Application 99-09-038

After the start of evidentiary hearing in this proceeding, CBI filed Application (A.) 99-09-038 and Advice Letter No. 1 with issues related to those in this proceeding. Vista filed a similar Advice Letter No. 4. In the application, CBI, a certified California reseller with few California customers, requested to transfer control of its company to Thomas Coughlin, Sr., and Philip A. Bethune, both shareholders of Vista. The CBI transferors, Courtney Maroon and Amanda Bethune, are Thomas Coughlin's daughters, and Philip A. Bethune is his son-in-law. CSD, in protesting this application, characterized the transfer as a possible "laundering" of a customer base obtained by unlawful slamming. The Commission foresaw such a filing when it issued its order to investigate and mandated that any such application be consolidated with the investigation in Ordering Paragraph 9.

The advice letters filed by Vista and CBI purported to notify the respective customers of the transfer of a portion of CBI's customer base. CSD also protested the advice letters as inadequate and unauthorized.

Subsequently, the assigned Administrative Law Judge agreed with CSD that the advice letters were not authorized under expedited procedures established in D.95-05-051 and that the Commission intended such applications be consolidated with the investigation. Advice Letters No. 1 and 4 were rejected for filing. Thus, the application and issues in the advice letters are all consolidated with the investigation. However, prior to evidentiary hearing on the application, the parties agreed that since a final decision in the investigation may impact CBI's desire to proceed with the application, a decision in the investigation should be rendered first.

On January 27, 2000, after all evidence in the investigation was submitted, CBI filed a motion to withdraw A.99-09-038. CSD filed a timely response opposing withdrawal unless a grant of the motion was conditioned upon service to CSD of any future application to transfer Vista customer base. We grant the motion to withdraw upon CSD's requested condition, which is reasonable. Any future Vista transfer applications or advice letters must be served on the Commission's Director of the Consumer Services Division.