Qwest Communications Corp. v. City of Berkeley

ORDER GRANTING PRELIMINARY INJUNCTION

On April 25, 2001, the Court heard argument on defendants’ motion to dismiss and plaintiffs motion for a preliminary injunction. Having carefully considered the arguments of the parties and the papers submitted, including supplemental briefing, the Court hereby DENIES defendants’ motion to dismiss, and GRANTS plaintiff’s motion for a preliminary injunction, for the reasons set forth below.

BACKGROUND

Plaintiff Qwest Communications Corporation (“Qwest”) is a telephone company defined as a public utility under California Public Utilities Code § 216. Compl. ¶ 4. The California Public Utilities Commission (“PUC”) has granted Qwest certificates of public convenience and necessity (“CPCN”) to provide interexchange, or long distance, telecommunication services. Id. at ¶ 1; see Declaration of Anne Riche-son in Supp. Prelim. Inj. (“Rieheson Decl.”) ¶ 9 and Ex. A. Qwest provides broadband Internet-based data, voice and image connectivity to businesses, consumers and other communications service providers. Compl. ¶ 28.

In December 1999, Qwest won a competitive bidding process and entered into a government contract to provide faster and expanded…