Item 3. Legal Proceedings
ITEM
3.
Legal
Proceedings.
We
commenced an action against BioLife in December of 2017 for Breach of Contract. The amount of damages we are seeking
in this matter have yet to be determined. Damages are not covered by insurance. BioLife, the defendant, has filed its Answer,
Affirmative Defenses and a Counterclaim in the amount of $96,676 representing the invoices withheld after BioLife indicated that
they were not intending to fulfill the balance of the contract. We have denied the allegations of the counterclaim. We conducted
one mediation session to date but have been unable to resolve the matter. The parties are currently waiting to start discovery,
which we believe will lead to an anticipated trial date. The scheduled dates for these events to transpire have yet to be determined,
as they are dependent on the reopening of the Courts, which have been temporarily closed in connection with the declared state
of emergency caused by the COVID-19 pandemic. Although it cannot be determined, we believe there is little chance for an unfavorable
outcome in this matter.
In
2019, we resolved the claim with our insurance carrier for Business Interruption losses and Extended Business Interruption losses
arising from flood damage which occurred at our New Brunswick facility on January 5, 2016. The outstanding matters under the insurance
policies were compromised and settled on terms agreeable to the parties.
On
October 20, 2020, the Company received correspondence from counsel in Scotland U.K. advising of their representation of Symbiosis
Pharmaceutical Services Limited in connection with Symbiosis’ claim that it is owed £110,250.00 (US $152,145.00).
The Company denies that any monies are due and owing and the Company has engaged counsel in Scotland to further represent its
interests. No judgment can be made as to the likelihood of an unfavorable outcome should a claim be asserted however the Company
believes and has been advised that it has meritorious defenses and positions which the Company intends to vigorously assert in
the event of the formal assertion of a claim.
ITEM
4.
Mine
Safety Disclosures.
Not
Applicable.
28
PART
II
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