Venezuela, Creditors Seek Court Blessing of Bond Standstill (1)

Holders of Venezuela’s defaulted bonds and the country’s US-recognized opposition are using a court in New York to protect a debt standstill agreement.

A group of investors with more than $10 billion of sovereign and state oil company bonds began a legal maneuver Wednesday aimed at ensuring an extension to debt deadlines can’t be later challenged by a new Venezuelan government. The so-called tolling period announced this year suspended the statute of limitations on the debt until 2028 to avoid a flood of litigation.

The deal involves filing in New York Supreme Court the precursors to lawsuits over the ...