Vitro US Noteholders Can't Pursue Mexican Parent

Law360, New York (June 24, 2011, 10:49 PM EDT) -- A Texas bankruptcy judge on Friday granted a preliminary injunction to bankrupt glassmaker Vitro SAB de CV barring holders of notes issued by Vitro’s U.S. subsidiaries from pursuing collection actions against their parent while it undergoes reorganization in Mexico.

Vitro argued that its cash flow came primarily from its subsidiaries. It claimed it would be irreparably harmed and the Mexican reorganization process would be thwarted if the noteholders were allowed to proceed with collection suits against the subsidiaries. But U.S. Bankruptcy Judge Harlin D. Hale said...
To view the full article, register now.
Law360 Pro Say Podcast
Check out Law360's new podcast, Pro Say, which offers a weekly recap of both the biggest stories and hidden gems from the world of law.