MGC Communications, Inc. v. BellSouth Telecommunications, Inc.

146 F. Supp. 2d 1344, 2001 U.S. Dist. LEXIS 8138, 2001 WL 672271
CourtDistrict Court, S.D. Florida
DecidedMay 17, 2001
Docket00-2808-CIV.
StatusPublished
Cited by11 cases

This text of 146 F. Supp. 2d 1344 (MGC Communications, Inc. v. BellSouth Telecommunications, Inc.) is published on Counsel Stack Legal Research, covering District Court, S.D. Florida primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
MGC Communications, Inc. v. BellSouth Telecommunications, Inc., 146 F. Supp. 2d 1344, 2001 U.S. Dist. LEXIS 8138, 2001 WL 672271 (S.D. Fla. 2001).

Opinion

ORDER GRANTING DEFENDANT BELLSOUTH’S MOTION TO DISMISS

GOLD, District Judge.

THIS CAUSE is before the Court upon Defendant’s Motion to Dismiss [D.E. 10], filed on September 8, 2000. Plaintiff filed a Response [D.E. 21] on October 20, 2000, and Defendant filed a Reply [D.E. 28] on November 9, 2000.

The Complaint, filed on August 2, 2000, alleges violations of the United States anti *1346 trust laws and the Telecommunications Act of 1996. The Complaint contains three claims for relief, as follows: (1) monopolization of high-speed internet access, in violation of Section 2 of the Sherman Antitrust Act, 15 U.S.C. § 2; (2) attempted monopolization of high-speed internet access, in violation of Section 2 the Sherman Antitrust Act, 15 U.S.C. § 2; and (3) failure £o obey the FCC’s UNE Remand Order, 1 in violation of 47 U.S.C. § 401(b). Jurisdiction of this Court is invoked pursuant to 28 U.S.C. §§ 1331 and 1337 and under 47 U.S.C. §§ 207, 251, 252 and 401(b).

Defendant moves for dismissal of all counts of the Complaint pursuant to Rules 12(b)(1) (lack of subject matter jurisdiction), (3) (improper venue), and (6) (failure to state a claim upon which relief may be granted), of the Federal Rules of Civil Procedure. After careful consideration of the parties’ arguments, the applicable law, and the record as a whole, the Court concludes that Defendant’s Motion to Dismiss should be granted.

I. Background

A. The Statutory Framework

In 1996, Congress passed the Telecommunications Act of 1996, Pub.L. 104-104, 110 Stat. 56 (1996), codified at 47 U.S.C. § 151, et seq., to “promote competition and reduce regulation in order to secure lower prices and higher quality services for American telecommunications consumers and encourage the rapid deployment of new telecommunications technologies.” Preamble to Telecommunications Act of 1996. The Act imposes on local carriers, as a matter of federal law, various duties designed to foster competition, and allows state commissions the option of taking a major role in implementing the Act’s requirements.

Specifically, Section 251 of the Telecommunications Act stipulates that each local exchange carrier, or LEC, has the duty to resell on reasonable and nondiscriminatory terms, to provide number portability to the extent technically feasible, to provide dialing parity to competing providers, to afford access to rights-of-way, and to establish reciprocal compensation arrangements for the transport and termination of telecommunications. 47 U.S.C. § 251(b). Incumbent local exchange carriers, or ILECs, have additional duties under the statute, which are spelled out in § 251(c): they must negotiate in good faith to create the agreements necessary for fulfilling the subpart (b) duties; they must provide for “requesting communications carriers” appropriate interconnections; they must provide unbundled access to network elements at any technically feasible point on just, reasonable, and nondiscriminatory terms; they must offer to aspiring competitors at wholesale rates any services that they sell at retail; and they must give reasonable public notice of changes in their services that would affect others. See also Goldwasser v. Ameritech Corp., 222 F.3d 390, 394 (7th Cir.2000).

As noted above, incumbent local exchange carriers, or ILECs, and competitive local exchange carriers, or CLECs, must attempt to negotiate the terms of interconnection and resale. 47 U.S.C. § 251(c)(1) and 252(a). If the parties cannot reach an agreement, any party may request arbitration, and the parties are required to participate. 47 U.S.C. § 252(b)(1) and (5). All interconnection agreements adopted by negotiation or ar *1347 bitration must be submitted for approval to the State public service commission (“PSC”). 47 U.S.C. § 252(e). Parties may appeal any state PSC decision under the Telecommunications Act to federal district court. 47 U.S.C. § 252(e)(6).

The 1996 Act contains a ‘savings clause’ with respect to its relation to federal antitrust laws. Section 601(b)(1), found at 47 U.S.C. § 152 Historical and Statutory Notes, provides that, “... nothing in this Act or the amendments made by this Act ... shall be construed to modify, impair, or supersede the applicability of any of the antitrust laws.” A similar provision is set forth with respect to federal, state, and local law. See § 601(c)(1) of the Act, 47 U.S.C. § 152 Historical and Statutory Notes (“This Act and the amendments made by this Act shall not be construed to modify, impair, or supersede Federal, State, or local law unless expressly so provided in such Act or amendments.”).

B. The Case at Bar

In this case, Defendant BellSouth Telecommunications, Inc. (“BellSouth”), provides voice and data services in southern Florida as the incumbent local exchange carrier, or ILEC. Plaintiff MGC Communications, Inc. d/b/a Mpower Communications Corp. (“Mpower”), also provides local and long distance voice and data services, and operates as a competitive local exchange carrier, or CLEC, in Florida.

Mpower, as a facilities-based CLEC, has attempted to enter the Florida market by interconnecting and purchasing and/or leasing individual pieces of the ILEC network known as unbundled network elements (“UNEs”).

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Bluebook (online)
146 F. Supp. 2d 1344, 2001 U.S. Dist. LEXIS 8138, 2001 WL 672271, Counsel Stack Legal Research, https://law.counselstack.com/opinion/mgc-communications-inc-v-bellsouth-telecommunications-inc-flsd-2001.