Breach of Promise to Extend Contract at Center of Lawsuit
Last week, Stella Systems, a Ukranian software company sued its U.S.-based partner, charging that the defendant broke their promise to renew and/or extend their decade-long partnership, and then proceeded to raid their employee ranks, inducing nearly 20 key employees to depart Stella.
The response by MedeAnalytics, the defendant, was predictable: the agreement was over, and they decided to move on.
Naturally, the question on which this lawsuit will likely hinge is whether MedeAnalytics purported oral promise to extend the agreement is enforceable as a matter of law. If not, the complaint may be dismissed from the get-go.
In legalese, this is called a motion to dismiss, whereby the defendant essentially says to the court, "Even if everything the plaintiff says is true, so what? They should still lose under the prevailing law."