Attachment Motion

This document pretains to SES-LFS-20050826-01175 for License to use Foreign Satellite (earth) on a Satellite Earth Station filing.

IBFS_SESLFS2005082601175_465445

                                                                                    RECEIVED
                                             Before the
                       FEDERAL COMMUNICATIONS COMMISSION                               NoV 1 0 2005
                                Washington, D.C. 20554
                                                                                 Faten commnicston Connizson
                                                                                        omen ol Secminy
In the Matter of

Stratos Communications, Inc.                              File No. SES—LFS—20050826—01175
Application for Title IIl Blanket License                 File No. SES—AMD—20050922—01313
to Operate Mobile Earth Terminals with
Inmarsat 4F2 at 52.75°W
Stratos Communications, Inc.                              File No. ITC—214—20050826—00351
Application for Section 214 Authorization
to Operate Mobile Earth Terminals with
Inmarsat 4F2       52.75°W
n
To: International Bureau


               MOTION To STRIKE PORTIONS OF THE MSV PETITION
               Stratos Communications, Inc. ("Stratos") urges the Burcau to strike the Petition to
Hold in Abeyance Or To Grant With Conditions (‘MSV Petition") filed by Mobile Satellite
Ventures Subsidiary LLC ("MSV") on October 28, 2005 against the above—captioned
applications (collectively "the Stratos BGAN Applications"). The Bureau should strike those
portions of the MSV Petition, which rely on confidential material that MSV refuses to provide to
Stratos even pursuant to a protective order. Since Stratos is not able to respond effectively to the
MSV Petition, any reliance by the Bureau on this confidentialinformation and redacted
arguments would violate Stratos‘ due process rights and the Administrative Procedures Act.‘


       ‘ Concurrently with this Motion to Strike, Stratos is filing an Opposition to the MSV
Petition based on the non—redacted portions of that pleading. See Stratos Opposition(filed Nov.
10, 2005). Byfiling a response, Stratos in no way is conceding that it is being afforded an
adequate opportunity to effectively respond to the MSV Petition. Further, to the extent that


               On August 26, 2005, Stratos filed an application for a blanket license to operate
20,000 mobile earth terminals (°METs") with Inmarsat‘s Broadband Global Area Network
(*BGAN®) and an application for Section 214 authority to offer the BGAN service. Stratos
secks authority to access the new Inmarsat 4F2 satellte, censed by the United Kingdom at
52.75° W.L. and successfully launched into orbit on November 8, 2005. The BGAN service will
allow U.S. consumers to obtain an enhanced Mobile Satellte Services (°MSS") offering at much
higher data transmission speeds than current MSS product offerings.
               On October 28, 2005, MSV filed the MSV Petition against the Stratos BGAN
Applications. Significant portions the MSV Petition are redacted from the public version of the

pleading,including Discussion Sections I° and 11,® and the first argument in Section IHL" In
addition, the Background section ofthe MSV Petition contains substantial redactions." MSV has
sought confidential treatment of this material because of its purported relationship to the Mexico
City Memorandum ofUnderstanding for L—band operations.® While Stratos has attempted to
obtain from MSV a confidential non—redacted version of the MSV Petition and has offered to




Stratos is given access to the confidential portions ofthe MSV Petition at a later date, Stratos
reserves the right to amend its Opposition as necessary.
       * See MSV Petition at 6—9.
       * See MSV Petition at 9—10.
       * See MSV Petition at 10—11 (argument regarding replacement satelltes)

       5 See MSV Petition at 4—5.
       * See Letter from Jennifer A. Manner to Marlene H. Dortch, Re: Petition of Mobile
Satelite Ventures Subsidiary LLC to Hold in Abeyance or to Grant with Conditions Application
of Stratos Communications Inc., File No. SES—LFS—20050826—01175, File No. SES—AMD—
20050922—01313, File No. ITC—214—20050826—00351 (Oct.28, 2005).


