A nearly two-year-old dispute pitting accounts receivable management firm West Asset Management against investment firm CarVal Investors is over, according to a press release from CarVal.
fficials at CarVal say the conflict between investment entities the company managed and West was resolved amicably. The dispute began when West announced to investors that CarVal allegedly wanted to change the terms of a lending agreement (CCR Newsline, April 17, 2008).
Under the settlement, the companies decided to halt pending legal proceedings and West agreed to pay CarVal an undisclosed amount of cash. WAM did not admit any wrongdoing under the agreement to settle.
In October, in a filing with the Securities and Exchange Commission, West made reference to a resolution, stating that as a result of the settlement, "portfolio receivables will decrease by $48.7 million" over an unspecified time period.
CarVal provides private funding for debt buyers and collection agencies to purchase debt portfolios. The company is an arm of agriculture giant Cargill.