Software firms sue state agency for €871,200 over election system

Three companies are seeking €871,200 from Latvia’s State Digital Development Agency over work on election software, LSM reports. Baltic Software Factory, Expert Quality and Lightsoft Solutions have filed a claim with the Riga City Court for payment for developing the SKENIS subsystem of the election platform.

The dispute concerns an agency order issued on February 25, 2026, to upgrade SKENIS for counting votes in the 2026 parliamentary elections. The upgrade was intended to allow ballots to be processed at polling stations before being uploaded to the central system, strengthening the technical resilience of the election process.

Baltic Software Factory said the agency had approved the specialists involved through a security institution, signed the contract and later approved the start of a second phase. The company said it worked closely with the agency and delivered the completed software and documentation on April 23, within the agreed deadline. Shortly afterwards, it said, the agency announced it was unilaterally withdrawing from the contract.

Company chairman Oskars Vilītis said the agency had refused to pay for the work, citing an opinion from a security institution whose specific reasoning remains confidential. The company maintains that the agency’s decision not to continue the cooperation does not remove its contractual obligation to pay for work completed.

Agency representative Kristaps Prēdelis told LSM that the agency could not comment because it had not yet received any court documents.