A federal court sent back to the Mich. state courts a suit by 7 s...
A federal court sent back to the Mich. state courts a suit by 7 small northern Mich. incumbent telcos against American Cellular and Dobson Cellular, alleging they breached local interconnection agreements by refusing to pay lawful charges for local…
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transport and termination services. The U.S. Dist. Court, Marquette, said the suit involves 4 state law claims and plaintiffs failed to show relief depends on resolution of substantial and disputed questions of federal law. The court (Case 05-CV-242) said nobody argues with the telcos’ federal obligation to provide termination services to the cellular companies, but added that federal law doesn’t automatically make all contractual interconnection disputes a matter for the federal courts, particularly when state court relief is possible. The court also tossed out the cellular companies’ argument that state court action on the claims is preempted by the federal Telecom Act -- saying it’s possible to recover termination fees under both state and federal law and nothing in federal law precludes pursuit of termination claims under state law. The court said the total amount at issue is below the threshold giving federal courts original jurisdiction over civil matters. The court remanded the case to the 11th Mich. Circuit Court, Alger County, for hearings on the case’s merits.