Romanian Software Firm Sues N.Y.-Based E-Commerce Manager for Nonpayment

New York-based VideoShop, an app designed to help individual e-commerce sellers manage the sales process, owes Oves Enterprise, a Romanian software engineering company, $289,764 for unpaid invoices under a professional services agreement, alleged a breach-of-contract complaint Thursday (docket 1:24-cv-03581) in U.S. District Court for Southern New York. Oves “worked diligently” May 22-Oct. 3 to help VideoShops develop its “heavily publicized ‘social commerce’ platform” and sent time sheet invoices that the defendant preapproved, said the complaint. Terms called for VideoShops to pay Oves $54 per hour for software services related to the development of its “social commerce” platform, the complaint said. At least six dedicated Oves software engineers and programmers began work on or about May 22 and continued through Oct. 3, when work was halted due to nonpayment, said the complaint. VideoShops “received and retained” the invoices but “almost immediately defaulted on its payment obligations” to Oves and offered “a litany of ever-changing excuses for non-payment,” while promising to pay, it said. Excuses were accompanied by “false and misleading” promises to pay the outstanding invoices in an effort to induce Oves to continue performing services, the complaint alleged. VideoShop falsely claimed that nonpayment “was the result of bank errors,” said the complaint. The defendant didn’t comment Friday.