Appeal Ruling: Appeals court upheld dismissal for Forrajera

On June 6, 2017, the First Civil and Commercial Appeals Court of Guatemala upheld the dismissal of a damages lawsuit filed by Industria Forrajera de Mazatenango, S.A. against Lisa, S.A. The court ruled that the case was filed in the wrong procedural format—ordinary instead of summary—violating the company’s shareholder agreement and commercial law. It also determined that Forrajera could not claim damages until Lisa’s exclusion as a shareholder was legally finalized.

Although Forrajera had claimed Lisa orchestrated defamatory campaigns and fabricated evidence, the court found those allegations insufficient to establish immediate standing. It rejected Lisa’s claims regarding prescription and expiration, but upheld the lower court’s dismissal based on procedural defects and the premature nature of the claim. The ruling imposed legal costs on Forrajera but waived second-instance costs due to mutual partial wins.