TORONTO, April 18, 2018 /CNW/ - West Face Capital Inc. issued the following statement regarding today's decision of the Ontario Superior Court of Justice dismissing a lawsuit by The Catalyst Capital Group Inc.:
"Mr. Justice Hainey dismissed today a second lawsuit by Catalyst against West Face as an 'abuse of process' and an attempt to re-litigate the same issues that were dismissed in their entirety in the Brandon Moyse litigation following a full trial and then again by the Ontario Court of Appeal earlier this year," said Greg Boland, Chief Executive Officer. "This decision is yet another independent confirmation of lack of merit to the serial litigation being pursued by Catalyst against West Face for almost four years."
Earlier this year, the Ontario Court of Appeal upheld the trial decision of Mr. Justice Newbould in the Brandon Moyse litigation, which had concerned the WIND Mobile transaction. In his trial decision, Justice Newbould dismissed Catalyst's claims for a variety of reasons. Two of those reasons were findings that Catalyst had failed to acquire WIND Mobile because of its own conduct and choices, and not because of anything done by West Face or Brandon Moyse. In his decision today, Justice Hainey determined that those reasons were "equally essential and fundamental" to Catalyst's claims in its May 2016 litigation about the WIND Mobile transaction, and meant that Catalyst's allegations could not succeed at trial. Justice Hainey noted at paragraph 88 that the issue of "why [Catalyst] failed to acquire Wind … was 'front and centre' in the litigation before Newbould J. It is also the main issue in Catalyst's Current Action. In my view, relitigation of this issue in this proceeding would impeach the integrity of the judicial system. It should not be permitted." Accordingly, he barred Catalyst from proceeding in this matter.
West Face continues to be confident that in any further legal proceedings with Catalyst, where Catalyst's allegations will be fully explored through cross-examination, those allegations will continue to be found lacking and that the full scope of conduct by Catalyst and its agents will be publicly revealed. West Face also intends to pursue vigorously its counterclaim against Catalyst, its principals and its agents.
About West Face Capital Inc.
West Face Capital Inc. is one of Canada's leading alternative investment managers combining control-through-distressed, high-yield, negotiated finance, proactive equity, and private equity activities. West Face's capabilities are underpinned by a seasoned multi-disciplinary investment team, proprietary origination channels, deep sector expertise, and the ability to address investment targets in domestic and international markets.
SOURCE West Face Capital Inc.
For further information: please contact: Philip Panet, General Counsel & Secretary, West Face Capital Inc., 2 Bloor Street East, Suite 3000, Toronto, Ontario, M4W 1A8, Tel: (647) 724-8900