Eimer Stahl secured a major victory for client PDV Holding, Inc. (PDVH), the parent company of CITGO Petroleum Corporation, in a case brought by investors seeking to hold PDVH liable for nearly $2 billion in debts owed by its Venezuelan shareholder, Petróleos de Venezuela, S.A. (PDVSA).
Eimer Stahl is defending CITGO and its parent companies against a series of aggressive lawsuits brought by dissatisfied creditors of Venezuela and PDVSA. Plaintiffs are pursuing claims in courts across the country in an attempt to recover tens of billions of dollars by holding PDVH liable as the alleged alter ego of either Venezuela or PDVSA.
In this case, following extensive discovery, U.S. District Judge Jed Rakoff granted summary judgment in favor of PDVH, finding that plaintiffs failed to present evidence that PDVSA exercised the level of control over PDVH necessary to support alter ego claims. The court dismissed all claims in full – delivering a complete victory for PDVH.
The Eimer Stahl team was led by partners Scott Solberg and Dan Birk, with support from Nate Eimer, James Joseph, Greg Schweizer, Jacob Hamann, Vanessa Jacobsen, Hannah Bucher, Mila Rusafova, Jonathan Breit, John Hall, Brian Chang, Hong Lee, James Speta, and Daniel Kfoury. The firm partnered with co-counsel from Willkie Farr & Gallagher LLP.
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