04/29/2015 06:00 EDT | Updated 06/29/2015 05:59 EDT

Xytex Corp., U.S. Sperm Bank, Calls Canadian Couple's Lawsuit 'Baseless'

A U.S. sperm bank says a lawsuit it faces from a Canadian couple alleging it misrepresented donor information is "baseless."

In a statement of defence filed in a Georgia court Wednesday, Xytex Corp. said it followed industry standards and made it clear to the couple that the information provided by their donor "cannot be verified for accuracy."

The Port Hope, Ont., couple allege in their lawsuit that their donor was a schizophrenic with a criminal record and they were never told about it.

Angela Collins and Margaret Elizabeth Hanson allege Xytex told them their choice of donor was a healthy man with multiple degrees who was "among their best donors.''

In their statement of claim, the couple allege they only accidentally learned the identity of their donor years after their son was born, and that through their own research they say they realized the man was a college dropout who had been arrested for burglary at one point and had schizophrenia.

None of the allegations have been proven in court.

Collins and Hanson are seeking damages for pain, suffering and financial losses as they allege Xytex engaged in fraud, misrepresentation, negligence and battery, among other claims.

But Xytex claims in its statement of defence that the lawsuit is without merit and should be dismissed.

It said that the donor had been interviewed about his health and underwent a standard medical exam.

"The donor reported a good health history and stated in his application that he had no physical or mental impairments," the company's statement of defence said.

"Throughout the process, Xytex made clear to the plaintiffs in writing that 'the medical and social history was provided by the donor and cannot be verified for accuracy.'"

Xytex also noted that the couple's lawyer has said in media interviews that their child is "completely healthy."

"Plaintiffs' complaint is a baseless lawsuit," it said in its statement of defence.

Collins and Hanson said that after learning the name of their donor through emails sent from Xytex in error, they discovered details about the man — James Christian Aggeles — that were much different from what they had previous believed, the statement of claim said.

Their lawyer said the couple filed their lawsuit to bring more accountability to the industry, prevent a similar situation for others and establish a "medical monitoring fund'' for their child because he has an increased risk of developing schizophrenia.

The couple's lawyer said she had at least 15 other clients who may be joining the lawsuit.

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