Talk America, Inc. v. Michigan Bell Telephone Co. (10-313)
argument 10-313Talk America, Inc. v. Michigan Bell Telephone Co.
Supreme Court of the United States
58 min
5 speakers
8 chapters
transcribed 6 days ago
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Transcript
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What is the central legal question about §251 C‑2 obligations in Talk America v. Michigan Bell?
We'll hear argument next this morning in case z uh ten three thirteen, talk America versus Michigan Bell. and the consolidated case, Mr Burch. Thank you,
Mr. Chief Justice, and may it please the court. Interconnection is the lifeblood of local phone competition. That is why, in Section two hundred and fifty one, C two of the Telecommunications Act, Congress guaranteed that competitors would have interconnection at the location and at the method of their choosing and at telic rates, irregardless of market impairment. The question in this case is whether that two hundred fifty one C two obligation encompasses the tens of thousands of existing entrance facilities that even today are interconnecting competitive and incumbent networks.
You get C two or teleric rates?
Yes, you do, Your Honor. You get C two and C three at Talgric rates. And so the answer to the question presented is yes for three reasons. First, because the FCC says so. As the expert agency charged with interpreting and implementing the Act, that conclusion is entitled to deference. Second, the FCC's conclusion is consistent with the plain text of the statute and the implementing regulations. And third, the FCC's conclusion is consistent with the policies embodied in the Act. Because the practical result of affirming the Sixth Circuit opinion in this case is that a competitive carrier, like Sprint, for example, will be forced to either charge its customers more for interconnection or lay tens of thousands of duplicate entrance facility cables.
Those are precisely what the Act were designed to prevent. I'd like to start with the Sixth Circuit opinion, and specifically this is at page twenty A of the Talk America CERT Petition Appendix, because this goes to the heart of ATT's position and the Sixth Circuit's conclusion with respect to the orange plugs and cords analogy. You'll recall that the Sixth Circuit said this was like a situation where a homeowner had a plug in their garage and a long orange cord extending out to a park, which the court called the entrance facility, and then the competitive carrier would be that person in the park. On page twenty A of the petition appendix, in footnote nine, about halfway down, this is the key flaw in the Sixth Circuit's reasoning.
The Sixth Circuit says if you, as the homeowner, that's the competit I'm sorry, that's the incumbent, had said that they may plug into the surge protector, then the big orange extension cord is just an entrance facility. But if you had said they must plug into the big orange extension cord, then the big orange extension cord becomes the interconnection facility and consequently the partgoers, the competitors, may plug into it. The problem with this is that the Sixth Circuit was wrong, in that the incumbent doesn't get to choose where the point of connection is. The statute and the regulations and the FCC make clear it's the competitor that gets to choose. So if the competitor chooses the end of the extension cord, where it connects to the C LEC network in the park, then even the Sixth Circuit agrees with us and the Seventh, Eighth, and Ninth Circuits, that the entrance facility is the interconnection facility.
I have just one small question on that. Suppose that there are two competitors. And each of them wants to connect, but each of them wants to connect at a different point in a different way. Must the incumbent accommodate both if they're technically feasible?
Justice Kennedy, the answer is yes. The statute gives the competitive carrier the opportunity to choose the point and the method, all at teleric rate.
Doesn't it say something about feasible if It it doesn't it doesn't give free choice entirely. Um it t it says one of the words, it that the the um The interconnection doesn't have to be put. just any place if it's not feasible or it's undue expense or something something to that effect.
Uh Justice Ginsburg, the statute and the regulations make clear that it must be technically feasible. But there is an almost irrebuttable presumption that when there are already facilities in place performing that function, that is technically feasible.
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Chapters
8 chapters
1
What is the central legal question about §251 C‑2 obligations in Talk America v. Michigan Bell?
0:02–8:10
2
How does the Court interpret the FCC’s deference to its own interconnection regulations?
8:10–13:55
3
Why must a competitor be allowed to choose the point and method of interconnection?
13:55–21:31
4
What is the distinction between “interconnection” and “transport” under the Telecommunications Act?
21:31–29:58
5
How do meet‑point and distance requirements affect the incumbent’s duties?
29:58–37:09
6
When is an entrance facility considered an interconnection facility?
37:09–43:30
7
Why does the Court reject the government’s claim of a new FCC rulemaking?
43:30–50:12
8
What are the policy implications of Tel‑rate pricing for existing facilities?
50:12–58:38