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Oregon Sues Vendor Over Problematic Health Exchange

Oregon has sued Oracle America for allegedly shoddy work on the Cover Oregon health exchange, The Oregonian's Nick Budnick reports. The state is prosecuting various theories all alleging that the IT firm fraudulently enriched itself at Oregon's expense.

Both sides blame each other for the failure to hire a systems integrator, or a general contractor to oversee Oracle's work, Budick further reports. When the systems integrator was not hired, Oracle became the primary contractor and ultimately was paid more than $103 million.

Outside counsel Markowitz, Herbold, Glade & Mehlhaf has been deputized to handle the case for the Oregon Department of Justice in exchange for a $2 million contract, Budnick concludes.