The BC Court of Appeal has upheld an arbitrator’s finding that triggering a shotgun clause terminated the selling parties’ interest in a joint venture, thereby eliminating their entitlement to an outstanding capital equalization payment. The Co-Ownership Agreement In 2007, JEL Investments Ltd. entered into a joint venture with Boxer Capital Corporation and Yanco Management Ltd. JEL held a 50% interest, with the other 50% split between Boxer and Yanco. Boxer and Yanco agreed that JEL would contribute proportionately less equity to the venture up front, due to a lack of available funds at the time. In exchange, any profits would ... [more] Full article