€the€Common€Carrier€Bureau.× ƒ8 ××  ׀€The€supervisedĻsettlement€discussions,€which€form€a€prerequisite€for€the€acceptance€of€any€matter€onto€theĻAccelerated€Docket,€failed€to€resolve€any€portion€of€the€parties'€dispute.€€Accordingly,ĻCommission€staff€notified€MGC€that€its€complaint,€if€filed,€would€be€accepted€onto€theĻDocket.€€On€May€18,€1999,€MGC€filed€its€section€208€complaint,€which€originally€alleged,€inĻthree€counts,€that€AT&T's€continuing€acceptance€of€originating€access€service€and€refusal€toĻpay€therefor€violated€sections€201(b),€202€and€203€of€the€Act.× ƒ9 ××  ׀€Shortly€after€it€filed€itsĻcomplaint,€MGC€moved€to€dismiss€the€counts€alleging€violation€of€sections€202€and€203.× ƒ: ××  ׀ĻAfter€discovery,€which€included€MGC's€deposition€of€four€AT&T€witnesses,€the€partiesĻparticipated€in€a€minitrial,€during€which€they€examined€two€witnesses,€presented€oralĻargument€and€responded€to€questions€from€Commission€staff.€€As€contemplated€by€the€rules€for€the€Accelerated€Docket,€we€issue€our€order€resolving€this€matter€within€sixty€days€ofĻMGC's€filing€of€its€complaint.× ƒ; ××  ×ĢĢŌ&  Ōą@ģ..»ąņ ņIII.€€DISCUSSIONó óˆĢĢą..ąŌ2Ō6.Ō3  Ōą` ..` ąIn€this€proceeding,€Ō'  ŌMGC€asserts€that€AT&T€ordered,€and€continues€to€order€„„Ļeither€explicitly€or€constructively€„„€originating€access€service€under€MGC's€tariff.€€MGCĻmaintains€that,€having€ordered€the€service,€AT&T€cannot€decline€to€pay€for€it€at€the€rateĻspecified€in€MGC's€validly€filed€tariff.€€Thus,€MGC€contends€that,€by€accepting€MGC'sĻoriginating€access€service€without€paying€for€it,€AT&T€has€improperly€engaged€in€self€helpĻmeasures€and€has€thereby€violated€section€201(b)€of€the€Act,€which€prohibits€any€carrierĻ"practice€.€.€.€that€is€unjust€or€unreasonable."× ƒ< ××  ׀€During€the€course€of€this€proceeding,€AT&TĻhas€repeatedly€expressed€its€belief€that€MGC's€access€rates€are€unreasonably€high× ƒ= ××  ×;€however,Ļin€this€action,€it€does€not€challenge€the€reasonableness€of€those€rates.€€Rather,€AT&T€arguesĻthat,€while€it€initially€received,€and€was€obligated€to€pay€for,€MGC's€originating€accessĻservice,× ƒ> ××  ׀its€July€21,€1998€letter€complied€with€the€termination€provision€of€MGC's€tariff€andĻeffectively€ended€AT&T's€relationship€with,€and€payment€obligation€to,€MGC€for€originatingĻaccess.€€Consequently,€AT&T€asserts,€MGC's€continued€provision€to€AT&T€of€originatingĻaccess,€beyond€August€22,€1998,€amounts€to€the€conferral€of€an€unwanted€benefit€for€whichĻAT&T€is€not€obligated€to€pay.× ƒ? ××  ׀€ĢĢą..ąŌ2Ō7.Ō3  Ōą` ..` ąMGC's€tariff€provides€that€access€customers€like€AT&T€may€order€accessĻservice€either€orally€or€in€writing,€including€by€the€submission€of€an€access€service€request.× ƒ@ ××  ׀ĻThe€parties€agree€that€the€tariff€permits€cancellation€of€service,€upon€30€days'€notice€either€orally€or€in€writing.× ƒA ××  ×Ō €B Ō€€AT&T€concedes€that,€prior€to€its€July€21€letter,€it€had€orderedĻoriginating€access€service€from€MGC.× ƒC ××  ׀€The€question€presented€for€our€decision€is€whetherĻAT&T€took€the€appropriate€steps€effectively€to€terminate€its€arrangement€with€MGC€for€theĻacceptance€of€originating€access€traffic.