RE:Izatt's credibilityMoulouk I think you are correct in identifying 2 of the 3 contentions Izatt has with ucore, the inducement to sign OTP and insolvency of Ucore. The third one is that Ucore breached various agreements including confidentiality which then allows IBC to terminate the OTP.
Inducement:
This summary entitled "Re: Let's Follow the Money" and the associated thread
https://stockhouse.com/companies/bullboard?symbol=v.ucu&postid=30313151 provide information identifying why I believe Izatt signed the various agreements. The other threads in this provide more information via a timeline approach which gives greater details on what transpired and includes the statement "
On February 1, 2019 Mr. Custer, counsel to IBC, issued a letter alleging six (6) new breaches by Ucore including that Payment (IV) of the Research Agreement was now in arrears, despite the fact that the parties had never executed an Operating Agreement and that IBC was still retaining over $2,500,000 CAD of advanced good faith payments made by Ucore against Payment (IV)"
I believe information to what the breaches consist of have been posted but I am not going to waste my time looking for them (Stockhouse doesn't have a search function for what has been posted) since Ucore and associated principal investors have denied that the claimed breaches occurred or were not rectified in the necessary time.
Insolvency - My69z had provided good information on this via recent posts as does Manuel's affidavit.
Payment of OTP - Read the following - Peter Manuel's affidavit https://cdn.pacermonitor.com/pdfserver/5KYY5BQ/116518907/IBC_Advanced_Technologies_v_6th_Wave_Innovations_et_al__utdce-19-00826__0029.3.pdf
which contains the OTP with exhibits I, J, and O starting on page 111 which is the OTP and the addendum 1 starting on page 128 and addendum 2 starting on page 160 to find the answer to your question.
It doesn't appear to me that there was a requirement for Ucore to have the funds on hand when it exercised the OTP to pay for the OTP.
There is a lot of other good information in Manuel's affidavit as you will see if you spend the time to read it. He addresses a lot of issues.
Confidentiality - there have been a few recent posts related to confidentiality as well.