Sprint to pay $17.1M over contract dispute

The U.S. District Court of Appeals ruled that Sprint must pay Penncro Associates $17.1 million over a contract dispute. Sprint hired the debt-collecting company, Penncro about five years ago to collect unpaid bills. In 2003, Sprint moved to end its arrangement with Penncro after citing issues with the company's call centers, that led to the dispute since Sprint had a contract with Penncro that required Sprint to pay the set amount regardless of the work quality. While both Sprint and Penncro originally appealed the $17.1 million ruling, the Court of Appeals ruling upheld it. The court noted Penncro's "continual staffing difficulties and significant performance problems" but also Sprint's need to uphold the contract.

For more on the ruling:
- read this article from the Kansas City Star

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