The U.S. Court of Appeals for the Federal Circuit on Friday
blocked a partial injunction set against Vonage. The injunction,
which was set earlier that day, denied Vonage from signing up new
customers. After the decision was made, Vonage filed for and received an
emergency stay of the injunction from the Federal Circuit, according to a press
The relief for Vonage came after a decision to let the judges consider all
arguments before placing a permanent injunction. A copy of a one-page report,
released to CNET, states that Vonage will give Verizon until April 13th to
respond to a request to lift the partial injunction during the appeal process,
which was signed by Judge Paul Michel.
Judge Hilton also ordered Vonage to post an immediate $66 million bond on
Friday while the appeal is carried out.
Verizon's opposition to anything more than a stay of permanent injunction made
quite a stand also on Friday. The company's attorneys claimed that as
long as Vonage is able to sign on new customers, it was "leeching"
Verizon's potential customer base.
Vonage will take a heavy blow if the request for the stay of permanent
injunction is denied, forcing the VoIP company to cut-off its new member
sign-ups. The injunction added to payouts and legal fees are expected to
topple the company