[Code of Federal Regulations]
[Title 47, Volume 3]
[Revised as of October 1, 2003]
From the U.S. Government Printing Office via GPO Access
[CITE: 47CFR43.51]

[Page 11-13]
 
                       TITLE 47--TELECOMMUNICATION
 
        CHAPTER I--FEDERAL COMMUNICATIONS COMMISSION (CONTINUED)
 
PART 43_REPORTS OF COMMUNICATION COMMON CARRIERS AND CERTAIN AFFILIATES
--Table of Contents
 
Sec.  43.51  Contracts and concessions.

    (a)(1) Any communication common carrier described in paragraph (b) 
of this section must file with the Commission, within thirty (30) days 
of execution, a copy of each contract, agreement, concession, license, 
authorization, operating agreement or other arrangement to which it is a 
party and amendments thereto with respect to the following:
    (i) The exchange of services; and,
    (ii) The interchange or routing of traffic and matters concerning 
rates, accounting rates, division of tolls, or the basis of settlement 
of traffic balances, except as provided in paragraph (c) of this 
section.
    (2) If the contract, agreement, concession, license, authorization, 
operating agreement or other arrangement and amendments thereto is made 
other than in writing, a certified statement covering all details 
thereof must be filed by at least one of the parties to the agreement. 
Each other party to the agreement which is also subject to these 
provisions may, in lieu of also filing a copy of the agreement, file a 
certified statement referencing the filed document. The Commission may, 
at any time and upon reasonable request, require any communication 
common carrier not subject to the provisions of

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this section to submit the documents referenced in this section.
    (b) The following communication common carriers must comply with the 
requirements of paragraph (a) of this section:
    (1) A carrier that is engaged in domestic communications and has not 
been classified as non-dominant pursuant to Sec.  61.3 of this Chapter,
    (2) A carrier, other than a provider of commercial mobile radio 
services, that is engaged in foreign communications and enters into a 
contract, agreement, concession, license, authorization, operating 
agreement or other arrangement and amendments thereto with a foreign 
carrier that does not qualify for the presumption, set forth in Note 3 
to this section, that it lacks market power on the foreign end of one or 
more of the international routes included in the contract, or
    (3) A carrier that has been classified as dominant for any service 
on any of the international routes included in the contract, except for 
a carrier classified as dominant on a particular route due only to a 
foreign carrier affiliation under Sec.  63.10 of this chapter.
    (c) With respect to contracts coming within the scope of paragraph 
(a)(1)(ii) of this section between subject telephone carriers and 
connecting carriers, except those contracts related to communications 
with foreign or overseas points, such documents shall not be filed with 
the Commission; but each subject telephone carrier shall maintain a copy 
of such contracts to which it is a party in appropriate files at a 
central location upon its premises, copies of which shall be readily 
accessible to Commission staff and members of the public upon reasonable 
request therefor; and upon request by the Commission, a subject 
telephone carrier shall promptly forward individual contracts to the 
Commission.
    (d) Any U.S. carrier that interconnects an international private 
line to the U.S. public switched network, at its switch, including any 
switch in which the carrier obtains capacity either through lease or 
otherwise, shall file annually with the Chief of the International 
Bureau a certified statement containing the number and type (e.g., a 64-
kbps circuit) of private lines interconnected in such a manner. The 
certified statement shall specify the number and type of interconnected 
private lines on a country specific basis. The identity of the customer 
need not be reported, and the Commission will treat the country of 
origin information as confidential. Carriers need not file their 
contracts for such interconnections, unless they are specifically 
requested to do so. These reports shall be filed on a consolidated basis 
on February 1 (covering international private lines interconnected 
during the preceding January 1 to December 31 period) of each year. 
International private lines to countries for which the Commission has 
authorized the provision of switched basic services over private lines 
at any time during a particular reporting period are exempt from this 
requirement.
    (e) International settlements policy. (1) Except as provided in 
paragraph (e)(3) of this section, if a carrier files an operating or 
other agreement with a foreign carrier pursuant to paragraph (a) of this 
section to begin providing switched voice, telex, telegraph, or packet-
switched service between the United States and a foreign point and the 
terms and conditions of such agreement relating to the exchange of 
services, interchange or routing of traffic and matters concerning 
rates, accounting rates, division of tolls, the allocation of return 
traffic, or the basis of settlement of traffic balances, are not 
identical to the equivalent terms and conditions in the operating 
agreement of another carrier providing the same or similar service 
between the United States and the same foreign point, the carrier must 
also file with the International Bureau a modification request under 
Sec.  64.1001 of this chapter. Unless a carrier is providing switched 
voice, telex, telegraph, or packet-switched service on a route that is 
exempt from the international settlements policy, the carrier shall not 
bargain for or agree to accept more than its proportionate share of 
return traffic.
    (2) Except as provided in paragraph (e)(3) of this section, if a 
carrier files an amendment, pursuant to paragraph (a) of this section, 
to an existing operating or other agreement with a foreign carrier to 
provide switched voice,

