Vonage Holdings and Nortel Networks have preliminarily agreed to cross-license several patents, ending a dispute between the companies without any monetary payments, Vonage said Monday.

All claims relating to past damages as well as remaining payments will be dismissed, the company said. Documents sealing the agreement have not yet been finalized.

The agreement is a minor victory for Vonage. The company has settled or reached tentative agreements in three other patent disputes related to VoIP (voice over Internet Protocol) and other telecommunications technology for what could ultimately reach US$239 million in payments.

Vonage tentatively agreed last month to settle a patent infringement lawsuit filed by rival AT&T for $39 million. Prior to that deal, Vonage had reached settlements with Sprint Nextel for $80 million and with Verizon Communications for $80 million to $120 million, depending on the results of an appeal.

The IDG News Service is a Network World affiliate.