Canadian Satellite Holdings Inc, who operate XM Radio in Canada, are being sued for non-payment of royalties dating back to 2005. Details have been reported by the Globe and Mail on their website, theglobeandmail.com. I had been expecting that the two Canadian companies would announce a merger by the fall. Not sure what incentive their would be for Sirius Canada to assume the additional liability. Curious what the most likely outcome would be. I don't think that XM Canada would be able to operate indefintely without making a profit. What are the implications for the OEM contracts in Canada and the retail subscribers?