Common use of Intercarrier Compensation Clause in Contracts

Intercarrier Compensation. 3.1 Responsibilities of the Parties: 3.1.1 CLEC has the sole obligation to enter into compensation arrangements with all Third Parties with which CLEC exchanges traffic including without limitation anywhere CLEC originates traffic to or terminates traffic from an End User served by a Third Party which has purchased a local switching product from AT&T- 21STATE on a wholesale basis (non-resale) which is used by such Telecommunications carrier to provide wireline local telephone Exchange Service (dial tone) to its End Users. In no event will AT&T-21STATE have any liability to CLEC or any Third Party if CLEC fails to enter into such compensation arrangements. In the event that traffic is exchanged with a Third Party with which CLEC does not have a traffic compensation agreement, CLEC will indemnify, defend and hold harmless AT&T-21STATE against any and all losses including without limitation, charges levied by such Third Party. The Third Party and CLEC will bill their respective charges directly to each other. AT&T-21STATE will not be required to function as a billing intermediary (e.g., clearinghouse). AT&T-21STATE may provide information regarding such traffic to Third Party carriers or entities as appropriate to resolve traffic compensation issues. 3.1.2 Notwithstanding the classification of traffic under this Agreement, either Party is free to define its own “local” calling area(s) for purposes of its provision of Telecommunications services to its End Users. 3.1.3 For Section 251(b)(5)