Trade Law Daily is a Warren News publication.

Neustar, Telcordia Trade Ex Parte Filings in Lead-Up to LNPA Vote

The idea pushed by Neustar and the New America Foundation for the FCC to create an independent manager to oversee a transition in local number portability administrators “adds duplicative review layers” and “would not be helpful,” Telcordia counsel John Nakahata…

Sign up for a free preview to unlock the rest of this article

Timely, relevant coverage of court proceedings and agency rulings involving tariffs, classification, valuation, origin and antidumping and countervailing duties. Each day, Trade Law Daily subscribers receive a daily headline email, in-depth PDF edition and access to all relevant documents via our trade law source document library and website.

of Harris, Wiltshire told Wireline Bureau officials Thursday, according to an ex parte filing posted Friday in docket 09-109. Nakahata also left a voice mail to an aide to Commissioner Mignon Clyburn, the filing said. Telcordia had envisioned a third-party program manager, if it wins the LNPA contract, to assist in the transition, the filing said. A transition overseer “extends far beyond facilitating the transition” and, under Neustar's and NAF’s proposals, would approve a voting trust to create separation between Telcordia and its parent, Ericsson, the filing said. The ability of Telcordia to operate neutrally, given parent company Ericsson’s business ties, has become a central issue at the commission before Thursday's scheduled vote on whether to authorize beginning LNPA contract negotiations with Telcordia. The idea of Ericsson creating a voting trust for some of its interests in Telcordia is one of the issues being considered (see 1503180033). Telcordia has no concern about being able to pass a review of a voting trust “but has substantial concern about the delay that such a review would inject into an already long-delayed implementation process,” the filing said. “Moreover, there will likely be provisions of the contract that are not appropriate for public -- or even limited security-cleared -- review, such as provisions regarding network and national security,” Telcordia’s filing said. Neustar had never been subject to such oversight, Telcordia noted. “Predictably, Ericsson is discounting the need for any analysis and oversight of this process, to the detriment of consumers, small carriers, law enforcement, public safety and other stakeholders," a Neustar spokeswoman said Friday. "The public interest demands more transparency, not less.” Nakahata in a conversation Tuesday with Daniel Alvarez, an aide to Chairman Tom Wheeler, criticized an NAF paper urging a delay in the commission vote, according to an ex parte filing posted Friday. “The paper adds nothing to the discussion and shows no sign of independent investigation or evaluation of the interests of consumers,” Telcordia said, saying the paper “merely cherry-picks the comments that most favor the arguments advanced by Neustar -- the entity that paid for their work." Meanwhile, in a letter posted Friday, Neustar said the Supreme Court in Perez v. Mortgage Bankers Association said unless a rule falls within the Administrative Procedure Act exemption for “interpretive rules,” a rulemaking is required. The selection of a new LNPA or altering neutrality requirements doesn't fall within the exemption and requires a notice and comment procedure, said the letter from Neustar counsel Aaron Panner of Kellogg Huber. Former Sen. John Breaux, now with Squire Patton, called Commissioner Mignon Clyburn Monday, on behalf of Neustar, also to urge a delay in vote, according to an ex parte filing posted Friday. Local number portability was one of the main provisions in the Telecommunications Act to promote local competition, Breaux told Clyburn. The vote should be delayed to give the commission more time to “review the ramifications of this selection,” Breaux said, according to the filing. In another letter posted Friday, Neustar said Telcordia’s response Wednesday to a Smith & Associates report didn't challenge S&A’s conclusion that Telcordia’s deployment schedule is “seriously understated even under the most optimistic assumptions.” Responding to Neustar’s argument about the Supreme Court decision, Nakahata emailed that “a law professor grading Neustar’s ex parte would give it an F. This decision adds no weight to Neustar’s meritless rulemaking arguments.” Quoting the late Democrat from New York, a Neustar spokeswoman responded: “As Senator [Daniel Patrick] Moynihan once said, ‘Everyone is entitled to his own opinion, but not to his own facts.”