The dispute is understood to involve about A$300,000 (about US$214,600) which Euro believes it is owed, while Hutchison has questioned the value of work it was receiving for the retainer paid. While the dispute was being resolved, Orange has called a review of its $10 million account and invited eight agencies to submit credentials, which will be shortlisted to four for a strategic and creative presentation.
Euro launched Orange in Australia in 1999 but the relationship became strained after Orange decided to dump the controversial 'Now talk' campaign in favour of the current 'Orange. Fair' ads that launched last October.
Sources suggest that Hutchison is planning to move to more retail-oriented advertising, although the 'Orange. Fair' slogan will be retained.
The final straw for Euro was believed to be Hutchison's decision to hire the consulting firm P3 to investigate Euro's invoices. Both Hutchison and Euro managing director Glen Fraser declined to comment on the dispute.
Orange's director of mobile paging and information services, Phil Wise, did confirm that the account was under review.