http://www.bell.com/legislation/1528.html
104th CONGRESS
1st Session
To supersede the Modification of Final Judgment entered August 24,
1982, in the antitrust action styled United States v. Western
Electric, Civil Action No. 82-0192, United States District Court
for the District of Columbia, and for other purposes.
IN THE HOUSE OF REPRESENTATIVES
May 2, 1995
Mr. Hyde introduced the following bill; which was referred to the
Committee on the Judiciary, and in addition to the Committee on
Commerce, for a period to be subsequently determined by the
Speaker, in each case for consideration of such provisions as
fall within the jurisdiction of the committee concerned
A BILL
To supersede the Modification of Final Judgment entered August 24,
1982, in the antitrust action styled United States v. Western
Electric, Civil Action No. 82-0192, United States District Court
for the District of Columbia, and for other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the `Antitrust Consent Decree Reform Act
of 1995'.
SEC. 2. AUTHORIZATION FOR BELL OPERATING COMPANY TO ENTER
COMPETITIVE LINES OF BUSINESS.
(a) Application:
(1) In general: After the applicable date specified in
paragraph (2), a Bell operating company may apply to the
Attorney General for authorization, notwithstanding the
Modification of Final Judgment--
(A) to provide interexchange telecommunications services,
(B) to manufacture or provide telecommunications
equipment, or manufacture customer premises equipment, or
(C) to provide alarm monitoring services.
The application shall describe the nature and scope of the
activity, and the product market, service market, and
geographic market, for which authorization is sought.
(2) Applicable dates: For purposes of paragraph (1), the
applicable date after which a Bell operating company may apply
for authorization shall be--
(A) the date of the enactment of this Act, with respect
to--
(i) providing interexchange telecommunications
services, and
(ii) manufacturing or providing telecommunications
equipment, or manufacturing customer premises
equipment, and
(B) the date that occurs 3 years after the date of the
enactment of this Act, with respect to providing alarm
monitoring services.
(3) Publication: Not later than 10 days after receiving an
application made under paragraph (1), the Attorney General
shall publish the application in the Federal Register.
(4) Availability of information: The Attorney General shall
make available to the public all information (excluding trade
secrets and privileged or confidential commercial or financial
information) submitted by the applicant in connection with the
application.
(b) Determination by the Attorney General:
(1) Comment period: Not later than 45 days after an
application is published under subsection (a)(3), interested
persons may submit written comments to the Attorney General,
regarding the application. Submitted comments shall be
available to the public.
(2) Determination: (A) After the time for comment under
paragraph (1) has expired, but not later than 180 days after
receiving an application made under subsection (a)(1), the
Attorney General shall issue a written determination, with
respect to granting the authorization for which the Bell
operating company has applied. If the Attorney General fails to
issue such determination in the 180-day period beginning on the
date the Attorney General receives such application, the
Attorney General shall be deemed to have issued a determination
approving such application on the last day of such period.
(B) The Attorney General shall approve the granting of the
authorization requested in the application unless the Attorney
General finds by clear and convincing evidence that there is a
dangerous probability that such company or its affiliates would
successfully use market power to achieve monopoly power in the
market such company seeks to enter. The Attorney General may
approve all or part of the requested authorization.
(C) A determination that approves any part of a requested
authorization shall describe with particularity the nature and
scope of the approved activity, and list each product market,
service market, and geographic market, to which such approval
applies.
(3) Publication: Not later than 10 days after issuing a
determination under paragraph (2), the Attorney General shall
publish a brief description of the determination in the Federal
Register.
(4) Finality: A determination made under paragraph (2) shall
be final unless a petition with respect to such determination
is timely filed under subsection (c)(1).
(c) Judicial Review:
(1) Filing of petition: (A) Not later than 30 days after a
determination by the Attorney General is published under
subsection (b)(3), the Bell operating company that applied to
the Attorney General under subsection (a), or any person who
would be injured in its business or property as a result of the
determination regarding such company's engaging in the activity
described in such company's application, may file a petition
for judicial review of the determination in the United States
Court of Appeals for the District of Columbia Circuit.
(B) The United States Court of Appeals for the District of
Columbia shall have exclusive jurisdiction
to review determinations made under section 2(b)(2).
(2) Certification of record: As part of the answer to the
petition, the Attorney General shall file in such court a
certified copy of the record upon which the determination is
based.
