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Did Kogan jump the gun against ispONE?

  • 01 May 2013
  • Written by 
  • Published in Mobility

Provocative e-retailer Kogan has potentially jumped the gun in its claim against Telstra reseller ispONE, sending out a press release declaring victory before a judgement had been handed down.

“Today's victory means that Kogan Mobile customers can rest assured that their services will not be unlawfully interfered with by the wholesaler," Kogan Mobile said in a statement earlier today.

"Australians can trust Kogan Mobile to continue to provide the best deals in the market. We’re glad the right result was reached, and that the truth about the last few months is now abundantly clear,” the spokesperson said.

A spokeswoman for Victoria’s Supreme Court said in a statement to News Ltd that the matter was yet to be settled, describing Kogan's actions as "dangerous."

“They are jumping the gun, which is really dangerous, and if it was a criminal hearing it would be contemptuous. Nothing has settled until court reconvenes – whenever parties reach agreement – and the judge makes orders approving such settlement,” the spokeswoman said.

However as we earlier reported over the last couple of hours Telstra reseller ispONE has agreed to stop suspending Kogan Mobile users from its network without Kogan's approval, except when in accordance with the service suspension.

Kogan Mobile initiated legal proceedings against ispONE last month after the the company suspended and blocked Kogan Mobile customers over several months for what it claimed was "overuse." 

ispONE also today deserted its counterclaim against Kogan Mobile, after initially accusing Kogan of being in breach of the master wholesale agreement between the two.

Counsel representing Kogan Mobile in court today said the allegation was "outrageous", and ispONE abandoned the counterclaim.

ispONE today additionally asked the court to have a reference to Telstra included in the undertaking, arguint that it was Telstra, rather than ispONE, that was responsible at the end of the day for actually suspending of users from its network.

However Kogan counsel Norman O’Bryan SC asked for the reference to be removed, yet it's unclear if the court is yet to decide on this point.

“ispONE has assiduously avoided even mentioning the holy name of Telstra up until now,” O’Bryan said in court today.

The hearing was subsequently adjourned to allow ordersto be drawn up to reflect the decision, meanwhile the Supreme Court's Justice Judd urged the parties to come to an agreement on costs outside of court.

iTWire's Ray Shaw has written an opinion on what the decision means for users here.

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