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                           Before the
                Federal Communications Commission
                     Washington, D.C. 20554


In the Matter of                 )
                                )    File No. EB-03-TC-056
Sprint Communications Company,   )    NAL/Acct. No. 200532170004
LP                               )    FRN: 0004056636
                                )
Verification of Orders for       )
Telecommunications Services

                              ORDER

Adopted:  March 10, 2005                               Released:  
March 11, 2005

By the Commission:

     1.   In this Order, we adopt the attached Consent Decree 
entered into between the Federal Communications Commission (``the 
Commission'') and Sprint Communications Company, LP (``Sprint'').  
The Consent Decree terminates an investigation into possible 
violations by Sprint of sections 201(b) and 258 of the 
Communications Act of 1934, as amended (the ``Act''),1 and 
section 64.1120 of the Commission's rules.2  

     2.   The Commission and Sprint have negotiated the terms of 
a Consent Decree that would terminate the investigation.  A copy 
of the Consent Decree is attached hereto and incorporated by 
reference.

     3.   We have reviewed the terms of the Consent Decree and 
evaluated the facts before us.  We find that the public interest 
would be served by approving the Consent Decree and terminating 
the investigation.  We also conclude that, in the absence of 
material new information not previously disclosed to the 
Commission, the matters raised in the investigation do not raise 
any substantial and material questions of fact regarding Sprint's 
qualifications to be a Commission licensee.

     4.   Accordingly, IT IS ORDERED, pursuant to section 4(i) of 
the Communications Act,  47 U.S.C.   154(i),  that the  attached 
Consent Decree is hereby ADOPTED.

     5.   IT IS FURTHER ORDERED that the Secretary SHALL SIGN the 
Consent Decree on behalf of the Commission.
     6.   IT  IS  FURTHER  ORDERED   that  the  above   captioned 
investigation is TERMINATED.
     

                         FEDERAL COMMUNICATIONS COMMISSION




                         Marlene H. Dortch
                         Secretary                           Before the
                Federal Communications Commission
                     Washington, D.C. 20554


In the Matter of                 )
                                )    File No. EB-03-TC-056
Sprint Communications Company    )    NAL/Acct. No.: 0004056636
L.P.                             )    FRN: 0004056636
                                )
Verification of Orders for       )
Telecommunications Services
                         CONSENT DECREE

I.   INTRODUCTION

     1.   The Federal Communications Commission (the ``FCC'' or 
``Commission'') and Sprint Communications Company L.P. 
(``Sprint'' or the ``Company''), by their authorized 
representatives, hereby enter into this Consent Decree to resolve 
an investigation by the Commission regarding possible non-
compliance with the requirements of sections 201(b) and 258 of 
the Communications Act of 1934, as amended (the ``Act''), and 
section 64.1120 of the Commission's rules.3  

     2.   The Commission initiated this investigation based on 
consumer complaints filed with the Commission and state agencies4 
and later included within the investigation complaints raised 
directly with Sprint by consumers.  In a number of instances, the 
complaints alleged that after consumers conducted transactions in 
Sprint PCS retail stores, the consumers' intraLATA, interLATA, 
international, and in some cases, local exchange services were 
changed to Sprint allegedly without the consumers' authorization.  
The investigation subsequently disclosed that Sprint is unable to 
produce records in a number of instances to prove that the 
Company followed the Commission's verification procedures prior 
to submitting preferred carrier changes on behalf of consumers.  
The vast majority of those instances involved complaints made 
directly with Sprint.

II.  DEFINITIONS

     3.   For purposes of this Consent Decree, the following 
definitions shall apply:

       a. ``Adopting Order'' means an Order of the Commission 
            adopting the terms and conditions of this Consent 
            Decree without change, addition, or modification, 
            and formally terminating the above-captioned 
            Investigation.

       b. ``Bureau'' means the Enforcement Bureau of the Federal 
          Communications      Commission.

       c. The ``FCC'' or the ``Commission'' means the Federal 
            Communications Commission and all Commissions and 
            Offices of the Commission, including the Enforcement 
            Bureau. 

       d. ``Effective Date'' means the date on which the 
            Commission adopts the Adopting Order.

