Arbitration ruling favours SmartSky

SmartSky Networks has been awarded over US$12 million in damages, legal expenses, and sanctions in an arbitration case against its former vendor, Wireless Systems Solutions.

The panel of three arbitrators issued a permanent injunction against WSS, its companion companies DAG Wireless Ltd. and DAG Wireless USA, and individuals Laslo Gross, Susan Gross, and David Gross. All counterclaims against SmartSky were dismissed with prejudice.

SmartSky won on 14 distinct claims related to numerous WSS breaches of contract including failure to perform, and WSS, DAG and the Gross’ related misconduct, interference with SmartSky’s business relationships, false advertising, use of fake identities, unfair and deceptive trade practices, use of alter ego companies, breaches of confidentiality, and wilful and malicious misappropriation of SmartSky’s valuable Intellectual Property.

“SmartSky is very pleased with the outcome of this case and always had great confidence that the facts supported our position and our rights,” said David Helfgott, CEO SmartSky. “As we turn the page and look forward to commercial launch of our market-changing aviation air-to-ground network service, I have to note how this entire process ultimately has made us a stronger, more cohesive team.”