The Law Office of Lynnette Ariathurai A Professional Corporation

Education company sues university in business contract dispute

Education is an important part of society and will be what provides the next generation with the tools and knowledge to move society forward. However, many people also forget that education is a business just like any other industry in California and other states. Many times, conflicts will arise between parties of a business arrangement. This is what recently happened between one educational company and a university, resulting in a business contract dispute.

The plaintiff, a learning management system company, is accusing the university of allowing more students access to the system than had been previously agreed upon. The university responded by filing its own lawsuit against the company, claiming that the firm provided a malfunctioning product for exorbitant fees. The plaintiff, Learning Technology Partners, had been providing access to the university since December 2004.

The two parties originally agreed to a simple flat feet for each student accessing the learning management system. Then, in 2009 and 2011, the parties agreed to expansions in the terms of service. In 2011, the system began to experience problems with capacity and severe usage. The company is claiming that the university intentionally allowed students access to the system who were not supposed to have access, while the university is accusing the company of providing a malfunctioning product and service.

Now, the two parties will look to explain their respective sides of the story in court in order to resolve the business contract dispute. In a breach of contract dispute in California or any other state, a judge will decide how the issue will be resolved by looking at evidence and testimony presented during the trial. Therefore, it would be in each party's best interest to have a thoroughly prepared legal strategy.

Source:, "Dueling LMS Lawsuits", Carl Straumsheim, Oct. 16, 2014

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