Opinion ID: 2530632
Heading Depth: 1
Heading Rank: 1

Heading: introduction

Text: This multidistrict litigation involves multiple class action lawsuits arising from the billing practices of defendant AT & T Corporation. Each class of plaintiffs challenged the lawfulness of a monthly line-item charge defendant imposed on its customers to recover contributions to the federal Universal Service Fund (USF) required by 47 U.S.C. § 254. One subclass of plaintiffs, comprising all residential long-distance customers of AT & T in California, proceeded to trial and was awarded $16,881,000 in damages. The district court remitted the verdict to $10,931,000, and awarded prejudgment interest of $5,546,958.41, for a total award of $16,477,958.41. On appeal, AT & T argues it is entitled to judgment as a matter of law or a new trial. It alternatively asserts it is entitled to a further remittitur of the jury's damages award. On cross-appeal, plaintiffs argue the district court erred in enforcing AT & T's arbitration clause against non-California residential plaintiffs and in granting partial summary judgment on AT & T's business customers' breach of contract claims. Exercising jurisdiction under 28 U.S.C. § 1291 and 9 U.S.C. § 16(a)(3), this court AFFIRMS the decisions of the district court.