An Israeli energy firm has turned to Florida state court, claiming it is owed a $5.3 million commission after Miami-based JFS Energy Group Inc. allegedly cut it out of a generator sale. The lawsuit, filed Nov. 21, paints a picture of a high-stakes energy transaction gone awry and a battle over one of the few buyers for a specialized generator.
AUA Ltd., doing business as AUA Energy Ltd., says JFS had hired it to find a buyer for a generator capable of supporting energy grids, powering remote military bases, or running industrial plants.
Exclusive Agreement Allegedly Breached
After AUA located a buyer in Brazil, the companies signed an exclusive sales agreement. Under the contract, JFS sought $14 million for the generator and agreed to pay AUA a $5.3 million commission, while granting AUA the “sole and exclusive” right to negotiate the deal.
The agreement also stipulated that if the sale price dropped during negotiations, a new contract would be drafted before closing. According to the complaint, JFS bypassed this provision and sold the generator for $12 million without drafting a new agreement.