       e. ``Investigation'' means the investigation commenced by 
            the Enforcement Bureau's Letter of Inquiry dated 
            October 6, 2003,5 and includes all complaints filed 
            against Sprint alleging that Sprint violated 
            sections 201(b) or 258 of the Act or section 64.1120 
            of the Commission's rules by engaging in conduct at 
            Retail Stores through the Effective Date that 
            resulted in unauthorized changes in the subscribers' 
            preferred carrier for Residential Wireline Long 
            Distance Services.  

       f. ``Operational Audit'' means an audit conducted on-site 
            at a Sprint PCS store by finance personnel and 
            includes the examination of whether store managers 
            and sales representatives are complying with 
            Sprint's methods and procedures governing sales of 
            Sprint products and services at such stores.

       g. ``Parties'' means Sprint and the Commission.

       h. ``Residential Wireline Long Distance Services'' means 
            residential wireline long distance services 
            currently sold at Retail Stores.  Residential 
            Wireline Long Distance Services do not include VoIP 
            or other, similar services not previously offered in 
            Retail Stores.

       i. ``Retail Stores'' means the following retail stores 
            that sell Residential Wireline Long Distance 
            Services in conjunction with Sprint PCS services:  
            Sprint PCS, PCS affiliate, and RadioShack stores.

       j. ``Sprint'' or the ``Company'' means directors, 
            officers, employees, agents or any other person 
            acting under, by, through, or on behalf of Sprint 
            Communications Company L.P., directly or indirectly, 
            or through any corporate or other device, including 
            any subsidiaries, affiliates, and successors. 

       k. ``Sales Representative'' means an individual that 
            markets services on behalf of Sprint in Retail 
            Stores.

III. AGREEMENT

     4.   Sprint agrees that the Commission has jurisdiction over 
it and the subject matter contained in this Consent Decree and 
the authority to enter into and adopt this Consent Decree and 
settle the Investigation in its entirety.  The Consent Decree 
covers the sale of Residential Wireline Long Distance Services 
through (except where otherwise noted) Sprint PCS retail stores 
on and after the Effective Date.

     5.   The Parties agree and acknowledge that this Consent 
Decree shall constitute a full and final settlement of the 
Investigation.  The commitments undertaken herein have been or 
will be effectuated pursuant to the terms of the Consent Decree.  
In express reliance on the covenants and representations 
contained herein, and in order to avoid the further expenditure 
of scarce public resources, the Commission agrees to terminate 
the Investigation.  In consideration of the termination of this 
Investigation and in accordance with the terms of this Consent 
Decree, Sprint agrees to the terms, conditions, and procedures 
contained herein, without further recourse to a trial de novo.  
The Commission agrees that, in the absence of new material 
evidence not previously disclosed to the Commission, (1) the 
matters raised in the Investigation do not raise any substantial 
and material questions of fact regarding Sprint's qualifications 
to be a Commission licensee; and (2) the Commission will not on 
its own motion initiate any inquiries, investigations, forfeiture 
proceedings, hearings, or other actions, formal or informal, 
against Sprint concerning matters that were the subject of this 
Investigation, or seek on its own motion any administrative or 
other penalties from Sprint based on this Investigation.  The 
Commission also agrees that it will not use the facts developed 
in this Investigation to take any action on its own motion 
against Sprint with respect to its basic qualifications, 
including its character qualifications, to be a Commission 
licensee.  Consistent with the foregoing, nothing in this Consent 
Decree limits the Commission's authority to consider and 
adjudicate any complaint that may be filed pursuant to section 
208 of the Act6 and to take any action otherwise authorized by 
the Act. 

     6.   The Parties agree that this Consent Decree does not 
constitute either an adjudication on the merits or a factual or 
legal finding or determination regarding any compliance or non-
compliance by Sprint with the requirements of the Act and the 
Commission's rules.  The Parties agree that this Consent Decree 
is for settlement purposes only and that by agreeing to this 
Consent Decree, Sprint does not admit or deny liability for 
violating the Act or the Commission's rules in connection with 
the matters that are the subject of this Consent Decree.   

