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Telesaurus VPC, LLC v. Power, No. 09-15446

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By FindLaw Staff on October 08, 2010 3:07 PM

In Telesaurus VPC, LLC v. Power, No. 09-15446, a dispute between providers of mobile radio services wherein plaintiff alleged violations of the Federal Communications Act (FCA), the court affirmed the dismissal of the complaint where 1) the complaint did not allege facts sufficient to establish that defendant was a "common carrier" subject to suit under the FCA, 47 U.S.C. sections 206-07; and 2) plaintiff's claims under Arizona law for conversion, unjust enrichment, and intentional interference with prospective economic advantage are expressly preempted by section 332(c)(3) (A) of the FCA, which preempts state regulation of market entry.

As the court wrote:  "In this appeal, we hold that the complaint filed by Telesaurus VPC, LLC ("Telesaurus") against Radiolink Corporation ("Radiolink") did not allege facts sufficient to establish that Radiolink is a "common carrier" subject to suit under the Federal Communications Act of 1934 ("FCA"), 47 U.S.C. §§ 206-07. We therefore affirm the district court's dismissal of Telesaurus's FCA claims, but conclude that the district court erred in denying Telesaurus leave to amend. We also hold that Telesaurus's claims under Arizona law for conversion, unjust enrichment, and intentional interference with prospective economic advantage are expressly preempted by § 332(c)(3)(A) of the FCA, which preempts state regulation of market entry. Id. § 332(c)(3)(A). We therefore affirm the dismissal of Telesaurus's state-law claims."

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