# Before the

# Federal Communications Commission

# Washington, D.C. 20554

In the Matter of )

)

Motorola, Inc. ) File No. EB-02-TS-644

)

) NAL/Acct. No. 200332100001

)

) FRN 0007-3504-40

# ORDER

**Adopted: February 20, 2003 Released: February 21, 2003**

By the Chief, Enforcement Bureau:

1.  In this Order, we adopt the attached Consent Decree entered into
    between the Enforcement Bureau and Motorola, Inc. ("Motorola"). The
    Consent Decree terminates an investigation initiated by the
    Enforcement Bureau into Motorola's compliance with the 911 call
    processing procedures set forth in Section 22.921 of the
    Commission's Rules ("Rules").

2.  The Enforcement Bureau and Motorola have negotiated the terms of a
    Consent Decree that would resolve this matter and terminate the
    investigation. A copy of the Consent Decree is attached hereto and
    incorporated by reference.

3.  Based on the record before us, we conclude that no substantial or
    material questions of fact exist as to whether Motorola possesses
    the basic qualifications, including those related to character, to
    hold or obtain any FCC license or authorization.

4.  After reviewing the terms of the Consent Decree, we believe that the
    public interest will be served by adopting the Consent Decree and
    terminating the investigation.

5.  Accordingly, **IT IS ORDERED** that, pursuant to Sections 4(i),
    4(j), and 503(b) of the Communications Act of 1934, as amended,[^1]
    and Sections 0.111 and 0.311 of the Commission's Rules,[^2] the
    Consent Decree attached to this Order **IS ADOPTED**.

6.  **IT IS FURTHER ORDERED** that the Enforcement Bureau's
    investigation of Motorola **IS TERMINATED**.

7.  **IT IS FURTHER ORDERED** that Motorola, Inc. shall make its
    voluntary contribution to the United States Treasury by mailing a
    check or similar instrument, payable to the order of the Federal
    Communications Commission, to the Forfeiture Collection Section,
    Finance Branch, Federal Communications Commission, P.O. Box 73482,
    Chicago, Illinois 60673-7482. The payment should note NAL/Acct. No.
    200332100001 and FRN 0007-3504-40.

8.  **IT IS FURTHER ORDERED** that a copy of this Order and Consent
    Decree shall be sent by first class mail and certified mail, return
    receipt requested, to Mary E. Brooner, Esq., Director,
    Telecommunications Strategy and Regulation, Global Government
    Relations Office, Motorola, Inc., 1350 I Street, N.W., Suite 400,
    Washington, D.C. 20005, and to Robert Pettit, Esq., Wiley Rein &
    Fielding, 1776 K Street, N.W., Washington, D.C. 20006.

FEDERAL COMMUNICATIONS COMMISSION

David H. Solomon

Chief, Enforcement Bureau

**CONSENT DECREE**

# 

The Enforcement Bureau of the Federal Communications Commission and
Motorola, Inc. ("Motorola") hereby enter into a Consent Decree resolving
possible violations by Motorola of the 911 call processing method rules
as set forth in Section 22.921 of the Commission's Rules.[^3]

**Statement of Facts**

1\. Under Section 22.921 of the Commission's Rules, mobile phones
manufactured after February 13, 2000 and capable of operating in an
analog mode are required to use one or more of the 911 call system
selection processes endorsed or approved by the Commission. On September
22, 2002, Motorola filed a request for a waiver of Section 22.921 to
permit continued shipment to a specific customer of two models of
multi-mode mobile phones, models 120E and T720, which incorporate a call
processing method not endorsed or approved by the Commission.[^4]
Motorola stated that it began shipping these handsets on about September
5, 2002. In addition, Motorola filed a petition with the Commission
seeking approval of its alternative call processing method under Section
22.921 of the Commission's Rules.[^5] On October 3, 2002, the Wireless
Telecommunications Bureau granted Motorola a limited, interim waiver of
Section 22.921 to permit continued shipment of the handsets
incorporating the modified call completion method, subject to further
review of the modified method.[^6] The Enforcement Bureau subsequently
began an investigation into whether Motorola was in compliance with the
requirements of Section 22.921 with respect to these two handset
models.[^7]

**Terms of Settlement**

2\. For purposes of this Consent Decree the following definitions shall
apply:

