AMERICAN TEL. & TEL. CO. v. F.C.C.

Nos. 85-1778, 85-1805, 85-1807, 86-1216, 86-1234, 86-1255, 86-1322 to 86-1324 and 87-1025.

836 F.2d 1386 (1988)

AMERICAN TELEPHONE AND TELEGRAPH COMPANY, Petitioner v. FEDERAL COMMUNICATIONS COMMISSION and United States of America, Respondents, Southwestern Bell Telephone Company, GTE Service Corporation, Ameritech Operating Company, Puerto Rico Telephone Company, Communications Satellite Corporation, Continental Telecom Inc., New York Telephone and New England Telephone Company, Bell-South Corporation, Bell Atlantic Telephone Companies, United Telephone System, Inc., Mountain States Telephone Company, et al., Pacific Bell, et al., Intervenors.

United States Court of Appeals, District of Columbia Circuit.

Decided January 22, 1988.


Attorney(s) appearing for the Case

Michael Boudin, Washington, D.C., with whom Saul Fisher and Martin J. Silverman, White Plains, N.Y., for NYNEX Companies, petitioners in Nos. 85-1805, 85-1807 and 86-1216, and intervenors in Nos. 85-1778, 86-1234, 86-1255, 86-1322, 86-1323, 86-1324 and 87-1025.

Raymond F. Scully, Alan B. Sternstein, Katherine I. Hall, Washington, D.C., and Robert L. Barada, Los Angeles, Cal., for Pacific Bell, et al., petitioners in Nos. 85-1807 and 85-1323, and intervenors in Nos. 85-1778, 85-1805, 86-1216, 86-1234, 86-1255, 86-1322, 86-1324 and 87-1025.

William R. Malone, Richard McKenna and James R. Hobson, Washington, D.C., for GTE Services, et al., petitioners in No. 86-1234 and intervenors in Nos. 85-1778, 85-1805, 85-1807, 86-1216, 86-1255, 86-1322, 86-1323, 86-1324 and 87-1025.

R. Frost Branon, Jr., Atlanta, Ga., for BellSouth Corp., et al., petitioners in Nos. 85-1807 and 86-1322.

William C. Sullivan, Keith E. Davis, Linda S. Legg, St. Louis, Mo., Gary Buckwalter for Southwestern Bell, intervenors in Nos. 85-1778, 85-1805, 85-1807, 86-1216, 86-1234, 86-1255, 86-1322, 86-1323, 86-1324 and 87-1025.

Robert B. McKenna and Dana Rasmussen, Washington, D.C., for Mountain States Telephone, et al., petitioners in No. 86-1324 and intervenors in Nos. 85-1778, 85-1805, 85-1807, 86-1216, 86-1234, 86-1255, 86-1322 and 86-1323.

Mark J. Mathis and David K. Hall, Washington, D.C., for Bell Atlantic Telephone Companies, intervenors in Nos. 85-1778, 85-1805, 85-1807, 86-1216, 86-1234, 86-1322, 86-1323, 86-1324 and 87-1025.

Sally Katzen and John S. Hannon, Jr., Washington, D.C., for ComSat, intervenor in Nos. 85-1778 and 85-1807.

Ellen S. Deutsch, Washington, D.C., for Waitsfield Fayston Telephone Co., intervenor in Nos. 85-1805 and 86-1324.

Alfred Winchell Whittaker, Washington, D.C., for Ameritech Operating Companies, intervenors in Nos. 85-1778, 85-1805, 85-1807, 86-1216, 86-1234, 86-1255, 86-1322, 86-1323, 86-1324 and 87-1025 were on the joint brief, for petitioners and intervenors. John B. Messenger also entered an appearance for petitioner/intervenor NYNEX Companies. Gail L. Polivy, Washington, D.C., also entered an appearance for petitioner/intervenor GTE Corp.

Hope E. Thurrott, Paul G. Lane and Liam Coonan, St. Louis, Mo., also entered appearances, for petitioner/intervenor Southwestern Bell Telephone Co.

Thomas J. Reiman, Chicago, Ill., also entered an appearance, for intervenor Ameritech Operating Companies.

Lawrence W. Katz, Richard C. Schramm, Robert A. Levetown and E. Edward Bruce, Washington, D.C., also entered appearances, for petitioners/intervenors Bell Atlantic Telephone Companies, et al.

Vincent L. Sgrosso, Atlanta, Ga., also entered an appearance, for petitioner/intervenor BellSouth Corp.

Stanley J. Moore and Susan E. Barisone, San Francisco, Cal., also entered appearances, for petitioners/intervenors Pacific Bell, et al.

David D. Hiller of the Bar of the Supreme Court of Illinois, pro hac vice by special leave of Court, with whom Jules M. Perlberg and C. John Buresh, Chicago, Ill., were on the brief, for American Telephone and Telegraph Co., petitioner in Nos. 85-1778, 86-1225 and 87-1025, and intervenor in Nos. 85-1805, 85-1807, 86-1216, 86-1234, 86-1322, 86-1323 and 86-1324.

Jonathan S. Hoak, Chicago, Ill., and David J. Lewis, Washington, D.C., also entered appearances, for petitioner/intervenor American Tel. & Tel. Co.

John E. Ingle, Counsel, F.C.C., with whom Diane S. Killory, General Counsel, Daniel M. Armstrong, Associate General Counsel and Laurel R. Bergold, Counsel, F.C.C., Robert B. Nicholson and Robert J. Wiggers, Attys., Dept. of Justice, Washington, D.C., were on the brief, for respondents.

Brian R. Moir, Washington, D.C., also entered an appearance, for intervenor, Intern. Communications Ass'n.

Carolyn C. Hill and James T. Roche, Washington, D.C., also entered appearances, for intervenor, United Telephone System.

John C. Wohlstetter, Washington, D.C., also entered an appearance, for intervenor, Continental Telecom, Inc.

Thomas J. O'Reilly, Washington, D.C., also entered an appearance, for intervenor, United States Telephone Ass'n.

Paul J. Berman, Washington, D.C., also entered an appearance, for intervenor, Puerto Rico Telephone Co.

Theodore D. Frank, Washington, D.C., also entered an appearance, for intervenor, Centel Corp.

Joseph M. Kittner, Albert J. Catalano and James S. Blaszak, Washington, D.C., also entered appearances for intervenor, Ad Hoc Telecommunications Users Committee.

John L. Bartlett and Robert J. Butler, Washington, D.C., entered appearances for intervenor Aeronautical Radio, Inc.

David Cosson, Washington, D.C., also entered an appearance for intervenors, Nat. Telephone Co-op Ass'n, et al.

Arthur H. Simms, Washington, D.C., also entered an appearance, for intervenor, Western Union Telegraph Co.

Before MIKVA, BORK and STARR, Circuit Judges.


Opinion PER CURIAM.

Concurring opinion filed by Circuit Judge STARR.

PER CURIAM:

Petitioners, numerous telephone companies and other carriers of telecommunications service, challenge the adoption of a rule by the Federal Communications Commission (the "Commission") that requires the carriers to refund earnings they receive in excess of the expected rate of return on capital factored into their rates. Petitioners claim that the refund rule is arbitrary...

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