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IPCS Sues Sprint Nextel over Virgin Mobile Purchase

Discussion in 'Wireless News' started by Fire14, Sep 14, 2009.

  1. Fire14

    Fire14 Easy,Cheap & Sleazy
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    IPCS Sues Sprint Nextel over Virgin Mobile Purchase

    _iPCS, which won a long winded legal battle with Sprint earlier this year over its acquisition of Nextel has now launched a new round of lawsuits against Sprint over its purchase of Virgin Mobile.

    The iPCS Affiliates are asserting that Sprint Nextel's consummation of the recently announced transaction with Virgin Mobile USA and its plan to compete against the iPCS Affiliates in their exclusive territories, will breach the iPCS Affiliates' Management Agreements with Sprint, under which Sprint or its Related Parties cannot compete against iPCS Affiliates in their exclusive service areas.

    Currently, Virgin Mobile operates as a "reseller," offering wireless products and services that use the nationwide Sprint network, including the iPCS Affiliates' portions of that network in the iPCS Affiliates' exclusive territories, in accordance with the Agreements. However, upon completion of Sprint's acquisition of Virgin Mobile, Sprint will be selling its own services to the public directly in competition with the iPCS Affiliates, which iPCS says is in violation of those very same Agreements.

    The iPCS Affiliates are seeking to enforce the terms of the iPCS Affiliates' Agreements with Sprint and are asking the Court for an injunction to enjoin the closing of the Virgin Mobile transaction until such transaction complies with the terms of the Agreements.

    The Complaint was filed in the Circuit Court of Cook County, Illinois.

    The iPCS Affiliates are currently in litigation with Sprint over its Clearwire transaction.

    IPCS Sues Sprint Nextel over Virgin Mobile Purchase
     
    #1 Fire14, Sep 14, 2009
  2. Kalimotxo

    Kalimotxo Bronze Senior Member
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    *sigh*... will it ever end?
     
    #2 Kalimotxo, Sep 14, 2009
  3. TelcomJunkie

    TelcomJunkie Bad Handoff Investigator
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    At this point you figure Sprint would've just bit the bullet and bought them up...
     
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    #3 TelcomJunkie, Sep 15, 2009
  4. herry604

    herry604 New Member

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    This is base ipcs field the lawsuit last week in the circuit court of cook country, seeking an injection to stop. They claim it would violate an agreement by Sprint not to complete against ipcs within its territories.
     
    #4 herry604, Sep 15, 2009
  5. M in LA

    M in LA Mobile 28 Years Plus
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    Good ol' iPCS at it again...:rolleyes:
     
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    #5 M in LA, Sep 15, 2009
  6. larry

    larry Sprint loyalist and former mod
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    They were more than willing to but Alamosa, US Unwired, and Ubiquitel after the merger. I don't get why they passed on iPCS.
     
    #6 larry, Sep 15, 2009
  7. cheddar

    cheddar Senior Member
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    I figure that iPCS either didn't want to get bought out or figures they have Sprint over a barrel and want a *lot* of money.
     
    #7 cheddar, Sep 15, 2009
  8. Critic

    Critic The Digital Ruler
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    We ought to just start a thread with the topic "___________ sues Sprint Nextel over ___________ purchase" and just fill in the blanks on each occurrence. Like a mobile phone litigation mad-lib.
     
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    #8 Critic, Sep 16, 2009
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