> \(a\) "Commission" or "FCC" means the Federal Communications
> Commission;
>
> \(b\) "Bureau" means the FCC's Enforcement Bureau:
>
> \(c\) "Parties" means Motorola, Inc. and the Commission;
>
> \(d\) "Motorola" means Motorola, Inc., its subsidiaries, affiliates
> and any successors or assigns;
>
> \(e\) "Adopting Order" means an order of the FCC adopting this Consent
> Decree;
>
> \(f\) "Effective Date" means the date on which the FCC releases the
> Adopting Order;
>
> \(g\) "Final Order" means the status of the Adopting Order after the
> period for administrative and judicial review has lapsed;
>
> \(h\) "Rules" means the Commission's regulations found in Title 47 of
> the Code of Federal Regulations;
>
> \(i\) "Act" means the Communications Act of 1934, as amended, 47
> U.S.C. § 151 *et seq.*

3\. The Parties agree that the provisions of this Consent Decree shall
be subject to final approval by the Bureau by incorporation of such
provisions by reference in an Adopting Order.

4\. The Parties agree that this Consent Decree shall become effective on
the date on which the Bureau releases the Adopting Order. Upon release,
the Adopting Order and this Consent Decree shall have the same force and
effect as any other orders of the Commission and any violation of the
terms of this Consent Decree shall constitute a violation of a
Commission order.

5\. Motorola agrees that the Bureau has jurisdiction over the matters
contained in this Consent Decree and the authority to enter into and
adopt this Consent Decree.

6\. The Parties agree and acknowledge that this Consent Decree shall
constitute a final settlement between Motorola and the Bureau regarding
possible violations of the 911 call processing method rules for
manufacture and distribution of wireless handset models 120E and T720
prior to September 20, 2002. In consideration for termination by the
Bureau of its investigation into whether Motorola has violated the 911
call processing rules for its 120E and T720 model handsets and in
accordance with the terms of this Consent Decree, Motorola agrees to the
terms set forth herein.

7\. In express reliance on the covenants and representations in this
Consent Decree, the Bureau agrees to terminate its investigation without
any finding of liability on the part of Motorola.

8\. Motorola agrees that for phones capable of operating in analog mode
that it sells in the United States it will comply with 911 call
processing method rule as follows:

(a) First, Motorola agrees that it will manufacture handsets using one
    or more of the 911 call system selection processes endorsed or
    approved by the Commission, or handsets that have otherwise received
    FCC approval to incorporate a modified 911 call completion method.

(b) Second, Motorola agrees to retrain certain critical organizations in
    the Company, including its software developments groups for each
    cellular and PCS system technology in the U.S. market, on issues
    related to the Commission's rules and regulations related to
    emergency call processing including assuring alignment of customer
    specifications and regulatory requirements at early stages of new
    product development. Motorola would also retrain its technical
    compliance organization to ensure that regulatory compliance
    requirements are met at each stage of compliance review for new
    product development. This training will be completed within six
    months of the effective date of this Consent Decree and, in
    addition, further reminder training will be conducted within
    eighteen (18) months of the effective date of this Consent Decree.

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9.  Motorola agrees that it is required to comply with each individual
    condition of this Consent Decree. Each specific condition is a
    separate condition of the Consent Decree as approved. To the extent
    that Motorola fails to satisfy any condition or Commission rule, in
    the absence of Commission alteration of the condition or rule, it
    will be deemed noncompliant and may be subject to possible
    enforcement action, including but not limited to revocation of the
    relief, a requirement to deploy an alternative call processing
    technology, letters of admonishment or forfeitures.

10. Motorola agrees to make a voluntary contribution to the United
    States Treasury in the amount of Twenty Five Thousand Dollars
    (\$25,000) per handset model referenced above for a total of Fifty
    Thousand Dollars (\$50,000) within thirty (30) days after the
    effective date of the Adopting Order. Motorola will make this
    contribution without further protest or recourse by mailing a check
    or similar instrument, payable to the order of the Federal
    Communications Commission, to the Federal Communications Commission,
    Forfeiture Collection Section, Finance Branch, P.O. Box 73482,
    Chicago, Illinois 60673-7482. The payment should reference NAL/Acct.
    No. 200332100001 and FCC Registration Number 0007-3504-40.

