Digicel suit against LIME dismissed

Published on Thursday, June 11, 2009

KINGSTON, Jamaica -- Contempt proceedings brought by Digicel against its telecommunications competitor LIME and two of its top executives were dismissed by Justice Glen Brown in Jamaica’s Supreme Court on Tuesday, 9 June.

The Digicel suit named LIME’s Jamaica Country Manager Geoff Houston and Executive Vice President for Carrier Services Lawrence McNaughton.

Justice Brown also ordered Digicel to pay all of the legal costs incurred by LIME as a result of Digicel’s application.

Digicel’s contempt proceedings came in response to legal action taken by LIME earlier this year when that company accused Digicel of blocking LIME’s international call circuits.

LIME subsequently brought a suit against Digicel for damages and breaches of the Interconnection Agreement between the two companies and the Fair Competition Act.

Expressing satisfaction with the judge’s decision, Houston said: “I am extremely pleased that the Court has ruled in LIME’s favour. The contempt action was a wholly unmeritorious ploy by Digicel to bully LIME and as I have said before we will not be cowed or silenced. We fully intend to press ahead with all the legal actions we currently have pending against Digicel.”

As part of its case for an injunction, LIME obtained an affidavit from Jamaican telecommunications provider Claro, which led to Digicel filing a new action seeking an ex parte injunction against Claro (but which also named LIME in the Order) to prevent the use of the information in the Claro affidavit.

According to a LIME press release, Digicel then proceeded to bring contempt action against Houston and McNaughton charging them with breaching the Claro injunction based on an affidavit by LIME prepared before the injunction was sought.

After hearing submissions from LIME and Digicel, Justice Brown dismissed Digicel’s application and ordered costs for LIME.

Digicel issued its own statement in response to the judge’s ruling on Wednesday, 10 June.
“In January 2009, Digicel found that C&W/LIME had used information which it was not supposed to use in breach of a court order, which had restricted its use,” the Digicel statement said.

“In Digicel’s view, the breaching of an order of the Court is a very severe thing and, as such, Digicel decided to file a complaint against C&W/LIME because of its breach of this Order.”

The Digicel statement said the company had not yet been given the judge’s reasons for the ruling.
“Once we have had the opportunity to review the Judge’s reasons, we will then better be able to assess how to proceed with this matter,” the Digicel statement said.

The statement concluded by saying, “Digicel has the greatest of respect for the courts and for court orders - and is of the view that complying with these is of the utmost importance.

“We will not shy away from continuing to maintain this high standard; and, if needs be, will continue to bring companies that show little respect for the Jamaican laws and court system to court.”