Legal Question in Business Law in Virginia

Re: Settlement Agreement

First, I see you live across the river in Maryland but identified this as Virginia law. I assume that your settlement agreement was in Virginia and I am answering as a Virginia lawyer.

Second, in general, you can file a lawsuit for a breach of the settlement agreement similar to a breach of contract. Often, settlement agreements are entered into by a consent decree or other court order. In that case, it may be possible to bring an action for contempt of court for WorldCom not obeying the court ordered settlement. This requires examining the final papers and/or settlement agreement from the previous proceedings.

Third, you mention that you want to get money "back." This makes it sound like you paid them money, instead of them paying you money. As a result, I'm not sure what WorldCom did not do that they were supposed to do. Obviously, any attorney would have to look at the details of the agreement and what facts you can PROVE (not what you believe to be true, but what you can actually prove with the help of witnesses and records) to figure out whether or not you have a valid case.

Fourth, didn't WorldCom file for bankruptcy in the middle of all their other troubles? If so, it would be necessary to look at whether or not your rights were affected by the bankruptcy. If WorldCom was supposed to do something rather than just pay money, your rights may survive. Also, if you did not receive legal papers about the bankruptcy, and they failed to notify you, then they did not list you as one of the creditors affected by the bankruptcy, and again your rights may be unaffected (to the extent they failed to list you as one of the creditors in the bankruptcy). There are a number of details here. It may be that you will need to make a claim with the trustee. Normally it would be too late, but if they failed to list you as a creditor and notify you, then it is their fault.

Fifth, one concern is whether or not WorldCom is good for the money. One would have to look at TECHNICALLY speaking who the settlement agreement was signed with (what corporate entity) and see if that entity actually has any money. For example, if WorldCom sold all is assets, it could now be an empty shell. Sorry to say, I have not been following this story in the business pages.

I would be happy to help you look at all of this. Having gone out on my own this year after 8 years as a business attorney, I am building a practice with a very low introductory rate, only $95 per hour. I am holding down rates by not making clients pay for a plush office, but putting the money into the work instead. (703) 850-3733.

Re: Settlement Agreement

Your rights and remedies under the settlement agreement would be largely governed by the terms of the agreement itself. You need to retain counsel to review the actual agreement and to advise you as to how best to proceed.

I strongly recommend that you consult with an attorney immediately so that you can explore your legal rights, obligations, and options. If you wish to discuss retaining my services, contact me at:

[email protected]

(973)-605-8995

(*Licensed in New Jersey, Maryland, and Dist. of Columbia)

[Disclaimer: The above comments are not intended as nor should they be relied upon as "legal advice", which can only be obtained by personal consultation with a retained attorney; at which time the specific facts and circumstances of your case can be thoroughly evaluated. This reply is provided for general informational and educational purposes only, and does not create an attorney-client relationship with the responding attorney.]