U.S. v. WESTERN ELEC. CO.

Nos. 87-5388 through 87-5397 and 88-5276 through 88-5284.

900 F.2d 283 (1990)

UNITED STATES of America v. WESTERN ELECTRIC COMPANY, et al. Competitive Telecommunications Association, National Consumers League Black Citizen for a Fair Media, Intervenors. Appeal of PACIFIC TELESIS GROUP, et al. (Two Cases). UNITED STATES of America v. WESTERN ELECTRIC COMPANY, et al. (Eighteen Cases). Appeal of NYNEX CORPORATION (Two Cases). Appeal of US WEST, INC. (Two Cases). Appeal of AMERICAN INFORMATION TECHNOLOGIES CORPORATION (Two Cases). Appeal of BELLSOUTH CORPORATION (Two Cases). Appeal of PUBLIC SERVICE COMMISSION OF THE DISTRICT OF COLUMBIA (Two Cases). Appeal of PEOPLE OF the STATE OF CALIFORNIA, et al. Appeal of SOUTHWESTERN BELL CORPORATION (Two Cases). Appeal of BELL ATLANTIC (Two Cases).

United States Court of Appeals, District of Columbia Circuit.

Decided April 3, 1990.

As Amended April 6, 1990.


Attorney(s) appearing for the Case

Stephen M. Shapiro, with whom R. Frost Branon, Jr. for BellSouth Corp.; Richard W. Odgers, Margaret deB. Brown and Stanley J. Moore for Pacific Telesis Group; James D. Ellis and James S. Golden for Southwestern Bell Corp.; Robert A. Levetown and John Thorne for Bell Atlantic Corp.; Raymond F. Burke and Gerald E. Murray for NYNEX Corp.; Jeffrey S. Bork for US West, Inc., C. Douglas Floyd and Frank Cicero, Jr., were on the joint brief, for the Regional Telephone Co. appellants. Abbott B. Lipsky, Jr. for BellSouth Corp.; Liam S. Coonan and Paul G. Lane for Southwestern Bell Corp.; Mark J. Mathis, James R. Young, John M. Goodman and Michael D. Lowe for Bell Atlantic Corp.; Robert V.R. Dalenberg and Martin Silverman for NYNEX Corp., also entered appearances for the Regional Telephone Companies.

Laurence H. Tribe, with whom R. Frost Branon, Jr. for BellSouth Corp.; Richard W. Odgers and Margaret deB. Brown for Pacific Telesis Group; James D. Ellis and James S. Golden for Southwestern Bell Corp.; Robert A. Levetown and John Thorne for Bell Atlantic Corp.; Raymond F. Burke and Gerald E. Murray for NYNEX Corp.; Jeffrey S. Bork for US West, Inc., Stephen M. Shapiro, Floyd Abrams, Abbott B. Lipsky, Jr., C. Douglas Floyd and Frank Cicero, Jr., were on the joint brief for the Regional Telephone Co. appellants Regarding Information Services. Liam S. Coonan and Paul G. Lane for Southwestern Bell Corp.; Mark J. Mathis, James R. Young, John M. Goodman and Michael D. Lowe for Bell Atlantic Corp.; Robert V.R. Dalenberg and Martin Silverman for NYNEX Corp., also entered appearances for the Regional Telephone Companies.

Alison Leigh Smith, Atty., Dept. of Justice, for appellants U.S. James F. Rill, Asst. Atty. Gen., Catherine G. O'Sullivan, Barry Grossman, Nancy C. Garrison and Andrea Limmer, Attys., Dept. of Justice, were on the brief, for appellants U.S.

Gretchen T. Dumas for appellants People of the State of Cal. and the Public Utilities Com'n of the State of Cal. Janice E. Kerr and J. Calvin Simpson also entered appearances for the People of the State of Cal. and the Public Utilities Com'n of the State of Cal.

John E. Ingle, Deputy Associate Gen. Counsel, F.C.C., with whom Diane S. Killory, Gen. Counsel, Daniel M. Armstrong, Associate Gen. Counsel, and Linda L. Oliver, Counsel, F.C.C., were on the brief for amicus curiae urging remand.

Howard C. Davenport, with whom Gilbert E. Hardy, Mary J. Sisak and Peter G. Wolfe were on the brief, for appellant Public Service Com'n of the District of Columbia. Charles A. Tievsky also entered an appearance for Public Service Com'n of the District of Columbia.

Howard J. Trienens, with whom David W. Carpenter, Francine J. Berry and Mark C. Rosenblum were on the brief, for appellee AT & T. Jonathan S. Hoak also entered an appearance for AT & T.

Thomas S. Martin, Chester T. Kamin, Michael H. Salsbury, Anthony C. Epstein, Carl S. Nadler and John R. Worthington for MCI Communications Corp.; Kenneth E. Hardman for Comcast Cellular Communications, Inc. (f/k/a American Cellular Network Corp.); Peter A. Rohrbach and Anthony S. Harrington for Nat. Telecommunications Network; Leon M. Kestenbaum, Michael B. Fingerhut and Philip M. Walker for US Sprint Communications Co. Ltd. Partnership; Katherine M. Holden, Richard E. Wiley and R. Michael Senkowski for McCaw Communications Companies, Inc.; W. Theodore Pierson, Jr., Richard M. Singer and James W. Smith for Competitive Telecommunications Ass'n; Raymond G. Bender, Jr. and Laura H. Phillips for Cybertel Corp., were on the joint brief, for the Non-AT & T Interexchange and Mobil Services.

