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District Seeks Punitive Damages

Orange County School District recently filed legal action against AT&T alleging AT&T violated E-rate rules that mandated schools and libraries receive lower costs for their telecommunications services. This regulation is known as the lowest corresponding price as it relates to the E-rate program that provides telecommunications discounts to these beneficiaries. Orange County Public schools in their legal filing states that “For a period of at least six years, AT&T overcharged them well over $1,000,000 for services and then affirmatively concealed its overcharge so as to perpetuate the practice…”
This stems from the FCC’s July 2016 Notice of Apparent Liability (NAL) sent to AT&T for non-compliance with the Lowest Corresponding Price regulation as it pertains to two school districts in Florida. The FCC ordered AT&T to refund the E-rate program $63,760. The FCC also announced it had planned to fine AT&T $106,425 for the violation.
The Orange County Public Schools court filing can be viewed here.
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