California yellow pages firm sues phone giant AT&T

Mar 5, 2014 4:24 PM

FRESNO, Calif. (AP) — A California Yellow Pages company is suing AT&T over phone book advertising.

In a lawsuit filed on Wednesday, Fresno-based Valley Yellow Pages says a rival phone book run by AT&T is offering illegal, secret discounts to advertisers. The lawsuit seeks an end to the alleged practice and unspecified damages.

Ralph Alldredge, an attorney for Valley Yellow Pages, says the illegal advertising incentive goes back to 2012, when AT&T in partnership with Cerberus Capital Management first launched the phone directory. Valley Yellow Pages distributes phone books throughout much of California and competes directly with AT&T's directory.

An AT&T spokesman and its attorneys did not immediately return calls seeking comment on the suit.

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