Digicel Jamaica Seeks Arbitration over Interconnection Fees

­Digicel Jamaica has filed an Arbitration claim with the International Chamber of Commerce ("ICC") in Paris against Cable &Wireless in relation to allegations of significant unpaid interconnection fees. Cable &Wireless recently rebranded its Caribean mobile networks with the "Lime" brandname.

Digicel says that since July 2009, Lime has been underpaying for its interconnection by approximately US$650,000 per month. Digicel is seeking various declarations and orders from the ICC Arbitration Panel as well as interest on the amounts due and owing together with legal costs.

This claim by Digicel follows the decision of the Jamaica High Court to stay Lime's US$43 million claim against Digicel earlier this year. While Lime vigorously opposed Digicel's application to have those proceedings stayed by the Jamaican Courts, Justice McDonald-Bishop ruled in favour of Digicel.

Richard Fraser, Digicel Jamaica's Head of Legal and Regulatory Affairs, comments; "The fact that Lime vigorously opposed this reference to Arbitration before the Jamaican Courts - and that it did not even bother to show up to Court today - leads us to seriously question whether it has as any belief at all in the merits of its own claims.

"We want this issue resolved quickly and effectively. Lime has launched numerous spurious legal and PR offensives in recent months - all cynically and misguidedly calculated to detract from the fact that its business is limping along and it wants to walk away from a contract that it freely entered into in 2001. Boo hoo."

Digicel has appointed recently retired UK Law Lord, Lord Hoffman of Brick Court Chambers, London, as its nominee Arbitrator on the 3 person panel

Posted to the site on 8th November 2009