New England Telephone & Telegraph Co. v. National Merchandising Corp.

The plaintiff (hereinafter called the telephone company) provides telephone service in several New England States. It furnishes, without special charge, to its subscribers telephone directories, which, in addition to an alphabetical listing of subscribers, contain (except in Boston 1 ) classified advertising of business subscribers in what are usually known as the “yellow pages.” In 1955, from its classified advertising the telephone company received net revenue (after deducting expenses) of $5,583,388.88. Such revenue is taken into account by regulatory commissions in fixing rates.

The…