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Victory For Litostroj Hydro Inc. In A $18M Claim

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Litostroj Hydro Inc

Fasken represents Litostroj Hydro inc. (“Litostroj”) in a $18M claim related to the allegedly abusive cancellation of a subcontract for the design, manufacture and installation of 12 generators in the context of a general contract for Hydro-Québec. Litostroj contests the claim, alleging that the cancellation of the plaintiff’s subcontract was justified because of its insolvency and its numerous contractual defaults.

In a lengthy decision of 241 pages, Judge Chantal Tremblay dismissed the claim of I.E. Liquidation inc. (Ideal), which sought to obtain a judgment of $10,000,000 ($19M with interest and the additional indemnity) against Litostroj.

An important victory for our client as a result of the excellent work done by Montréal Fasken.

Such a judgment would have in all likelihood been fatal to Litostroj.

A Fasken team composed of Annie Bernard, Christine Provencher, Eric Simard, Ponora Ang and Jean-François Trudelle represented Litostroj Hydro Inc in connection with this matter.



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