Kogan Mobile and ispONE to have their day in court

Kogan Mobile and Telstra wholesaler ispONE are set to have their day in court, after mediation between the two failed to deliver any agreement.

Kogan Mobile launched legal action against ispONE this month after the latter blocked a significant number of Kogan Mobile customers over several months for alleged overuse of services.

Kogan Mobile claims ispONE breached its agreement with the retailer by continuing to suspend users, without notifying Kogan, after the two parties had come to an agreement on how to deal with overuse.

A spokesperson for ispONE confirmed no agreements were reached after yesterday's mediation session. Ruslan Kogan and a number of Kogan's company directors are currently overseas and were unable to attend.

ispONE plans to lodge a counterclaim this week, arguing Kogan Mobile’s decision to promote “unlimited” plans meant it was engaging in misleading and deceptive conduct, thereby breaching the master wholesale agreement.

Justice Judd last week urged the two parties to try and prevent further legal action, reminding them of the distracting effect it could have on both companies.

The trial is expected to commence on Monday in the Victorian Supreme Court.