Saturday, December 24, 2005

Judge Approves Excel Telecom Settlement

Former Excel VarTec Reps will get some commissions in deal

On Monday, Dec 19 a federal bankruptcy judge approved a $2.8 million settlement for former Excel Telecom sales representatives.

The Settlement Includes:

*The settlement will not pay for any commissions earned after Nov. 1, 2004, even though most of these customers were recruited by the reps.

*Settlement checks should be mailed on February 14, 2006

*Excel Representatives will get refunds of enrollment fees, and training fees paid between Oct. 22 and Oct. 31, 2004.

*Representatives will share small refunds for annual fees paid in the year prior to Oct. 31, 2004.

*The deal bars claims for such things as expense reimbursement, torts, breach of contract, etc.

Excel was founded by Kenny Trout in the late 1980’s, by May of 1996 Excel was listed on the New York Stock Exchange with an initial public offering of 11.5 million shares.

At the time VarTec,Excel filed for bankruptcy the estimate was that nearly 124,000 independent representatives where active.

Excel had just held there annual conference "Excelebration" several months prior to the bankrupty announcement. Over 4000 Reprensentative from around the world gathered in Dallas for the annual event.

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