Econet tells court it has no agreement with NetOne

offer interconnection services to NetOne because there is no agreement on that between the two.
The mobile phone network accused NetOne of repudiating an agreement that existed between the two parties.

Econet lawyer Advocate Firoz Girach said this during a hearing in which NetOne is seeking an order to interdict Econet from unilaterally terminating interconnection services. Justice Ben Hlatshwayo reserved judgment in the case.

Adv Girach yesterday told Justice Ben Hlatshwayo in his chambers that NetOne through its chief executive Mr Reward Kangai wrote to Econet indicating that the two companies did not have any agreement. He said

Econet agreed with NetOne that there was no such an agreement.
“They behaved irresponsibly by repudiating the agreement because they did not want to pay,” said Adv Girach.
“They said we had no agreement, so we withdrew our services. If they had a problem they should have gone to the arbitrator.

“In terms of the law, there cannot be any connection if there is no agreement. NetOne made the application to invoke the sympathy of the court.”
Adv Girach accused NetOne of approaching the courts, but not telling the public the truth. He said the reason why NetOne did not want to use TelOne interconnection was because they would have to pay for the service. NetOne lawyer Advocate Ray Goba argued that his client did not repudiate the agreement, but

that it lapsed in 2004. He said the two companies were in the process of crafting another agreement.

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“The applicant denies that there was any repudiation, if there was any respondent should have gone to Potraz,” said Adv Goba.
“The applicant is seeking an order interdicting the respondent from disconnecting without legal recourse.
“Econet should have exhausted all the domestic remedies before disconnection. The statutory framework does not provide for disconnection once there is interconnection.”

Adv Goba said it was common cause that NetOne had been in operation since 1994 and the respondent (Econet) was licensed in 1998.
Thereafter, he said, the two companies were connecting through TelOne until 2004 when there was direct interconnection following an agreement which was sanctioned by the Potraz.

Adv Goba said the agreement did not allow Econet to disconnect his client, but there was likelihood that Econet could still disconnect NetOne. 
He said NetOne understood Econet’s frustration, but there was no room for disconnection. Justice Hlatshwayo said he needed time to go through the submissions made by the lawyers.

“You have left me with quite a dog’s breakfast, I need time to go through your submissions before I come up with a ruling. I will try to do it expeditiously and I will notify you in due course when I am ready,” he said.
Econet switched off NetOne in August over failure to pay US$19 246 322.06, a figure which NetOne disputes.
Services were restored following an interim consent order by both parties.

 

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