American Telephone & Telegraph Co. v. Central Office Telephone, Inc., 524 U.S. 214, 3 (1998)

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216

AMERICAN TELEPHONE & TELEGRAPH CO. v. CENTRAL OFFICE TELEPHONE, INC.

Opinion of the Court

David W. Carpenter argued the cause for petitioner. With him on the briefs were Carter G. Phillips, Thomas W. Merrill, Peter D. Keisler, and Marc E. Manly.

Bruce M. Hall argued the cause and filed a brief for respondent.*

Justice Scalia delivered the opinion of the Court.

Respondent Central Office Telephone, Inc. (COT), a re-seller of long-distance communications services, sued petitioner AT&T, a provider of long-distance communications services, under state law for breach of contract and tortious interference with contract. Petitioner is regulated as a common carrier under the Communications Act of 1934, 48 Stat. 1064, as amended, 47 U. S. C. § 151 et seq. The issue before us is whether the federal filed-tariff requirements of the Communications Act pre-empt respondent's state-law claims.

I

Respondent purchases "bulk" long-distance services— volume-discounted services designed for large customers— from long-distance providers, and resells them to smaller customers. Like many other resellers in the telecommunications industry, respondent does not own or operate facilities of its own; it is known as a "switchless reseller," which is the industry nomenclature for arbitrageur. Of course respondent passes along only a portion of the bulk-purchase discount to its aggregated customers, and retains the remaining discount as profit.

Petitioner provides long-distance services and, as a common carrier under the Communications Act, § 153(h), must

*Gary M. Epstein, Maureen E. Mahoney, Teresa D. Baer, Walter H. Alford, William B. Barfield, M. Robert Sutherland, and Michael J. Zpevak filed a brief for the United States Telephone Association et al. as amici curiae urging reversal.

Henry D. Levine, Ellen G. Block, and James S. Blaszak filed a brief for the Ad Hoc Telecommunications Users Committee et al. as amici curiae.

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