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To: mfgrep who wrote (2719)1/19/1999 3:09:00 PM
From: MangoBoy  Respond to of 6846
 
[Baby Bells lose appeal; U.S. Supreme Court rejects appeal of long-distance ban in '96 telecom law]

WASHINGTON (Reuters) - The U.S. Supreme Court Tuesday rejected appeals by three regional Bell telephone companies challenging key provisions of a 1996 law that have kept them out of the $90 billion long-distance business.

The justices, in a brief order without any comment or dissent, denied the appeals. The move let stand a decision by a U.S. Court of Appeals that upheld the provisions at the heart of the 1996 Telecommunications Act.

Under the law, the Bell companies are prohibited from offering long-distance service to their local customers until they have opened their local networks to competitors.

SBC Communications Inc. (SBC), US West (USW) Inc. and Bell Atlantic Corp. (BEL) brought the constitutional challenge to the high court. The three companies argued that the long-distance limits in the act, which apply only to the named Bell companies, violate the U.S. Constitution's prohibition on laws punishing specific individuals.

The Supreme Court's rejection of the appeals represented a major victory for the U.S. Justice Department, which has defended the constitutionality of the law on behalf of the Federal Communications Commission.