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ARTICLE · 07 JUNE 2004

Two–Nil: RACV wins against Unisys again!

Freehills
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In late 2001 we reported the decision of Justice Hansen in the Supreme Court of Victoria on a claim by RACV Insurance Pty Ltd (<B>RACVI</B>) and RACV Group Services Pty Ltd (<B>RACVGS</B>) against Unisys Australia Limited (<B>Unisys</B>) in respect of a failed IT project for the design, supply and installation of a work flow management system based on the imaging of documents (<B>WMS System</B>).

AustraliaMedia, Telecoms, IT, Entertainment
Irene Zeitler
Irene Zeitler

In late 2001 we reported the decision of Justice Hansen in the Supreme Court of Victoria on a claim by RACV Insurance Pty Ltd (RACVI) and RACV Group Services Pty Ltd (RACVGS) against Unisys Australia Limited (Unisys) in respect of a failed IT project for the design, supply and installation of a work flow management system based on the imaging of documents (WMS System).

The WMS System was intended to replace RACVI's existing paper-based system for the processing of claims. The system delivered by Unisys in March 1995 failed in operation and was soon decommissioned. Although Unisys attempted to fix the problems, it was unsuccessful and in June 1996 RACVI terminated its contract with Unisys.

Justice Hansen found in favour of RACVI and RACVGS (collectively RACV) and awarded damages in the order of $4 million for expense wasted on the contract.

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