IT system row for Commercial Court

A dispute over a contract to provide a new electronic point-of-sale system between the providers of IT systems for retailers Wincor Nixdorf and Musgrave has been admitted to the fast track Commercial Court list.

Wincor Nixdorf says it was commissioned in 2014 to deliver apoint-of-sale system to grocery retailer and wholesaler Musgrave Ltd, trading as Musgrave Retail partners. It is claimed a master agreement was entered into between the parties in December 2014 in respect of the system.

During the course of these works, Wincor Nixdorf alleges Musgrave repeatedly breached the terms of contract. It says as a result it was “stymied and obstructed” and was unable to deliver the system in accordance with certain project milestones set out in the master agreement.

Last June it is alleged Musgrave, without warning, purported to terminate all of its agreements with Wincor Nixdorf. Wincor Nixdorf says the purported termination was wrongful, defective and void. The purported termination has caused the company serious harm and loss. It says just over €1m remains outstanding to it. It also estimates its losses caused by the alleged breach of contract from additional services it had provided to be approximately €10.4m. As a result it seeks damage.

The action was admitted to the fast track Commercial Court list by Mr Justice Brian McGovern. He suggested that the parties consider mediation.