FT. LAUDERDALE, FL—SegPay has provided the following statement in response to a lawsuit and motion filed by Emanon, Inc. against SegPay. The action was filed in the Circuit Court for the 17thJudicial Circuit in and for Broward County, FL.
"We are disappointed that Emanon (CommerceGate) has chosen to initiate litigation against SegPay and believe the lawsuit is without merit and we will vigorously defend our position," said Cathy Beardsley, president and CEO of SegPay.
Below are the pertinent facts in the matter:
* Three years ago SegPay signed a management agreement and option purchase agreement with Emanon (CommerceGate).
* SegPay was assured by Emanon that it had the financial resources to exercise its option and purchase the outstanding shares of SegPay by the deadline of June 30th, 2011.
* When Emanon did not have the financial resources to complete the transaction on the agreed date, SegPay decided it was in the company’s and its clients’ best interest to terminate the relationship with Emanon in July.
* What remains is a simple business dispute that does not affect SegPay or its clients going forward.
"SegPay is a strong, growing company, focused on serving our clients,” added Beardsley. “Our management team, IT infrastructure and support staff is in place and our banking and card association relationships will not be disrupted. It’s business as usual—only now, the SegPay way.”