(3) Consolidation of petitions: The court shall consolidate
for judicial review all petitions filed under this subsection
with respect to the application.
(4) Judgment: (A) The court shall enter a judgment after
reviewing the determination in accordance with section 706 of
title 5 of the United States Code. Whether there is clear and
convincing evidence supporting the determination, as required
by subsection (b)(2)(B), shall be affirmed by the court only if
the court finds that the record certified pursuant to paragraph
(2) provides substantial evidence for that determination.
(B) A judgment--
(i) affirming any part of the determination that approves
granting all or part of the requested authorization, or
(ii) reversing any part of the determination that denies
all or part of the requested authorization,
shall describe with particularity the nature and scope of the
activity, and each product market, service market, and
geographic market, to which the affirmance or reversal applies.
SEC. 3. AUTHORIZATION AS PREREQUISITE.
(a) Prerequisite: Until a Bell operating company is so authorized
in accordance with section 2, it shall be unlawful for such
company, directly or through an affiliate, to engage in an activity
described in section 2(a)(1).
(b) General Exceptions: Except with respect to providing alarm
monitoring services, subsection (a) shall not prohibit a Bell
operating company from engaging, at any time after the date of the
enactment of this Act, in any activity as authorized by an order
entered by the United States District Court for the District of
Columbia pursuant to section VII or VIII(C) of the Modification of
Final Judgment, if--
(1) such order was entered on or before the date of the
enactment of this Act, or
(2) a request for such authorization was pending before such
court on the date of the enactment of this Act.
(c) Exception for Certain Alarm Monitoring Services: Subsection
(a) shall not prohibit a Bell operating company, at any time after
the date of the enactment of this Act, from providing alarm
monitoring services to the same extent that such company was
already providing such services before such date.
(d) Exception for Certain Interexchange Telecommunications
Services: Subsection (a) shall not prohibit a Bell operating
company, at any time after the date of the enactment of this Act,
from providing interexchange telecommunications services with
respect to telecommunications that originate in any exchange area
in which such company is not the dominant provider of wireline
telephone exchange service.
(e) Exceptions for Incidental Services: Subsection (a) shall not
prohibit a Bell operating company, at any time after the date of
the enactment of this Act, from providing interexchange
telecommunications services for the purpose of--
(1)(A) providing audio programming, video programming, or
other programming services to subscribers to such services of
such company,
(B) providing the capability for interaction by such
subscribers to select or respond to such audio programming,
video programming, or other programming services, or
(C) providing to distributors audio programming or video
programming that such company owns, controls, or is licensed by
the copyright owner of such programming, or by an assignee of
such owner, to distribute,
(2) providing a telecommunications service, using the
transmission facilities of a cable system that is an affiliate
of such company, between exchange areas within a cable system
franchise area in which such company is not, on the date of the
enactment of this Act, a provider of wireline telephone
exchange service,
(3) providing commercial mobile services in accordance with
existing law,
(4) providing a service that permits a customer that is
located in one exchange area to retrieve stored information
from, or file information for storage in, information storage
facilities of such company that are located in another exchange
area,
(5) providing signaling information used in connection with
the provision of exchange services, or exchange access, to a
local exchange carrier, or
(6) providing network control signaling information to, and
receiving such signaling information from, interexchange
carriers at any location within the area in which such company
provides exchange services or exchange access.
SEC. 4. REGULATION OF ELECTRONIC PUBLISHING.
(a) In General:
(1) Prohibition: A Bell operating company and any affiliate
shall not engage in the provision of electronic publishing that
is disseminated by means of such Bell operating company's or
any of its affiliates' basic telephone service.
(2) Permitted activities of separated affiliate: Subject to
subsection (b), nothing in this section shall prohibit a
separated affiliate or electronic publishing joint venture from
engaging in the provision of electronic publishing or any other
lawful service in any area.
(3) Rule of construction: Nothing in this section shall
prohibit a Bell operating company or affiliate from engaging in
the provision of any lawful service other than electronic
publishing in any area or from engaging in the provision of
electronic publishing that is not disseminated by means of such
Bell operating company's or any of its affiliates' basic
telephone service.
