Federal Communications Commission DA 14-905
Before the
Federal Communications Commission
Washington, D.C. 20554
In the Matter of
American Broadband and 
Telecommunications Co.         
Complaint Regarding 
Unauthorized Change of
Subscriber’s Telecommunications Carrier
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IC No. 13-S3636409
ORDER
Adopted:  June 26, 2014 Released:  June 27, 2014
By the Deputy Chief, Consumer Policy Division, Consumer & Governmental Affairs Bureau:
1. In this Order, we consider the complaint1 alleging that American Broadband and 
Telecommunications Co., (AMBT) changed Complainant’s telecommunications service provider 
without obtaining authorization and verification from Complainant in violation of the 
Commission’s rules.2 We conclude that AMBT’s actions violated the Commission’s carrier 
change rules and we grant Complainant’s complaint. 
2. In December 1998, the Commission released the Section 258 Order in which it 
adopted rules to implement Section 258 of the Communications Act of 1934 (Act), as amended 
by the Telecommunications Act of 1996 (1996 Act).3 Section 258 prohibits the practice of 
  
1 Informal Complaint No. IC 13-S3636409, filed April 8, 2013.
2 See 47 C.F.R. §§ 64.1100 – 64.1190.
3 47 U.S.C. § 258(a); Telecommunications Act of 1996, Pub. L. No. 104-104, 110 Stat. 56 (1996); 
Implementation of the Subscriber Carrier Selection Changes Provisions of the Telecommunications Act of 1996; 
Policies and Rules Concerning Unauthorized Changes of Consumers’ Long Distance Carriers, CC Docket No. 
94-129, Second Report and Order and Further Notice of Proposed Rule Making, 14 FCC Rcd 1508 (1998) 
(Section 258 Order), stayed in part, MCI WorldCom v. FCC, No. 99-1125 (D.C. Cir. May 18, 1999); First Order 
on Reconsideration, 15 FCC Rcd 8158 (2000); stay lifted, MCI WorldCom v. FCC, No. 99-1125 (D.C. Cir. June 
27, 2000); Third Report and Order and Second Order on Reconsideration, 15 FCC Rcd 15996 (2000), Errata, DA 
No. 00-2163 (rel. Sept. 25, 2000), Erratum, DA No. 00-2192 (rel. Oct. 4, 2000), Order, FCC 01-67 (rel. Feb. 22, 
2001); Third Order on Reconsideration and Second Further Notice of Proposed Rule Making, 18 FCC Rcd 5099 
(2003); Order, 18 FCC Rcd 10997 (2003); Fourth Report and Order, 23 FCC Rcd 493 (2008).  Prior to the 
adoption of  Section 258, the Commission had taken various steps to address the slamming problem.  See, e.g., 
Policies and Rules Concerning Unauthorized Changes of Consumers' Long Distance Carriers, CC Docket No. 94-
129, Report and Order, 10 FCC Rcd 9560 (1995), stayed in part, 11 FCC Rcd 856 (1995); Policies and Rules 
Concerning Changing Long Distance Carriers, CC Docket No. 91-64, 7 FCC Rcd 1038 (1992), reconsideration 
denied, 8 FCC Rcd 3215 (1993); Investigation of Access and Divestiture Related Tariffs, CC Docket No. 83-1145, 
Phase I, 101 F.C.C.2d 911, 101 F.C.C.2d 935, reconsideration denied, 102 F.C.C.2d 503 (1985).
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“slamming,” the submission or execution of an unauthorized change in a subscriber’s selection of 
a provider of telephone exchange service or telephone toll service.4 In the Section 258 Order, the 
Commission adopted aggressive new rules designed to take the profit out of slamming, 
broadened the scope of the slamming rules to encompass all carriers, and modified its existing 
requirements for the authorization and verification of preferred carrier changes.  The rules 
require, among other things, that a carrier receive individual subscriber consent before a carrier 
change may occur.5 Pursuant to Section 258, carriers are absolutely barred from changing a 
customer's preferred local or long distance carrier without first complying with one of the 
Commission's verification procedures.6 Specifically, a carrier must:  (1) obtain the subscriber's 
written or electronically signed authorization in a format that meets the requirements of 
Section 64.1130; (2) obtain confirmation from the subscriber via a toll-free number provided 
exclusively for the purpose of confirming orders electronically; or (3) utilize an independent third 
party to verify the subscriber's order.7
3. The Commission also has adopted liability rules.  These rules require the carrier 
to absolve the subscriber where the subscriber has not paid his or her bill.  In that context, if the 
subscriber has not already paid charges to the unauthorized carrier, the subscriber is absolved of 
liability for charges imposed by the unauthorized carrier for service provided during the first 30 
days after the unauthorized change.8 Where the subscriber has paid charges to the unauthorized 
carrier, the Commission’s rules require that the unauthorized carrier pay 150% of those charges 
to the authorized carrier, and the authorized carrier shall refund or credit to the subscriber 50% of 
all charges paid by the subscriber to the unauthorized carrier.9 Carriers should note that our 
actions in this order do not preclude the Commission from taking additional action, if warranted, 
pursuant to Section 503 of the Act.10
4. We received Complainant’s complaint on April 8, 2013, alleging that 
Complainant’s telecommunications service provider had been changed to AMBT without 
Complainant’s authorization.  Pursuant to Sections 1.719 and 64.1150 of our rules,11 we notified 
  
