Articles Tagged with “contract disputes”

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Many Alameda County residents take their love of sports seriously. Contract disputes rarely affect a sports enthusiast’s ability to enjoy watching their favorite sports teams duke it out, but one recent disagreement may do just that for Lakers basketball fans. If Time Warner doesn’t resolve the contract dispute between it and several other providers, sports bars and individual satellite subscribers across the state who do not have access to Time Warner services may miss out on the majority of Lakers games this season.

Reportedly, Time Warner has the rights to broadcast Lakers games for the next 20 years. While some of the other networks–like ABC, ESPN and TNT–have the rights to show a combined total of 25 games this season, that means that Time Warner may be the only provider allowed to broadcast the other 57 Lakers games. Sports bars who do not have access to Time Warner services in their individual areas are understandably displeased with this possibility.
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An interesting breach of contract dispute is brewing between coffee powerhouse Starbucks and a family-owned food company who alleges that the larger corporation has basically put them out of business. Starbucks reportedly decided to stop honoring its contract with Mellace Family Brands, who provided them roasted nut snacks, once customers started complaining about the quality of the nut products. Mellace views that decision to discontinue its products as a breach of contract; one which resulted in the California-based food company going bankrupt.

In an interesting twist to the story, an FDA investigation revealed that the roasted nut snacks were apparently contaminated due to gas leaks in a facility that actually belonged to Starbucks, not Mellace. If true, that would seem to support Mellace’s side of the issue, rather than the coffee giant’s version. Mellace has sued Starbucks for approximately $20 million in damages over the discontinuation of their roasted nut snacks.
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Readers may remember reading earlier this summer about a contract dispute between HP and Oracle which was winding its way through the judicial system. A California judge has now ruled in HP’s favor, finding that Oracle did engage in a breach of contract after deciding to drop its support of HP Itanium servers. According to the judge’s ruling, Oracle must now continue to make database software that support Itanium until HP actually discontinues selling its Itanium servers.

HP announced its satisfaction with the court’s decision. The company issued a statement indicating that this courtroom victory was not just a win for them but also for HP customers. The statement also declared that HP now expected Oracle to fulfill its end of the contract in the wake of the judge’s ruling.
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A contract dispute between technology juggernauts Oracle Corp. and Hewlitt-Packard Co. is heating up in litigation. One HP representative claimed in court that his company was “shocked” at Oracle’s abrupt announcement in 2011 that it would no longer offer software support to HP, allegedly breaking its contractual commitment with the company.

The breach of contract allegation comes after years of the two technology companies reportedly working well together without a written contract. The HP representative claimed that long period of cooperation on joint engineering of Oracle software supporting HP platforms came to an end six months after a mutual agreement was reached regarding HP’s former CEO transition to become co-president of Oracle.
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Mergers and business acquisitions often involve a host of complicated issues that are not necessarily easily resolved. That may in turn lead to business litigation, such as a breach of contract dispute. Indeed, that appears to be what happened after the recent acquisition of Monarch HealthCare by UnitedHealth Group in November 2011.

Before the acquisition, Monarch had a contract with Blue Shield of California through which it offered services to a little more than 19,000 of Blue Shield’s customers in Orange County. According to Blue Shield, the sale of Monarch to UnitedHealth Group violated a provision of their contract. Blue Shield subsequently notified Monarch that the contract would be terminated effective May 1.
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