Ontario city, local restaurant file lawsuits against each other over arena naming deal

A legal battle has erupted between the City of Mississauga and Mohamed Fakih, owner of Paramount Fine Foods, over the naming rights of a prominent local sports and entertainment venue. The dispute escalated as both parties filed competing lawsuits following the city's abrupt announcement in late May to rename the Paramount Fine Foods Centre.

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The City and the Mayor at all material times knew Mr. Fakih to be, acutely sensitive to the reputation and public image of the Paramount brand, particularly within the City of Mississauga, where the Facility bears the Paramount name

Mississauga initially claimed that Fakih's company owed $1.6 million in payments for the naming and concession rights at the arena. The city's statement of claim, filed on June 23, alleges that Paramount "fell into default" on its payments and made "intermittent and inadequate payments."

In response, Fakih filed his own lawsuit on June 19 against Mayor Carolyn Parrish and the City of Mississauga, seeking millions in damages for libel and defamation. His legal filings assert that both the city and the mayor were aware of his sensitivity regarding the Paramount brand's reputation and "exploited" that sensitivity.

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fell into default

Fakih's claim also suggests that shareholder issues had temporarily delayed payments, emphasizing his continued commitment to fulfilling his obligations. The city is now seeking $9 million in damages for breach of contract, while Fakih is pursuing damages for alleged reputational harm. The venue's name change and search for a new partner were announced on May 26.

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intermittent and inadequate payments