Utah Litigation Update
Sep 10, 2012
OTC Disclosure News Service
Vancouver, BC, Canada –
Utah Litigation Update
September 10, 2012
Simon Tam, President and CEO, reports:
VANCOUVER, B.C. – On September 5, 2012, the Court in the pending civil action in Salt Lake County,Utah, denied all motions for partial summary judgment filed by Passport Potash Inc. (TSX VENTURE: PPI) (OTCQX: PPRTF) (“Passport”), denied the motion for partial summary judgment filed by North American Potash Developments Inc.(TSX.V:NPD; OTCQX: RNGTF; FSE: 3OZ) (“NA Potash” or the “Company”) and other parties to a March 28, 2011 Option Agreement (the “Option Agreement”), and granted Passport’s motion for preliminary injunction provisionally prohibiting the Company from enforcing its post-termination rights under the Option Agreement only with respect to Passport’s April 3, 2012 report and May 17, 2012delivery of cash and shares. The Court expressly found that Passport was not substantially likely to succeed on the merits of its defenses with respect to its reporting obligations, but did find serious issues that should be the subject of further litigation. On September 7, 2012, the Court conditioned issuance of the injunction on Passport posting a US$350,000 cash bond within ten business days. The Company will continue to vigorously prosecute its claims and defenses.
On behalf of the Board of Directors
Disclaimer and Cautionary Statement Regarding Forward-Looking Information
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this press release. This news release shall not constitute an offer to sell or the solicitation of an offer to buy securities in any jurisdiction.
All statements, trend analysis and other information contained in this press release relative to markets about anticipated future events or results constitute forward-looking statements. Forward-looking statements are often,but not always, identified by the use of words such as “seek”, “anticipate”, “believe”,“plan”, “estimate”, “expect” and “intend” and statements that an event or result “may”, “will”, “should”, “could” or “might” occur or be achieved and other similar expressions. Forward-looking statements are subject to business and economic risks and uncertainties and other factors that could cause actual results of operations to differ materially from those contained in the forward-looking statements. Forward-looking statements are based on estimates and opinions of management at the date the statements are made. The Company does not undertake any obligation to update forward-looking statements even if circumstances or management’s estimates or opinions should change. Investors should not place undue reliance on forward-looking statements. North American Potash Developments Inc. seeks safe harbor.
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