Monday, January 12, 2004

U.S. Supreme Court Rules in Favor of ILECs in Antitrust Case

In a case that pitted Verizon Communications againsts a disgruntled customer, the U.S. Supreme Court ruled that the 1996 Telecommunications Act did not expand the scope of antitrust relief available to competitive carriers or their customers and that under existing antitrust law, Verizon's alleged lack of cooperation in providing local wireline loops to competitors does not violate antitrust law. The customer had sought antitrust relief on the grounds that Verizon had failed to fully cooperate in local loop unbundling with competitors who might have provided an alternative service.


Matthew J. Flanigan, president of the Telecommunications Industry Association (TIA), said the ruling would "lift a cloud of uncertainty and clear the way for new investment by the regional Bell operating companies and create incentives for competitive carriers to invest in their own facilities."http://www.tiaonline.org