Unjust Enrichment • Promissory Estoppel • Fraudulent Misrepresentation • Negligent Misrepresentation

Progenyhealth, Inc. v. Caresource Management Group, Co., PICS Case No. 17-1120 (E.D. Pa. June 15, 2017) Joyner, J. (13 pages).

Plaintiff failed to substantiate its claims alleging unjust enrichment, promissory estoppel and fraudulent and negligent misrepresentation after defendant used plaintiff's name and reputation with plaintiff's consent to acquire new contracts but did not retain plaintiff as a subcontractor under those contracts because plaintiff failed to establish the existence of an express representation, promise or “contract-like promise” to support its claims. Motion to dismiss granted.

Plaintiff sued for unjust enrichment, promissory estoppel and fraudulent and negligent misrepresentation after defendant relied on plaintiff's success and reputation to win contracts but then did not retain plaintiff to provide services. Defendant managed health care provider contracted with plaintiff to provide neonatal medical and case management services pursuant to a contract with the state of Ohio. Defendant received requests for proposals from Georgia and Indiana and asked plaintiff to submit letters of intent so that defendant could use plaintiff's information in responding to the RFPS. Defendants were awarded the Georgia and Indiana contracts but did not subcontract with plaintiff in either state. Plaintiff contended that defendant did not compensate it for the use of its name, made promises regarding future dealings under the Georgia and Indiana contracts and that those promises induced it to hire and train additional personnel.