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Before the
Federal Communications Commission
Washington, D.C. 20554
In the Matter of )
)
WorldCom, Inc. ) File No. EB-00-TC-044
) NAL/Acct. No. 200132170013
Operator Service Consumer )
Information Requirements )
)
ORDER
Adopted: October 31, 2000 Released: November 1,
2000
By the Chief, Enforcement Bureau:
1. In this Order, we adopt a Consent Decree terminating an
informal investigation by the Enforcement Bureau (``Bureau'')
into possible violations by WorldCom, Inc. (``WorldCom'') of
Section 226(b)(1) of the Communications Act of 1934, as amended
(the ``Act''), and Section 64.703(a)(3) of the Commission's
rules.1
2. Section 226(b)(1) of the Act and Section 64.703(a)(3)
of the Commission's rules require operator service providers
(``OSPs'') such as WorldCom to disclose immediately to
consumers, at no charge: (1) a quotation of its rates or charges
for the call; (2) the methods by which such rates or charges
will be collected; (3) the methods by which complaints
concerning such rates, charges, or collection practices will be
resolved; and (4) how to obtain the total cost of the call by
dialing no more than two digits or by staying on the line.2
3. The enactment of Section 226 and the adoption of our
operator service rules occurred in the wake of considerable
consumer dissatisfaction with the lack of information about OSPs'
services, among other things.3 The purpose of TOCSIA is to
protect consumers from ``unfair and deceptive practices relating
to their use of operator services to place interstate long
distance calls and to ensure that consumers have the opportunity
to make informed choices in making such calls.''4
4. On December 1, 1999, the Bureau's field staff began an
investigation of aggregator telephones located throughout the
United States to determine compliance with the requirements set
forth in the Act and in the Commission's rules. The field staff
investigated, inter alia, possible violations of Section
226(b)(1) of the Act,5 and portions of section 64.703 of the
Commission's rules.6 The field staff checked compliance by
aggregators and OSPs at over 1,700 telephones.
5. Based on the evidence gathered in this investigation,
the Bureau approached WorldCom regarding possible violations of
Section 226(b)(1)(C) of the Act and Section 64.703(a)(3) of the
Commission's rules. The Bureau reached an agreement with
WorldCom that will resolve this investigation. The terms and
conditions of the agreement are contained in the attached
executed Consent Decree. Among other things, the Consent Decree
contemplates that WorldCom will implement a program to ensure
its future compliance with the Act and the Commission's rules and
policies. In addition, the Consent Decree contemplates that
WorldCom will make a voluntary contribution to the United States
Treasury in the amount of $56,000.
6. We have reviewed the terms of the Consent Decree and
evaluated the facts before us. In light of WorldCom's commitment
to be bound by the various principles set forth in the Consent
Decree, we believe that the public interest would be served by
approving the Consent Decree and terminating the investigation.
7. Accordingly, IT IS ORDERED, pursuant to Section 4(i) of
the Communications Act, 47 U.S.C. § 154(i), and authority
delegated by sections 0.111 and 0.311 of the Commission's rules,
47 C.F.R. §§ 0.111, 0.311, that the Consent Decree attached
hereto IS ADOPTED.
8. IT IS FURTHER ORDERED that the above-captioned
investigation IS TERMINATED.
FEDERAL COMMUNICATIONS COMMISSION
David H. Solomon
Chief, Enforcement Bureau
_________________________
1 47 U.S.C. § 226(b)(1); 47 C.F.R. §§ 64.703(a)(3), (a)(4).
2 47 U.S.C. § 226(b)(1); 47 C.F.R. §§ 64.703(a)(3), (a)(4).
``Operator services'' is defined by the Act and our rules as
``any interstate telecommunications service from an aggregator
location that includes, as a component, any automatic or live
assistance to a consumer to arrange for billing or completion,
or both, of an interstate telephone call through a method other
than: (1) automatic completion with billing to the telephone
from which the call originated; or (2) completion through an
access code used by the consumer, with billing to an account
previously established with the carrier by the consumer. '' 47
U.S.C. § 226(a)(7); 47 C.F.R. § 64.708(i). A ``provider of
operator services'' means ``any common carrier that provides
operator services or any other person determined by the
Commission to be a provider of operator services.'' 47 U.S.C. §
226(a)(9); 47 C.F.R. § 64.708(l). An ``aggregator'' is defined
by the Act and the Commission's rules as ``any person that, in
the ordinary course of its operations, makes telephones
available to the public or to transient users of its premises,
for interstate telephone calls using a provider of operator
services.'' 47 U.S.C. § 226(a)(2); 47 C.F.R. § 64.708(b).
3 Section 226 is the codification of the Telephone Operator
Consumer Services Improvement Act of 1990 (``TOCSIA''). Pub. L.
No. 101-435, 104 Stat. 986 (1990).
4 Policies and Rules Concerning Operator Service Providers,
Order, 7 FCC Rcd 4014, 4014 (1992).
5 47 U.S.C. § 226(b)(1) (Requirements for Providers of Operator
Services).
6 47 C.F.R. §§ 64.703(a)(1), (a)(2), (a)(3), (a)(4) (Consumer
Information).