-< THE TECHNOLOGY CONFERENCE >- =================================================================== Note 33.0 The DEATH of "FREE BBS" XC_WILSKER 22-MAY-1989 19:37 ------------------------------------------------------------------- The following message is making the rounds of computer bulletin boards in Texas and Oklahoma. ************************************************************** Date: 05-17-89 (06:08) Number: 54 (Echo) To: ALL Refer#: NONE From: ED HOPPER Read: (N/A) Subj: A PLEA FOR HELP Status: PUBLIC MESSAGE A CALL FOR ACTION! In September 1988, Southwestern Bell Telephone Co. announced that it would test-market a major videotex service called "SourceLine" in the Houston metro area. This is the single largest market test of a videotex service yet. The test will be made in conjunction with US Videotel and will begin in April 1989. In October 1988, Southwestern Bell, using a commonly distributed list of BBS's in the Houston area, began mailing registered letters to BBS sysops. These letters said that use of residential rates on BBS phone lines was a "mistake" and that the matter was being "corrected" by the assessment of business rates effective immediately. This typically meant an increase of over $20 per month, per line. One Houston sysop, attorney Reginald Hirsch (Ye Olde Bailey BBS - 713-520-1569) filed a formal complaint with the Texas Public Utilities Commission contesting the manner and propriety of the rate increases. Among the issues raised in the Hirsch complaint was the involvement of Bell in videotex operations (videotex services are similar to commercial BBS's like Compuserve). By the end of October, sysops in the Houston area had rallied and over 200 sysops attended a noon meeting at a local hotel. Local radio, television and newspapers covered the meeting. Sysops resolved to fight the issue and the organization COSUARD (Coalition of Sysops and Users Against Rate Discrimination) was formed. Hirsch was elected president of the group. Two days prior to the meeting (and after significant negative press coverage), Bell temporarily reversed its stand and offered to roll back rates on BBS's to residential status. The day following the protest meeting, COSUARD officials met with a group of Southwestern Bell officials. Basically, Bell officials agreed that they had little familiarity with the nature of BBS's. They remained convinced however that "some of these systems are businesses." They were unmoved by COSUARD statements that virtually all BBS systems in Houston that did accept contributions still ran significant financial deficits. Bell pointed to its temporary roll back and stated that it would be available to any BBS that did not accept any monetary contributions. Bell asked Hirsch to withdraw his complaint. COSUARD refused to ask Hirsch to withdraw his complaint based upon the fact that (1) the rollback was temporary and we had no guarantees as to how long it would last and (2) no provision was made to allow a BBS to receive even the slightest form of donation, even if the additional costs of business lines would outweigh the total donations. Southwestern Bell then broke off contact with COSUARD and all further communications were through the legal department of Bell. In December 1988, the first prehearing conference was held before a hearing examiner of the Texas PUC. Bell moved to dismiss the case citing its temporary, limited rollback. The hearing examiner ordered both sides to file briefs on the subject and other issues. In the following months, three more Houston sysops filed interventions in the case. While Hirsch had never accepted donations, some of the intervening systems had accepted voluntary contributions in the past. In communications with COSUARD, Bell's attorney's threatened to remove the temporary roll back and resume business rates if Hirsch did not withdraw his complaint. In a COSUARD meeting, members unanimously rejected the Bell ultimatum. This was based upon the fact that a temporary rollback is not sufficient grounds to withdraw the Hirsch complaint permanently. In May 1989, the pace of events picked up. The hearing examiner issued his "Order #6" in the case. In that order, the PUC denied Bell's motion to dismiss. In addition, the burden of proof was put on Bell. The PUC will examine the issue of competition between BBS's and Bell's videotex services. The PUC also granted both sides the right to "discovery" (i.e., the right to examine the other sides records and documents). Bell immediately filed a request for extensive documentation from Hirsch and the other three intervening BBS's. These include the user file and caller logs of Hirsch's system and "all information available at any level on your BBS." Presumably, this would include private messages. Hirsch has indicated he will resist this portion of the request. All users of Hirsch's system have the right to seek legal counsel on this issue. In Oklahoma, Bell also moved against BBS's by beginning a similar process there. Oklahoma sysops were in touch with COSUARD and formed an Oklahoma COSUARD chapter. What can you do? Several things. If you are a user of Hirsch's system, you may complain about the Bell request for private information with the Texas PUC at the following address: Mr. Philip Holder Texas Public Utilities Commission RE: Docket 8387 7800 Shoal Creek Boulevard Suite 400n Austin, Texas 78757 Also, if your local telephone company is contemplating similar action (or has already done it), be in touch with COSUARD to report your experiences. If you wish, our assistance and advice on fighting the telephone company actions are available to you. You may contact COSUARD in various ways: Via Interlink Network: Public Message to Ed Hopper in the Sysops Conference Via Smartnet Network: Public Message to Reginald Hirsch in Sysops Conference Via Fidonet: Mail to Ed Hopper at 1:106/889 Via UUCP/Usenet: Mail to ehopper@ssbn.WLK.COM Via US Mail to: COSUARD, P.O. Box 22485 Houston, Tx 77227 Please distribute this file to other BBS's. Sysops: Please consider making this file available for download by all callers, regardless of security level. Finally, the cost of prosecuting our case will be substantial. COSUARD needs any donation you care to send. Please send checks to COSUARD at the above address. COSUARD will distribute further information to major BBS's around the US as developments warrant. Ed Hopper Secretary, COSUARD Ed Hopper's BBS 713-782-5454 May 15, 1989