KUALA LUMPUR (Nov 4): Two indirect subsidiaries of UEM Sunrise Bhd in Canada have been slapped with a breach of agreement lawsuit from a property marketing agent, which is claiming for damages of at least CA$15.14 million or RM47.39 million.

In an announcement to the local bourse today, UEM Sunrise said UEM Sunrise (Canada) Development Ltd (USCDL) and UEM Sunrise (Canada) Alderbridge Ltd (USCAL) have been served with a notice of civil claim — dated Oct 26 — by Magnum Projects Ltd.

The NOCC has been filed at the Vancouver Registry of the Supreme Court of British Columbia, Canada.

Under the notice of claim, Magnum alleged there has been a breach of its March 27, 2015 agreement with USCDL and USCAL, which were appointed as sole and exclusive agents for the sale of properties that were to be built on certain premises in Alderbridge, in Richmond, British Columbia, Canada.

UEM Sunrise said the principal relief sought in the NOCC is a declaration that both of its subsidiaries are jointly and severally liable to Magnum for damages, on the basis of anticipatory breach.

Magnum is also seeking for a declaration that USCDL and USDAL had jointly and severally breached one or more of the terms of the agreement, and is therefore liable for damages to Magnum, which amount to no less than CA$15.14 million (RM47.39 million), with interest and costs.

“Based on the initial advice received from its solicitors, the defendants (USCDL and USDAL) believe they have a good arguable case to the NOCC and will be vigorously defending it,” UEM Sunrise said.

The group also assured that the claim is not expected to have any material, financial or operational impact on UEM Sunrise.

UEM Sunrise shares slipped two sen or 1.82% to settle at RM1.08 today, giving it a market capitalisation of RM4.9 billion.