     7.   In consideration of the termination of this 
Investigation and in accordance with the terms of this Consent 
Decree, Sprint agrees to the terms, conditions, and procedures 
contained herein, which  concern the sale of Residential Wireline 
Long Distance Services in Sprint PCS retail stores and where 
explicitly indicated below in all Retail Stores.7  Unless 
otherwise noted, beginning 60 days after the Effective Date of 
the Consent Decree, Sprint agrees to implement the Compliance 
Plan delineated below.  Nothing in this Compliance Plan shall 
alter Sprint's obligation to comply otherwise with the Act and 
the Commission's rules and orders, subject to paragraph 13 below.  
Accordingly, Sprint agrees to:

          a.  Payment - Make a voluntary contribution to the 
          United States Treasury in the amount of four million 
          dollars ($4,000,000).  The payment shall be made within 
          thirty (30) calendar days after the Effective Date.  
          The payment shall be made by check, wire transfer, or 
          money order drawn to the order of the Federal 
          Communications Commission, and each check, wire 
          transfer, or money order must refer to the NAL Acct. 
          No. and FRN No. identified above.  If Sprint makes this 
          payment by check or money order, it must mail the check 
          or money order to:  Forfeiture Collection Section, 
          Finance Branch, Federal Communications Commission, P.O. 
          Box 73482, Chicago, IL, 60673-7482.  Payment by 
          overnight mail may be sent to Bank One/LB 73482, 525 
          West Monroe, 8th Floor Mailroom, Chicago, IL 60661.  If 
          Sprint chooses to make this payment by wire transfer, 
          payment may be made to ABA Number 071000013, receiving 
          bank Bank One, and account number 1165259;

          b.  Marketing - In Retail Stores, implement and/or 
          maintain a process change to include a confirmation 
          card that will be given to consumers at the time the 
          transaction occurs in order to clearly inform them that 
          signing a Letter of Agency (``LOA'') or completing a 
          third party verification call (``TPV'') to change a 
          subscriber's Residential Wireline Long Distance Service 
          will mean that the wireline long distance service(s) 
          will be changed to Sprint for any residential wireline 
          telephone number(s) provided by the consumer.  The 
          confirmation card will state that the service in 
          question is for ``home long distance service'' and not 
          PCS wireless service.  The confirmation card will be 
          provided in sales training materials.  If TPV is used 
          for verification, a consumer also will be notified and 
          requested to confirm during the TPV that the service at 
          issue is for ``home long distance service.''  Sprint 
          further agrees that within thirty (30) days after the 
          Effective Date, the Company will submit to the 
          Commission copies of the language to be used in the 
          confirmation card and TPVs;  

          c.  Employee Training - Ensure that new Sales 
          Representatives employed in the Sprint PCS stores will 
          complete training regarding selling Residential 
          Wireline Long Distance Services within thirty (30) days 
          of beginning their employment.  The training will 
          include Sprint's sales procedures and emphasize 
          Sprint's prohibitions regarding deceptive marketing 
          practices and unauthorized switches of preferred 
          carriers; guidelines for ethical behavior in making 
          retail sales; and Commission rules regarding procedures 
          carriers must follow prior to submitting or executing a 
          change in a consumer's preferred long distance service 
          provider.  Sprint also agrees to require Sales 
          Representatives employed by Sprint to complete 
          refresher training on Sprint's sales procedures and 
          guidelines for ethical sales behavior, including 
          information on using the Sprint Ethics Helpline as a 
          means of reporting conduct that may violate Sprint's 
          sales procedures, at least twice a year;

          d.  Training of Sales Representatives not employed by 
          Sprint - For those Retail Stores not owned by Sprint, 
          provide sales training materials which shall include 
          Sprint's sales procedures and emphasize Sprint's zero-
          tolerance policy for slamming and deceptive marketing 
          practices.  The training materials shall also include 
          the notification language in the confirmation card 
          referenced in Paragraph 7(b) above and an overview of 
          Sprint's guidelines for ethical behavior in making 
          retail sales.  Sprint further agrees to use its 
          commercially reasonable best efforts to include a 
          training requirement in new contracts with any retailer 
          selling Sprint's Residential Wireline Long Distance 
          Services in conjunction with its PCS services.  The 
          training requirement shall provide that, at a minimum, 
          agents are to make the training materials available to 
          Sales Representatives and disclose that Sprint monitors 
          compliance with the Company's policies;

          e.  Third Party Verification/LOAs - For Retail Stores, 
          implement and/or maintain a process under which a PIC 
          change order for Residential Wireline Long Distance 
          Services purchased in a Retail Store will not be 
          submitted unless either (a) there is TPV of the sale; 
          or (b) the written (paper or electronic) LOA has been 
          submitted to a centralized verification organization 
          for review and approval.  On all sales except those in 
          Hawaii, the verification will include an affirmative 
          statement  confirming the subscriber's understanding 
          that by agreeing to change his home long distance 
          service to Sprint,  Sprint will also become the 
          subscriber's provider of international services.  

