Exetel and Telstra settle legal proceedings

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Exetel and Telstra settle legal proceedings

Telstra apologises in print, pays costs.

Internet service providers Exetel and Telstra have agreed to discontinue legal proceedings after Exetel lodged a deceptive conduct claim against Telstra earlier this year.

Exetel had originally claimed that Telstra's comments and communications wih a credit rating agency had resulted in negative consequences to Exetel.

Telstra has today printed an apology in The Australian newspaper and agreed to pay Exetel's costs, according to legal counsel for the ISP.

The Telstra apology, a 1/8 strip advertisement (rather than the full page advertisement requested by Exetel), said that "On 3 July 2008, 6 August 2008 and 7 August 2008, Telstra reported to Veda advantage that Exetel Pty Ltd had defaulted on three of its telecommunications accounts. Telstra relied on details provided by a third party in making these entries. It acknowledges that these entries were incorrect and has all of them removed from Exetel's corporate credit report."

In presiding over a final hearing on the matter today in the Federal Court, Justice Moore said he was "delighted to hear" that the parties had come to an agreement.

"I congratulate the parties on resolving it," he said. 

Justice Moore had previously recommended the case be resolved out of court to reduce unnecessary legal costs.

Today marked Telstra's deadline to file its defence. 

Telstra and Exetel have been contacted for details of the settlement. Stay tuned for more.

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