GESSEL advises Sygnity S.A. on a settlement with Fast Enterprises
GESSEL served as counsel to Sygnity S.A. in its dispute with the American tech company Fast Enterprises, LLC concerning mutual settlements in the wake of the e-Podatki project commissioned by the Polish government (in which Fast Enterprises was a sub-contractor of Sygnity). In February 2021, the protracted dispute was brought to an end before a court-appointed mediator.
The dispute, four years in the running by the time of the settlement, involved two legal suits in which Fast Enterprises was claiming PLN 43 mln from Sygnity while the latter was pursuing counterclaims to the tune of PLN 21 mln.
Under the terms of the settlement, Sygnity will pay to Fast Enterprises approximately PLN 14 mln upon fulfilment of certain stipulated preconditions, including definitive discontinuation of the court proceedings between the Parties. Thanks to this closure, Sygnity will be able to free up some PLN 36 mln hereuntil set aside as a reserve connected with the dispute, increasing its net profit for Q1 2020-2021 by PLN 18.8 mln.
The brief – the court cases as well as the ultimate settlement – was handled by Marcin Robenek, managing associate and Anna Ziewalicz, senior associate, with Inarda Bielińska, of counsel contributing in the tax aspects.
Sygnity S.A., a GESSEL Client of long standing, is a publicly listed creator of complex IT solutions.
Fast Enterprises, LLC is an American supplier of software solutions for government; its clients include state agencies in the United States, Canada, and Finland.