Robert F. Aldrich, with whom Albert Kramer for North American Telecommunications Ass'n; Herbert E. Marks and James L. Casserly for Independent Data Communications Mfrs. Ass'n; John W. Pettit and Thomas K. Crowe for Tandy Corp.; Sue D. Blumenfeld and John L. McGrew for Telecommunications Industry Ass'n, were on the joint brief of the Manufacturing appellees.

Gene Kimmelman, with whom James S. Blaszak and Charles C. Hunter for Ad Hoc Telecommunications Users Committee; Bruce J. Weston and Margaret Ann Samuels for Ohio Consumers' Counsel; Gary L. Lieber, E. Jay Finkel and John M. Glynn for Maryland People's Counsel; Ian D. Volner and Mark L. Pelesh for Direct Marketing Ass'n, were on the joint brief of the Telephone Consumers.

E. Barrett Prettyman, Jr., with whom John G. Roberts, Jr., Richard E. Wiley, Michael Yourshaw, Katherine M. Holden, William B. Baker and W. Terry Maguire for American Newspaper Publishers Ass'n; Werner K. Hartenberger and Laura H. Phillips for Cox Enterprises, Inc.; Frank W. Lloyd and Diane B. Burstein for Leghorn Telepublishing Co.; Brenda L. Fox, H. Bartow Farr, III, Joel I. Klein and Robert H. Tiller for Nat. Cable Television Ass'n, Inc.; John W. Pettit and Thomas K. Crowe for Phone Programs, Inc.; Richard E. Wiley and Robert J. Butler for Information Industry Ass'n; Randolph J. May for CompuServe, Inc.; Sue D. Blumenfeld and John L. McGrew for The Dun and Bradstreet Corp.; Henry L. Baumann and Robert E. Branson for Nat. Ass'n of Broadcasters, were on the joint brief for Electronic Publishing Participants.

Joseph P. Markoski for ADAPSO; Howard D. Polsky for Alarm Industry Communications Committee; Stephen R. Bell for Tymnet-McDonnell Douglas Network Systems Co.; Simon Lazarus, III for the Computer and Business Equipment Mfrs. Ass'n; Phillip M. Walker and Donald E. Ward for Telenet Communications Corp., were on the joint brief Regarding Information Services. Ann J. LaFrance also entered an appearance for Tymnet McDonnell Douglas Network Systems Co.

Laurence H. Tribe, with whom R. Frost Branon, Jr. for BellSouth Corp.; Richard W. Odgers and Margaret deB. Brown for Pacific Telesis Group; James D. Ellis, Liam S. Coonan and Paul G. Lane for Southwestern Bell Corp.; Robert A. Levetown, John Thorne and Michael D. Lowe for Bell Atlantic Corp.; Raymond F. Burke, Gerald E. Murray and Mary McDermott for NYNEX Corp.; Jeffrey S. Bork for US West, Inc., Stephen M. Shapiro, Kenneth J. Chesebro, Abbott B. Lipsky, Jr. and C. Douglas Floyd, were on the brief, of the Regional Telephone Companies Supporting the Decisions on Information Transmission and Storage Services and Non-Telecommunications Businesses. Mark J. Mathis, James R. Young, John M. Goodman and Michael D. Lowe for Bell Atlantic Corp.; Robert V.R. Dalenberg and Martin Silverman for NYNEX Corp., also entered appearances for the Regional Telephone Companies.

Martin T. McCue and Rodney L. Joyce were on the brief for intervenor U.S. Telephone Ass'n.

Samuel A. Simon for Black Citizens for a Fair Media, et al.; Phillip D. Mink for Citizens for a Sound Economy Found.; Henry Geller and Donna Lampert for Henry Geller, et al., were on the joint brief for intervenors and amici, urging reversal. Harry M. Shooshan, III also entered an appearance for Henry Geller, et al.

