Vodafone sues Spanish operator for €670m

Vodafone is continuing its legal battle with a Spanish telecoms operator over claims that Telefonica abused its dominant position as the leading mobile provider in Spain.

UK-based Vodafone is seeking €670 million (£530 million) in damages from the company over a dispute between Telefonica and Vodafone-owned Airtel.

According to Vodafone, Telefonica prevented its rival from expanding in Spain by using unfair competition practices.

Telefonica prevented Airtel from gaining clients by forcing retailers to sign agreements not to sell phones on the Airtel network.

Vodafone’s claim against Telefonica was upheld by Spain’s Supreme Court in 2006, although no ruling was made on the level of compensation to be paid.

The case has now come back to court, with Vodafone claiming that Airtel would have made an extra €529 million was it not for Telefonica’s unfair practices.

In addition, Vodafone is claiming €141 million in costs incurred due to Telefonica’s violation of competition law.

Vodafone took control of Airtel in 2000. The case relates to Telefonica’s actions between 1995 and 1999.