€€This€issue€is€entirely€distinct€from€the€question€thatĻAT&T€has€presented€in€a€petition€for€rulemaking:€€whether€an€IXC€may€decline€to€purchaseĻņņterminatingóó€access€service.× ƒD ××  ׀€In€this€decision,€we€express€no€opinion€on€that€separate€matter.€€ĢĢą..ąņ ņA.ą8` ..` ąMay€an€IXC€Refuse€a€Competitive€LEC's€Access€Service?€ó óĢĢÓ  Óą..ąŌ2Ō8.Ō3  Ōą` ..` ąPreliminarily,€we€note€that€this€proceeding€implicates€the€question€of€whether,Ļassuming€that€it€does€so€effectively,€an€IXC€may€refuse€to€accept€originating€access€trafficĻfrom€a€local€exchange€carrier.€€MGC€appears€to€have€conceded€this€point€at€the€hearing€inĻthis€case.× ƒE ××  ׀€Furthermore,€at€no€point€in€this€proceeding€has€MGC€contested€the€propositionĻthat€its€tariff€permits€cancellation€on€30€days'€notice.× ƒF ××  ׀€Having€agreed€that€its€tariff€permitsĻcancellation€of€access€service,€MGC€can€hardly€contend€that€such€cancellation€is€neverthelessĻsomehow€prohibited.€€Regardless€of€such€a€concession,€however,€MGC's€papers€in€thisĻproceeding€fail€to€identify€any€impediment€to€an€IXC€declining€to€purchase€a€particular€LEC'sĻaccess€service.€€MGC€relies€on€equal€access€and€dialing€parity€obligations€and€on€the€sectionĻof€the€Act€relating€to€payphones€as€the€bases€for€requiring€AT&T€to€accept€MGC's€accessĻtraffic.× ƒG ××  ׀€None€of€these€will€do€the€work€that€MGC€demands€of€them.€€ĢĢą..ąŌ2Ō9.Ō3  Ōą` ..` ąSection€251(b)(3)€of€the€Act€imposes€the€obligation€on€all€LECs€to€"provideĻdialing€parity€to€competing€providers€of€telephone€exchange€service€and€telephone€toll€service."× ƒH ××  ׀€We€do€not€perceive€in€that€obligation€any€restriction€that€would€prevent€an€IXCĻfrom€declining€to€be€a€"competing€provider"€by€rejecting€a€LEC's€access€service.€€Indeed,€inĻimplementing€the€dialing€parity€provisions€of€the€Act,€the€Commission€expressly€declined€toĻrequire€a€competing€provider€to€offer€intraLATA€toll€service€throughout€an€entire€LATA.× ƒI ××  ׀ĻAccordingly,€we€conclude€that€neither€section€251(b)(3),€nor€the€Commission's€implementingĻrules€would€prevent€an€IXC€from€rejecting€a€competitive€LEC's€access€service€in€some€or€allĻof€its€service€area.€€ĢĢą..ąŌ2Ō10.Ō3  Ōą` ..` ąAlong€the€same€lines,€the€Commission's€order€implementing€the€equal€accessĻconversion€process€places€certain€obligations€on€a€LEC€once€an€IXC€has€"affirmativelyĻnotif[ied]€the€LEC€of€its€intention€to€participate€in€the€allocation€process."× ƒJ ××  ׀€These€areĻobligations€on€the€LEC€for€the€benefit€of€the€IXC.€€We€do€not€perceive€in€the€equal€accessĻrules€any€restriction€that€would€require€AT&T€to€take€(and€pay€for)€MGC's€access€service,€or,Ļmore€generally,€to€provide€its€services€to€a€particular€group€of€customers.ĢĢą..ąŌ2Ō11.Ō3  Ōą` ..` ąFinally,€neither€the€Act€nor€the€Commission's€rules€or€orders€place€anyĻrestrictions€on€an€IXC's€ability€to€block€or€refuse€to€carry€payphone€traffic.€€The€ActĻprohibits€a€payphone€service€provider€from€restricting€the€IXCs€that€otherwise€would€beĻavailable€to€payphone€users€if€they€were€calling€from€a€non„public€phone€served€by€the€sameĻend€office€switch.