Cover Oregon-Oracle suit set for in state court

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SALEM, Ore. (AP) – The state of Oregon has notched another victory in its high-stakes legal battle with Oracle Inc., over the failure of the Cover Oregon health insurance website.

U.S. District Judge Anna Brown this week rejected Oracle’s attempt to try the case in federal court. The decision means dueling lawsuits filed by the state and the company will proceed separately in state and federal court.

The state’s lawsuit accuses Oracle and its executives of corruption. State attorneys prefer to try their case in state court in Salem, where legal experts say jurors may be more sympathetic.

Oracle accuses Oregon of copyright infringement and breach of contract. A spokeswoman declined to comment on the judge’s decision.

Last month, a state judge also sided with Oregon in ordering Oracle to continue hosting computer systems for Medicaid.

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