          f.  Record Retention - Unless or until all Residential 
          Wireline Long Distance Services sales purchased in a 
          Retail Store are confirmed by TPV, maintain a process 
          under which all LOAs that will be used to demonstrate 
          compliance with verification procedures will be stored 
          at a centralized location or repository managed by 
          Sprint.  TPVs will be stored by each TPV verifier as is 
          customary;

          g.  Sales Process -Implement and/or maintain a sales 
          process designed to enable Sales Representatives to 
          place subscribers on the appropriate domestic and 
          international calling plans when selling Residential 
          Wireline Long Distance Services in Retail Stores;

          h.  Post Sales Confirmation - Upon a sale of its 
          Residential Wireline Long Distance Service(s) in a 
          Retail Store, confirm authorization of Sprint as the 
          subscriber's preferred carrier by sending to each 
          customer a ``welcome kit'' that identifies the 
          subscriber of record for the Sprint account, the 
          service plan(s) selected by the subscriber, the 
          services selected, the customer service telephone 
          number, terms and conditions of the service(s), and 
          information regarding what to do in the event of an 
          unauthorized preferred carrier change; 

          i. Sprint Call Center Complaint Resolution - Maintain a 
          specially trained group of employees to handle consumer 
          calls alleging that an unauthorized preferred carrier 
          change has occurred.  Upon receiving such calls, Sprint 
          will transfer them to this specially trained group.  
          These subject matter experts will research the 
          customer's account during the customer's call whenever 
          feasible, and when not feasible, will arrange to call 
          the customer back.  Where LOAs or TPVs are not found 
          within 30 days of receipt of the complaint, all charges 
          billed to the account during the first thirty days 
          after the unauthorized change will be absolved; if the 
          subscriber was billed directly by Sprint and has paid 
          the charges a refund shall be issued, and where the 
          charges are unpaid or the charges were paid but were 
          billed on Sprint's behalf by the subscriber's local 
          telephone company, a credit shall be applied to the 
          account. Where LOAs or TPVs are found, credits may be 
          provided to customers based on factors such as the time 
          that has elapsed between the customer's switch and the 
          registry of his or her complaint, the amount due, and 
          the customer's payment history.  The system used by the 
          subject matter experts will allow Sprint to record 
          relevant information provided by the customer, such as 
          transaction location (e.g., Sprint PCS or other 
          retailer), any allegations of fraud (e.g., forgery or 
          identity theft), and/or deceptive marketing, without 
          regard to the merits of the allegations made.  Sprint 
          shall compile this information received from customer 
          calls on a monthly basis to identify any problems that 
          may require retraining, an Operational Audit at a 
          Sprint PCS retail store, or other proactive measures to 
          ensure future compliance with the Company's policies;

          j.  Complaint Resolution Process - Send written 
          correspondence to consumers who file complaints with a 
          relevant governmental agency detailing the Company's 
          findings regarding the complaint and any actions taken 
          by the Company as a result of the account research 
          conducted by Sprint.  For such complaints, Sprint will 
          issue credits and refunds in accordance with the 
          Commission's and any relevant state commission's 
          slamming rules.  Irrespective of how Sprint receives a 
          consumer's complaint (whether via the Sprint Call 
          Center described above or via a relevant governmental 
          agency), where an LOA or TPV is found and Sprint has 
          credible evidence that the preferred carrier change was 
          verified as a result of fraud, Sprint shall also 
          absolve the subscriber of all charges billed as a 
          result of the unauthorized change and terminate the 
          account at the consumer's request; refunds shall be 
          issued to the subscriber, if billed directly by Sprint, 
          for any charges paid; and credits shall be issued for 
          unpaid charges billed to the account or for paid 
          charges in the case of subscribers billed on behalf of 
          Sprint by the subscriber's local telephone company.  In 
          cases where Sprint has submitted adverse information to 
          a credit bureau based on an unauthorized preferred 
          carrier change as determined by a relevant governmental 
          agency or fraudulent verification as demonstrated by 
          credible evidence, Sprint shall submit information to 
          the credit bureau to correct the adverse report and 
          notify the affected consumer that it has done so;

