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Cincinnati Bell Telephone Company v. Allnet Communication Services, Inc., Cross-Appellee

Citation: 17 F.3d 921Docket: 92-4044, 92-4170

Court: Court of Appeals for the Sixth Circuit; April 7, 1994; Federal Appellate Court

Narrative Opinion Summary

In this case, Cincinnati Bell Telephone Company (CBT) sought to recover $185,000 in unpaid access service charges from Allnet Communication Services, Inc. The district court granted CBT summary judgment, finding no genuine dispute of material fact, and ordered Allnet to pay the principal amount with 6% simple interest. Allnet contested the summary judgment and requested a stay pending a Federal Communications Commission (FCC) ruling on the reasonableness of CBT's rates, which the district court denied. The court held that Allnet could not simultaneously pursue remedies with the FCC and the district court under 47 U.S.C. Sec. 207, and that Allnet's counterclaim regarding 1990 charges lacked sufficient evidence. On appeal, the court upheld the district court’s decision but remanded the case to adjust the late payment fee in accordance with the filed tariff, referencing the filed rate doctrine under 47 U.S.C. Sec. 203(c). The appeals court concluded that the denial of a stay was not an abuse of discretion, reinforcing the principle that disputes should be resolved in one forum as required by statute.

Legal Issues Addressed

Challenge to 1990 Access Charges

Application: The court found Allnet's challenge to the 1990 charges insufficient due to lack of specific factual support, affirming summary judgment for CBT.

Reasoning: Consequently, the district court properly granted summary judgment due to Allnet’s failure to present genuine issues of material fact regarding the 1990 rates.

FCC Ruling and Stay of Proceedings

Application: The district court denied Allnet's motion to stay proceedings pending an FCC ruling, emphasizing that delays could incentivize non-payment during disputes.

Reasoning: The district court denied Allnet's motion to postpone proceedings, emphasizing that allowing such delays would incentivize customers to withhold payments during disputes.

Filed Rate Doctrine and 47 U.S.C. Sec. 207

Application: Allnet was barred from raising a counterclaim for 1987-88 rates in district court after filing a complaint with the FCC, as per 47 U.S.C. Sec. 207.

Reasoning: A person claiming damages from a common carrier can either file a complaint with the Commission or bring a lawsuit in district court, but cannot pursue both remedies simultaneously.

Filed Rate Doctrine under 47 U.S.C. Sec. 203(c)

Application: The court vacated the late payment fee award and remanded for recalculation in accordance with the filed tariff, highlighting the prohibition against charging different rates.

Reasoning: Under 47 U.S.C. Sec. 203(c), the filed tariff governs the interest amount, and any deviation from this rate is deemed inappropriate unless the FCC determines the rate to be unreasonable.

Summary Judgment for Unpaid Access Charges

Application: The court awarded summary judgment to Cincinnati Bell Telephone Company for unpaid access service charges, as no genuine dispute of material fact was found.

Reasoning: The district court found no genuine dispute regarding material facts and ordered Allnet to pay CBT, including 6% simple interest on the overdue amount.