(b) Separated Affiliate or Electronic Publishing Joint Venture
Requirements: A separated affiliate and electronic publishing joint
venture shall each--
(1) maintain books, records, and accounts that are separate
from those of the Bell operating company and from any affiliate
and that record in accordance with generally accepted
accounting principles all transactions, whether direct or
indirect, with the Bell operating company,
(2) not incur debt in a manner that would permit a creditor
upon default to have recourse to the assets of the Bell
operating company,
(3) prepare financial statements that are not consolidated
with those of the Bell operating company or an affiliate,
provided that consolidated statements may also be prepared,
(4) after 1 year from the effective date of this section, not
hire--
(A) as corporate officers, sales and marketing management
personnel whose responsibilities at the separated affiliate
or electronic publishing joint venture will include the
geographic area where the Bell operating company provides
basic telephone service,
(B) network operations personnel whose responsibilities
at the separated affiliate or electronic publishing joint
venture would require dealing directly with the Bell
operating company, or
(C) any person who was employed by the Bell operating
company during the year preceding their date of hire,
except that the requirements of this paragraph shall not apply
to persons subject to a collective bargaining agreement that
gives such persons rights to be employed by a separated
affiliate or electronic publishing joint venture of the Bell
operating company,
(5) not provide any wireline telephone exchange service in
any telephone exchange area where a Bell operating company with
which it is under common ownership or control provides basic
telephone exchange service except on a resale basis,
(6) not use the name, trademarks, or service marks of an
existing Bell operating company except for names, trademarks,
or service marks that are or were used in common with the
entity that owns or controls the Bell operating company,
(7) have performed annually by March 31 a compliance review--
(A) that is conducted by an independent entity that is
subject to professional, legal, and ethical obligations for
the purpose of determining compliance during the preceding
calendar year with any provision of this section that
imposes a requirement on such separated affiliate or
electronic publishing joint venture, and
(B) the results of which are maintained by the separated
affiliate for a period of 5 years subject to review by any
lawful authority;
(8) within 90 days of receiving a review described in
paragraph (7), file a report of any exceptions and corrective
action with the Attorney General and allow any person to
inspect and copy such report subject to reasonable safeguards
to protect any proprietary information contained in such report
from being used for purposes other than to enforce or pursue
remedies under this section.
(c) Bell Operating Company Requirements: A Bell operating company
under common ownership or control with a separated affiliate or
electronic publishing joint venture shall--
(1) not provide a separated affiliate any facilities,
services, or basic telephone service information unless such
Bell operating company makes such facilities, services, or
information available to unaffiliated entities upon request and
on the same terms and conditions;
(2) carry out transactions with a separated affiliate in a
manner equivalent to the manner that unrelated parties would
carry out independent transactions and not based upon the
affiliation;
(3) carry out transactions with a separated affiliate, which
involve the transfer of personnel, assets, or anything of
value, pursuant to written contracts or tariffs made publicly
available;
(4) carry out transactions with a separated affiliate in a
manner that is auditable in accordance with generally accepted
auditing standards;
(5) value any assets that are transferred to a separated
affiliate at the greater of net book cost or fair market value;
(6) value any assets that are transferred to the Bell
operating company by its separated affiliate at the lesser of
net book cost or fair market value;
(7) except for--
(A) instances where State regulations permit in-arrears
payment for tariffed telecommunications services, or
(B) the investment by an affiliate of dividends or
profits derived from a Bell operating company,
not provide debt or equity financing directly or indirectly to
a separated affiliate;
(8) comply fully with all applicable State cost allocation
and other accounting rules;
(9) have performed annually by March 31 a compliance review--
(A) that is conducted by an independent entity that is
subject to professional, legal, and ethical obligations for
the purpose of determining compliance during the preceding
calendar year with any provision of this section that
imposes a requirement on such Bell operating company, and
(B) the results of which are maintained by the Bell
operating company for a period of 5 years subject to review
by any lawful authority;
(10) within 90 days of receiving a review described in
paragraph (9), file a report of any exceptions and corrective
action with the Attorney General and allow any person to
inspect and copy such report subject to reasonable safeguards
to protect any proprietary information contained in such report
from being used for purposes other than to enforce or pursue
remedies under this section;
(11) if it provides facilities or services for
telecommunication, transmission, billing and collection, or
physical collocation to any electronic publisher, including a
separated affiliate, for use with or in connection with the
provision of electronic publishing that is disseminated by
