Nature of the arrangement
Property belonging to telecommunications companies (telcos) may be damaged, either wilfully or accidentally by individuals and other entities. For example, a public phone booth may be vandalised, or during earthworks, underground cables may be severed. As a result of the damages, telcos may suffer financial loss, including the cost of repairs and lost revenue from service disruption. Telcos may seek compensation from those who caused the damage (defendant).
A settlement between the telco and the defendant may be negotiated or otherwise agreed to. This could occur for example by the defendant paying an amount demanded by or negotiated with the telco. Alternatively, as a result of litigation, a Court may award damages in favour of the telco.