× ƒK ××  ׀€However,€in€the€ņņThird€Payphone€Orderóó,× ƒL ××  ׀the€Commission€expresslyĻencouraged€IXCs€to€develop€the€capability€to€block€traffic€from€certain€payphones.€ĢĢą..ąŌ2Ō12.Ō3  Ōą` ..` ąBy€holding€that€none€of€the€obligations€we€discuss€above€prevents€AT&T€fromĻdeclining€MGC's€originating€access€service,€we€do€not€imply€that€AT&T€is€entirely€withoutĻconstraint€in€determining€where,€how,€or€to€whom€it€will€provide€its€long€distance€services.€ĻNaturally,€in€providing€those€services,€AT&T€remains€subject€to€a€broad€variety€of€statutoryĻand€regulatory€constraints€that€are€too€numerous€to€list€here,€but€which€include,€withoutĻlimitation,€sections€201,€202,€203€and€214€of€the€Act€and€section€63.71€of€the€Commission's€rules.× ƒM ××  ׀€Additionally,€AT&T's€tariffs€likely€also€place€restrictions€on€the€manner€in€which€itĻoffers€its€services€to€its€customers.€€AT&T€also€may€well€be€subject€to€other€statutory€orĻregulatory€restrictions€in€its€purchase€of€access€services€„„€either€originating€or€terminating€„„Ļbut€MGC€has€not€raised€them€in€this€proceeding.€€Our€analysis€is€restricted€to€the€issues€thatĻMGC€has€presented.€€Consequently,€we€conclude€only€that€none€of€the€statutes,€rules€or€ordersĻgoverning€equal€access,€dialing€parity€or€payphone€services€imposes€any€obligation€on€AT&TĻthat€would€prevent€it,€should€it€choose€to€do€so,€from€rejecting€MGC's€originating€accessĻservice.€ĢĢą0..ąņ ņB.ą8` ..` ąDid€AT&T€Effectively€Terminate€MGC's€Access€Service?ó óĢĢą..ąŌ2Ō13.Ō3  Ōą` ..` ąThe€question€remains€whether€AT&T€took€the€steps€necessary€to€terminateĻMGC's€service.€€The€parties€appear€to€agree€that€the€course€of€their€discussions€regardingĻAT&T's€receipt€of€service€is€reflected€in€a€series€of€written€communications€that€passedĻbetween€them€in€the€summer€and€fall€of€1998.€€Above,€we€quoted€the€relevant€portion€ofĻAT&T's€July€21,€1998€correspondence× ƒN ××  ×;€because€they€are€relatively€brief,€we€set€out€theĻremaining€communications€here.€€ĢĢą..ąŌ2Ō14.Ō3  Ōą` ..` ąThe€July€21€letter€was€followed€by€an€August€14,€1998€letter€from€MGC,Ļwhich€stated€that,€given€AT&T's€continued€willingness€to€accept€traffic€from€MGC,€the€LECĻwas€interested€in€further€negotiations€on€the€terms€for€originating€access€service.× ƒO ××  ׀€AT&T,€inĻturn,€responded€on€August€26,€1998,€stating€that€it€had€neither€ordered,€nor€consented€toĻreceive,€MGC's€originating€access€service.€€Notwithstanding€this€assertion,€the€letterĻcontinued:ĢĢą0..ąą8` ..` ą[A]s€noted€in€AT&T's€letter€of€July€21,€1998,€AT&T€will€continue,€atĻleast€for€the€present,€to€complete€calls€to€and€from€MGC's€customers€as€a€convenience€to€those€customers,€and€to€ensure€that€theirĻcommunications€needs€are€not€jeopardized€because€of€MGC's€failure€toĻobtain€AT&T's€agreement€to€an€access€arrangement.× ƒP ××  ×ĢĢŌ&  ŌThe€final€piece€of€correspondence€in€the€record€is€an€e„mail€message€from€an€AT&TĻemployee€to€MGC's€general€counsel.€€In€it,€AT&T's€representative€responds€to€MGC'sĻrequest€that€AT&T€confirm€its€final€position€on€the€issue€of€access€service.€€In€relevant€part,Ļthe€e„mail€states:ĢĢą0..ąą8` ..