means of such Bell operating company's or any of its
affiliates' basic telephone service, provide to all other
electronic publishers the same type of facilities and services
on request, on the same terms and conditions or as required by
a State, and unbundled and individually tariffed to the
smallest extent that is technically feasible and economically
reasonable to provide;
(12) provide network access and interconnections for basic
telephone service to electronic publishers at any technically
feasible and economically reasonable point within the Bell
operating company's network and at just and reasonable rates
that are tariffed (so long as rates for such services are
subject to regulation) and that are not higher on a per-unit
basis than those charged for such services to any other
electronic publisher or any separated affiliate engaged in
electronic publishing;
(13) if prices for network access and interconnection for
basic telephone service are no longer subject to regulation,
provide electronic publishers such services on the same terms
and conditions as a separated affiliate receives such services;
(14) if any basic telephone service used by electronic
publishers ceases to require a tariff, provide electronic
publishers with such service on the same terms and conditions
as a separated affiliate receives such service;
(15) provide reasonable advance notification at the same time
and on the same terms to all affected electronic publishers of
information if such information is within any one or more of
the following categories:
(A) such information is necessary for the transmission or
routing of information by an interconnected electronic
publisher;
(B) such information is necessary to ensure the
interoperability of an electronic publisher's and the Bell
operating company's networks; or
(C) such information concerns changes in basic telephone
service network design and technical standards which may
affect the provision of electronic publishing;
(16) not directly or indirectly provide anything of monetary
value to a separated affiliate unless in exchange for
consideration at least equal to the greater of its net book
cost or fair market value, except the investment by an
affiliate of dividends or profits derived from a Bell operating
company;
(17) not discriminate in the presentation or provision of any
gateway for electronic publishing services or any electronic
directory of information services, which is provided over such
Bell operating company's basic telephone service;
(18) have no directors, officers, or employees in common with
a separated affiliate;
(19) not own any property in common with a separated affiliate;
(20) not perform hiring or training of personnel on behalf of
a separated affiliate;
(21) not perform the purchasing, installation, or maintenance
of equipment on behalf of a separated affiliate, except for
telephone service that it provides under tariff or contract
subject to the provisions of this section; and
(22) not perform research and development on behalf of a
separated affiliate.
(d) Customer Proprietary Network Information: A Bell operating
company or any affiliate shall not provide to any electronic
publisher, including a separated affiliate or electronic publishing
joint venture, customer proprietary network information for use
with or in connection with the provision of electronic publishing
that is disseminated by means of such Bell operating company's or
any of its affiliates' basic telephone service that is not made
available by the Bell operating company or affiliate to all
electronic publishers on the same terms and conditions.
(e) Compliance With Safeguards: No Bell operating company,
affiliate, or separated affiliate shall act in concert with another
Bell operating company or any other entity in order to knowingly
and willfully violate or evade the requirements of this section.
(f) Telephone Operating Company Dividends: Nothing in this
section shall prohibit an affiliate from investing dividends
derived from a Bell operating company in its separated affiliate,
and subsections (i) and (j) of this section shall not apply to any
such investment.
(g) Joint Marketing: Except as provided in subsection (h)--
(1) a Bell operating company shall not carry out any
promotion, marketing, sales, or advertising for or in
conjunction with a separated affiliate, and
(2) a Bell operating company shall not carry out any
promotion, marketing, sales, or advertising for or in
conjunction with an affiliate that is related to the provision
of electronic publishing.
(h) Permissible Joint Activities:
(1) Joint telemarketing: A Bell operating company may provide
inbound telemarketing or referral services related to the
provision of electronic publishing for a separated affiliate,
electronic publishing joint venture, affiliate, or unaffiliated
electronic publisher, provided that if such services are
provided to a separated affiliate, electronic publishing joint
venture, or affiliate, such services shall be made available to
all electronic publishers on request, on nondiscriminatory
terms, at compensatory prices, to ensure that the Bell
operating company's method of providing telemarketing or
referral and its price structure do not competitively
disadvantage any electronic publishers regardless of size,
including those which do not use the Bell operating company's
telemarketing services.
(2) Teaming arrangements: A Bell operating company may engage
in nondiscriminatory teaming or business arrangements to engage
in electronic publishing with any separated affiliate or with
any other electronic publisher provided that the Bell operating
company only provides facilities, services, and basic telephone
service information as authorized by this section and provided
that the Bell operating company does not own such teaming or
business arrangement.
