Course: CYB203 (IT Security: Ethical and Legal
Issues in Canada)
Assignment - 1
Topic: IBM and the State of Indiana Involved in
a Breach of Contract Dispute
Student Name: Bhavdeep G. Hapani
Student ID: 23010309
Section: Morning
1
Individual Assignment
1. Future opportunities for IBM:
• The undertaking given changes into face in Indiana, IBM need to carefully follow
the future possibilities to provide solutions for national social business enterprise
programs.
• The hard application of cross purposeful joint venture launched requirements, and
structural modifications can create the noteworthy risks, and IBM must carefully in
mind that component before carrying out nearly identical tasks inside the same
manner.
• While acknowledging the challenges of creating national social enterprise
systems, it should turn out to future opportunities. The lesson to learn from get
knowledge can be important for up coming project.
2. Compensation for Indiana and IBM:
• Indiana Rights: Indiana is entitled to full payment from IBM because the system
malfunction injured the public and increased operating costs. Federal costs
coupled with unfair revenue sharing, as well as high error rates, reflect the negative
impact of safe policies on success.
• IBM statement: IBM should not be allowed to keep revenue from the restructure
and constructing. The overall business failure, the break of contract, and the
inconvenience caused to need citizens decree full compensation to the State of
Indiana, and IBM's count of measures are not clarified and justified.
• Profitable Outcomes: IBM claims the new system has reduced scam, develop
business to crating jobs opportunities and saved Indiana costs. it's a helpful to
profitable outcomes.
• Equipment Provision: IBM provided equipment that FSSA personnel continue to
use. This is contribution has been showing as a valuable asset and reward for
services provider.
• Negative effects on services: High rates of errors, delays in claims processing, and
abuse of benefits meant that the program was not achieving intended objectives
The state paid for programs that have not delivered the promised efforts and
benefits.
2
3. Judicial Decision:
There are many reasons to disagree with a judge’s decision.
• IBM Liability: IBM should be held liable for the failure of its policy, and the judge's
denial of costs and the substantial reduction in fees requested by Indiana is unfair.
• Disproportionate Equipment Costs: million in equipment payments appear
disproportionate and unreasonable, contributing to an unfair outcome.
• Summary of Meritorious Claims: The State of Indiana delivered a meritorious letter
of compensation, demanding that IBM fix the financial and financial and
economic effects of the failure to establish practical systems for him. The judgment
was rejected the letter of judicial decision.
• Judge decision to reject IBM’s claim for damages appears to be excessively
punitive, considering that the project faced unexpected challenges and failed to
secure the positive results that IBM claimed antom.
• The million payment for equipment must be considered excessive, especially if the
equipment was necessary for the continued operation and improvement of the
state’s social services system.
• This decision may disperse technology of companies from undertaking complex
govt. project for fear of huge financial important from unexpected challenges.
References:
1) https://www.govtech.com/health/ibm-and-indiana-suing-each-other.html
2) https://www.marketscreener.com/quote/stock/IBM-4828/news/IBM-Seeks-
Enforcement-of-Indiana-Welfare-Contract-13374385/
3) https://www.govtech.com/health/ibm-and-indiana-suing-each-other.html
4) https://www.indystar.com/story/news/2017/08/07/court-ibm-owes-state-128-m-
welfare-privatization-dispute/544789001/
