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Thursday, April 18, 2024

Church of Jesus Christ of Latter-Day Saints sues Texas data center company over contract dispute

Federal Court
Salt lake city 1241661 1280

The LDS temple in Salt Lake City, Utah. | Pixabay

SALT LAKE CITY (Legal Newsline) – The Church of Jesus Christ of Latter-Day Saints is suing its former data center over a contract dispute.   

The Church of Jesus Christ of Latter-Day Saints filed a complaint Jan. 17 in the U.S. District Court for the District of Utah against DataBank Holdings LTD alleging breach of duty of good faith and fair dealing.

The plaintiff entered into two agreements for space in a security data center with C7 Data Centers, whose assets were purchased by DataBank, in March 2014. The plaintiff alleges the agreement included C7 providing it with services and tools for managing its computer hardware and servers. 

The plaintiff alleges C7 did not consult it about the transfer of their agreement to DataBank, that DataBank failed to maintain the proper amount of cybersecurity liability insurance as required by the contract, and continued to bill the plaintiff $9,000 per month after it did not renew the contract. 

The plaintiff seeks a judgment declaring its agreement was effectively terminated in November 2019 or a judgment declaring C7's transfer of their agreement was null and void. It is represented by Cameron Hancock and Jackie Bosshardt Wang of Kirton McConkie in Salt Lake City. 

U.S. District Court for the District of Utah case number 2:20-CV-00037-PMW

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