This Monday may see a major ruling that may not only affect all NorVergence leases, but the leasing industry itself. The lessees believe a ruling will release them from all debts when NorVergence filed bankruptcy, their telephone service was cut, and therefore they need not make any more “Equipment Rental Agreement” payments.

A hearing is to be held on this Monday, July 18, 2005, at 10:00 a.m., before Judge Dickinson R. Debevoise, where the Federal Trade Commission is asking for forgiveness of $181,721,914 as the liquidated damages of NorVergence leasing contracts, as the FTC is claiming that the leases and therefore the leasing companies are party to the judgment.

The June 8, 2005 notice: “...that plaintiff Federal Trade Commission will move this Court to enter a default judgment and order for permanent injunction, rescission and monetary relief...” as brought by FTC senior attorney Randy Brook.  Entire Story