Nortel Reaches Long-Term Disability Settlement

Nortel Networks Corp., which recently filed for creditor protection, has reached a settlement agreement with former employees seeking long-term disability.

Under the terms of the settlement agreement, Nortel will continue to pay medical and dental benefits to pensioners and long-term disability beneficiaries for the remainder of 2010. Any claim made by any party in relation to the matters settled under the new agreement will rank as ordinary unsecured claimes under the CCAA proceedings.

While the settlement is still subject to court approval, a charge in the maximum amount of $57 million on Nortel’s assets will be established to secure the payments to be made to long-term disability beneficiaries.

If you or someone you love has been injured and is not receiving the long-term disability that he or she deserves, please contact an Indiana long term disability lawyer of the Hankey Law Office by calling (800) 520-3633.