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Business, Economy and Consumer Affairs

State Asks To Pull Judge Off IBM Case

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The state is asking for a new judge in its case against IBM – the company charged with overseeing the technological overhaul of the state welfare system.

 

That's after the initial judge, David Dreyer of the Marion County Superior Court, ruled last week that the state hadn't proved IBM owed anything.

 

Dreyer was also the first judge to handle the case -- in 2012, when he ruled the company had not breached its contract to privatize and modernize Indiana's welfare system under Gov. Mitch Daniels.

The state appealed that ruling, which sent the case to the Supreme Court. They disagreed with Dreyer, ruling that IBM hadn't made good on its $1.6 billion agreement. Lawyers for the state argued the failure was worth up to $177 million in damages.

 

The high court sent the case back to Marion County to determine how much IBM should pay, but last week, Judge Dreyer ruled again that the state hadn't proved that IBM owed anything.

 

Lawyers for the state have asked for Dreyer to be removed from the case so another judge can rule on damages.

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