Staffing Company Sues Healthcare Provider Over Alleged Failure to Pay

On Thursday, Medix Staffing Solutions, Inc. brought a suit against Novo Health, LLC and its affiliate companies in the Northern District of Illinois. The plaintiff is claiming that the defendant has failed to pay for services rendered.

The plaintiff is a staffing company serving the healthcare industry, while the defendant companies provide aggregated medical services.

The complaint states that “some payments, defendants failed to pay the balance of plaintiff’s invoices as they became due.”

As of January 12, 2022, the plaintiff claims that the “defendants owe a principal balance of $1,583,273.60.” The plaintiff also claims that the defendant made payments to the plaintiff on a periodic and irregular basis.”

The plaintiff claims that it had entered into a written contract titled “Epic Project Services Agreement.” The contract defined that the plaintiff would provide staffing services for the defendant and its affiliate companies starting on May 11, 2020. 

The main objective of this contract was to provide staffing personal for all of the defedndants companies 

In the agreement the plaintiff alleges that the defendant had agreed to a late fee of 1.5% per month for any undisputed invoice. All the invoices are undisputed.”

Other claims made by the plaintiff include allegations that the original contract between the two parties provided that Medix could utilize a collections services company to obtain any and all balances past due on the defendant’s account, as well as the added costs of “any related legal and collection services fees to the outstanding balance owed.”

Novo Health is facing three counts, breach of contract, unjust enrichment/ quantum meruit, and action for account stated.

The plaintiff is being represented by Chase Law & Associates, P.A.