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Federal Contractor Misconduct Database (FCMD)

The federal government routinely awards contracts to companies with histories of misconduct, including contract fraud and other violations. POGO believes that providing this website will help to improve contracting decisions and increase public knowledge of how the government spends billions of taxpayer dollars each year. Read more…

Hensley vs. Computer Sciences Corporation (Colossus Software Litigation)

The plaintiffs in this class action alleged CSC, other insurance industry vendors and dozens of insurance companies conspired to wrongfully use software products licensed by CSC and the other software vendors to reduce the amount paid to the licensees’ insureds for bodily injury claims. They also alleged wrongful concealment of the manner in which these software products evaluate claims and of information about inherent flaws in the software. In August 2007, it was reported that some insurance company defendants decided to settle, and the value of the settlements could exceed $293 million. The plaintiffs settled with CSC in February 2009. According to CSC’s August 2009 10-Q, “As part of the settlement, the Company has agreed to certain injunctive relief, primarily involving the publication of information regarding the use of the Company’s software by its licensees in adjusting bodily injury claims, and to the payment of legal fees to legal counsel representing the classes in the litigation.”

Misconduct Type
Consumer Affairs
Enforcement Agency
Non-Governmental
Contracting Party
Non-Governmental
Court Type
Civil
Disposition
Settlement
Date of Filing
2/7/2005
Contractors Involved Penalty
Total
Computer Sciences Corporation Unknown
Further Information Released
August 2009 10-Q (excerpt) 11/5/2009
SEC 10-K (p. 8 of 91) 6/19/2006

Federal Contractor Misconduct Database