Opinion ID: 421797
Heading Depth: 2
Heading Rank: 2

Heading: Interpretation of the ENFIA Agreement

Text: 89 Having determined that the FCC properly extended the interim rate structure, we must now consider whether it interpreted the ENFIA Agreement consistently with the parties' intent in setting the rate levels for Phase II. 35 According to AT & T, the Commission's Order After Investigation, which purported merely to interpret the ENFIA Agreement, unjustifiably departed from its terms and the parties' intent in two important respects. Relying on our recent decision in MCI Telecommunications Corp. v. FCC, 665 F.2d 1300 (D.C.Cir.1981), AT & T asks us to set aside both the Commission's decision to reduce the OCCs' minutes-of-use by discounting off-peak usage of local exchange facilities and its adjustment of the Separations Amount used to compute Element 3 of the ENFIA rate. 90 Our earlier decision, however, held only that the FCC could not permit a carrier unilaterally to abrogate or modify an agreement by filing tariffs altering the terms of the agreement. 665 F.2d at 1302-03. That rule has no application in this case, for the Commission did not abrogate, set aside, or modify the ENFIA Agreement, but rather construed it. Of course, opinions may differ as to the proper limits and results of construction. But where, as here, the meaning of contractual provisions is contested and unclear, we have no hesitancy in characterizing the process as construction. Western Union Telegraph Co. v. FCC, 541 F.2d 346, 354 (3d Cir.1976), cert. denied, 429 U.S. 1092, 97 S.Ct. 1104, 51 L.Ed.2d 538 (1977). The Commission's constructions of the disputed contract terms, [229 U.S.App.D.C. 225] we believe, were reasonable and necessary to ensure that Phase II was implemented in a manner consistent with the language of the ENFIA Agreement, the parties' intent, and the public interest. Accordingly, we reject each of AT & T's challenges to the Commission's Order After Investigation. 36