COVID-19 Testing Breach of Contract Suit Heads to Federal Court

On Wednesday, a lawsuit filed by Abira Medical Laboratories against Biodiagnostic labs (BDL) in Bucks County, Pennsylvania was removed to federal court. The plaintiff, a national medical testing company, said that the defendant, a laboratory services company, has breached a contract held between the parties.

The issue stems from an agreement the two labs had surrounding COVID-19 testing. In September of 2020, the defendant reached out to inquire about obtaining the plaintiff’s services, and the parties Reference Laboratory Agreement. Abira agreed to a year of COVID-19 testing for patients for the price of $45 per patient.

Under the terms of the contract, Abira says they provided all testing services requested of them. According to them, none of the bi-weekly bills sent to BDL have been payed, and there is currently a balance of $1,633,905 in unpaid dues.

The defendants were put on notice of default ,and they were given an opportunity to communicate any issue to the plaintiff. The defendant failed to do so, thereby leading to a demand having been made upon them for immediate payment of all past due invoices. They continued to neglect these demands, which forced the plaintiff into legal action.

The plaintiff requested that the defendant be found liable for breach of contract and that all unpaid dues and other fees and expenses be awarded to them.

The plaintiff is represented by David W. Ghisalbert. The defendant is represented by Rosenn, Jenkins & Greenwald.