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Client sues marketing agency over failed website project

On Behalf of | May 26, 2019 | Business Litigation |

Business owners and executives in Florida know that entering into contracts is an important and delicate part of operating a company. The manner in which a contract is developed and the specific verbiage it uses can help or hurt one or both parties if a dispute ever arises. The terms and verbiage of one contract between a major car rental company and a marketing agency will likely be under close examination in a new lawsuit.

As reported by Consulting magazine, the rental car company hired the agency to develop an all-new website and associated mobile application. Unfortunately, the work was not delivered in the manner that the client believed was appropriate. Now the company is suing the agency for breach of contract.

One topic of issue is that the client specifically required the new site and app to be able to be utilized for its other brands as well as in countries around the globe. The code that was written, however, is said to be usable only by the parent brand and only in North America. Another problem related to security risks due to the manner in which the code was developed. The client also requested that the new site be responsive for appropriate use on tablets and other mobile devices but this request was ignored.

The car rental company is seeking full repayment of the $32 million it paid the agency plus additional costs. The agency is denying any wrongdoing at this time and indicates that they will fight the suit as they do not believe it is valid.