When businesses engage in contractual relationships, the potential for problems down the road always exist. Nevada companies both big and small can attest to challenges they experience when facing a business dispute. In some situations, the problem is easily identifiable. Other times, however, the crux of the problem is not as clear-cut. Whether the issue involves a domestic or foreign company, fraud, product liability, breach of contract or more, the need for help is real.
A news story was recently published about problems reported in the development of the new Nevada Health Link website. Silver State Health Insurance Exchange, who owns the site, hired Xerox to be the vendor to develop the site. According to the federal mandate, the site went live on October 1, 2013 but it was not fully functional at the time, leading to the current situation. The site is where Nevada residents can purchase health insurance and also earn tax credits.
Xerox contends that it was unable to develop a complete site by the launch date due to unclear plans and a lack of information from the outset. The media article also indicated that the contract stipulates March 31, 2014 as the date by which some site features are to be implemented. The site owner’s objective was to achieve 118,000 paid enrollments in the first year. By the start of February, 14,999 have been received. The report did not indicate if any business litigation has commenced or is planned.
Contract disputes and unmet expectations can prove troubling for businesses. When the responsibility for problems is not agreed upon, working with an attorney can be useful as it can provide an understanding of the available options.
Source: Las Vegas Review-Journal, “Troubling provisions seen in contract for flawed healthcare exchange website,” Jennifer Robison, February 8, 2014
