National Capital Commission extends LeBreton Flats dispute deadline
The battle between Ottawa Senators owner Eugene Melnyk and business partner John Ruddy over a proposed new downtown arena has escalated. Ottawa Senators owner Eugene Melnyk speaks with the media in Ottawa on Sept. 7, 2017. THE CANADIAN PRESS/Adrian Wyld
The Canadian Press
Published Monday, January 14, 2019 9:09PM EST
OTTAWA -- The National Capital Commission has granted the parties involved in a dispute over a plan to build a community featuring a new downtown arena for the Ottawa Senators more time to resolve their differences before cancelling their development agreement.
The NCC board said in a statement Monday that they agreed to extend the mediation date to Feb. 28 after a request was put forward by Judge Warren Winkler last week.
The NCC said it remains "committed to the redevelopment of LeBreton Flats."
"While the NCC has prepared next steps to bring forward at a future Board meeting, it respects the ongoing mediation process led by the Hon. Warren K. Winkler, Q.C., and will not take further actions nor make further statements on this matter at this time," the NCC said.
Senators owner Eugene Melnyk's Capital Sports Management Inc. filed a $700-million lawsuit against Trinity Development Group founder John Ruddy and GBA Development and Project Management president Graham Bird in November. A statement of claim alleged "a number of breaches, all arising out of a conflict of interest, that directly resulted in the failure of the partnership."
Ruddy, also a member of the ownership group of the CFL's Ottawa Redblacks, the United Soccer League's Ottawa Fury and the Ontario Hockey League's Ottawa 67's, filed a counterclaim for $1 billion last month. The countersuit called Melnyk's lawsuit "meritless."
The three parties agreed to mediation on the LeBreton Flats file earlier this month with Winkler asked to assist in the mediation.
The previous NCC deadline for the group to come to an agreement was Jan. 19. The Crown corporation, which controls the LeBreton Flats land, had said it would look into other options if a resolution was not reached before that time.
The Senators currently play at the Canadian Tire Centre in suburban Kanata.
#LeBretonFlats update: Following the request made by the Hon. Warren K. Winkler, Q.C., the NCC Board of Directors agreed to extend the termination date to February 28, 2019. #ottawa #lebreton #ottnews pic.twitter.com/tjC9fdA37d— National Capital Commission (@NCC_CCN) January 15, 2019