Plaintiff (Dabron) and Defendant (Spinks) co-founded Sourced Group, a cloud computing firm.
Business relationship soured in 2016, leading to disputes and litigation in Ontario and Australia.
A settlement was reached in 2018, under which Dabron sold his shares for $3.8 million.
In 2021, Sourced was sold to Amdocs for $75 million. Dabron alleges Spinks provided inaccurate financial information to Ernst & Young (E&Y) during the 2018 valuation, reducing his share price.
Legal Claims:
Fraudulent misrepresentation and breach of contract, seeking $50 million in damages.
Rescission of settlement agreements and punitive damages ($1 million).
Allegations that financial misrepresentations in 2018 undervalued Sourced Group by over 1,125%.
Procedural Motion:
Dabron sought the production of documents from a non-party (E&Y) related to the 2021 Amdocs acquisition, arguing they are relevant to proving misrepresentations in the 2018 settlement.
Defendants opposed, arguing those documents were irrelevant to the 2018 settlement and confidential to Amdocs.
Ruling:
Motion dismissed. The court held that allowing document production in this motion would interfere with the fairness of the main litigation, where the relevance of these documents will be decided.