4 47 U.S.C. § 258(a).
5 See 47 C.F.R. § 64.1120.
6 47 U.S.C. § 258(a).
7 See 47 C.F.R. § 64.1120(c).  Section 64.1130 details the requirements for letter of agency form 
and content for written or electronically signed authorizations.  47 C.F.R. § 64.1130.
8 See 47 C.F.R. §§ 64.1140, 64.1160.  Any charges imposed by the unauthorized carrier on the 
subscriber for service provided after this 30-day period shall be paid by the subscriber to the authorized carrier at 
the rates the subscriber was paying to the authorized carrier at the time of the unauthorized change. Id.
9 See 47 C.F.R. §§ 64.1140, 64.1170.
10 See 47 U.S.C. § 503.
11 47 C.F.R. § 1.719 (Commission procedure for informal complaints filed pursuant to Section 258 
of the Act); 47 C.F.R. § 64.1150 (procedures for resolution of unauthorized changes in preferred carrier).
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AMBT of the complaint.12 AMBT has failed to respond to the complaint within 30 days.  The 
failure of AMBT to respond or provide proof of the verification is presumed to be clear and 
convincing evidence of a violation.13 Therefore, we find that AMBT’s actions resulted in a 
violation of our carrier change rules and we discuss AMBT’s liability below.14 We also will 
forward a copy of the record of this proceeding to our Enforcement Bureau to determine what 
additional action may be necessary.
5. Pursuant to Section 64.1170(b) our rules, AMBT must forward to Frontier 
Communications (Frontier) an amount equal to 150% of all charges paid by the subscriber to 
AMBT along with copies of any telephone bills issued from AMBT to the Complainant.15  
Within ten days of receipt of this amount, Frontier shall provide a refund or credit to 
Complainant in the amount of 50% of all charges paid by Complainant to AMBT.  Complainant 
has the option of asking Frontier to re-rate AMBT charges based on Frontier rates and, on behalf 
of Complainant, seek from AMBT, any re-rated amount exceeding 50% of all charges paid by 
Complainant to AMBT. Frontier must also send a notice to the Commission, referencing this 
Order, stating that is has given a refund or credit to Complainant.16 If Frontier has not received 
the reimbursement required from AMBT within 45 days of the release of this Order, Frontier 
must notify the Commission and Complainant accordingly.  Frontier also must notify the 
Complainant of his or her right to pursue a claim against AMBT for a refund of all charges paid 
to AMBT.17
6. Accordingly, IT IS ORDERED that, pursuant to Section 258 of the 
Communications Act of 1934, as amended, 47 U.S.C. § 258, and Sections 0.141, 0.361 and 
1.719 of the Commission’s rules, 47 C.F.R. §§ 0.141, 0.361, 1.719, the complaint filed against 
American Broadband & Telecommunications, IS GRANTED.
7. IT IS FURTHER ORDERED that, pursuant to Section 64.1170(b) of the 
Commission’s rules, 47 C.F.R. § 64.1170(b), that AMBT must forward to Frontier an amount 
equal to 150% of all charges paid by the subscriber along with copies of any telephone bills 
issued from the company to the Complainant within ten (10) days of the release of this order.
  
12 The U.S. Postal Tracking System, http://www.usps.com/shipping/trackandconfirm.htm confirms 
delivery was made on May 10, 2013. 
13 See 47 C.F.R. § 64.1150(d).
14 If Complainant is unsatisfied with the resolution of this complaint, Complainant may file a 
formal complaint with the Commission pursuant to Section 1.721 of the Commission’s rules, 47 C.F.R. § 1.721.  
Such filing will be deemed to relate back to the filing date of Complainant’s informal complaint so long as the 
formal complaint is filed within 45 days from the date this order is mailed or delivered electronically to 
Complainant.  See 47 C.F.R. § 1.719.
15 See 47 C.F.R § 64.1170(b)(1)(2).
16 See 47 C.F.R. § 64.1170(c).
17 See 47 C.F.R. § 64.1170(e).
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8. IT IS FURTHER ORDERED that this Order is effective upon release.
FEDERAL COMMUNICATIONS COMMISSION
Nancy A. Stevenson, Deputy Chief
Consumer Policy Division
Consumer & Governmental Affairs Bureau