` ąIt€was€my€understanding€that€MGC€was€willing€to€review,€and€was€inĻthe€process€of€internally€reviewing,€pricing€options€for€its€switchedŌ'  ŌĻaccess€service.€€So,€I€didn't€think€we€were€at€the€point€in€ourĻdiscussions€for€"final€positions."€€AT&T€continues€to€be€open€toĻnegotiating€a€mutually€acceptable€purchase€arrangement€for€switchedĻaccess€service€at€competitive€prices,€and€hopes€that€MGC€desires€theĻsame€result.€€It€would€be€helpful€to€us€to€understand€the€outcome€ofĻyour€internal€review.ĢĢą0..ąą8` ..` ąąø ..ø ąI€would€also€like€to€clarify€a€couple€of€issues€you€raised.€€AT&TĻwill€continue€to€complete€calls€to€and€from€MGC€local€serviceĻcustomers,€through€ILEC€tandems,€so€as€to€avoid€any€inconvenience€toĻthose€customers.€€We€also€remain€willing€to€direct€trunk€to€MGC€endĻoffices€under€mutually€agreed€terms.× ƒQ ××  ×ĢĢą..ąŌ2Ō15.Ō3  Ōą` ..` ąWe€do€not€view€this€series€of€correspondence€as€unambiguously€evincing€anĻintention€by€AT&T€to€stop€receiving€MGC's€originating€access€service€as€of€August€22,€1998.€ĻRather,€the€communications€equivocate€on€whether€AT&T€wishes€MGC€to€stop€sending€itĻaccess€traffic.€€On€the€one€hand,€the€July€21€letter€states€that€AT&T€"will€not€purchaseĻswitched€access€services€under€the€terms€and€conditions"€of€MGC's€tariff,€while,€on€the€otherĻhand,€it€states€that€AT&T€"will€continue€to€complete€calls€to€and€from"€MGC's€customers.€ĻEach€of€the€subsequent€communications€similarly€indicates€„„€in€virtually€identical€language€„„Ļthe€intention€to€continue€completing€calls€to€and€from€MGC€customers€(which€is€to€sayĻreceiving€MGC's€access€service)€at€the€same€time€that€they€state€AT&T's€desire€to€terminateĻthe€parties'€relationship.€€Additionally,€the€October€19,€1998€e„mail€message€quoted€aboveĻexplicitly€states€that€AT&T's€representative€does€not€view€the€parties€as€having€reached€theirĻ"final€positions."€€A€party€receiving€this€communication€reasonably€could€interpret€it€as€aĻstatement€that€AT&T€wished€to€continue€negotiating€over€access€rates€and€that€it€did€not€yet€intend€to€take€the€precipitate€action€of€terminating€the€parties'€relationship.€€ThisĻinterpretation€of€the€statement€is€only€strengthened€where,€as€here,€it€is€immediately€followedĻby€the€statement€that€AT&T€will€continue€to€avail€itself€of€MGC's€access€service.€€ĢĢą..ąŌ2Ō16.Ō3  ŌŌ €R Ōą` ..` ąThe€conduct€of€the€parties,€particularly€AT&T,€during€the€relevant€periodĻfurther€demonstrates€the€equivocal€nature€of€AT&T's€claimed€termination€of€theirĻrelationship.€€For€example,€AT&T€failed€to€take€certain€steps€that€would€have€been€reasonableĻand€necessary€if€it€had€wished€to€terminate€its€access€service€arrangement€with€MGC.× ƒS ××  ׀€TheĻoriginating€access€service€relationship€between€AT&T€and€MGC€gave€rise€to€a€class€of€endĻusers€who€received€their€local€service€from€MGC€and€who€had€chosen€AT&T€as€theirĻpresubscribed€interexchange€carrier€(PIC)€so€that€they€could€place€calls€with€AT&T€on€a€1+Ļbasis.€€These€end€users€were€customers€of,€and€had€relationships€with,€ņņbothóó€AT&T€and€MGC.€ĻņņóóNeither€MGC€nor€AT&T€was€free€simply€to€move€these€shared€customers€to€another€IXC€„„Ļor,€for€that€matter,€to€another€LEC€„„€so€that€AT&T€and€MGC€could€part€ways.