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Illinois Bell Telephone Co. v. Box

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ARGUED MAY 6, 2008

Before EASTERBROOK, Chief Judge, and WOOD and TINDER, Circuit Judges.

The Telecommunications Act of 1996 directs established local phone companies- successors to the Bell Operating Companies that were subsidiaries of AT&T before its breakup in 1983-to lease parts of their networks to rivals on an à la carte basis. 47 U.S.C. §251(c)(3). Particular circuits or services, called unbundled network elements, must be furnished at a price, and under conditions, specified by the Federal Communications Commission. Its method of setting the price, called TELRIC (for total element long-run incremental cost), was approved by Verizon Communications Inc. v. FCC, 535 U.S. 467 (2002). That decision disapproved some of the FCC’s views about which elements must be made available, however, and many questions remained open until the FCC’s regulations in the wake of its third Triennial Review were approved by the D.C. Circuit. Covad Communications Co. v. FCC, 450 F.3d 528 (D.C. Cir. 2006).

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