Vonage, Nortel Settle Patent Dispute

Vonage Holdings and Nortel Networks agreed in principle to end the patent litigation pending between the two companies.

The voice-over-Internet-protocol provider and the network-equipment vendor said the contemplated settlement involves a limited cross-license to three Nortel and three Vonage patents -- used to make emergency calls and dial 411 -- and will not call for monetary payments by either party.

Claims relating to past damages and the remaining patents will be dismissed without prejudice, the two companies added.

"We are pleased to resolve this issue and enter into a productive relationship with Nortel," Vonage chief legal officer Sharon O'Leary said in a statement.