Web hosting company GoDaddy Media Temple filed a complaint against Anexio Data Centers. The complaint was filed on October 2nd for breach of contract over its purported failure to reimburse the plaintiff after it neglected to provide contractually obligated services. GoDaddy claims that the company has paid for the Anexio’s data center services. However, Anexio was evicted from the data center and did not refund the money to GoDaddy.
GoDaddy also stated that Anexio has acknowledged that the company owes GoDaddy for the failure to provide services as agreed on the Master Services Agreement. GoDaddy claims that the company had to sign an agreement with another company to provide the same service in the same region for that period of time. The advance payment sent by the GoDaddy is claimed to be $1,139,827.80 not including interest. The company stated in the complaint:
“On or about June 15, 2016, the Parties entered into a “MASTER SERVICES AGREEMENT” (“MSA”). A true and correct copy of the MSA is attached hereto as Exhibit A. Pursuant to the MSA, DEFENDANT was required to use reasonable efforts to deliver an invoice for recurring monthly service charges at least thirty days prior to the first day of the month to which such invoice relates. ANEXIO offered PLAINTIFF a 10% discount for services associated with the data center in El Segundo, CA (“LA Data Center”) in exchange for advance payment for the time period from March 1, 2019 through December 31, 2019. PLAINTIFF advanced payment to DEFENDANT in the amount of $1,899,713 to cover services from March 1 through December 31, 2019. On June 20th, 2019, however, DEFENDANT was evicted from the LA Data Center and Case 1:20-cv-01342-UNA Document 2 Filed 10/02/20 Page 1 of 13 PageID #: 42 LEGAL\48638508\1ceased to provide PLAINTIFF with services, or access to the LA Data Center pursuant to the terms of the MSA, leaving a credit balance in the amount of $1,139,827.80 not including interest.”