The Union City Board of Education is suing a vendor who was paid $391,758.94 and never fulfilled their contract to provide the district with items including printers, Chromebooks, iMacs, and STEM pilot flight simulator stations.
The public school district filed the 12-page, seven-count lawsuit in Hudson County Superior Court on Friday alleging that New York-based Malor & Company, Inc. won a bid for “various technology,” which the board approved for $366,559.60 on June 16th, 2022.
A purchase order, which included 1,000 HP Chromebooks, came out to $401,879.48, however, the company allegedly never provided any of the goods outlined in the contract, which was cancelled on March 7th, 2023.
“Defendants engaged in unlawful conduct in violation of the [Consumer Fraud Act] because they did not fully and truthfully disclose the UCBOE their qualifications and ability to fulfill the terms of the contract with the UCBOE,” the lawsuit claims.
“Defendants knowingly misled the UCBOE, and intended that the UCBOE would rely on the misrepresentations, omissions, and acts of concealment so that it would enter into the contract to provide classroom technology.”
The Union City BOE contends that the New Jersey CFA was violated, as well as the Truth-in-Consumer Contract, Warranty, and Notice Act, breach of contract – along with breach of covenant of good faith and fair dealing – fraud, negligence, and unjust enrichment.
As a result, they are seeking actual and treble damages, statutory civil penalties, attorney’s fees and costs, pre- and post-judgement interest, as well as any other relief the court deems just and equitable.