€€First,€bothĻthe€Act€and€our€slamming€rules€prohibit€either€a€LEC€or€an€IXC€from€changing€an€end€user'sĻcarrier€without€the€customer's€express€authorization.× ƒT ××  ׀€Second,€we€doubt€that€AT&T€wouldĻagree€simply€to€relinquish€to€another€IXC€all€of€the€customers€it€currently€shares€with€MGC.€ĻTo€the€contrary,€in€terminating€its€relationship€with€MGC,€AT&T€likely€would€have€a€strongĻbusiness€incentive€to€participate€in€any€process€by€which€these€shared€customers€are€given€aĻchoice€between€staying€with€MGC€and€staying€with€AT&T.€€Indeed,€we€question€whetherĻAT&T€might€view€it€as€a€breach€of€a€contract€tariff€(possibly€entitling€AT&T€to€liquidatedĻdamages)€for€certain€of€its€customers€to€terminate€their€AT&T€service€in€order€to€stay€withĻMGC.€€Given€these€considerations,€any€effort€by€MGC€unilaterally€to€migrate€its€customers€toĻa€different€IXC€not€only€would€have€raised€confusion€among€the€carriers'€shared€customers,Ļbut€also€would€have€placed€MGC€at€significant€legal€risk.€€ĢĢÓ  Óą..ąŌ2Ō17.Ō3  Ōą` ..` ąThe€record€indicates€that€AT&T€was€aware€of€the€issues€posed€by€the€carriers'Ļshared€customers,€but€it€chose€not€take€what€we€view€as€reasonable€measures€to€effectuate€theĻtermination€because€it€did€not€wish€to€inconvenience€ņņits€ownóó€customers.€€If€AT&T€truly€hadĻintended€to€terminate€MGC's€originating€access€service,€it€should€have€made€reasonableĻefforts€to€begin€the€process€of€untangling€the€two€carriers'€dealings€with€their€shared€customers.€€For€example,€AT&T€might€well€have€initiated€talks€with€MGC€on€how€the€sharedĻcustomers€would€be€contacted€and€notified€of€the€requirement€that€they€switch€either€local€orĻlong€distance€providers.€€Indeed,€William€Taggart,€AT&T's€district€manager€for€CLECĻcontract€development€and€management,€testified€that€he€and€other€AT&T€personnel€discussedĻthis€precise€issue.× ƒU ××  ׀€However,€it€does€not€appear€from€the€record€that€AT&T€initiated€anyĻsuch€conversations€with€MGC.× ƒV ××  ׀€ĢĢą..ąŌ2Ō18.Ō3  Ōą` ..` ąThe€record€demonstrates€that€this€lack€of€action€by€AT&T€was€attributable€toĻits€desire€to€avoid€service€interruption€or€other€inconvenience€for€its€own€customers.€€Thus,ĻMr.€Taggart€testified€that€the€company€"felt€that€any€kind€of€.€.€.€stopping€of€traffic€flowingĻbetween€the€two€companies€would€be€very€destructive€between€MGC's€end€user€customersĻand€[AT&T's]€long€distance€customers."× ƒW ××  ׀€Similarly,€during€his€deposition,€Philip€Miller,€theĻauthor€of€AT&T's€July€21€letter,€testified€that€AT&T€did€not€consider€blocking€MGC's€trafficĻbecause€it€was€unwilling€to€risk€losing€existing€business€customers:ą .. ąĢĢą0..ąą8` ..` ą[W]e€determined€first€of€all€that€it€would€be€onerous€on€our€part€andĻtwo,€that€ņņmore€importantly,€it€would€be€onerous€and€inconvenient€forĻour€business€customersóó€so€as€per€my€July€letter€to€MGC,€our€decisionĻon€AT&T's€part€was€not€to€block€even€though€we€had€not€ordered€theĻservice.€€ņņWe€did€it€on€behalf€of€our€business€customers€„„€theĻconvenience€of€our€customers.óó× ƒX ××  ×ĢĢą..ąŌ2Ō19.Ō3  Ōą` ..