Legal Question in International Law in Louisiana
Account Collection from Dutch Co. with USA affiliate
My company recently did service work on US Flagged OSV. The work was to be paid for by the U.S. Affiliate of a company from the Netherlands. The US company is defaulting by not paying the invoice. Can a suit on open account be brought against the parent company? and How?
2 Answers from Attorneys
Re: Account Collection from Dutch Co. with USA affiliate
Unless the parent corporation did something to subject it independently to liability for the debt of its subsidiary (e.g., a guaranty), you are unlikely to get any traction on the parent. Is there a reason that you believe that an action against the contracting party will be fruitless?
Best wishes,
LDWG
Re: Account Collection from Dutch Co. with USA affiliate
If by OSV you mean off shore vessel, there is a possibility that you might be able to arrest the vessel and thereby force payment. To determine whether this is in fact possible, however, one needs more facts.