11. The Bureau agrees that it will not institute, on its own motion, any
    new proceeding, formal or informal, or take any action on its own
    motion against Motorola for any alleged violation of the 911 call
    processing method rules in connection with its 120E and T720 model
    handsets which occurred prior to the effective date of this Consent
    Decree except as consistent with the provisions of this Consent
    Decree. The Bureau also agrees that, in the absence of material new
    evidence related to this matter, it will not use the facts developed
    in this proceeding through the date of this Consent Decree or the
    existence of this Consent Decree to institute on its own motion any
    proceeding, formal or informal, or take any action on its own motion
    against Motorola with respect to its basic qualifications, including
    the character qualifications, to be a Commission licensee. Nothing
    in this Consent Decree shall prevent the Bureau from instituting new
    investigations or enforcement proceedings against Motorola in the
    event of any alleged future misconduct for violation of this Consent
    Decree or for violation of the 911 call processing rules as
    consistent with the provisions of this Consent Decree.

12. Motorola waives any and all rights it may have to seek
    administrative or judicial reconsideration, review, appeal or stay,
    or to otherwise challenge or contest the validity of this Consent
    Decree and the Adopting Order, provided the Adopting Order adopts
    the Consent Decree without change, addition or modification.

13. If either Party (or the United States on behalf of the FCC) brings a
    judicial action to enforce the terms of the Adopting Order, neither
    Motorola nor the FCC shall contest the continuing validity of the
    Consent Decree or Adopting Order. Motorola retains the right to
    challenge the Bureau interpretation of the Consent Decree or any
    terms contained therein.

14. Motorola agrees to waive any claims it may otherwise have under the
    Equal Access to Justice Act, 5 U.S.C. § 504 and 47 C.F.R. § 1.1501
    *et seq*., relating to the matters discussed in this Consent Decree.

15. In the event that this Consent Decree is rendered invalid by any
    court of competent jurisdiction, this Consent Decree shall become
    null and void and may not be used in any manner in any legal
    proceeding.

16. The Parties agree that this Consent Decree does not constitute
    either an adjudication on the merits or a factual or legal finding
    or determination regarding any compliance or noncompliance with the
    requirements of the Act and the Rules, including Section 22.921 of
    the Rules. The Parties agree that this Consent Decree is for
    settlement purposes only and that by agreeing to this Consent
    Decree, Motorola does not admit or deny any liability for violating
    Commission rules in connection with the matters that are the subject
    of this Consent Decree.

17. The Parties agree that the terms and conditions of this Consent
    Decree shall remain in effect for twenty-four (24) months from the
    effective date of this Consent Decree. The Parties further agree
    that any provision of the Consent Decree that would require Motorola
    to act in violation of a future rule or order adopted by the
    Commission will be superseded by such Commission rule or order.

18. This Consent Decree may be signed in counterparts.

For the Enforcement Bureau For Motorola, Inc.

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\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_

David H. Solomon Michael S. Tatelman

Chief, Enforcement Bureau Vice President of Sales for PCS, North America

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Date Date

[^1]: 47 U.S.C. §§ 4(i), 4(j), 503(b).

[^2]: 47 C.F.R. §§ 0.111, 0.311.

[^3]: 47 C.F.R. § 22.921.

[^4]: Letter from Mary E. Brooner, Director, Telecommunications Strategy
    and Regulation, Global Government Relations Office, Motorola, Inc.
    to Mr. Thomas Sugrue, Chief, Wireless Telecommunications Bureau, FCC
    (filed Sept. 20, 2002).

[^5]: Request of Motorola, Inc. For Approval of a Modified 911 Call
    Processing Mode (filed Sept. 20, 2002).

[^6]: *911 Call Processing Modes, Motorola Request for Expedited Relief
    for Phase-II Enabled Handsets*, WT Docket No. 99-328, 17 FCC Rcd
    19267 (Wireless Telecom. Bur. 2002).

[^7]: Letter from Joseph P. Casey, Chief, Technical and Public Safety
    Division, Enforcement Bureau, to Mary E. Brooner, Director,
    Telecommunications Strategy and Regulation, Global Government
    Relations Office, Motorola, Inc. (October 24, 2002).