A North Carolina-based vending services company has filed a lawsuit alleging significant breaches of contract by its Ohio partners, claiming the misconduct has resulted in substantial financial losses. The complaint was lodged by USConnect, LLC in the United States District Court for the Middle District of North Carolina on February 17, 2026, against Vendors Exchange International, Inc. and Vendors Exchange International, LLC d/b/a VE Solutions.
The case centers around a Master Services Agreement (MSA) between USConnect and Vendors Exchange (VE), under which VE was to manufacture and sell kiosks equipped with USConnect’s technology for cashless transactions in vending machines and micro-markets. According to the complaint, VE failed to properly notify USConnect of all products using telemetry services as required by their agreement. This oversight allegedly led to unbilled service fees that should have been shared between the parties. “Defendants’ breach caused USConnect to miss out on its portion of the Service Fees,” the complaint states, indicating that these failures have resulted in six-figure damages for USConnect.
Moreover, USConnect accuses VE of deliberately omitting certain kiosk sales from invoices and directly billing operators without sharing revenue with USConnect. This practice involved selling “Undisclosed Kiosks” directly to affiliates or operators and retaining all associated service fees. The complaint asserts that this conduct constitutes conversion of funds owed to USConnect under their agreements.
USConnect is seeking multiple forms of relief from the court: actual damages exceeding $75,000, punitive damages for conversion acts, imposition of a constructive trust or equitable lien on misappropriated funds, an accounting of all service fees received related to undisclosed kiosks, pre-judgment and post-judgment interest on awarded sums, attorneys’ fees per MSA’s indemnification clause, and other just relief deemed appropriate by the court.
Representing USConnect are attorneys Philip J. Mohr and John D. Wooten IV from Womble Bond Dickinson (US) LLP based in Greensboro, North Carolina. The case is being presided over by judges at the United States District Court for the Middle District of North Carolina under Case No. 1:26-CV-174.
Source: 126cv00174_USConnect_LLC_v_Vendors_Exchange_International_Inc_Complaint_Middle_District_North_Carolina.pdf
