Home > News > IBill's Motion Against First Data Denied • Bookmark   • Newsletters   • Register Search Options

NEWS STORY

IBill's Motion Against First Data Denied

IBill's Motion Against First Data Denied
Get XBIZ News
Sep 22, 2004 2:33 PM PDT    Text size: 
NEW YORK – As beleaguered payment processor iBill continues to process payments amid looming uncertainty, Judge Orin Kitzes of the New York State Unified Supreme Court issued a motion denying the company's request for a preliminary injunction against credit card processor First Data Merchant Services Corp.

Deerfield Beach, Fla.-based iBill filed a complaint against First Data on Sept. 17. alleging that the company reneged on its promise to help iBill transition its accounts to another credit card processor after the expiration of a contract dating back to 1998.

First Data issued a statement Wednesday stating that its decision to terminate its relationship with iBill was based on wanting to move away from dealings with the adult entertainment industry.

After the agreement between the two companies expired on Sept. 15, iBill claimed that First Data's breach of contract threatened irreparable harm to iBill and its customer base, including insurmountable daily financial losses and the possibility of going out of business.

First Data claims otherwise, stating that it had provided iBill with multiple notices warning that once its contractual obligations expired, it would no longer provide services.

IBill had originally planned to transition its more than 4,000 Internet clients to New York-based Merrick Bank by November.

"First Data regularly evaluates its lines of business to ensure they are a good fit for the company," First Data said. "We have determined that processing payments of the adult entertainment marketplace is inconsistent with our core values."

First Data is officially no longer processing payments for iBill, the company added.

IBill stated in its complaint to the court that without First Data's continued services it could go out of business by as early as next week.

IBill has not said yet whether it intends to appeal the decision.

According to the law clerk for Judge Kitzes, the written decision will be issued within the next few weeks.

Pompano Beach, Fla.-based Care Concepts I, the majority owner of iBill, was not available for comment.

More ways to get XBIZ News:  RSS Feeds  |  E-Newsletters  |  Desktop Widget  |  Mobile
Looking for porn star news and behind-the-scene videos? Check out XFANZ.com !

BUSINESS ANALYSIS

Lubes, Lotions and Potions: Manufacturers Talk Gateway Products

Sensual body care products have strong consumer interest and plenty of appeal for customers of all types. With lubes, massage oils, creams, lotions, and sprays all bringing in significant sales, manufacturers... More »

Cam World: Top Models Often Reinvent Their Rooms

Throughout my travels this year, after meeting with many cam models and studios, I’ve observed a recurring theme among the crème de la crème — in order to stay on top, they often... More »

Adult Biz Faces More Obstacles Past Prop. 60 Battle

On Feb. 1, I completed 365 days as the Free Speech Coalition’s executive director. It was a turbulent first year, and when I received the 2017 XBIZ Industry Leadership Award I was startled, humbled... More »
XBIZ NEWSLETTERS
Stay informed of the latest industry developments. Get XBIZ newsletters delivered to your inbox. Subscribe today!
Enter email address:

* To manage existing subscriptions click here.






POPULAR PRODUCTS & SERVICES
Submit your press release to
multiple news outlets with 1 click.
Subscribe to RSS news feeds or
add free content to your website.
Access XBIZ news and articles
with your mobile device.
Access the latest issues of the industry's leading trade publications in digital form. View online or download for offline viewing.

UPCOMING EVENTS

XBIZ.net Paysite Meetup

May 04 - May 04
Prague, Czech Republic

Eurowebtainment 2017

May 17 - May 20
Majorca, Spain

XBIZ Retreat

May 30 - Jun 03
Miami, Florida

XBIZ Miami 2017

May 30 - Jun 02
Miami, Florida
Everyday thousands of business professionals browse XBIZ's industry directory for quality products and services. Not listed yet? Your company could be losing potential new business. Submit your company today!
Use XBIZ RSS feeds to stay informed of the latest industry developments or as a content syndication tool for your website!