Industry Canada sued by DAVE, American private equity firm, over Mobilicity

TORONTO - U.S. private equity firm Quadrangle and Data & Audio-Visual Enterprises (DAVE) have filed a $1.2 billion lawsuit against Industry Canada over their respective investments in new wireless entrant Mobilicity.In a statement of claim filed Thursday, Quadrangle accuses Industry Canada of negligence, negligent and/or reckless misrepresentation, breach of contract, intentional interference with economic relations, abuse of public office, unjust enrichment and loss of reputation and goodwill. In brief, Quadrangle argues that Industry Canada is liable because it offered to establish and enforce rules to support a new entrant in Canada’s wireless market, promises that it later “ignored”. “It disregarded its own...