Mining Firm Takes Landlord to Court to Retrieve Equipment Both Had Used
Aurum Capital Ventures and its landlord in Calgary, N.Y., fell out after a deal for the sale of the mining machines collapsed.
A cryptocurrency mining firm is taking its landlord to federal court in order to retrieve its equipment, submitting a legal complaint in the Northern District of New York on Tuesday.
Aurum Capital Ventures U.S.A. (ACVU) claims it had previously agreed with Markus Schneider, landlord of its premises in Calgary, N.Y., to let him use its 600 Bitmain S9 mining machines in May 2020 at a time when it was planning to power some of them down.
The landlord allegedly agreed to waiving certain fees pertaining to surplus electricity usage in the premises in return.
According to Aurum, Schneider expressed an interest in purchasing the mining equipment, negotiations for which carried on after the lease agreement came to an end the following November.
Into the New Year, negotiations for a renewal had not come to fruition, resulting in Aurum giving notice of its intention to collect the equipment from the premises.
Schneider allegedly refused the request, claiming that the two parties had an agreement for the purchase of the equipment and that the waiving of up to $75,000 worth of electricity usage was contingent on the sale's completion. Aurum says both of these claims are untrue.
In addition to seeking an order for the repossession of the equipment, the mining company is seeking a restraining order preventing Schneider moving, selling or disposing of the miners while the order is pending.
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