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Judge blocks Metrolinx from cancelling $770M Bombardier contract

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DH Toronto Staff Apr 19, 2017 4:58 am

A judge has blocked Metrolinx’s plans to cancel a $770-million contract to purchase light rail vehicles from Bombardier transportation.

The decision was announced on Wednesday morning by Judge Glenn Hainey of the Superior Court of Justice.

Hainey granted Bombardier an injunction that, for now, will prevent Metrolinx from cancelling the deal.

Metrolinx responded to the decision with a statement on Twitter.

“Nothing in today’s decision changes our focus on delivering high-quality vehicles on time. We remain uncompromising on that point. We are reviewing the decision and identifying the best path forward. We will take the appropriate time to finalize the details,” Metrolinx president and CEO John Jensen said in the statement.

Metrolinx wanted to end the deal to build 182 light-rail vehicles, claiming that Bombardier had missed multiple deadlines, delaying the 2021 opening of the $5.3-billion Eglinton Crosstown transit line.

In February, Bombardier filed a lawsuit against Metrolinx claiming the company had breached its contract.

Although Hainey’s decision is not a permanent solution, it means that both parties will have to go back to the bargaining table in order to hash out a deal.

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DH Toronto Staff

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