Newfoundland and Labrador's environmental claims against insolvent AbitibiBowater Inc. have been stayed by a Quebec judge, removing a likely hurdle to the company's restructuring process.
The claims, which would have required AbitibiBowater to clean up five sites that it owns or once owned, could have cost hundreds of millions of dollars. Newfoundland wanted them treated like claims from other creditors under the Company Creditors Arrangement Act and therefore eligible for available money.
In dismissing Newfoundland and Labrador's motion, Quebec Superior Court Justice Clement Gascon urged both sides to find "an appropriate forum" in which to settle their differences. The company has been under creditor protection since last April.
source: canada.com Canwest News Service
Judge dismisses Newfoundland's claims against AbitibiBowater
Wednesday, 07 April 2010 14:00
Judge dismisses Newfoundland's claims against AbitibiBowater
Ian Melin-Jones
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North American News
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