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NetworkIP, LLC v. FCC

United States Court of Appeals for the District of Columbia Circuit

548 F. 3d 116 (2008)

Facts

NetworkIP, LLC (Network) (plaintiff) was a telecommunications carrier. Under relevant laws, telecommunications carriers were required to compensate payphone-service providers for each call that used a payphone. Network failed to pay payphone-service providers, and a group of providers including APCC Services, Inc. (APCC) filed an informal complaint with the Federal Communications Commission (FCC) (defendant). APCC also attempted to file a formal complaint on May 19, 2003, the deadline for the formal complaint. Despite APCC’s attorneys having knowledge of and experience in communications law, APCC submitted the wrong filing fee. The FCC allowed APCC to submit a corrected formal complaint two weeks later, waiving the earlier deadline. As a result, Network was found liable for approximately $2.8 million in damages. Network appealed, arguing that the FCC’s waiver of its filing deadline was arbitrary and capricious.

Rule of Law

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Issue

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Holding and Reasoning (Brown, J.)

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A "yes" or "no" answer to the question framed in the issue section;
A summary of the majority or plurality opinion, using the CREAC method; and
The procedural disposition (e.g., reversed and remanded, affirmed, etc.).

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