An Erie County, PA, court has awarded Velocity Network -- former Internet and communications provider for Allcare Dental & Dentures -- $1.3 million after Allcare failed to respond to a lawsuit filed by Velocity on January 6.
In the lawsuit, Velocity claimed that Allcare owed it more than $1.1 million for unpaid services in 2009 and 2010, according to a story in the Erie Times-News.
Velocity originally entered into an agreement with Allcare in July 2009 to provide the dental chain's Internet and communication services for 36 months. The two companies later signed additional agreements for other services, according to the lawsuit.
Allcare, which originally started in Erie and later moved its headquarters to suburban Buffalo, abruptly closed all 38 of its offices in January, leaving hundreds of patients with out care or access to their dental records. The company cited "financial difficulties" as the reason for shutting down.
Some former Allcare patients also are pursuing the company through class-action litigation, claiming Allcare knowingly took money from them and potentially thousands of other patients for services it never intended to deliver.