          k. Compliance Review - Compile reports on a monthly 
          basis concerning complaints alleging unauthorized 
          preferred carrier changes and deceptive marketing 
          complaints received by Sprint either through the 
          customer calls described in paragraph (i) or via a 
          relevant governmental agency, without regard to the 
          merits of the complaints made, based on wireline 
          preferred carrier changes effectuated as a result of 
          transactions conducted at Sprint PCS retail stores.  
          Sprint will compile the monthly reports by employee, 
          store, market, and area and will furnish the reports to 
          a sales executive at an officer level on a monthly 
          basis.  The store managers will discuss each 
          transaction and complaint with the Sales Representative 
          involved in the transaction, including recommending 
          additional training or disciplinary action, where 
          appropriate;

          l. Compliance Review of PCS Affiliates and RadioShack - 
          Compute on a monthly basis the number of complaints 
          alleging (without regard to the merits of the 
          complaints) that there was an unauthorized preferred 
          carrier change or that the customer was misled in 
          signing up for Residential Wireline Long Distance 
          Services, as a percentage of sales, for each PCS 
          affiliate, each affiliate store, and each RadioShack 
          store.  Sprint will target each PCS affiliate, 
          affiliate store, and RadioShack store whose complaint 
          percentage exceeds the average by one standard 
          deviation for review and discussion of corrective 
          action, where appropriate, with appropriate affiliate 
          and/or RadioShack personnel; and,

          m. Store Audits - Sprint will conduct an Operational 
          Audit of each Sprint PCS store at least every six 
          months.  For any Sprint PCS store whose Complaint Rate, 
          as defined below, exceeds the average for all Sprint 
          PCS stores by more than one standard deviation in any 
          calendar month following its last Operational Audit, 
          that store's next Operational Audit shall include a 
          review of that store's adherence to Sprint's procedures 
          for selling Residential Wireline Long Distance 
          Services.  Such audit will include a randomly selected, 
          unannounced observation at the subject store of the 
          store's selling methods and adherence to Sprint's sales 
          procedures and principles of business conduct.  If the 
          audit discloses any material departure from Sprint's 
          sales procedures and principles of business conduct, a 
          written report that includes recommendations to the 
          store manager for an action plan for the store to 
          improve its compliance will be prepared within one 
          month of the Operational Audit and will be furnished to 
          the store manager and his or her supervisor.  For 
          purposes of this paragraph, ``Complaint Rate'' means 
          the number of complaints (defined in paragraph (k) 
          above and without regard to the merits of the 
          complaints) received by Sprint associated with sales at 
          the store divided by the number of Residential Wireline 
          Long Distance Services sales by the store.  

     8.   Sprint will provide a written report (``Compliance 
Report'') to the Commission six (6) months from the Effective 
Date describing its compliance with this Consent Decree.  The 
Compliance Report shall describe in detail Sprint's compliance 
with this Consent Decree and include information concerning the 
complaint levels at Retail Stores, use of TPV for Residential 
Wireline Long Distance Services sales at Retail Stores, material 
findings of systemic process failures from Operational Audits and 
any settlements with the states regarding unauthorized preferred 
carrier changes resulting from sales at Retail Stores.  Sprint 
shall submit Compliance Reports to the Commission twelve (12) 
months and twenty four (24) months from the Effective Date, and, 
thereafter, upon written request from the Commission until 
expiration of this Consent Decree.  All Compliance Reports should 
be submitted to the Commission via e-mail and US mail to the 
attention of the Chief, Telecommunications Consumers Division, 
Enforcement Bureau, Federal Communications Commission, 
Washington, D.C. 20554.  

     9.   Sprint agrees to maintain and make available to the 
Commission, within 20 business days of receipt of any written 
request from the Commission (unless the time is extended with the 
consent of the Commission), business records demonstrating 
compliance with the terms and provisions of this Consent Decree. 

