Innovative Solar Systems, LLC Files Lawsuit Against VivoPower

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Mar 31, 2021, 12:37 ET

ASHEVILLE, N.C., March 31, 2021 /PRNewswire/ -- Innovative Solar Systems, LLC (ISS) filed its counterclaim against VivoPower (USA) Development, LLC ("Vivo USA") in the Court of Chancery of the State of Delaware on March 18, 2021. Damages as outlined in this action against Vivo USA could potentially exceed $100,000,000.00 USD. Vivo USA initiated the original action in June 2020 on the same day it provided a settlement offer to ISS (extended by Vivo USA representative, Matt Cahir) and demanded ISS's reply within 24 hours; ISS accepted the settlement proposal, but Vivo USA later reneged.

Innovative Solar Systems, LLC Files Lawsuit Against VivoPower

This matter arises from a joint venture agreement and commercial relationship between two utility scale solar farm developers, ISS and Vivo (USA). The intent of the Agreement, and basis for the commercial relationship was Vivo USA bringing and contributing development and growth capital to ISV, and ISS bringing the project development expertise and contributing 37 solar farm projects to ISV.

Vivo USA failed and refused to perform and otherwise breached the Agreement by, among other things: (a) failing and refusing to provide additional capital contributions to ISV in order to further develop the portfolio, including not providing adequate capital to fund certain construction deposits enabling the relevant Solar Projects to achieve NTP; (b) failing and refusing to assist ISS and ISV in procuring power purchase agreements for procuring and selling electricity, generated from the Solar Project, to certain third-parties; (c) failing and refusing to acquire any ISV Solar Projects. Vivo USA failed and refused to perform its Agreement Obligations at the direction and behest of its parent company, VivoPower International PLC. Among the claims against Vivo USA are (1) Breach of Contract, (2) Tortious Interference with Contract or Advantageous Business Relationship or Expectancy, (3) Business Defamation, and (4) several Fraud counts. In the coming weeks, ISS expects to file third party claims against entities who conspired with Vivo USA to damage ISS.

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SOURCE Innovative Solar Systems, LLC