AT&T offers to drop $1.4 million lawsuit

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IPSWICH, Mass., July 10 (UPI) -- AT&T said it will drop its $1.4 million lawsuit against a Massachusetts business owner if he agrees to drop his countersuit.

Kate MacKinnon, a spokeswoman for the telecom giant, said AT&T is "no longer pursuing these claims, though we are entitled by law to collect the amounts owed," The Salem (Mass.) News reported Tuesday.

Michael Smith, who is being sued by the company for $1.4 million in charges and interest for international phone calls made by hackers who used his system at Todd Tool in Ipswich, said the company told him it will only drop the lawsuit if he drops his countersuit, which alleges an abuse of the legal system and a violation of consumer protection laws on the part of AT&T.

"They put me through hell for three years," Smith said.

The business owner said he wants to discuss the matter with his lawyers and family before making a decision.