Sprint’s lawsuit adds another hurdle to AT&T’s acquisition of T-Mobile

Sprint’s lawsuit adds another hurdle to AT&T’s acquisition of T-MobileJoining the US Department of Justice (DoJ) in taking the legal route against AT&T’s proposed $39-billion acquisition of T-Mobile USA, Sprint Nextel recently filed its own lawsuit to block the AT&T/T-Mobile merger.

Sprint’s argument against the deal is similar to the one put forth by deputy attorney general James M. Cole --- that is, the AT&T takeover of T-Mobile will limit competition in the telecommunications industry as well as have an adverse affect on consumer choices.

Moreover, according to Melissa Maxman, an antitrust attorney with law firm Cozen O'Connor, the filing of the lawsuit by Sprint gives the carrier a chance to make additional arguments which may not likely be put forth by the government. Maxman is also of the opinion can be more vigorous in tabling its arguments as it is “the injured party in this merger.”

Noting that “Sprint opposes AT&T's proposed takeover of T-Mobile,” Susan Haller - Sprint's Vice President for litigation - said in a prepared statement released on Tuesday: “With today's legal action, we are continuing that advocacy on behalf of consumers and competition, and expect to contribute our expertise and resources in proving that the proposed transaction is illegal.”

With the DoJ as well as Sprint having now filed legal challenges to wreck AT&T’s take over of T-Mobile, the complaints will prove to be potential hurdles in AT&T's way --- the carrier will be able to complete to deal if it either makes efforts to reach a settlement with the government or wins the court battle!