Sun | Apr 23, 2017

Court orders LIME to perform interconnection contract

Published:Tuesday | August 19, 2014 | 8:00 AM

McPherse Thompson, Assistant Business Editor

A Supreme Court judge has granted an injunction against Cable & Wireless Jamaica Limited, trading as LIME, for refusing to terminate international calls from relatively new telecommunications carrier and service provider, Traille Caribbean Limited, to its mobile numbers pursuant to an interconnection agreement between both companies.

At issue is whether Traille should pay call taxes it receives from overseas carriers directly to the commissioner general of taxes, or to LIME, which would in turn pay it to the Government.

In addition, Traille contended at the hearing before Justice Glen Brown last Friday that LIME also requires as security deposit three months prepayment on the call tax and has refused to allow traffic to commence unless that deposit is received.

In granting the interlocutory injunction, Justice Brown ordered Traille to pay LIME the deposit, excluding the telephone call tax, as required under the terms of the interconnection agreement.

He also ordered that once that payment is made, LIME is to turn on the switch to allow Traille to terminate international calls on its network until the trial of the claim.

LIME was said to have asked for a stay of the order - apparently with a view to appealing the matter - which was granted for 10 days.

However, asked if LIME would be appealing the matter, the company, in an emailed response to The Gleaner yesterday, said, "We are considering our options."

RESOURCES JEOPARDISED

Traille said in court papers that it has expended vast sums of money and other resources which, by LIME's action, were being jeopardised in a very competitive business environment.

According to a summary of the matter received by The Gleaner, Justice Brown said LIME was uncertain as to how the law is to be applied, that is, whether it is under a duty to collect telephone call taxes and hence it is a matter that has to be tried.

In the circumstances, he ordered that the mandatory injunction be granted on the interlocutory application. He added that Traille sought specific performance and, as such, ordered that LIME carry out its obligation under the terms of the agreement, that is, provide the interconnectivity service until the matter is tried.

mcpherse.thompson@gleanerjm.com