Payton & Associates, LLC
Commercial Litigation Attorneys
Miami, Florida

School sues tech company for breach of contract

A community college is filing suit against a tech company for allegedly failing to perform agreed-upon work, according to sources local to both businesses. Florida business owners understand how complex and involved technical support work can be, which appears to be at least part of the issue in this case. The school is suing for breach of contract in an attempt to recover some of the revenue they lost on the project. 

According to the filing, the original agreement was signed two years ago when the software company had intended to integrate service management software with the school's existing enterprise resource planning software. The project was plagued with delays from the outset, with the date to go live being pushed back several times over the course of two years. The complaint asserts that these pushbacks were the result of failings on the part of the software company.

The product was finally tested in April of this year, but directly afterward, further problems appeared to keep the product from moving into its next phase of development. Finally, the school discontinued the project in July after over two years of delays, and it paid the cost required to disconnect the company's systems from theirs. The school is seeking compensation to the tune of $360,000 in damages. 

Florida business owners know very well that a promise made to a customer, be it binding or verbal, carries a certain weight. In situations where the agreement takes the form of a contract, a breach of contract can mean not only financial hardship but also damage to the company's reputation. It is important for businesses to know their limits and the challenges of a project before putting pen to paper.

Source:, "Bucks County Community College sues tech company for breach of contract", Jim Boyle, Dec. 18, 2014

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