(3) Electronic publishing joint ventures: A Bell operating
company or affiliate may participate on a nonexclusive basis in
electronic publishing joint ventures with entities that are not
any Bell operating company, affiliate, or separated affiliate
to provide electronic publishing services, provided that the
participating Bell operating company or participating affiliate
has not more than a 50 percent direct or indirect equity
interest (or the equivalent thereof) or the right to more than
50 percent of the gross revenues under a revenue sharing or
royalty agreement in any electronic publishing joint venture.
Officers and employees of a Bell operating company or affiliate
participating in an electronic publishing joint venture may not
have more than 50 percent of the voting control over the
electronic publishing joint venture. In the case of joint
ventures with small, local electronic publishers, the Attorney
General may authorize the Bell operating company or affiliate
to have a larger equity interest, revenue share, or voting
control but not to exceed 80 percent. A Bell operating company
participating in an electronic publishing joint venture may
provide promotion, marketing, sales, or advertising personnel
and services to such joint venture.
(i) Transactions Related to the Provision of Electronic
Publishing Between a Telephone Operating Company and any Affiliate:
(1) Records of transactions: Any provision of facilities,
services, or basic telephone service information, or any
transfer of assets, personnel, or anything of commercial or
competitive value, from a Bell operating company to any
affiliate related to the provision of electronic publishing
shall be--
(A) recorded in the books and records of each entity,
(B) auditable in accordance with generally accepted
auditing standards, and
(C) pursuant to written contracts or tariffs filed with a
State and made publicly available.
(2) Valuation of transfers: Any transfer of assets directly
related to the provision of electronic publishing from a Bell
operating company to an affiliate shall be valued at the
greater of net book cost or fair market value. Any transfer of
assets related to the provision of electronic publishing from
an affiliate to the Bell operating company shall be valued at
the lesser of net book cost or fair market value.
(3) Prohibition of evasions: A Bell operating company shall
not provide directly or indirectly to a separated affiliate any
facilities, services, or basic telephone service information
related to the provision of electronic publishing that are not
made available to unaffiliated companies on the same terms and
conditions.
(j) Transactions Related to the Provision of Electronic
Publishing Between an Affiliate and a Separated Affiliate:
(1) Records of transactions: Any facilities, services, or
basic telephone service information provided or any assets,
personnel, or anything of commercial or competitive value
transferred, from a Bell operating company to any affiliate as
described in subsection (i) and then provided or transferred to
a separated affiliate shall be--
(A) recorded in the books and records of each entity,
(B) auditable in accordance with generally accepted
auditing standards, and
(C) pursuant to written contracts or tariffs filed with a
State and made publicly available.
(2) Valuation of transfers: Any transfer of assets directly
related to the provision of electronic publishing from a Bell
operating company to any affiliate as described in subsection
(i) and then transferred to a separated affiliate shall be
valued at the greater of net book cost or fair market value.
Any transfer of assets related to the provision of electronic
publishing from a separated affiliate to any affiliate and then
transferred to the Bell operating company as described in
subsection (i) shall be valued at the lesser of net book cost
or fair market value.
(3) Prohibition of evasions: An affiliate shall not provide
directly or indirectly to a separated affiliate any facilities,
services, or basic telephone service information related to the
provision of electronic publishing that are not made available
to unaffiliated companies on the same terms and conditions.
(k) Other Electronic Publishers: Except as provided in subsection
(h)(3)--
(1) A Bell operating company shall not have any officers,
employees, property, or facilities in common with any entity
whose principal business is publishing of which a part is
electronic publishing.
(2) No officer or employee of a Bell operating company shall
serve as a director of any entity whose principal business is
publishing of which a part is electronic publishing.
(3) For the purposes of paragraphs (1) and (2), a Bell
operating company or an affiliate that owns an electronic
publishing joint venture shall not be deemed to be engaged in
the electronic publishing business solely because of such
ownership.
(4) A Bell operating company shall not carry out--
(A) any marketing or sales for any entity that engages in
electronic publishing; or
(B) any hiring of personnel, purchasing, or production,
for any entity that engages in electronic publishing.
(5) The Bell operating company shall not provide any
facilities, services, or basic telephone service information to
any entity that engages in electronic publishing, for use with
or in connection with the provision of electronic publishing
that is disseminated by means of such Bell operating company's
or any of its affiliates' basic telephone service, unless
equivalent facilities, services, or information are made
available on equivalent terms and conditions to all.
