The Law Office of Lynnette Ariathurai A Professional Corporation

Insurance company sues in business contract dispute in California

Business requires a certain amount of trust. However, too often in business, trust is broken between parties involved in a contract when one party fails to fulfill the terms of an agreement. This can quickly lead to a breach of contract lawsuit. This is what one insurance company is finding out in a recent business contract dispute in California.

Blue Shield of California has recently sued its former policy director, and it is accusing him of a breach of contract. The legal complaint filed with the court claims that the defendant has disclosed company information that is considered confidential. The insurance company claims that some of the information contains attorney-client privileged details. The former director has taken it upon himself to release this information to the public due to his negative opinion of Blue Shield.

The former policy director resigned from the insurance company in March. The man began to disclose the confidential information shortly after leaving his position in the company. The plaintiff insurance firm is asking the court to order the defendant to return any confidential information he has obtained and stop disclosing more information in the future. Forensic analysis of the defendant's company computer showed that he accessed private and confidential documents prior to resigning.

There are always two sides to each story, and this business contract dispute in California is no exception. The defendant will also be able to present his side of the story in the court of law. The party that presents the strongest legal argument backed up by evidence and testimony will have the best chances of coming out on top in the legal dispute.

Source:, "Blue Shield Sues Former Executive Over Alleged Breach of Contract", November 10, 2015

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