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Technology Stocks : Net2Phone Inc-(NTOP)

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To: AGORA who wrote (457)8/11/1999 12:54:00 PM
From: SteveJerseyShore   of 1556
 
Employee to sue NTOP,(IDTC),,,

Terminated manager sues Net2Phone
Wednesday, August 11, 1999.Bergen Record,(Hackensack,N.J.)

By LOUIS LAVELLE
Staff Writer

A former manager of Net2Phone is suing the Hackensack-based Internet telephone company, alleging he was fired for opposing an "illegal and unethical practice" involving the company's Web site.

The manager, Perry Figueroa of Little Ferry, was fired in March, less than a month after complaining about Net2Phone's practice of inviting visitors to its Web site to test-run its Internet phone service by dialing the toll-free numbers of various companies, whose numbers were listed without permission.

He is seeking an unspecified amount of back pay and benefits, compensatory and punative damages, and attorney fees. The suit was filed Thursday in Superior Court in Hackensack.

"The company was aware that this was a problem and they didn't address it," said Bruce Bernstein, an Oradell lawyer representing Figueroa. "The way they addressed the problem was terminating Mr. Figueroa after he had brought the problem to the attention of the egal department at Net2Phone. Instead of correcting the problem, they chose to fire Mr. Figueroa."

Lee Suravlas, a spokeswoman for Net2Phone's Hackensack-based parent IDT Corp., declined comment.

According to the lawsuit, Figueroa was hired by Net2Phone as project manager in October. After four months, the lawsuit said, he was asked to investigate a complaint by Brazil Tours Travel. According to the lawsuit, the travel company said its phone bill "skyrocketed" as a result of prospective Net2Phone customers using its toll-free number to test Net2Phone's product, which allows users to make low-cost telephone calls over the Internet.

Brazil Tours Travel was not alone. According to the suit, Net2Phone listed the toll-free numbers for 14 companies, including Microsoft, 1-800-Flowers, United Airlines, Federal Express, and TWA. The numbers have since been removed, and visitors to the Net2Phone site now are directed to a toll-free directory.

In February, the suit said, Figueroa told his supervisor that the practice of listing the toll-free numbers without the companies' permission was "illegal and unethical."

He recommended that Net2Phone get a toll-free number of its own.

In March, the suit said, Figueroa contacted Net2Phone's lawyers, who later told company officials that posting the numbers on the Web site amounted to theft of service. The lawyers said the numbers would have to be removed and the companies reimbursed for any losses, according to the suit.

A few days later, at his supervisor's request, Figueroa obtained a toll-free number for Net2Phone, the lawsuit said.

Then, at an unscheduled evaluation on March 8, Figueroa's performance was deemed unacceptable, and he was told he would be terminated in two weeks if he didn't improve, according to the suit. He was terminated on March 19, four days before the two weeks expired, according to the suit.
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