TeamStaff, a human resources outsourcing and temporary staffing
firm, has announced it will reduce the scope of a planned project
involving Lawson business software after the settlement of a
breach-of-contract lawsuit that it filed against the company.
TeamStaff, which had revenue of about $500m (£326m) in the first
nine months of its current financial year through 30 June, said it
will keep the financial applications it licensed from Lawson last
August. But the company plans to return Lawson's payroll and human
resources software and look elsewhere for that technology.
The outsourcing unit handles human resources for about 3,700 small
and midsized businesses with a total of more than 55,000
employees.
TeamStaff claimed in its suit that the software did not conform to
a list of specifications built into its contract, and the company
also contended that Lawson knew it could not meet TeamStaff's
requirements and had refused to provide fully functional software
under the original terms of the contract.
Donald Kelly, TeamStaff's chief financial officer, said that
TeamStaff plans to start implementing Lawson's financial
applications early next year and is evaluating human resources
software from other vendors.
Lawson is "pleased that we were able to reach a friendly
resolution" that keeps TeamStaff as one of its customers, said
Terry Blake, a spokesman for the software vendor. "We're looking
ahead to working with TeamStaff to implement Lawson's financials,"
he said.