     10.  Sprint waives any and all rights it may have to seek 
administrative or judicial reconsideration, review, appeal or 
stay, or to otherwise challenge or contest the validity of this 
Consent Decree and the Order adopting this Consent Decree, 
provided the Order adopts the Consent Decree without change, 
addition, or modification.  

     11.  Sprint's agreement to enter into this Consent Decree is 
expressly contingent upon the issuance of an Order by the 
Commission that is consistent with this Consent Decree, and which 
adopts the Consent Decree without change, addition, or 
modification.  

     12.  In the event that this Consent Decree is rendered 
invalid by any court of competent jurisdiction, it shall become 
null and void and may not be used in any manner in any legal 
proceeding.

     13.  The Parties agree that if any provision of the Consent 
Decree conflicts with any subsequent rule or order adopted by the 
Commission, where compliance with the provision would result in a 
violation, that provision will be superseded by such Commission 
rule or order.

     14.  By this Consent Decree, Sprint does not waive or alter 
its right to assert and seek protection from disclosure of any 
privileged or otherwise confidential and protected documents and 
information, or to seek appropriate safeguards of confidentiality 
for any competitively sensitive or proprietary information.  The 
status of materials prepared for, reviews made and discussions 
held in the preparation for, and implementation of Sprint's 
compliance efforts under this Consent Decree, which would 
otherwise be privileged or confidential, are not altered by the 
execution or implementation of the terms of this Consent Decree, 
and no waiver of such privileges is made by this Consent Decree.

     15.  If either party (or the United States on behalf of the 
Commission) brings a judicial action to enforce the terms of the 
Adopting Order, neither Sprint nor the Commission will contest 
the validity of the Consent Decree or Adopting Order, and Sprint 
and the Commission will waive any statutory right to a trial de 
novo with respect to any matter upon which the Adopting Order is 
based, and shall consent to a judgment incorporating the terms of 
this Consent Decree.

     16.  Sprint agrees that any violation of the Consent Decree 
or the Adopting Order will constitute a separate violation of a 
Commission order, entitling the Commission to exercise any rights 
or remedies attendant to the enforcement of a Commission order. 

     17.  The Parties agree that this Consent Decree shall expire 
three (3) years after the Effective Date.   Unless otherwise 
specified, all commitments made by Sprint herein shall continue 
until the expiration of this Consent Decree.
     18.  This Consent Decree may be signed in counterparts.

For the Commission                      For Sprint Communications 
Company L.P.

By:_____________________________             
By:____________________________________ 
     Marlene H. Dortch                                  Vonya 
McCann 
     Secretary                                      Senior Vice 
President, Federal External Affairs
                              


_______________________________              
________________________________________            
Date                                                    Date

_________________________

1 47 U.S.C.  201(b) and 258.  
2 See 47 C.F.R. 64.1120(a)(1)(ii), (c)(3)(iv).
3 47 U.S.C.  201(b), 258; 47 C.F.R.  64.1120.
4  The  states  include  Massachusetts,  Minnesota,  Nevada,  New 
Jersey, and Ohio.
5 Letter from Colleen K. Heitkamp, Chief, Telecommunications 
Consumers Division, Enforcement Bureau, FCC, to Norina T. Moy, 
Director, Federal Regulatory Policy and Coordination, Sprint 
Communications Company, L.P. (October 6, 2003) .  See also Letter 
from Colleen K. Heitkamp, Chief, Telecommunications Consumers 
Division, Enforcement Bureau, FCC to Norina T. Moy, Director, 
Federal Regulatory Policy and Coordination, Sprint Communications 
Company, L.P. (December 11, 2003); Letter from Colleen K. 
Heitkamp, Chief, Telecommunications Consumers Division, 
Enforcement Bureau, FCC to Michael B. Fingerhut, General 
Attorney, Federal Regulatory Policy and Coordination, Sprint 
Communications Company, L.P. (April 29, 2004) (collectively 
referred to as the ``Bureau's LOIs to Sprint'').

6 47 U.S.C.  208.
7 For Retail  Stores located  in the  areas where  Sprint is  the 
incumbent  local  exchange  carrier,  this  Consent  Decree  only 
relates to the sale of Residential Wireline Long Distance Service 
products that are also sold in Sprint PCS stores located  outside 
such areas.