Resolution of Provider 7-Figure Billing Dispute
Problem
An enterprise entered into a multimillion dollar agreement with a provider for services and equipment. When the enterprise sought to eliminate certain legacy services, it encountered unexpected and significant cost increases, along with continued billing for services it had formally requested to disconnect. The enterprise engaged LB3 to assess the validity of the provider’s claims and to help resolve the dispute efficiently and without litigation along with continued billing for disconnected services.
When billing disputes escalate, find the path to resolution – without litigation.
Solution
Through structured, contract-based communications and the enterprise’s readiness to develop and implement a viable “Plan B” to reduce the provider’s leverage, the enterprise successfully resolved the majority of the seven figure dispute. With persistence and diligent follow through, the enterprise addressed the remaining issues with a positive overall outcome-without resorting to litigation.
With persistence and diligent follow through, the enterprise successfully resolved the majority of the seven figure dispute.
Results
By not allowing the vendor to control the narrative and ignore the facts, the enterprise was able to avoid significant liability and implement a transition plan that led to a strong network solution. Careful invoice review – along with clear contractual terms and remedies governing the timing and billing of disconnected services – is essential to avoiding billing disputes.
- Strategic and timely responses (as well as careful record keeping) can reduce vendor resistance, while well defined contractual dispute resolution processes and invoicing requirements can prevent or expedite the resolution of conflicts.
- Provider online terms are rarely customer friendly, but they must not be overlooked.