Tyro Payments, the Sydney-based fintech specializing in payment solutions, has initiated legal proceedings against Kounta, a point-of-sale (POS) company. The lawsuit alleges that Kounta has violated contractual agreements between the two companies by promoting a competing product from Lightspeed Payments.
Background of the Dispute
Kounta was acquired by Lightspeed, a Canadian cloud-based POS company, in 2019 for $35.3 million. This acquisition was aimed at strengthening Lightspeed’s presence in the Asia-Pacific region. Tyro Payments contends that Kounta’s actions occurred “while Kounta is Tyro’s agent under a contract between the parties and an authorized representative under Tyro’s Australian Financial Services License.”
Legal Action and Seeking Resolution
Tyro Payments asserts that it made efforts to resolve the dispute through commercial means but was unable to reach a satisfactory resolution with Kounta. Consequently, Tyro has initiated legal proceedings in the NSW Supreme Court. The fintech seeks court orders to restrain Kounta from breaching its contractual non-solicitation obligations to Tyro, which extend until September 2024.
Additionally, Tyro is pursuing a request for Kounta to indemnify the company for any losses resulting from contractual breaches or non-performance, along with damages and compensation.
This legal dispute highlights the importance of contractual agreements and the complexities involved in cases of alleged breaches. The outcome of this legal action will determine whether Kounta is in violation of its contractual obligations to Tyro Payments.