Mci Telecommunications Corporation v. American Telephone and Telegraph Company (512 U.S. 218)

U.S. Supreme Court · decided June 17, 1994 · Supreme Court Database (Spaeth)

Citation
512 U.S. 218 · 114 S. Ct. 2223
Decided
June 17, 1994
Term
October Term 1993
Vote
5–3
Majority author
Justice Scalia
Issue area
Economic Activity
Disposition
Affirmed
Outcome
Petitioning party lost
Ideological direction
Conservative

Opinion excerpt

Justice Scalia delivered the opinion of the Court. Section 203(a) of Title 47 of the United States Code requires communications common carriers to file tariffs with the Federal Communications Commission, and § 203(b) authorizes the Commission to “modify” any requirement of §203. These cases present the question whether the Commission’s decision to make tariff filing optional for all nondominant long-distance carriers is a valid exercise of its modification authority. I Like most cases involving the role of the American Telephone and Telegraph Company (AT&T) in our national telecommunication system, these have a long history. An understanding of the cases requires a brief review of the Commission’s efforts to regulate and then deregulate the telecommunications industry. When Congress created the Commission in 1934, AT&T, through its vertically integrated Bell system, held a virtual monopoly over the Nation’s telephone service. The Communications Act of 1934, 48 Stat. 1064, as amended, authorized the Commission to regulate the rates charged for communication services to ensure that they were reasonable and nondiscriminatory. The requirements of §203 that common carriers file their rates with the Commission and charge only the filed rate were the centerpiece of the Act’s regulatory scheme. In the 1970’s, technological advances reduced the entry costs for competitors of AT&T in…

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