enter io a confidentiality agreement and/or protective order to do so, MSV has refused to
provide Stratos with a complete version of the MSV Petition."
               The MSV Petition has substantial redactions throughout that go to the heart of its

arguments against the Stratos BGAN Applications. Stratos cannot even guess as to the basis for
some of these arguments. For example, in arguing that BGAN terminals are more likely to
cause harmfulinterference in the L band, MSV states that "BGAN terminals operating with
Inmarsat 4F2 will use wide band carriers that {remainder of sentence redacted]." Similarly,
MSV claims that "Stratos states that Inmarsat 4F2 will have inefficient global L band beams,
frest of sentence and footnote redacted}."" Itis simply not possible for Stratos to effectively
respond to such arguments and other parts of the MSV Petition without knowing what specific
assertions MSV is making against the Stratos BGAN Applications.
               The Administrative Procedures Act (*APA") governs Stratos‘rights in an
adjudicative proceeding like a license application."" The APA clearly provides that a "party is

entitled to present his case or defense by oral or documentary evidence, to submit rebuttal
evidence, and to conduct such eross—examination as may be required for a full and true disclosure
of the facts.""" The Commission has held that the "Administrative Proceduzes Act and the Due


       " See attached Declaration of Mare A. Paul.
       * MSV Poritionat 7.
       ° MSV Potition at 8.
        ‘* Under the APA, license applications are subject to the hearing procedures outline under
the Act. See 5 U.S.C. § 558(c). See also International Record Carriers‘ Scope ofOperations in
the Continental United States Including Possible Revisions to the Formula Prescribed Pursuant
to Section 222 ofthe Communications Act, Memorandum Opinion and Order, 5 F.C.C.2d 183,
185, 1 5 (1976) (‘However, that case dealt specifically with applications under Section 309 of
the Act for broadcast licenses of which Congress has defined to be adjudication.").
       " 5 U.S.C. § 556(d).


Process Clause of the Constitution generally entitle parties in administrative proceedings to have

access to the documents necessary for effective participation in those proceedings.""". This

general principle clearly applies in the context of Title 1II license applications.""

                In those unusual cases where a party has not made confidential material available
to other parties in a proceeding subject t a protective order,"" the Commission has struck such


        "* In the Matter of Open Network Architecture Tariffs ofBell Operating Companies,
Order, 10 FCC Red 1619, 1621, 4 13 (1995). See also In re applications ofMobile
Communications Holdings, Inc. and ICO Global Communications (Holdings) Limitedfor
Transfer ofControl; Constellation Communications Holdings, Inc. and ICO Global
Communications (Holdings) Limitedfor Transfer of Control, Disclosure Order, 18 FCC Red
133, 134, 4 5 (2003) (*"The Commission has inferred from judicial precedent thatpetitioners to
deny generally must be afforded access to all information submitted by licensees that bear upon
their applications ...").
        " See In the Matter ofExamination of Current Policy Concerning the Treatment of
Confidential Information Submitted to the Commission, Report and Order, 13 ECC Red 24816,
24837, 1 33 (1998) (Specifically, the Commission indicated "that petiioners to deny generally
must be afforded access to all information submitted by licenses that bear upon their
applications.". While the Commission was addressing information supplied by the applicant for a
Titl11 license, the rationale is equally applicable toinformation supplied to challenge a license
application.) See /n the Matter ofPetition ofthe People ofthe State of California and the Public
Uilities Commission ofthe State ofCalifornia to Retain Regulatory Authority over Intrastate
Cellular Service Rates, Report and Order, 10 RCC Red 7486, 7508, 9# 43 (1995) ("CPUC Report
and Order") (holding petitioner and challengers to the same standard as far as access to
confidential information).
        !* Confidential material in Commission proceedings is usually made available to parties
subject to a protective order. There are numerous examples ofthe use of protective orders in
Commission proceedings. See, e.g. /n the Matter ofApplications for Consent to the Assignment
and/or Transfer ofControl ofLicenses; Adelphia Communications Corg., Assignor and
Transferor to Time Warner Cable, Inc. and Comeast Corp Assignees and Transferees, Order
Adopting Protective Order, 20 FCC Red 10751 (2005). The Commission has recognized that
"release of confidential information under a protective order or agreement can often serve to
resolve the conflict between safeguarding competitively sensitive information and allowing
interested parties the opportunity to fully respond to assertions put forth by the submitter of
confidential information." /n the Matter ofExamination ofCurrent Policy Concerning the
Treatment ofConfidential Information Submitted to the Commission, Notice of Inquiry and
Notice of Proposed Rulemaking, 11 FCC Red 12406, 12424, 1 36 (1996). In the absence of a
protective order or giving Stratos access to the confidential version of the MSV Petition, Stratos
will not have "the opportunity tofullyrespond"to the claims of MSV.


