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CNN settles contract dispute after over a decade of litigation

| Jan 16, 2020 | Contract Disputes |

Contract disputes can sour business relationships and hurt both contractors and their clients. Breaching a contract is often serious because it can result in financial losses and damages. A homeowner, for example, may see that a project is not done on time and be upset because they have to continue to live elsewhere, costing them much more money than expected. An employee might sue over a violation of a contract that leads to a loss of compensation.

Sometimes, disputes happen on a much larger scale. Take, for example, a case involving CNN and its unionized camera operators. CNN has agreed to pay $76 million in backpay to settle the dispute that involved the firing of those same workers in 2003.

The settlement comes after years of litigation during which Team Video Services fought to get compensation for its unionized workers. It had previously been alleged that CNN had ended the contract with the unionized subcontractor without bargaining or recognizing the unions. On top of that, the workers were then replaced by nonunion workers.

It can take time to resolve contract disputes. In cases like this, major payouts can make things right for workers who went without a severance or fair treatment.

What should you do if you’ve had a contract breached?

If your contract has been breached, it’s important to know your legal rights and to take steps to resolve the situation. Settlements might be possible, or the other party may be able to make you whole in other ways. Your attorney will help walk you through the situation and find a solution.

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