(l) Transition: Any electronic publishing service being offered
to the public by a Bell operating company or affiliate on the date
of enactment of this section shall have one year from such date of
enactment to comply with the requirements of this section.
(m) Sunset: The provisions of this section shall not apply to
conduct occurring after June 30, 2000.
(n) Private Right of Action: Any person claiming that any act or
practice of any Bell operating company, affiliate, or separated
affiliate constitutes a violation of this section may commence a
civil action in an appropriate district court of the United States
for damages, for an order enjoining such act or practice or
compelling compliance with such requirement, or for both.
(o) Subpoenas: In an action commenced under this section, a
subpoena requiring the attendance of a witness at a hearing or a
trial may be served at any place within the United States.
(p) Definitions: For purposes of this section:
(1) The term `Bell operating company' means the corporations
subject to the Modification of Final Judgment and listed in
Appendix A thereof, or any entity owned or controlled by such
corporation, or any successor or assign of such corporation,
but does not include an electronic publishing joint venture
owned by such corporation or entity.
(2) The term `affiliate' means any entity that, directly or
indirectly, owns or controls, is owned or controlled by, or is
under common ownership or control with, a Bell operating
company. Such term shall not include a separated affiliate.
(3) The term `basic telephone service' means any wireline
telephone exchange service, or wireline telephone exchange
facility, provided by a Bell operating company in a telephone
exchange area, except--
(A) a competitive wireline telephone exchange service
provided in a telephone exchange area where another entity
provides a wireline telephone exchange service that was
provided on January 1, 1984, and
(B) a commercial mobile service provided by an affiliate
that is required by the Federal Communications Commission
to be a corporate entity separate from the Bell operating
company.
(4) The term `basic telephone service information' means
network and customer information of a Bell operating company
and other information acquired by a Bell operating company as a
result of its engaging in the provision of basic telephone
service.
(5) The term `control' means the possession, direct or
indirect, of the power to direct or cause the direction of the
management and policies of a person, whether through the
ownership of voting securities, by contract, or otherwise.
(6)(A) The term `electronic publishing' means the
dissemination, provision, publication, or sale to an
unaffiliated entity or person, using a Bell operating company's
basic telephone service, of--
(i) news,
(ii) entertainment (other than interactive games),
(iii) business, financial, legal, consumer, or credit
material,
(iv) editorials,
(v) columns,
(vi) sports reporting,
(vii) features,
(viii) advertising,
(ix) photos or images,
(x) archival or research material,
(xi) legal notices or public records,
(xii) scientific, educational, instructional, technical,
professional, trade, or other literary materials, or
(xiii) other like or similar information.
(B) The term `electronic publishing' shall not include the
following network services:
(i) Information access, as that term is defined by the
Modification of Final Judgment.
(ii) The transmission of information as a common carrier.
(iii) The transmission of information as part of a
gateway to an information service that does not involve the
generation or alteration of the content of information,
including data transmission, address translation, protocol
conversion, billing management, introductory information
content, and navigational systems that enable users to
access electronic publishing services, which do not affect
the presentation of such electronic publishing services to
users.
(iv) Voice storage and retrieval services, including
voice messaging and electronic mail services.
(v) Data processing services that do not involve the
generation or alteration of the content of information.
(vi) Transaction processing systems that do not involve
the generation or alteration of the content of information.
(vii) Electronic billing or advertising of a Bell
operating company's regulated telecommunications services.
(viii) Language translation.
(ix) Conversion of data from one format to another.
(x) The provision of information necessary for the
management, control, or operation of a telephone company
telecommunications system.
(xi) The provision of directory assistance that provides
names, addresses, and telephone numbers and does not
include advertising.
(xii) Caller identification services.
(xiii) Repair and provisioning databases for telephone
company operations.
(xiv) Credit card and billing validation for telephone
company operations.
(xv) 911-E and other emergency assistance databases.
(xvi) Any other network service of a type that is like or
similar to these network services and that does not involve
the generation or alteration of the content of information.
(xvii) Any upgrades to these network services that do not
involve the generation or alteration of the content of
information.
(C) The term `electronic publishing' also shall not include--
(i) full motion video entertainment on demand, and
(ii) video programming.
(7) The term `electronic publishing joint venture' means a
joint venture owned by a Bell operating company or affiliate
that engages in the provision of electronic publishing which is
disseminated by means of such Bell operating company's or any
of its affiliates' basic telephone service.
