Cassels Brock & Blackwell LLP represented the Defendants Lundin Mining Corporation and certain of its directors and officers in the Ontario Superior Court of Justice to oppose a motion for leave to proceed with secondary market misrepresentation claims pursuant to the Securities Act (Ontario) and a motion for certification of a proposed class action.
The proposed representative plaintiff, on behalf of the proposed class, sought general and special damages in the amount of $175 million and punitive damages in the amount of $10 million. On January 6, 2022, the Court found in favour of the Defendants and dismissed both motions in their entirety.
At issue was whether (i) a pit wall instability on October 25, 2017 and (ii) a subsequent rock slide of approximately 600,000 to 700,000 tonnes of waste material on October 31, 2017 at Lundin Mining’s Candelaria open pit mine were material changes requiring immediate disclosure under the Securities Act. The pit wall instability and rock slide were disclosed by Lundin Mining in the ordinary course on November 29, 2017. The following day, November 30, 2017, the price of Lundin Mining’s common shares trading on the TSX declined by 16%, representing a one-day loss of over $1 billion of market capitalization.
The Cassels’ team was led by Lara Jackson (Picture) and included John Picone, Anna Tombs and Danielle Dipardo.
Involved fees earner: Danielle DiPardo – Cassels Brock & Blackwell LLP; Lara Jackson – Cassels Brock & Blackwell LLP; John Picone – Cassels Brock & Blackwell LLP; Anna Tombs – Cassels Brock & Blackwell LLP;
Law Firms: Cassels Brock & Blackwell LLP;
Clients: Lundin Mining Corporation;