New Millennium Consulting, et al v. United Healthcare Services, No. 11-2541 (8th Cir. 2012)
Annotate this CaseUnited HealthCare hired Chimes, a centralized vendor management company, to assist it with the procurement and management of contingent workers. Chimes entered into supplier contracts with New Millennium and Pacific Management, among others, to provide the contingent labor to United HealthCare. New Millennium and Pacific Management brought this putative class action against United HealthCare, alleging that it was liable to them and other suppliers for the unpaid bills as the principal of Chimes. Because Chimes was not an agent of United HealthCare under prevailing Minnesota law, the court affirmed the district court's denial of class certification and grant of summary judgment to United HealthCare.
Court Description: Civil case - Contracts. In light of the express disclaimer of agency and the lack of any evidence that defendant consented to a third party acting as its agent, the third party was not defendant's agent under prevailing Minnesota law and the third party's suppliers have no basis for suing defendant for the amount the third party owed them when it went bankrupt.
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