GT Advanced Technologies, Apple's sapphire glass manufacturer, has requested the courts seal its bankruptcy filing to protect confidentiality agreements it has in place with other parties.
The company said sealing the documents will avoid a $50m (31m) damages case for violating confidentiality agreements involving a third party, presumed to be Apple.
GT is also asking the documents to be sealed in private to avoid any further problems with the third party and the hearing must be held as an 'in camera' case, which will not be open to the general public.
The vendor had depended on Apple's products for more than 80 per cent of its anticipated 2014 revenues, according to analysts. The company received a $578m (360m) pre-payment from the Cupertino-based firm to allow it to produce the sapphire glass used on iPhone cameras and Touch ID panels.
It was also thought that GT Advanced Technologies would supply Apple with the sapphire glass it would use on two of its premium Apple Watch models, due to launch next year.
The iPhone manufacturer reportedly gave GT Advanced Technologies a loan to build a sapphire glass manufacturing facility and is yet to pay the company back, according to a report from analyst firm Raymond James.
However, other rumours suggest Apple decided to withold a $139 (86m) million payment to GT Advanced Technologies, becuase the company reportedly couldn't keep up with demand for the scratch-proof material.
Even Apple seems to have been surprised its supplier filed for bankruptcy saying: "We are focused on preserving jobs in Arizona following GT's surprising decision and we will continue to work with state and local officials as we consider our next steps."