` ąWhile€AT&T€claims€it€unambiguously€indicated€its€desire€to€terminate€theĻrelationship€with€MGC,€its€own€employees€made€affirmative€decisions€not€to€take€reasonableĻsteps€to€effectuate€this€goal€because€they€did€not€wish€to€interrupt€the€service€of,€or€otherwiseĻinconvenience,€AT&T's€existing€long€distance€customers.€€As€indicated€by€Mr.Miller,€thisĻlikely€is€why€AT&Tchose€to€include€the€same€equivocal€language€about€continuing€toĻcomplete€calls€from€MGC€customers€in€each€of€its€communications€to€MGC.€€Having€chosen€to€continue€carrying€traffic€for€the€convenience€of€its€customers€(and€presumably€for€theĻbusiness€advantage€that€it€derived€therefrom),€AT&T€cannot€claim€that€it€neverthelessĻintended€to€terminate€its€access€service€arrangement€with€MGC,€and€did€so€unambiguously.€€ĢĢą..ąŌ2Ō20.Ō3  Ōą` ..` ąThe€effect€of€AT&T's€apparently€calculated€ambiguity€was€to€place€MGC€in€anĻintractable€dilemma:€€it€was€forced€to€choose€between€sending€traffic€to€AT&T,€knowing€itĻwould€not€be€paid,€and€blocking€MGC€subscribers'€traffic€from€AT&T's€network,€therebyĻrunning€the€legal€risks€addressed€above.× ƒY ××  ׀€Under€these€circumstances,€we€conclude€thatĻAT&T€was€obligated€to€make€its€intent€to€terminate€absolutely€unambiguous.€€It€failed€toĻaccomplish€this.€€ĢĢą..ąŌ2Ō21.Ō3  Ōą` ..` ąWith€respect€to€categories€of€traffic€other€than€1+,€it€is€also€likely€that€AT&TĻwould€have€undertaken€at€least€some€discussions€with€MGC€if€it€had€wished€to€terminateĻMGC's€access€service.€€For€both€toll„free€(1„8YY)€traffic€and€dial„around€(10„10„XXX)Ļtraffic,€AT&T€likely€would€have€wanted€to€participate€in€the€composition€of€„„€or€at€leastĻknow€the€content€of€„„€any€message€that€customers€would€receive€from€MGC€indicating€thatĻAT&T€would€no€longer€accept€these€categories€of€traffic€from€MGC.€€In€any€event,€we€noteĻthat€AT&T's€communications€did€not€distinguish€between€the€various€types€of€traffic€so€thatĻMGC€might€treat€these€categories€differently€than€1+€traffic.€€ĢĢą..ąŌ2Ō22.Ō3  Ōą` ..` ąSimilarly,€AT&T's€correspondence€made€no€distinction€between€originating€andĻterminating€traffic.€€As€noted€above,€the€only€service€at€issue€in€this€proceeding€is€that€forĻoriginating€access.€€AT&T€does€not€contend€that€it€has€terminated€its€agreement€with€MGCĻfor€terminating€access€service,€nor€does€it€contest€its€obligation€to€pay€MGC€for€that€service.€ĻHowever,€none€of€AT&T's€correspondence€makes€any€distinction€between€the€two€types€ofĻaccess€service.€€Rather,€the€July€21€letter€states€simply€that€"AT&T€will€not€purchase€switchedĻaccess€services€under€the€terms€and€conditions€of€the€MGC€Communication€tariff."€€It€appearsĻthat,€even€in€AT&T's€contemplation,€the€record€correspondence€did€not€evince€an€intention€toĻrefuse€terminating€access€service€from€MGC.€€Since€the€letters€speak€only€in€terms€ofĻ"switched€access€service,"€it€is€unclear€to€us€why,€as€AT&T€argues,€they€necessarily€reflect€aĻdifferent€intent€with€respect€to€originating€access€service.€€More€importantly,€we€see€no€reasonĻthat€MGC€would€have€discerned€this€distinction€from€AT&T's€correspondence.€€This€furtherĻsupports€our€conclusion€that€both€AT&T's€communications€and€its€conduct€were€equivocal.€€ĢĢÓ  Óą..