City Of New Orleans Reaches $6M Settlement Agreement With CenturyLink Over Non-Payment Of Franchise Fees

From the City of New Orleans:

June 19, 2020

The City of New Orleans has agreed to a $6 million settlement with CenturyLink over non-payment of franchise fees owed by the company and its subsidiaries.

Over the past decade, CenturyLink and its subsidiaries had failed to pay their franchise fees while at the same time continuing to operate and earn significant revenue from use of the City’s public rights-of-way. The suit, filed June 3 in Civil District Court for Orleans Parish, alleged Breach of Contract, violations of the Wireline Telecommunications Franchise Act, Unjust Enrichment and requested that the Court order the removal of CenturyLink's property from City rights-of-way.

The settlement reflects payment for unpaid franchise fees, and CenturyLink will now proceed with a franchise application regarding future use of the City’s rights-of-way.

This press release was produced by the City of New Orleans. The views expressed are the author's own.