BOSTON (06/22/2000) - Cablevision Systems Corp. filed a lawsuit in Delaware Chancery Court Monday to stop AT&T Corp. from taking majority control over Excite@Home Inc.
The lawsuit seeks to invalidate an agreement with Comcast Corp., Cox Communications Inc. and other Excite@Home investors that would turn control of Excite@Home over to AT&T. Cablevision, which also is an investor in Excite@Home, alleges in the breach of contract lawsuit that some provisions of the distribution agreement in the deal require Cablevision's consent, according to a written statement from the company.
Cablevision is seeking a temporary restraining order barring a change in Excite@Home's legal status following a shareholders meeting now set for Friday.
"We believe that AT&T's offer is fair and reasonable to all Excite@Home shareholders. We do not believe that Cablevision has the right to consent to AT&T's offer," David Caouette, an AT&T spokesman, said. Caouette said that AT&T declines to comment further on the matter.
Excite@Home issued a statement on Tuesday before the stockholder meeting, saying that there is no legal merit to Cablevision's claim.
Cablevision, based in Bethpage, New York, can be reached at http://www.cablevision.com/. AT&T, in New York, can be reached at +1-801-221-6000 or via the World Wide Web at http://www.att.com/. Excite@Home, in Redwood City, California, can be reached at +1-650-556-5000 or at http://www.excite.com/.