The Social Insurance Fund failed to win a 4 million hryvnia lawsuit against Mediasoft for unfulfilled work.

by Editor • 14.03.2016 • 0 Comments

The Social Insurance Fund (the Temporary Disability Insurance Fund) failed to collect UAH 2,88 million in advance payments and UAH 1,36 million in penalties and fines from Mediasoft LLC for breach of contract. This is according to a ruling by the Supreme Commercial Court dated February 24, as reported by Nashi Groshi.

In December 2012, Mediasoft agreed to commission the pilot operation of the Unified Electronic Registry of Sick Leave Certificates for UAH 9,59 million. The company was to provide services to 2,831 medical institutions in eight regions of Ukraine. On December 17, 2012, the Fund transferred an advance payment of UAH 2,88 to the company. Services were to be provided by March 31, 2013.

In the spring of 2013, Mediasoft submitted two certificates of completion to the Fund. According to the documents, work had been completed at 1,413 medical institutions, totaling UAH 4,79 million. However, the company stated that it was impossible to implement an electronic registry at the remaining hospitals due to their lack of computers and internet access. Furthermore, as a result of the reform, the number and structure of institutions had changed. Mediasoft also stated that the contract expired on March 31.

The fund did not sign the aforementioned reports because it did not receive separate reports for each area. Furthermore, the report forms did not comply with contract requirements, and one completed work report was submitted late. The fund filed a lawsuit seeking to recover from the company the advance payment of UAH 2,89 million, as well as UAH 1,36 million in fines.

The case was heard in court multiple times. Ultimately, the courts refused to award Mediasoft the advance payment and penalties. They concluded that the company's breach of contract was not its fault. Furthermore, Mediasoft completed work worth UAH 4,79 million, which exceeded the advance payment.

The court also ruled that the agreement between the Foundation and Mediasoft was not terminated. The founders of Mediasoft LLC are Vitaliy Andrei and Oksana Fitsak.

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