Companies and individuals looking to file a claim against Nortel are now being given details about how to do that.
Companies have until Sept. 30 to file a claim; if they miss the deadline, they are out of luck and will not have another opportunity to make claims against the former tech giant.
It's likely that companies in Ottawa alone are owed several millions of dollars from Nortel. For example, JDSU was owed $2 million at the time Nortel went into bankruptcy protection in January.
Companies that were owed money when Nortel sought protection should receive written notice from the courts about filing a claim. If Nortel has your business address, they are also supposed to send you notification.
However, details of how to file a claim and who qualifies are already available on Ernst and Young's website, the company managing Nortel's bankruptcy file. The website also links to American bankruptcy courts that have their own claims process, but the same September deadline.
The courts have also ordered Nortel to set up a fund of $750,000 for those who can make a convincing argument that they need help.
Ex-Nortel employees who have found themselves in hardship because they were terminated without severance pay could qualify for up to $12,000.
Qualifying for the fund is very specific. In brief, former workers must be without any source of income and have high medical bills that are not covered in any way. Further details can be found on the Ernst and Young website. The money is considered an advance payment on eventual settlements.
The courts believe those who were let go without severance will also eventually get some money when Nortel's bankruptcy situation is finally wound up.
Ex-employees who did not get severance and don't find themselves in hardship situations, do not have to file a claim because those cases are already on file.
With a report from CTV Ottawa's Paul Brent