materialfrom the record."* Inthis regard, the current stuation is similar to the confidentiality

issues raised when the California Public Utilities Commission ("*CPUC") petitioned the

Commission to maintain rate regulation authority over CMRS carriers. In that case, the CPUC

sought to strike a study submitted by a CMRS carrier that purported to demonstrate, based on
confidential data not provided to the CPUC, a correlation between regulation and CMRS pricing
in California. ‘The CPUC claimed that it had "effectively been denied its opportunity to respond
to the new study and date.""" The Commission agreed and held that the "study relies on
materials not made part ofthe record or provided to other parties, and to that extent will not be
considered."""
                 If anything, Stratos‘ inability t review a complete version ofthe MSV Petition,
presents a more serious impediment to Stratos‘ ability to prepare a meaningful response than the
difficulties faced by the CPUC as a result of not having access to the underlying data for a study.
At least the CPUC knew what claims were being made againstits petition and could present ts
own evidence to counter those claims. Here, Stratos does not know all ofthe specific arguments
being made againstits application and thus has no effective way to respond to them.""


       "* See CPUC Report and Order, 10 FCC Red at 7506—7508, § 38—44.

       "* See In the Matter ofPetition ofthe People ofthe State of California and the Public
Uillities Commission ofthe State ofCalifornia to Retain Regulatory Authority over Intrastate
Cellular Service Rates, Motion by Califomia to Strike Ex Parte Filings Made by Airtouch (Mar.
16, 1999).
       ‘" See CPUC Report and Order, 10 FCC Red at 7508, 9 43. The Commission also struck
another affidavit submitted by an expert for CTIA when CTIA failed to produce the underlying
data. See CPUC Report and Order, 10 FCC Red at 7506—7507, 8 40.

       "* Even if Inmarsat were able to review and respond toa full version of the MSV Petition,
it would in no way serve to ensure that Stratos is able to effectively participate in this
proceeding. Stratos can only meaningfully protectall of ts interests, which may not necessarily
be the same as those of Inmarsat, ifit is able to review and respond to all of the arguments and
supporting materials made by MSV in the MSV Petiion. See /n the Matter ofInstapage


                ‘The Bureau should also strike the portions ofthe MSV Petition that are based on
confidential information not provided to Stratos because the Bureau cannot rely on such
information as a basis for its decision in the Stratos BGAN Applications. In US. Lines, /rc. v
Federal Maritime Commission, the D.C. Circuit held that the Federal Maritime Commission had
improperly relied on unspecified materials known only to the Federal Maritime Commission in
reaching its decision to grant exemption from antitrust laws for an anticompetitive agreement

between two common carriers." In particular, the Federal Maritime Commission based ts
finding atleast in part on "reliable data reposing in the files of the Commission.""" The D.C.
Cireuit stated thatit has "required information in ageney files or reportsidentified by the ageney

as relevant tothe proceeding to be disclosed to the partiesfor adversarial comment."*" Further,
the court held that such requirements "ensure that partiesto agency proceedings are afforded the
opportunities guaranteed them by statute [APA] meaningfully to participate in those proceedings
  in


Networks Lid.‘s Informal Requestfor Retroactive Bidding Credits, 19 FCC Red. 20356, 20359, 4
10 (Wireless Telecommunications Bureau 2004) (‘[T}hird party standing contravenes a basic
prudental principle thata party generally must assert his own legal rights and interests, and
cannot rest his claim to relieon the legal rights or interests of third parties.") citing Warth v.
Seldin, 422 U.S. 490499 (1975). See also In the Matter of Weblink Wireless, Inc, Petiionfor
Reconsideration ofDA 01—1143, 17 FCC Red 24642, % 14 (Wireless Telecommunications
Bureau 2002). While these cases discuss third party standing, the same public policy concems ——
namely the ability of a third party to effectively protect the interests of another—— would be
applicable here if the Bureau were to deem the ability ofInmarsat t respond to a full version of
the MSV Petition sufficient to protect all of the interests of Stratos.