ąŌ2Ō23.Ō3  Ōą` ..` ąSignificantly,€the€record€indicates€that,€even€after€the€beginning€of€thisĻproceeding,€AT&T€continued€to€permit€MGC€customers€to€choose€AT&T€as€theirĻpresubscribed€interexchange€carrier,€notwithstanding€its€claimed€intention€to€reject€MGC'sĻaccess€service€after€August€22,€1998.€€Thus,€MGC€submitted€evidence€showing€that,€betweenĻAugust€25,€1998€and€May€24,€1999€(a€week€after€MGC€filed€its€complaint€in€this€matter),€over€1,800€MGC€end€users€selected€AT&T€as€their€PIC€and€were€subscribed€to€that€carrier'sĻservice.× ƒZ ××  ׀€Nothing€in€the€record€indicates€that€AT&T€instructed€MGC€to€stop€permitting€itsĻcustomers€to€subscribe€to€AT&T€or€otherwise€stated€its€intention€not€to€receive€the€originatingĻaccess€service€that€certainly€would€accompany€each€new€MGC€customer€who€chose€AT&T.€ĻTo€the€contrary,€Mr.€Taggart€testified€that€the€company€determined€not€to€raise€with€MGC€theĻissue€of€continuing€PIC€subscriptions€after€AT&T€had€purported€to€terminate€service.× ƒ[ ××  ×ĢĢą..ąŌ2Ō24.Ō3  Ōą` ..` ąResponding€to€this€aspect€of€the€record,€AT&T€argues€that€a€customer'sĻselection€of€AT&T€as€its€PIC€does€not€amount€to€an€order€by€AT&T€of€MGC's€accessĻservice.× ƒ\ ××  ׀€This€may€be€true,€and€we€recognize€that,€under€the€Commission's€rules,€it€typicallyĻis€the€LEC,€not€the€IXC,€that€executes€a€customer's€instructions€to€subscribe€that€customer€toĻa€particular€long€distance€provider.× ƒ] ××  ׀€Nevertheless,€it€is€hardly€consistent€with€AT&T'sĻclaimed€intention€to€stop€receiving€MGC's€originating€access€service€for€the€company€toĻcontinue€to€accept€new€subscribers€from€MGC,€without€either€protest€or€some€statement€thatĻAT&T€no€longer€wished€to€receive€MGC's€access€service.€€ĢĢą..ąŌ2Ō25.Ō3  Ōą` ..` ąAT&T's€actions€after€July€21€in€no€way€clarify€its€equivocal€correspondenceĻthat€purported€to€terminate€MGC's€service.€€Indeed,€we€find€that,€in€some€ways,€those€actionsĻperpetuated€the€ambiguities€in€the€correspondence.€€We€therefore€conclude€that€AT&T€did€notĻunambiguously€state€its€intention€to€terminate€MGC's€service.€€By€this€result,€we€do€notĻintend€to€require€some€specific€formula€or€boilerplate€language€for€terminating€tariffedĻservice.€€We€do€require,€however,€that€a€party€wishing€to€terminate€service€under€a€tariffĻexplicitly€and€unequivocally€state€its€intention€and€act€in€a€manner€consistent€with€thatĻintention.€€We€are€confident€that,€when€a€carrier€has€genuinely€decided€to€terminate€service,€it€will€be€able€to€express€that€decision€in€both€words€and€actions€that€do€not€admit€of€theĻambiguity€that€we€find€surrounded€AT&T's€actions€here.€€ĢĢą@ģ..}ąņ ņIV.€€CONCLUSIONó óˆĢĢą..ąŌ2Ō26.Ō3  Ōą` ..` ąFor€the€reasons€discussed€above,€we€conclude€that€AT&T's€July€21,€1998€letterĻand€its€later€correspondence,€especially€when€viewed€against€the€background€of€AT&T'sĻsubsequent€actions,€failed€to€give€MGC€sufficiently€unambiguous€notice€of€AT&T's€intent€toĻterminate€the€arrangement€under€which€MGC€provided€originating€access€service.€ĻNotwithstanding€AT&T's€purported€termination€of€MGC's€access€service,€AT&T's€lettersĻstated€that€it€would€continue€to€avail€itself€of€that€service€for€the€indefinite€future.