Israeli operator Cellcom filed a lawsuit against domestic rival Xfone, seeking ILS34 million ($10.3 million) to cover payments under a previously agreed network sharing deal which Cellcom claims has been unlawfully terminated.
In a statement, Cellcom said it has initiated the legal action with the Tel-Aviv District Court after receiving annulment notice of the sharing agreement by Xfone. Xfone argues the deal was breached by Cellcom with the acquisition of Golan Telecom.
Cellcom rejected the allegations, adding it sought enforcement of the network sharing deal and reimbursement of missed monthly payments. Furthermore, it asked the court to prevent Xfone from sealing agreements in contradiction with their network sharing pact.
Local newspaper Globes has previously reported Xfone and Cellcom had been involved in a spat over the amount the former owed under the agreement in the past few months.
The pair sealed a network sharing and hosting services deal after receiving an approval by the country’s Ministry of Communications in March 2017.