MediPharm brought an action against Hexo for unpaid invoices totaling $9,802,032.78 under a cannabis resin supply agreement.
Hexo counterclaimed against MediPharm for breach of contract and bad faith, and against Peter Hwang, a former director of the acquired company, for breach of fiduciary duty.
MediPharm and Hwang brought motions for summary judgment.
The court granted the motions, finding no genuine issue for trial.
Hexo failed to adduce evidence of bad faith by MediPharm or self-dealing by Hwang, whose decisions were protected by the business judgment rule.
Hexo was ordered to pay the outstanding invoices.
