CEL-TECH COMMUNICATIONS v. L.A. CELLULAR

No. S066735.

83 Cal.Rptr.2d 548 (1999)

973 P.2d 527

20 Cal.4th 163

CEL-TECH COMMUNICATIONS, INC., et al., Plaintiffs and Appellants, v. LOS ANGELES CELLULAR TELEPHONE COMPANY, Defendant and Respondent.

Supreme Court of California.

April 8, 1999.


Attorney(s) appearing for the Case

Spiegel Liao & Kagay and Charles M. Kagay, San Francisco, for Plaintiffs and Appellants.

James R. McCall, San Francisco, as Amicus Curiae on behalf of Plaintiffs and Appellants.

The Sturdevant Law Firm, James C. Sturdevant, San Francisco, and Steven S. Kaufhold for Consumer Attorneys of California as Amicus Curiae on behalf of Plaintiffs and Appellants.

Thomas A Papageorge, Deputy District Attorney (Los Angeles); and Lawrence Brown, for California District Attorneys Association as Amicus Curiae on behalf of Plaintiffs and Appellants.

Milberg Weiss Bershad Hynes & Lerach, William S. Dato, Alan M. Mansfield, San Diego; Altshuler, Berzon, Nussbaum, Berzon & Rubin, Fred H. Altshuler, San Francisco, and Michael W. Graf for Natural Resources Defense Council, Environmental Law Foundation and Utility Consumers' Action Network as Amici Curiae on behalf of Plaintiffs and Appellants.

Gibson, Dunn & Crutcher, Robert C. Bonner, Rex S. Heinke, Mark Erich Weber, Los Angeles, Joel S. Sanders, San Francisco, Kathleen M. Vanderziel, Los Angeles, and Theodore J. Boutrous, Dist. of Columbia, for Defendant and Respondent.

Horvitz & Levy, Lisa Perrochet and David M. Axelrad, Encino, for Truck Insurance Exchange as Amicus Curiae on behalf of Defendant and Respondent.

Latham & Watkins, John F. Walker, Jr., Peter W. Devereaux, Steven D. Atlee and Stephen J. Newman, Los Angeles, for the Los Angeles Area Chamber of Commerce as Amicus Curiae on behalf of Defendant and Respondent.

Wright & Talisman, Michael B. Day and Margaret A. Rostker for Cellular Carriers Association of California as Amicus Curiae on behalf of Defendant and Respondent. Phillip E. Stano; Mayer, Brown & Piatt, Evan M. Tager and Donald M. Falk, Wash., Dist. of Columbia, for American Council of Life Insurance as Amicus Curiae on behalf of Defendant and Respondent.

Heller, Ehrman, White & McAuliffe, Paul Alexander, Vanessa Wells and Daniel Rockey, Palo Alto, for State Farm Insurance Companies and Symantec Corporation as Amici Curiae on behalf of Defendant and Respondent.

Fred J. Hiestand, Sacramento, for the Association for California Tort Reform as Amicus Curiae on behalf of Defendant and Respondent.

Howard, Rice, Nemerovski, Canady, Falk & Rabkin, Jerome B. Falk, Jr., Pauline E. Calande; Sheppard, Mullin, Richter & Hampton, Gary L. Hailing, San Francisco and Thomas D. Nevins for the Hearst Corporation and San Francisco Newspaper Printing Company as Amici Curiae.

Peter Arth, Jr.; Mark Fogelman, San Francisco; and Fred Harris for the Public Utilities Commission of the State of California as Amicus Curiae.


CHIN, J.

Defendant Los Angeles Cellular Telephone Company (L.A.Cellular) sells cellular telephones and services. Cellular telephones are sold on the open market. As to wholesale sales of cellular services, however, L.A. Cellular has a government-protected "duopoly" status with one other company. In an effort to gain new subscribers for its services and increase overall profits, L.A. Cellular sold telephones below cost. It lost money on telephone sales but made...

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