An arbitrator has ruled against a subsidiary of TSX Group Inc. in a disagreement with Ashton Technology Canada Inc. over an agreement to provide stock-pricing technology.

In a statement issued yesterday, TSX Group said the next step in the arbitration process is to determine damages, which it predicted “will be significantly less than the $30 million US originally claimed and will not have a material impact on annual consolidated earnings.”

The dispute arose over a June 2000 contract with the Canadian subsidiary of Philadelphia-headquartered Ashton Technology Group. to develop an eVWAP platform – technology that matches large block orders at the day’s volume-weighted average price.

The TSX said the arbitrator ruled Monday that TSX Inc. had breached the agreement and Ashton is entitled to damages and costs.

No date has been set for the damages-determination phase of the arbitration.