Brompton Corp.

Brompton Corp.

February 02, 2017 16:53 ET

Brompton Corp. Update on Claim against Tuckamore Holdings LP

TORONTO, ONTARIO--(Marketwired - Feb. 2, 2017) - On February 1, 2017, Brompton Corp. (the "Company") was notified that the Ontario Superior Court of Justice (Commercial List) has granted the Company's motion for summary judgment in respect of the Company's ongoing indemnification claim against Tuckamore Holdings LP ("Tuckamore"). In its decision, the Court found that Tuckamore is liable to indemnify the Company in respect of certain liabilities under a share purchase agreement dated July 5, 2011. The Court stated that Tuckamore's share of these liabilities was approximately $4.4 million (as of the fall of 2016), and that Tuckamore is liable to indemnify the Company for certain additional liabilities and costs as well. The Court's judgment may be subject to appeal by Tuckamore. The Company's motion was in respect of an indemnification claim relating to previously disclosed notices of reassessment that the Company had received from the Canada Revenue Agency ("CRA") for taxation years ending in 2010 to 2014. The notices of reassessment remain in dispute with CRA. Based on publicly available corporate filings, Tuckamore is a wholly-owned subsidiary of ClearStream Energy Services Inc.

For additional information concerning the Company, please visit our website at www.bromptoncorp.com.

Contact Information

  • Mark A. Caranci
    President & CEO
    Brompton Corp.
    (416) 642-9061

    Craig T. Kikuchi
    Chief Financial Officer
    Brompton Corp.
    (416) 642-9061