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telex, telegraph, or packet-switched service between the United States 
and a foreign point, and other carriers provide the same or similar 
service to the same foreign point, and the amendment relates to the 
exchange of services, interchange or routing of traffic and matters 
concerning rates, accounting rates, division of tolls, the allocation of 
return traffic, or the basis of settlement of traffic balances, the 
carrier must also file with the International Bureau a modification 
request under Sec.  64.1001 of this Chapter.
    (3) A carrier that enters into an operating or other agreement with 
a foreign carrier for the provision of a common carrier service on an 
international route is not subject to the requirements of paragraphs 
(e)(1) and (2) of this section if the route appears on the Commission's 
list of international routes that the Commission has exempted from the 
international settlements policy.
    Note to Sec.  43.51 (e)(3): The Commission's list of international 
routes exempted from the international settlements policy is available 
from the International Bureau's World Wide Web site at http://
www.fcc.gov/ib. A party that seeks to add a foreign market to the list 
of markets that are exempt from the international settlements policy 
must show that U.S. carriers are able to terminate at least 50 percent 
of U.S.-billed traffic in the foreign market at rates that are at least 
25 percent below the benchmark settlement rate adopted for that country 
in IB Docket No. 96-261, Report and Order, 12 FCC Rcd 19,806, 62 FR 
45758, Aug. 29, 1997. A party that seeks to remove a foreign market from 
the list of markets that are exempt from the international settlements 
policy must show that U.S. carriers are unable to terminate at least 50 
percent of U.S.-billed traffic in the foreign market at rates that are 
at least 25 percent below the benchmark settlement rate adopted for that 
country in IB Docket No. 96-261.
    (f) Confidential treatment. (1) A carrier providing service on an 
international route that is exempt from the international settlements 
policy under paragraph (e)(3) of this section, but that is otherwise 
required by paragraphs (a) and (b) of this section to file a contract 
covering service on that route with the Commission, may request 
confidential treatment under Sec.  0.457 of this Chapter for the rates, 
terms and conditions that govern the settlement of U.S. international 
traffic.
    (2) Carriers requesting confidential treatment under this paragraph 
must include the information specified in Sec.  64.1001(c) of this 
Chapter. Such filings shall be made with the Commission, with a copy to 
the Chief, International Bureau. The transmittal letter accompanying the 
confidential filing shall clearly identify the filing as responsive to 
Sec.  43.51(f).
    Note 1 to Sec.  43.51: For purposes of this section, affiliated and 
foreign carrier are defined in Sec.  63.09 of this chapter.
    Note 2 to Sec.  43.51: To the extent that a foreign government 
provides telecommunications services directly through a governmental 
organization, body or agency, it shall be treated as a foreign carrier 
for the purposes of this section.
    Note 3 to Sec.  43.51: Carriers shall rely on the Commission's list 
of foreign carriers that do not qualify for the presumption that they 
lack market power in particular foreign points for purposes of 
determining which of their foreign carrier contracts are subject to the 
contract filing requirements set forth in this section. The Commission's 
list of foreign carriers that do not qualify for the presumption that 
they lack market power in particular foreign points is available from 
the International Bureau's World Wide Web site at http://www.fcc.gov/ib. 
The Commission will include on the list of foreign carriers that do not 
qualify for the presumption that they lack market power in particular 
foreign points any foreign carrier that has 50 percent or more market 
share in the international transport or local access markets of a 
foreign point. A party that seeks to remove such a carrier from the 
Commission's list bears the burden of submitting information to the 
Commission sufficient to demonstrate that the foreign carrier lacks 50 
percent market share in the international transport and local access 
markets on the foreign end of the route or that it nevertheless lacks 
sufficient market power on the foreign end of the route to affect 
competition adversely in the U.S. market. A party that seeks to add a 
carrier to the Commission's list bears the burden of submitting 
information to the Commission sufficient to demonstrate that the foreign 
carrier has 50 percent or more market share in the international 
transport or local access markets on the foreign end of the route or 
that it nevertheless has sufficient market power to affect competition 
adversely in the U.S. market.

[66 FR 16879, Mar. 28, 2001]

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