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Hertz files breach of contract claim over project delays

On Behalf of | May 1, 2019 | Commercial Litigation |

When companies in Louisiana and elsewhere outsource work to another company, they may expect the project to be completed within a timely manner. Any delays in project completion and delivery can create intense levels of conflict between the parties involved. Hertz Corporation has recently filed a breach of contract lawsuit against Accenture, claiming the company failed to complete a website design project by the agreed-upon date.

According to reports, the incident began when Hertz initiated a project to make improvements to its website and create an app for mobile phones. The company hired Accenture in Aug. 2016 to design and build the site and app and states that it paid Accenture more than $32 million in fees and expenses. The website and phone app were initially set to go live in Jan. 2018, but delays in its completion forced the company to postpone the release.

After nearly two years, Hertz stated that the project still wasn’t complete and it decided to end the arrangement in May 2018. Hertz also claims that parts of the project that it has received are defective and underdeveloped. The company asserts that the incident has led to substantial financial losses and it is seeking restitution through a breach of contract claim.

Any delays in project completion can have a substantial impact on a company. Those who encounter breach of contract disputes under similar circumstances may wish to know more about their available options for legal recourse, and they could benefit from obtaining legal counsel for advice on how best to proceed. An attorney can examine the circumstances a client in Louisiana is facing and assist him or her in pursuing the full amount of restitution entitled.