Sprint Nextel Wins Lawsuit With Affiliates Horizon and Bright

Yesterday Vice Chancellor Donald Parsons of the Delaware Chancery Court handed down his ruling in the Horizon and Bright lawsuits against Sprint Nextel. In effect the vice chancellor found that Sprint Nextel can can own and manage it’s iDEN network in Horizon and Bright’s territories. Using the Sprint brand to promote their iDEN products. The Vice Chancellor handed down this ruling based on Horizon and Bright abandoning their claim that Sprint Nextel operating the iDEN network in the affiliates markets would violate their affiliate agreements. The Vice Chancellor also found that Horizon and Bright were entitled to “limited injunctive relief”.


Today iPCS issued a press release conflicting with the press release from Sprint Nextel. The conflict is in regards to the uses of the Sprint brand name on Nextel stores and products.

Here is iPCS’s statement from their press release…

“Horizon/Bright are entitled to a permanent injunction
preventing Sprint Nextel from proceeding with its proposed use
of the Sprint brand and marks to re-brand Nextel stores and to
promote and sell Nextel products and services in the
Horizon/Bright territory.”

Sprint Nextels statements from their press release…

“The Vice Chancellor found that Horizon and Bright abandoned the claim that the operation of the iDEN network in their territories would violate the parties’ agreements. As such, the Court found that it was undisputed that Sprint Nextel may own, manage, and operate the Nextel iDEN network nationwide, including in these affiliates’ territory, and may use the Sprint brand to promote iDEN products and services outside affiliate territories.”

“With respect to Plaintiffs’ request for injunctive relief, while the Court found that Plaintiffs are entitled to limited injunctive relief, the Court’s decision provides Sprint Nextel greater flexibility than the Forbearance Agreement that the parties have operated under since last July. The Forbearance Agreement expired upon the issuance of the Court’s ruling. The Court held that Sprint Nextel may re-brand its Nextel stores to reflect the fact that Sprint and Nextel are one company and may use the Sprint name on Nextel stores and iDEN products and services. Under the Forbearance Agreement, Sprint Nextel refrained from using the word “Sprint” on iDEN products and services or legacy Nextel stores in Plaintiffs’ territories.”

Sprint Nextel Press Release
iPCS Press Release
Discuss In Our Forums