Statement of the Case

AT&T California and Blue Casa are both local exchange carriers operating in California. Since May 2003, Blue Casa has purchased resale and wholesale products and services from AT&T California out of the Resale Appendix of the parties' ICA. Since August 2005, Blue Casa has also purchased a variety of products and services from AT&T California at a discount rate out of the parties' ancillary compact, the LWCA. Using the products and services purchased under these agreements, Blue Casa is in turn able to offer telecommunications services to its own customers.

The charges at issue in this proceeding relate to calls made to 900 and 976 numbers by Blue Casa end-users. Some of these end-users have service as a result of resold services that Blue Casa obtains under the ICA's Resale Appendix; others as a result of the AT&T California-Blue Casa LWCA. From early April 2006 through early 2008, certain of Blue Casa's end-users have incurred 900/976 charges and failed to pay them. AT&T California paid the 900/976 invoices submitted by various Information Service Providers (ISPs) and looked to Blue Casa to reimburse it on behalf of the Complainant's end-users that incurred the charges. Blue Casa has refused to pay the charges.