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Calgary’s AeroMechanical Services seeks arbitrator

Nov. 21, 2011, Calgary - AeroMechanical Services Ltd. said Friday that it has gone to court in a dispute with Sierra Nevada Corp., against which it is claiming close to $4 million in damages.


November 21, 2011
By The Canadian Press

The company, based in Calgary, said it had filed an application with the Court of Queen's Bench of Alberta against SNC seeking the appointment of an arbitrator as a result of a lack of progress in
discussions regarding outstanding accounts payable.

The dispute arises from the development of an automated flight information reporting system the two companies were working on in 2010 that AeroMechanical said was delayed and over budget.

AMA has since terminated a licence and manufacturing agreement for material breach and asked the courts to appoint an arbitrator to resolve outstanding issues.

AMA is claiming damages in the amount of US$1.3 million and C$2.6 million for the alleged breach of the agreement.

AeroMechanical Services Ltd., under the brand name FLYHT, provides proprietary technological products and services designed to reduce costs and improve efficiencies in the airline industry.

Privately held Sierra Nevada provides electronics engineering, manufacturing and integration services.