[Code of Federal Regulations]
[Title 47, Volume 3]
[Revised as of October 1, 2008]
From the U.S. Government Printing Office via GPO Access
[CITE: 47CFR64.1002]

[Page 288-289]
 
                       TITLE 47--TELECOMMUNICATION
 
        CHAPTER I--FEDERAL COMMUNICATIONS COMMISSION (CONTINUED)
 
PART 64_MISCELLANEOUS RULES RELATING TO COMMON CARRIERS--
Table of Contents
 
  Subpart J_International Settlements Policy and Modification Requests
 
Sec. 64.1002  International settlements policy.

    (a) Except as provided in paragraph (b) of this section, a common 
carrier that is authorized pursuant to part 63 of this chapter to 
provide facilities-based switched voice, telex, telegraph, or packet-
switched service on a U.S. international route, and that enters into an 
operating or other agreement to provide any such service in 
correspondence with a foreign carrier that does not qualify for the 
presumption that it lacks market power on the foreign end of the route, 
must comply with the following requirements:
    (1) The terms and conditions of the carrier's operating or other 
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 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.
    (2) The carrier shall not bargain for or agree to accept more than 
its proportionate share of return traffic.
    (3) The division of tolls shall be evenly-divided between the U.S. 
carrier and foreign carrier.
    (4) The carrier must also duly comply with the requirements in Sec. 
43.51 and Sec. 64.1001 of this chapter.

    Note to Paragraph (a): 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 correspondent agreements are 
subject to the requirements of this paragraph. This list is available on 
the International Bureau's World Wide Web site at http://www.fcc.gov/ib.


[[Page 289]]


    (b) 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 paragraph (a) 
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. This list is available on the 
International Bureau's World Wide Web site at http://www.fcc.gov/ib.
    (c) A carrier that seeks to add a U.S. international route to the 
list of routes that are exempt from the international settlements policy 
must make its request to the International Bureau, accompanied by a 
showing that a U.S. carrier has entered into a benchmark-compliant 
settlement rate agreement with a foreign carrier that possesses market 
power in the country at the foreign end of the U.S. international route 
that is the subject of the request. The required showing shall consist 
of an effective accounting rate modification, filed pursuant to Sec. 
64.1001, that includes a settlement rate that is at or below the 
Commission's 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, available on the International Bureau's World Wide Web 
site at http://www.fcc.gov/ib.
    (d) A carrier or other party may request Commission intervention on 
a route that the Commission has exempted from the international 
settlements policy by filing with the International Bureau a petition, 
pursuant to this section, demonstrating anticompetitive behavior that is 
harmful to U.S. customers. Carriers and other parties filing complaints 
must support their petitions with evidence, including an affidavit and 
relevant commercial agreements. The International Bureau will review 
complaints on a case-by-case basis and take appropriate action on 
delegated authority pursuant to Sec. 0.261 of this chapter. Interested 
parties will have 10 days from the date of issuance of a public notice 
of the petition to file comments or oppositions to such petitions and 
subsequently 7 days for replies. In the event significant, immediate 
harm to the public interest is likely to occur that cannot be addressed 
through post facto remedies, the International Bureau may impose 
temporary requirements on carriers authorized pursuant to Sec. 63.18 of 
this chapter without prejudice to its findings on such petitions.

    Note 1 to Sec. 64.1002: For purposes of this section, foreign 
carrier is defined in Sec. 63.09 of this chapter.
    Note 2 to Sec. 64.1002: For purposes of this section, a foreign 
carrier shall be considered to possess market power if it appears on the 
Commission's list of foreign carriers that do not qualify for the 
presumption that they lack market power in particular foreign points. 
This list is available on the International Bureau's World Wide Web site 
at http://www.fcc.gov/ib.

    (e) Subject to the availability of electronic forms, all filings 
described in this section must be filed electronically through the 
International Bureau Filing System (IBFS). A list of forms that are 
available for electronic filing can be found on the IBFS homepage. For 
information on electronic filing requirements, see part 1, Sec. Sec. 
1.1000 through 1.10018 of this chapter and the IBFS homepage at http://
www.fcc.gov/ibfs. See also Sec. Sec. 63.20 and 63.53.

[69 FR 23155, Apr. 28, 2004, as amended at 70 FR 38800, July 6, 2005]