Mitel, MyTel in settlement talks

Canada's Mitel Networks has engaged discussions to settle a legal battle with Melbourne IP telephony provider MyTel, whom it sought to have "permanently restrained" in a civil case filed last year.

Mitel had alleged MyTel had infringed its trademark and engaged in misleading and deceptive conduct by representing that MyTel's products and services were similar, of the same standard and somehow affiliated with Mitel's.

A MyTel spokesman at the time told iTnews they'd change their name but defend against the other allegations.

In a directions hearing in Sydney today, Mitel's lawyer Rebekah Gay anticipated that a settlement between the parties could be reached "in a week or two".

"[By then] we'll know if a settlement is going to occur," she said.

Lawyers for MyTel, appearing by phone, more optimistically indicated a settlement could be reached within a week.

Justice Dennis Cowdroy adjourned the matter until February 23 to allow the negotiations to continue.

"But in doing so I'll indicate that if the matter hasn't been settled by that date, I will make orders for a series of evidence to be filed, which will be in a tight timeframe," Cowdroy said.

Cowdroy also said that he would appoint a court-based mediator and set a hearing starting May 30 if agreement was not reached sooner.