€€ConsistentĻwith€this€statement,€AT&T€did,€in€fact,€continue€willingly€accepting€MGC's€access€service,€asĻthe€record€reflects,€for€the€convenience€of€AT&T's€customers,€and,€we€conclude,€for€theĻbusiness€advantage€that€AT&T€received€therefrom.€€Furthermore,€apart€from€the€purportedĻtermination€correspondence,€AT&T€failed€to€take€certain€steps€that,€we€conclude,€a€carrierĻlikely€would€take€if€it€truly€wished€to€terminate€a€LEC's€originating€access€service.€€ChiefĻamong€these€steps€is€initiating€the€process€of€migrating€AT&T's€and€MGC's€shared€customersĻto€either€a€new€LEC€or€a€new€IXC.€€ĢĢÓ  Óą..ąŌ2Ō27.Ō3  Ōą` ..` ąHaving€failed€effectively€to€terminate€its€access€relationship€with€MGC,€weĻconclude€that€AT&T's€refusal€to€pay€for€the€originating€access€service€that€it€has€receivedĻsince€August€22,€1998,€amounts€to€impermissible€self„help€and€a€violation€of€section€201(b)Ļof€the€Act.€€We€accordingly€grant€MGC's€complaint€in€this€matter€and€hold€that€AT&T€isĻliable€to€MGC,€at€MGC's€tariffed€rate,€for€the€originating€access€service€that€it€received€fromĻAugust€22,€1998,€through€the€date€of€this€order.€€The€parties€have€stipulated€that,€betweenĻAugust€22,€1998€and€March€31,€1999,€AT&T€withheld€payment€for€MGC's€originating€accessĻservice€in€the€amount€of€$1,966,240.07.× ƒ^ ××  ׀€We€additionally€conclude€that€AT&T€is€liable€forĻinterest€on€the€stipulated€amount€at€the€rate€published€by€the€United€States€Internal€RevenueĻService€for€tax€refunds.× ƒ_ ××  ׀€We€are€confident€that€the€parties€similarly€will€be€able€to€reachĻagreement€on€any€unpaid€balance€that€has€accumulated€since€March.€€ĢĢŌ&  Ō‡ą@ģ..6ąņ ņV.€€ORDERING€CLAUSESó óˆĢĢą..ąŌ2Ō28.Ō3  Ōą` ..` ąAccordingly,€IT€IS€ORDERED€that,€pursuant€to€sections€1,€4(i),€4(j),€201€andĻ208€of€the€Act,€as€amended,€47€U.S.C.€šš€151,€154(i),€154(j),€201,€208,€and€pursuant€to€theĻauthority€delegated€to€the€Common€Carrier€Bureau€in€sections€0.91€and€0.291€of€theĻCommission's€rules,€47€C.F.R.€šš€0.91,€0.291,€MGC's€formal€complaint€filed€in€thisĻproceeding€IS€GRANTED.€€ĢĢą..ąŌ2Ō29.Ō3  Ōą` ..` ąIT€IS€FURTHER€ORDERED€that€AT&T€is€liable€to€MGC€and€SHALL€PAYĻthe€stipulated€amount€of€$1,966,240.07,€plus€interest€at€the€rate€published€by€the€United€StatesĻInternal€Revenue€Service,€for€originating€access€service€that€AT&T€received€from€MGCĻbetween€August€22,€1998€and€March€31,€1999.€€ĢĢą..ąŌ2Ō30.Ō3  Ōą` ..` ąIT€IS€FURTHER€ORDERED€that€the€parties€SHALL€CONFER€regarding€theĻdamages€(including€interest),€accruing€after€March€31,€1999,€for€which€AT&T€is€liable€as€aĻresult€of€its€actions€in€this€matter.€€In€the€event€that€the€parties€are€unable€to€reach€agreementĻon€this€damages€figure,€MGC€may€file€a€further€complaint€in€the€appropriate€forum.€€ĢĢą..ąŌ2Ō31.Ō3  Ōą` ..` ąIt€is€FURTHER€ORDERED€that,€consistent€with€MGC's€unopposed€motion,ĻCounts€II€and€III€of€the€Complaint€are€hereby€DISMISSED.€€ĢĢĢĢą..ąą` ..` ąąø ..ø ąą..ąąh..hąąĄ..ĄąFEDERAL€COMMUNICATIONS€COMMISSIONĢĢĢĢą..ąą` ..` ąąø ..ø ąą..ąąh..hąąĄ..ĄąRobert€C.€AtkinsonĢą..ąą` ..` ąąø ..ø ąą..ąąh..hąąĄ..ĄąDeputy€Chief,€Common€Carrier€BureauĢŌ'  Ō