L. Andrew Tollin was on the brief for intervenor The Media Institute.

Thomas S. Martin, with whom John R. Worthington, Chester T. Kamin, Michael H. Salsbury and Anthony C. Epstein for MCI Communications Corp.; Frank W. Lloyd and Diane B. Burstein for Leghorn Telepublishing Co.; Ian D. Volner and Mark L. Pelesh for Direct Marketing Ass'n; Bruce J. Weston and Margaret Ann Samuels for Ohio Consumers' Counsel; Howard D. Polsky for Alarm Industry Communications Committee; Randolph J. May for CompuServe, Inc.; R. Michael Senkowski and Katherine Holden for McCaw Cellular Communications, Inc.; Werner K. Hartenberger and Laura H. Phillips for Cox Enterprises, Inc.; Charles H. Helein and Laura H. Phillips for Enhanced Services Council; Peter A. Rohrbach for Nat. Telecommunications Network; Brenda L. Fox and Joel I. Klein for Nat. Cable Television Ass'n, Inc.; Leon M. Kestenbaum and Michael B. Fingerhut for US Sprint Communications Co. Ltd. Partnership; Herbert E. Marks and James L. Casserly for Independent Data Communications Mfrs. Ass'n, Inc.; John W. Pettit and Thomas K. Crowe for Tandy Corp.; John M. Glynn, Gary L. Lieber and E. Jay Finkel for Maryland People's Counsel; Kenneth E. Hardman for Comcast Cellular Communications, Inc.; Raymond G. Bender, Jr. and Laura H. Phillips for Cybertel Corporation; James S. Blaszak and Charles C. Hunter for Ad Hoc Telecommunications Users Committee; Sue D. Blumenfeld and John L. McGrew for The Dun and Bradstreet Corporation and Telecommunications Industry Ass'n; Paul H. Vishny for Telecommunications Industry Ass'n; Henry L. Baumann and Robert E. Branson for Nat. Assn. of Broadcasters; Gene Kimmelman for Consumer Federation of America; Joseph P. Markoski for ADAPSO; Albert H. Kramer and Robert F. Aldrich for North American Telecommunications Ass'n; W. Terry Maguire and Claudia M. James for American Newspaper Publishers Ass'n; Richard E. Wiley, Michael Yourshaw, Katherine M. Holden and William B. Baker for American Newspaper Publishers Ass'n; Ashton R. Hardy for Radiofone, Inc.; Stephen R. Bell for Tymnet-McDonnell Douglas Network Systems Co.; W. Theodore Pierson, Jr. and James M. Smith for Competitive Telecommunications Ass'n, were on the joint brief for appellees and intervenors supporting the line of business restrictions.

Alexander P. Humphrey and Frank W. Krogh entered appearances for appellee Gen. Elec. Communications and Services; Joseph P. Markoski and Herbert E. Marks entered appearances for appellee Ass'n of Data Processing Service Organization, Richard E. Wiley, R. Michael Senkowski and Robert J. Butler also entered appearances for appellees Telocator Network of America, Association of Telemessaging Services, Int'l, Martin Marietta Corp., Digital Equipment Corp., Trintex, Tele-Communications Ass'n, and Information Industry Ass'n.

John L. Bartlett and Robert J. Butler entered appearances for appellee Aeronautical Radio, Inc.

Genevieve Morelli entered an appearance for appellee ALC Communications Corp.

Michael Yourshaw and Katherine M. Holden also entered appearances for appellee Teleport Communications.

Henry D. Levine and Brant S. Karstetter entered appearances for appellee California Bankers Clearing House, et al.

Arnold J. Barer entered an appearance for appellees Phonequest, Inc., et al.

Alfred Winchell Whittaker entered an appearance for appellee American Information Technologies Corp.

Lawrence R. Fullerton and Simon Lazarus, III entered appearances for appellee Hayes Microcomputer Products, Inc.

Norman P. Leventhal and Steven N. Muchnick entered appearances for appellee Digital Directory Assistance, Inc.

Andrew G. Mulitz entered an appearance for appellee Organization for the Protection and Advancement of Small Telephone Companies (OPASTCO).

John H. Chapman entered an appearance for appellee Computer and Communications Industry Ass'n.

Andrew D. Lipman and Russell M. Blau entered appearances for appellee David Systems, Inc.

Paul Rodgers, Charles D. Gray and Lisa M. Zaina entered appearances for appellee Nat. Ass'n of Regulatory Utility Com'n.

Milton J. Grossman, Richard Juhnke and Arthur Simms entered appearances for appellee The Western Union Telegraph Co.

Charles D. Ferris and Howard J. Symons entered appearances for appellee Telocator Network of America.

J. Richard Devlin, Carolyn C. Hill and James T. Roche entered appearances for appellee United Telecommunications, Inc.

Gregory J. Krasovsky entered an appearance for appellee Florida Public Service Com'n.

Henry D. Levine also entered an appearance for appellee Ass'n of Data Communication User.

Norton Cutler entered an appearance for appellee NCR Corp.

Elisabeth H. Ross entered an appearance for appellee Missouri Public Service Com'n.

Earle K. Moore entered an appearance for appellees Nat. Council of Churches of Christ in the U.S.A., et al.

Samuel A. Simon also entered an appearance for appellees World Institute on Disability, Inc., et al.

Jerry Berman and Kate Martin entered appearances for appellee American Civil Liberties Union.

Richard E. Wiley also entered an appearance for appellee Prodigy Services Co.

Robert M. Hill, Jr. entered an appearance for appellee Alabama Public Service Com'n.

Before MIKVA, EDWARDS and SILBERMAN, Circuit Judges.


Opinion for the Court filed PER CURIAM.

PER CURIAM:

As part of the 1982 consent decree that severed the seven Regional Bell Operating Companies ("BOCs") from AT & T, the parties agreed that the BOCs, which inherited AT & T's local exchange monopoly, would be prohibited from providing interexchange (long distance) or information services, manufacturing telephone equipment, and participating in any non-telecommunications industry. The district judge...

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