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Cognizant Being Sued by Syntel over TriZetto Acquisition

January 20, 2015
by Gabriel Perna
| Reprints

Cognizant, the Teaneck, N.J.-based consulting and business process outsourcing services company, is being sued for more than $6 billion over its recent acquisition of TriZetto.

The acquisition, announced last September, completed in November, and totaling $2.7 billion, did not sit well with Syntel, a global company with an American headquarters in Troy, Mich. According to the lawsuit, first reported by Reuters, Cognizant and TriZetto mishandled confidential information, broke  a contract, and refused to pay Syntel millions owed over “transition rebates.”'

Syntel is seeking $6.1 billion in punitive damages based on Cognizant's net worth and $3.4 million from TriZetto. Syntel is a competitor of Cognizant.

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