The Birmingham age-herald., 1913-12-13
Commission Alleges That
Telephone Co. Has Failed
to Furnish Good Serv-
ice to Subscribers
WEATHERLY WILL ASK
INTERSTATE BODY To-
TAKE UP THE NATTER
Admits 1t Had No Au-
thority to Sanction the So-Called
Merger-ActiOn Will Have
No Immediate Effect
on Situation

Alleging that the Southern Bell Tee-
phone and Telegraph company has failed
to comply with an ordinance fixing tele-
phone rates in Birmingham because it has
failed to furnish its subscribers with good
and efficient service. as stipulated in the
agreement. the city commissioners yester-
da N afternoon declared the ordinance an
nulled
Another ground upon which the tele-
phone company's agreement with the city
is declared void is based on the allega-
tion that the city made the agreement
in the first place without authority.
The effect of the annullment of the or
dinance upon telephone conditions in Blr-
mingham, it appears. will not be immed-
ate. Rates will not be changed unless
the company changes them on its own ac-
count for the commissioners admit they
have no authority to regulate rates, but
that the agreement they signed with the
telephone company was nothing more
than a courtesy.
Weatherly to Ask Investigation
In the near future, probably today, City
Commissioner Weatherly intends to write
see If that body will take up the matter
of the so-called Bell-Peoples telephone
merger Mr. Weatherly believes this can
be annulled under the Sherman antitrust
law.
The only effect which the annullment
of the ordinance yesterday may have win
be the filing of individual suits against
the telephone company by subscribers
seeking to lower the rates and compel inn
proved service. Officials of the telephone
company were surprised when informed of
the action last night, and stated they
could make no public statements at this
time.
The agreement with the city commits
| sion which was annulled by the action
yesterday raised the monthly rates on
business telephones from $4 to Sc, and or
January l, 1914, stipulated that rates or
duplex residence telephones should be
raised from 81 to $3.50. 1t was stated, now
ever, that the telephone company had
not intended to put into effect this 90
cent raise in the residence telephones.
After the ordinance was adopted by the
commissioners, Arlie Barber, a druggist,
made a speech.
Resolution Adopted
The resolution as introduced by Mr..
Weatherly is as follows
IAN Ordinance to Declare Ordinance No.
SIC and any and all Rights and Privi-
leges Acquired Hereunder, and the
Agreement Executed Pursuant Thereto,
Breached Violated, Forfeited, Resclnded
and Anulled.
Whereas, the board of commissioners
of the city of Birmingham, by ordinance
No. sc, approved December 23, 1911, at
tempted to authorize an ultra wires agree
ment with the Southern Bell Telephone
and Telegraph company, fixing telephone
| rates in said city, on and after January
l. 1912, for a period of five years from
the date of said agreement, and,
Whereas, pursuant to said ordinance
an agreement In duplicate was signed by
the president of this board for and on
behalf of said city. embodying the terms
of the agreement set out in said ordi-
nance No. &c, and,
Promised Good Service
Whereas, 1t was expressly stipulated
and provided in said ordinance and agree
ment that said Southern Bell Telephone
and Telegraph company would furnish
it's subscribers in said city good and eff
ficient telephone service, and also that
said service should compare favorably
with the service furnished in other cities
>
and,
Whereas, complaints by citizens and by
subscribers of said telephone company
have been made to this board that said
telephone company has separately and
severally violated and preached the stipu-
lations and provisions of said ordinance
and said agreement by failing to provide
good and efficient service, and by failing
to provide service comparing favorably
with the service furnished in other cities
under substantially the same conditions,
and,
Service Is Censured
Whereas, upon investigating said COM
plants after due notice to said telephone
company and after hearing and consider
ing evidence offered by said complainants
and said telephone company In respect to
said complaints, this board is of the opin-
ion that said telephone company has not
complied with the stiunulations and pro-
visions of said ordinance and said agree
ment In that among other things said
telephone company has not furnished its
subscribers in said city good and efficient
service and that the service furnished by
said company has not compared fayorably
with the service furnished in other cities
under substantially the same conditions;
"Now. therefore be it ordained and de-
clared by the board of commissioners of
the city of Birmingham that said ordi-
nance No. SIC, and any and all rights
be acquired Hereunder and said agree
ments executed pursuant hereto be and
the same are hereby declared to have
been separately and severally preached
violated and forfeited, and same are here
hV seVeFallY Voided. reSSinded and an