(8) The term `entity' means any organization, and includes
corporations, partnerships, sole proprietorships, associations,
and joint ventures.
(9) The term `inbound telemarketing' means the marketing of
property, goods, or services by telephone to a customer or
potential customer who initiated the call.
(10) The term `own' with respect to an entity means to have a
direct or indirect equity interest (or the equivalent thereof)
of more than 10 percent of an entity, or the right to more than
10 percent of the gross revenues of an entity under a revenue
sharing or royalty agreement.
(11) The term `separated affiliate' means a corporation under
common ownership or control with a Bell operating company that
does not own or control a Bell operating company and is not
owned or controlled by a Bell operating company and that
engages in the provision of electronic publishing which is
disseminated by means of such Bell operating company's or any
of its affiliates' basic telephone service.
SEC. 5. DEFINITIONS.
Except as provided in section 4, for purposes of this Act:
(1) Affiliate: The term `affiliate' means a person that
(directly or indirectly) owns or controls, is owned or
controlled by, or is under common ownership or control with,
another person. For purposes of this paragraph, to own refers
to owning an equity interest (or the equivalent thereof) of
more than 50 percent.
(2) Alarm monitoring service: The term `alarm monitoring
service' means a service that uses a device located at a
residence, place of business, or other fixed premises--
(A) to receive signals from other devices located at or
about such premises regarding a possible threat at such
premises to life, safety, or property, from burglary, fire,
vandalism, bodily injury, or other emergency, and
(B) to transmit a signal regarding such threat by means
of transmission facilities of a Bell operating company or
one of its affiliates to a remote monitoring center to
alert a person at such center of the need to inform the
customer or another person or police, fire, rescue,
security, or public safety personnel of such threat,
but does not include a service that uses a medical monitoring
device attached to an individual for the automatic surveillance
of an ongoing medical condition.
(3) Antitrust laws: The term `antitrust laws' has the meaning
given it in subsection (a) of the first section of the Clayton
Act (15 U.S.C. 12(a)), except that such term includes the Act
of June 19, 1936 (49 Stat. 1526; 15 U.S.C. 13 et seq.),
commonly known as the Robinson Patman Act, and section 5 of the
Federal Trade Commission Act (15 U.S.C. 45) to the extent that
such section 5 applies to unfair methods of competition.
(4) Audio programming: The term `audio programming' means
programming provided by, or generally considered comparable to
programming provided by, a radio broadcast station.
(5) Bell operating company: The term `Bell operating company'
means--
(A) Bell Telephone Company of Nevada, Illinois Bell
Telephone Company, Indiana Bell Telephone Company,
Incorporated, Michigan Bell Telephone Company, New England
Telephone and Telegraph Company, New Jersey Bell Telephone
Company, New York Telephone Company, U S West
Communications Company, South Central Bell Telephone
Company, Southern Bell Telephone and Telegraph Company,
Southwestern Bell Telephone Company, The Bell Telephone
Company of Pennsylvania, The Chesapeake and Potomac
Telephone Company, The Chesapeake and Potomac Telephone
Company of Maryland, The Chesapeake and Potomac Telephone
Company of Virginia, The Chesapeake and Potomac Telephone
Company of West Virginia, The Diamond State Telephone
Company, The Ohio Bell Telephone Company, The Pacific
Telephone and Telegraph Company, or Wisconsin Telephone
Company,
(B) any successor or assign of any such company, or
(C) any affiliate of any person described in subparagraph
(A) or (B).
(6) Cable system: The term `cable system' has the same
meaning as such term has in section 602(7) of the
Communications Act of 1934 (47 U.S.C. 522(7)).
(7) Carrier: The term `carrier' has the same meaning as such
term has in section 3 of the Communications Act of 1934 (47
U.S.C. 153).
(8) Commercial mobile services: The term `commercial mobile
services' has the same meaning as such term has in section
332(d) of the Communications Act of 1934 (47 U.S.C. 332(d)).
(9) Customer premises equipment: The term `customer premises
equipment' means equipment employed on the premises of a person
(other than a carrier) to originate, route, or terminate
telecommunications, and includes software integral to such
equipment.
(10) Exchange access: The term `exchange access' means
exchange services provided for the purpose of originating or
terminating interexchange telecommunications.
