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Avcorp drops CRJ700 suit against Bombardier

Airframe builder sought $18 million in damages after Bombardier terminated production work on CRJ700.


VANCOUVER—Avcorp Industries Inc. says it has ceased all litigation against Bombardier Inc. in connection with the termination by Bombardier of production work on the CRJ700 aircraft program.

Avcorp did not cite any reasons for the decision, but said each side had agreed to be responsible for its respective costs in the suit, which the Vancouver-based airframe builder launched in 2010.

Meanwhile, Avcorp noted that it is actively pursuing participation in the supply chain for several of Bombardier’s programs.

The company currently produces components for the Bombardier Challenger 605 and Challenger 850 business jets as well as composite floorboards for the CRJ, Q400, and Learjet programs.

Avcorp originally sought more than $18 million in damages when it filed a motion in Quebec Superior Court in May 2010.

It said the money was for compensation for unrecovered costs in connection with a contract for Bombardier’s CRJ700 program that was cancelled in 2007.

©The Canadian Press