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In order to access Canadian phone numbers, VoIP providers work with regulated telecom providers that connect into the public switched telephone network.Getty Images/iStockphoto

Internet phone provider NetTalk says it has restored full service to thousands of Canadian customers who were unable to receive incoming calls for several days.

Florida-based NetTalk.com Inc. said all features of its Canadian Voice over Internet Protocol (VoIP) telephone service were restored late Wednesday evening.

In order to access Canadian phone numbers, VoIP providers work with regulated telecom providers that connect into the public switched telephone network.

NetTalk's outage occurred following a dispute with Iristel Inc., a Markham Ont.-based telecom provider that had been facilitating access to Canadian phone numbers for NetTalk.

Iristel claims NetTalk owes it $2-million in unpaid bills but NetTalk disputes that amount. The companies, or individuals from the companies, are also involved in litigation against each other over previous disputes.

On Dec. 30, Iristel sent NetTalk a notice that it was planning to disconnect the numbers by Jan. 15 and warned NetTalk to "port" the numbers to another Canadian provider before that time.

The two sides have publicly argued over whether appropriate arrangements were made before that date, but as a result of the dispute, NetTalk customers in Canada were unable to receive incoming calls from non-NetTalk subscribers.

NetTalk said the outage affected about 27,000 customers. The company said in an email Thursday that it is now working with Primus Telecommunications Canada Inc. for access to the Canadian numbers.

Iristel said in its own statement Thursday that it reached a deal with Primus that will see Primus "serve netTalk subscribers and pay Iristel a portion of what netTalk is obligated to pay Primus."

Primus won a court order for protection from its creditors earlier this week and is working to finalize a deal to sell itself to U.S. telecom provider Birch Communications Inc. Primus CEO Michael Nowlan said the court process will allow it to continue operating as normal while it restructures.

Iristel and NetTalk both said the Canadian Radio-television and Telecommunications Commission (CRTC) provided guidance in resolving the situation.

CRTC spokeswoman Patricia Valladao said in an e-mail Thursday the commission "is pleased to have helped facilitate a resolution for NetTalk customers."

Asked about what the CRTC could do to ensure similar outages do not occur in the future, Ms. Valladao said, "Now that service is restored, the CRTC will review the events that led to this matter and will determine if any further regulatory intervention is needed."

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