Oracle Corporation, the US-based multinational computer technology firm, is reportedly mounting legal action against a remanufacturing partner after a warehouse containing Oracle goods was broken into three times.
Multis Limited in California is the target of the Oracle lawsuit, filed after a warehouse operated by the remanufacturing firm suffered numerous security breaches. On three occasions, Oracle products were stolen by thieves.
In the lawsuit – filed in the US District Court in Northern California less than two weeks ago – Oracle claims that Multis’ failure to protect the property and its contents represented a breach of contract between the two parties, and also constituted negligence.
It has been noted that in the contract between the two firms, it was stated:
“[Multis] shall be responsible for any loss or damage to products or inventory due to [Multis]’s failure to properly preserve, protect, package, handle and ship any product or inventory.”
Although Multis is likely to have professional insurance in place to cover the building and its contents, the company may need something more advanced (i.e. professional indemnity insurance for negligence claims, or commercial business expenses insurance) to fight off a corporation the size of Oracle in court.