[URBAN NOTE] "Bombardier seeks injunction to stop Metrolinx contract termination"

[rfmcdonald]

MacLean's shares Ross Marowits' Canadian Press report noting Bombardier's lawsuit against Metrolinx in what appears to be a desperate effort to prevent the regional transit agency from breaking its contract over the immense delays involved with Bombardier's delivery of new vehicles.

Bombardier has turned up the heat in its fight with Metrolinx by asking an Ontario court to impose an injunction in response to the provincial transportation agency’s notice to terminate a contract for light rail vehicles in Toronto.

The transportation manufacturer’s railway division says its 49-page application to the Ontario Superior Court is designed to encourage Metrolinx to resume good-faith discussions as required in its contract.

In November, Metrolinx ramped up pressure on Bombardier to deliver a prototype train by issuing a formal notice of intent to terminate its $770-million contract, a step that would be required if the agency ultimately asks a court to rip up the deal.

Bombardier turned the table on Metrolinx on Friday, accusing it of putting the project in jeopardy through multiple delays.

“Since the contract was signed in 2010, Metrolinx has changed the scope, the timelines, and the technical qualifications countless times,” it said in a news release.