PUBLIC NOTICE
FEDERAL COMMUNICATIONS COMMISSION
1919 M STREET, N.W.
WASHINGTON, D.C. 20554                                  DA 97-557

News media information 202/418-0500     Fax-On-Demand  202/418-2830     Internet: 
http://www.fcc.gov    ftp.fcc.gov


                                         Released: March 14, 1997

                                 
            PLEADING CYCLE ESTABLISHED FOR COMMENTS ON
              PETITION OF MCI FOR DECLARATORY RULING
      THAT NEW ENTRANTS NEED NOT OBTAIN SEPARATE LICENSE OR 
   RIGHT-TO-USE AGREEMENTS BEFORE PURCHASING UNBUNDLED ELEMENTS

                 CCBPol 97-4; CC Docket No. 96-98


     On March 11, 1997, MCI filed a petition for declaratory ruling requesting the Commission
to issue a declaratory ruling that any requirement imposed by an incumbent local exchange
carrier
(LEC) or by a state or local government that a requesting telecommunications carrier obtain
separate
license or right-to-use agreements before the requesting carrier may purchase access to
unbundled
network elements violates sections 251 and 253 of the Communications Act of 1934, as amended
(the Act).  MCI  also asks the Commission to issue a declaratory ruling that the Act's
nondiscrimination requirement requires an incumbent LEC to provide requesting
telecommunications carriers the same rights to intellectual property that the incumbent LEC
enjoys.

     We are assigning file number CCBPol 97-4 to this proceeding.  This issue MCI raises was
also raised in a Petition for Reconsideration of the First Report and Order in CC Docket No.
96-98
that was filed by Local Exchange Carrier Coalition.  Therefore, commenters must include both
the
docket number and the file number on all pleadings, and should file copies on both proceedings.

     In order to build as complete a record as possible, we encourage parties to comment on the
following questions:  (1) Does providing access to unbundled network elements implicate the
intellectual property rights of equipment vendors or other third parties?  Why or why not?  We
urge
parties to provide specific supporting information, including descriptions of the types of
provisions
included in existing contracts between incumbent LECs and third parties.  (2) Does providing
access
to network elements other than access to vertical features of unbundled switches implicate
intellectual property rights of equipment vendors or other third parties?  Why or why not?  (3)
Does
providing access to services for resale, in accordance with section 251, implicate intellectual
property rights of equipment vendors or other third parties?  Why or why not?  (4) What are the
potential burdens on requesting telecommunications carriers if they are required to independently
negotiate licensing agreements with equipment vendors or other third parties before obtaining
access
to unbundled network elements?  Are there ways to eliminate or reduce those burdens on
requesting
telecommunications carriers?  In addition, we encourage parties to comment on MCI's proposal
that
incumbent LECs bear the burden of negotiating any extension or augmentation of intellectual
property rights that might be implicated in interconnection agreements. 

     Interested parties should file comments on MCI's petition by April 15, 1997, and reply
comments by May 6, 1997, with the Secretary, FCC, 1919 M Street, N.W., Washington, D. C. 
20554.  A copy should also be sent to Janice Myles, Common Carrier Bureau, FCC, Room 544,
1919 M Street, N.W., Washington, D. C. 20554, and to the Commission's contractor for public
service records duplication, ITS, Inc., 2100 M Street, N.W., Suite 140, Washington, D. C. 
20037. 
Parties filing comments should include the Policy Division internal reference number, CCBPol
97-4,
as well as the docket number, CC Docket No. 96-98, on their pleadings.  MCI's petition is
available for inspection and copying during regular business hours in the FCC Reference Center,
Room 239, 1919 M Street, N.W., Washington, D. C.  20554, as well as in the Common Carrier
Bureau's Public Reference Room, Room 575, 2000 M Street, N.W., Washington, D. C.  20554. 
Copies can also be obtained from ITS by calling (202) 857-3800.  Comments and reply
comments
must include a short and concise summary of the substantive arguments raised in the pleading.

     We will treat this proceeding as non-restricted for purposes of the Commission's ex parterules. 
See generally 47 C.F.R.  1.1200-1.1216.   Parties may not file more than a total of ten (10)
pages of ex parte submissions, excluding cover letters.  This ten-page limit does not include:  (1)
written ex parte filings made solely to disclose an oral ex parte contract; (2) written material
submitted at the time of an oral presentation to Commission staff that provides a brief outline of
the
presentation; or (3) written material filed in response to direct requests from Commission staff. 
Ex
parte filings in excess of this limit will not be considered as part of the record in this proceeding.

     Common Carrier Bureau contact:  Kalpak Gude, (202) 418-1580.