Twitter Vendor Sues Twitter, X Over $260K in Unpaid Invoices Post-Musk Buy
Software services company Syndio provided Twitter with all the services it invoiced the company for under a master cloud services agreement (MSA), but the social media company breached the agreement by failing to timely pay recent invoices, alleged a breach of contract complaint (docket 3:24-cv-02316) Thursday in U.S. District Court for Northern California in San Francisco. An Oct. 29 MSA between the two companies sets out terms of the three-year agreement under which Syndio would provide its PayEQ and PayFinder software and support services. Twitter paid the first annual invoice in November 2021, the complaint said. After Elon Musk bought the company in October 2022, amid Musk’s “extreme belt-tightening that amounted to requiring nearly everyone to whom it owes money to sue,” Twitter stopped paying rent on some of its offices and “stopped paying several vendors whose services it was still using,” the complaint said. Syndio invoiced Twitter on Nov. 3, 2022, for $129,750, due on Jan. 2, 2023, and on Nov. 2, 2023, for $129,750, due Jan. 2, 2024, the complaint said. The plaintiff provided all services due, didn’t receive complaints from Twitter, and Twitter never terminated the MSA, it said. Syndio has corresponded with its remaining contacts at the company, but Twitter and X have “offered no justification for not paying,” it said. The Seattle-based company seeks compensatory damages in an amount to be determined at trial, costs of the lawsuit and pre- and post-judgment interest.