        " See U.S. Lines, Inc. v. Federal Maritime Comm., 584 F.2d 519 (D.C. Cir. 1978) (°U.S.
Lines"). See also Air Products & Chemicals, Inc. v. FERC, 650 F.2d 687, 698—699 (5"’ Cir
1981) (following U.S. Lines).
       ® U.S, Lines. at 533.
       "w
       *s.


               While in the U.S. Lines, Inc. v. Federal Maritime Commission case, the D.C.
Circuit remanded the case to the Federal Maritime Commission in part because the Pederal
Maritime Commission relied on information in its files not available to the parties, the rationale
is equally applicable to relying on confidentiainformation in the MSV Petition. n both cases,
parties to the proceeding are deprived of the "opportunities guaranteed them by statute
meaningfully to participate.". Stratos is in the same position as United States Lines —— it is not

able to effectively respond to the claims in the MSV Petition. Because the Bureau cannot rely on

the confidential information not subject to "adversarial comment" by Stratos as a basis for ts
decision on the Stratos BGAN Applications, it is appropriate to strike those portions ofthe MSV
Petition that rely on such information:
               In the absence of a decision to strike the portions ofthe MSV Petition that rely on
confidentl information, or to provide Stratos with access to the confidential version of the MSV
Petiion, the Bureau, atthe very least, should not base its decision on any confidential material
presented or redacted arguments made by MSV and withheld from Stratos. Indeed, in its 2001
order granting Inmarsat access to the U.S. domestic market, MSV similarly opposed certain MSS
applications, but did not disclose to those MSS applicants a confidential version of ts petition
because it contained information conceming the Mexico City Memorandum of Understanding,""
in that case, the Commission appropriately did not rely on any of the confidential information as
a basis for its decision on the MSS applications.""

       * See Comsat Corp. etal., Memorandum Opinion, Order and Authorization, FCC 01—
272, 4 106 (2001)
       ** See 1d, at 1 107 ("In particular, one matter raised involves what appears to be a
disagreement among the operators concerning both the interpretationof a provision ofthe
Mexico City Agreement, and its utllityfor addressing competing spectrum requirements. We
have addressed the current impassein the operator—to—operator discussions above, and conclude
that this particular disagreement does not alter our view that granting these applications would


               Forthe foregoing reasons, Stratos respectfully requests that the Bureau strike
Discussion Sections I and II and the first argument in Section I1L, and parts ofthe Background
section thatrely on confidential information that has not been provided to Stratos.



                                             Respectfully submitted,
                                             Stratos Communications, Inc.


                                             Alfred M. Mamlet ;            ’   f
                                             Philip L. Malet
                                             Brendan Kasper
                                             Steptoe & Johnson LLP
                                             1330 Connecticut Avenue, NW
                                             Washington, DC 20036
                                             (202) 420—3000
                                             Counselfor Stratos Communications, Inc.
November 10, 2005




serve the publicinterest. Other material submitted consists of statistics conceming the number
of Inmarsat A terminals in use. The information submitted does not rebut Inmarsat‘s showing on
this issue, o the determination made above, concerning Inmarsat Standard A terminals.").


Attachent 1 to Stratos Moton to Strike




                                   Before the
                      FEDERAL COMMUNICATIONS CoMMISSION
                                     Washington, D.C. 20584



In the Matter of

Stratos Communications, Inc.                          File No. SES—LFS—20050826—01 175
Application for Title III Blanket License             File No. SES—AMD—20050922—01313
to Operate Mobile Earth Terminals with
Inmarsat 4F2 at 52.75°W

Stratos Communications, Inc.                          File No. TTC—214—20050826—00351
Application for Section 214 Authorization
to Operate Mobile Earth Terminals with
Inmarsat 4F2 at 52.75°W
iennneretcn
To: International Bureau


                             DECLARATION OF MARC A. PAUL
1, Mare A. Paul, herby declares as follows:

       I am OfCounselat Steptoe & Johnson LLP. 1 am one ofthe attomeys at Steptoe &
       Johnson LLP representing Stratos Communications, Inc. ("Stratos") in the above—
       captioned proceedings.
       On November 1, 2005, I spoke with David S. Konezal, an attomey at Pillsbury Winthrop
       Shaw Pittman LLP. Mr. Konezal is one of the attormeys representing Mobile Satellite
       Ventures Subsidiary LLC (°MSV") in the above—captioned proceedings.
       During this telephone conversation with Mr. Konezal, I asked if he could provide me
       with a non—redacted confidential version of the Petition to Hold in Abeyance or to Grant
       with Conditions that MSV filed on October 28, 2005 in the above—captioned proceedings
       (‘MSV Petition®), in order t allow Stratos to prepare a complete response to the MSV


Attachment 1 toStratos Motion to Strike
        Petition. Mr. Konezalstated thatit was not possible for him to provide me with a non—
        redacted version of the MSV Petition because the MSV Petition contained confidential
        information from the Mexico City Memorandum ofUnderstanding (‘Mexico City MoU®)
        regarding L—band coordination and Stratos was not a party to the Mexico City MoU:
4.      1 then suggested to Mr. Konczal that the attomneys representing Stratos in the above—
        captioned proceedings would be willing to enter into a protective order or confidentiality
        agreement to obtain a non—redacted version of the MSV Petition. Mr. Konezal stated that
        such an agreement or protective order was not within MSV‘s control because ofthe
        nature of the Mexico City MoU, and he suggested that Stratos contact the Commission
        directly about the possibilty of entering into such an agreement or protective order to
        obtain access to the MSV Petition in its entiety .



1, Mare A. Paul, hereby declare under penalty ofperjury under the laws of the United States that
the foregoing is true and correct to the best of my knowledge, information and belief


Executed on November 10, 2005.



                                                 Mare A. Paul
                                                 Steptoe & Johnson LLP


                                CERTIFICATE OF SERVICE

        1, Brendan Kasper, an attommey with the law firm of Steptoe & Johnson LLP, hercby

certify that on this 10th day ofNovember, 2005, served a true copy ofthe foregoing "Motion"
and "Declaration," by first class mail, postage pre—paid (or as otherwie indicated) upon the
following:
*Tames Ball                                       *Andrea Kelly
Intemational Bureau                               Intemational Bureau
Federal Communications Commission                 Federal Communications Commission
445 12" Street, S.W.                              445 12" Street, S.W.
Washington, DC 20554                              Washington, DC 20554
*Cassandra Thomes                                 *Scott Kotler
Interational Bureau                               Interational Bureau
Federal Communications Commission                 Federal Communications Commission
445 12" Streat, S.W.                              445 12® Street, S.W.
Washington, DC 20554                              Washington, DC 20554
*Howard Griboft                                   *Karl Kensinger
International Bureau                              Intemational Bureau
Federal Communications Commission                 Federal Communications Commission
445 12" Street, S.W.                             445 12" Street, S.W.
Washington, DC 20554                             Washington, DC 20554
*Fem Jarmulnck                                   Tennifer A. Manner
International Bureau                             Vice President, Regulatory Affairs
Federal Communications Commission                Mobile Satellite Ventures Subsidiary LLC
445 12" Street, S.W.                             1002 Park Ridge Boulevard
Washington, DC 20554                             Reston, Virginia 20191
*Robert Nelson                                   Bruce D. Jacobs
Interational Bureau                              David S. Konezal
Federal Communications Commission                Pillsbury Winthrop Shaw Pittman LLP
445 12" Street, S.W.                             2300 N Street, N.W.
Washington, DC 20554                             Washington, DC 20037—1128

*JoAnn Ekblad
International Bureau
Federal Communications Commission
445 12" Street, S.W.
Washington, DC 20554
* Hand Delivered
                                                    Brendan Kasper               P



Document Created: 2005-11-18 16:10:17
Document Modified: 2005-11-18 16:10:17

© 2024 FCC.report
This site is not affiliated with or endorsed by the FCC