EXHIBIT 99.1
                                                   Arbitration Award



                        AMERICAN ARBITRATION ASSOCIATION
                         COMMERCIAL ARBITRATION TRIBUNAL


                                                     )
In the Matter of the Arbitration between             )
                                                     )
EPHONE TELECOM, INC.                                 )
                                                     )
and                                                  )
                                                     )
COMDIAL CORPORATION and                              )
ARRAY TELECOM CORPORATION                            )
                                                     )
Case Number 16 Y 181 00542 01                        )
                                                     )
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                              AWARD OF ARBITRATORS

         WE, THE UNDERSIGNED  ARBITRATORS,  having been designated in accordance
with the Strategic Alliance Agreement dated March 31, 2000 among Claimant ePhone
Telecom, Inc. and Respondents Comdial Corporation and Array Telecom Corporation,
and having been duly sworn and having duly heard the proofs and  allegations  of
the parties and having duly  considered the claims and  counterclaims,  find and
award as follows:

1.       Nicholas Branica is not an appropriate party to this arbitration and is
         hereby removed from the case.

2.       The claims of ePHONE Telecom, Inc. are hereby denied.

3.       On  the  counterclaim,  ePHONE  Telecom,  Inc.  shall  pay  to  Comdial
         Corporation  the sum of ONE MILLION SEVEN HUNDRED THIRTY  THOUSAND NINE
         HUNDRED THREE DOLLARS AND THIRTEEN CENTS ($1,730,903.13) within 30 days
         from the date of this Award.

4.       The  administrative  fees  and  expenses  of the  American  Arbitration
         Association  plus  the  compensation  of the  Arbitrators  collectively
         totaling  ONE HUNDRED SIX  THOUSAND  SEVEN  HUNDRED  SEVEN  DOLLARS AND
         SIXTY-EIGHT CENTS ($106,707.68) shall be borne by ePHONE Telecom,  Inc.
         Therefore,  ePHONE Telecom,  Inc. shall pay to Comdial  Corporation the
         sum  of  THIRTY-EIGHT  THOUSAND  ONE  HUNDRED  NINETY-ONE  DOLLARS  AND
         FORTY-THREE CENTS ($38,191.43) for that portion of administrative  fees
         and expenses of the American  Arbitration  Association and compensation
         and  expenses of the  Arbitrators  previously  advanced to the American
         Arbitration Association by Comdial Corporation.


5.       All claims and  counterclaims  which are not specifically  addressed in
         this Award are denied.

6.       Except as  otherwise  provided by this Award,  each party shall pay its
         respective   attorneys  fees,  witness  fees,  and  other  expenses  in
         connection with this arbitration.

This award is in full satisfaction of all claims and counterclaims submitted to
this arbitration.

                                             /s/ Terry L. Clark
                                             -----------------------------------
                                             Terry L. Clark, Arbitrator
                                             Date: 8/27/02

                                             /s/ Gerald F. Doyle
                                             -----------------------------------
                                             Gerard F. Doyle, Arbitrator
                                             Date: 8/27/02

                                             /s/ Tobey B. Marzouk
                                             -----------------------------------
                                             Tobey B. Marzouk, Arbitrator
                                             Date: 8/26/02