Covad and Verizon have announced an agreed settlement that “resolves all pending litigation and disputes” between them, including the dismissal of Covad’s upcoming antitrust case against Verizon, dismissal of a suit Verizon filed against Covad, and resolution of all billing disputes.

Another agreement also enables Covad to provide xDSL services over lines being used Verizon’s voice services resellers.

"We are pleased to be able to expand our existing wholesale relationship with this highly valued customer," said Virginia Ruesterholz, President of Verizon’s Wholesale Markets. Financial terms were not released.

Covad has also entered into an agreement with MCI, which is in the final stages of its merger with Verizon. The agreement makes Covad a “preferred provider of local access and network services” to MCI’s DSL business customers.

"These agreements build a new, positive relationship with Verizon," said Charles Hoffman (pictured), Covad president and CEO. "MCI has been a valued customer and vendor to Covad for many years. The agreements we are announcing today provide an exciting opportunity to grow our business with the combined companies upon closing of the MCI acquisition. MCI has a substantial customer base outside of Verizon’s local footprint."

"We look forward to a continuing relationship with Covad as a valued supplier and customer to MCI" said Randal Milch, Senior Vice President and Deputy General Counsel of Verizon. "We are also pleased to begin this new chapter in the Covad-Verizon relationship."