Business
Fancamp Provides Initial Comments on Lawsuit
VANCOUVER, British Columbia, Aug. 06, 2019 (GLOBE NEWSWIRE) -- Fancamp Exploration Ltd. (“Fancamp” or the “Corporation”) (TSX VENTURE: FNC) provides comments wi
About this update from Fancamp Exploration Ltd.
[{"type":"text","content":" VANCOUVER, British Columbia, Aug. 06, 2019 (GLOBE NEWSWIRE) -- Fancamp Exploration Ltd. (“Fancamp” or the “Corporation”) (TSX VENTURE: FNC) provides comments with regards to a claim filed against the Corporation and The Magpie Mines Inc. (“Magpie”, and together with Fancamp, the “Defendants”), a subsidiary of the Corporation, by Fouad Kamaleddine, a former officer of the Defendants, and FFK Consulting Services Inc. (the “Plaintiffs”) in the Ontario Superior Court of Justice. In April 2019, the Corporation and Magpie received a statement of claim relating to liquidated damages for termination of the agreement dated January 1, 2018 whereby Fouad Kamaleddine acted as consultant to Fancamp to assist Magpie with mineral engineering research and development activities (the “Agreement”), for alleged unpaid services and for alleged moral and punitive damages, in the aggregate amount of approximately $933,500.00 (the “Damages”). In June 2019, the Defendants filed a statement of defense in the Ontario Superior Court of Justice whereby they alleged that Fouad Kamaleddine breached his obligations towards the Defendants by misappropriating part of the intellectual property of Magpie through FFK Technologies Inc. and misusing the funds of Magpie, including a grant from Sustainable Development Technology Canada. These actions led to the rightful termination of the Agreement in November 2018. Based on the facts of the case, Fancamp believes that the litigation instituted by the Plaintiffs is without merit and believes that the Plaintiffs are not entitled to any of the Damages. As such, the Defendants intend to vigorously defend themselves against the Plaintiffs. Concurrently with the proceedings described above, on July 11, 2019, Fancamp and Magpie filed an Originating Application to Institute Proceedings (the “Originating Application”) against Fouad Kamaleddine, FFK Consulting Services Inc. and FFK Technologies Inc. for damages and declaratory judgment in the Superior Court of Quebec, notably to declare Fancamp/Magpie owner of the intellectual property in dispute and to claim monetary damages they are entitled to. The monetary damages notably cover costs that have been incurred for professional services rendered for the development of the intellectual property with regards to the process for the recovery of high-grade synthetic rutile fr...