MCI WorldCom Losing its Shirt Over Fiber Injunction

Sometimes it's not easier to get forgiveness than it is to get permission and MCI WorldCom seems to be finding that out lately. A court restraining order that prevents the company from finishing a fiber optic cable installation is still being upheld and extended until July 16, 2001. The allegation by the plaintiffs is basically that MCI went ahead an put cables into land that it doesn't own without permission. Papers filed in both state and federal courts by MCI WorldCom placed the cost of the injunction to the telecom company at $30,000 to $60,000 per fiber per month on the 288-fiber installation - a total of at least $8 million per month. MCI says its losses satisfy the amount of the settlement. An April 2001 agreement with the City of Carmel, Indiana, set out terms for MCI WorldCom to repair the cables, but specifically states that Carmel does not own much of the land and that permission must be obtained from individual owners. According to a release from the lawyers for the landowners, MCI didn't ask the landowners for consent but instead attempted to get the fiber optic cable in place and operating before anyone could stop them. MCI is now facing 50 class actions seeking damages for tens of thousands of landowners. If you want to get more info on the suit (bearing in mind that it's from one the law firms representing the plaintiffs), check out The Ackerson Group's site .