You may keep your phone if you pay the difference between the subsidized price & full price. Yet that's not a good idea since it's useless on Verizon.
If you choose to follow the advice above, and want to preserve your credit, as well as keeping it legal, I highly encourage you to read the contract you are currently bound to.
It's a legal binding contract, you have no power to change it. Nor do you want to find yourself in the position of being rejected by other carriers because you're in default.
Never underestimate how serious the carriers are. They have the best legal teams in the business. The odds are against you.
Terrible misinformation here. Did you read the OP????? Att are kicking him out THEY are breaking the contract. The OP gets out of the contract scott free, gets to keep his iphone, and does not have to pay any fees. Get over yourself