(11) Exchange area: The term `exchange area' means a
contiguous geographic area established by a Bell operating
company such that no exchange area includes points within more
than 1 metropolitan statistical area, consolidated metropolitan
statistical area, or State, except as expressly permitted under
the Modification of Final Judgment before the date of the
enactment of this Act.
(12) Exchange service: The term `exchange service' means a
telecommunications service provided within an exchange area.
(13) Information: Except as provided in paragraph (17), the
term `information' means knowledge or intelligence represented
by any form of writing, signs, signals, pictures, sounds, or
other symbols.
(14) Interexchange telecommunications: The term
`interexchange telecommunications' means telecommunications
between a point located in an exchange area and a point located
outside such exchange area.
(15) Manufacture: The term `manufacture' has the meaning
given such term under the Modification of Final Judgment.
(16) Modification of final judgment: The term `Modification
of Final Judgment' means the order entered August 24, 1982, in
the antitrust action styled United States v. Western Electric,
Civil Action No. 82-0192, in the United States District Court
for the District of Columbia, and includes any judgment or
order with respect to such action entered on or after August
24, 1982.
(17) Other programming services: The term `other programming
services' means information (other than audio programming or
video programming) that the person who offers a video
programming service makes available to all subscribers
generally. For purposes of the preceding sentence, the terms
`information' and `makes available to all subscribers
generally' have the same meaning such terms have under section
602(13) of the Communications Act of 1934 (47 U.S.C. 522(13)).
(18) Person: The term `person' has the meaning given such
term in subsection (a) of the first section of the Clayton Act
(15 U.S.C. 12(a)).
(19) State: The term `State' means any of the several States,
the District of Columbia, the Commonwealth of Puerto Rico, the
Commonwealth of the Northern Mariana Islands, the Federated
States of Micronesia, the Republic of the Marshall Islands,
Palau, or any territory or possession of the United States.
(20) Telecommunications: The term `telecommunications' means
the transmission of information between points by
electromagnetic means.
(21) Telecommunications equipment: The term
`telecommunications equipment' means equipment, other than
customer premises equipment, used by a carrier to provide a
telecommunications service, and includes software integral to
such equipment.
(22) Telecommunications service: The term
`telecommunications service' means the offering for hire of
transmission facilities or of telecommunications by means of
such facilities.
(23) Transmission facilities: The term `transmission
facilities' means equipment (including wire, cable, microwave,
satellite, and fiber-optics) that transmits information by
electromagnetic means or that directly supports such
transmission, but does not include customer premises equipment.
(24) Video programming: The term `video programming' has the
same meaning as such term has in section 602(19) of the
Communications Act of 1934 (47 U.S.C. 522(19)).
SEC. 6. RELATIONSHIP TO OTHER LAWS.
(a) Modification of Final Judgment: This Act shall supersede only
the following sections of the Modification of Final Judgment:
(1) Section II(C) of the Modification of Final Judgment,
relating to deadline for procedures for equal access compliance.
(2) Section II(D) of the Modification of Final Judgment,
relating to line of business restrictions.
(3) Section VIII(A) of the Modification of Final Judgment,
relating to manufacturing restrictions.
(4) Section VIII(C) of the Modification of Final Judgment,
relating to standard for entry into the interexchange market.
(5) Section VIII(D) of the Modification of Final Judgment,
relating to prohibition on entry into electronic publishing.
(6) Section VIII(H) of the Modification of Final Judgment,
relating to debt ratios at the time of transfer.
(7) Section VIII(J) of the Modification of Final Judgment,
relating to prohibition on implementation of the plan of
reorganization before court approval.
(b) Application to Other Action: This Act shall supersede the
final judgment entered December 21, 1984 and as restated January
11, 1985, in the action styled United States v. GTE Corp., Civil
Action No. 83-1298, in the United States District Court for the
District of Columbia, and such final judgment shall not be enforced
with respect to conduct occurring after the date of the enactment
of this Act.
(c) Antitrust Laws: Nothing in this Act shall be construed to
modify, impair, or supersede the applicability of any of the
antitrust laws.
(d) Federal, State, and Local Law: (1) Except as provided in
paragraph (2), this Act shall not be construed to modify, impair,
or supersede Federal, State, or local law unless expressly so
provided in this Act.
(2) This Act shall supersede State and local law to the extent
that such law would impair or prevent the operation or purposes of
this Act.
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