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07-07-2011, 01:43 PM #1
removing equipment-chapter 11 question..
we did an install at a business and had problems getting them to pay. almost 2 months later they claim they are/where in chapter 11 bankruptcy court.
on our signed invoice it states that" if payment is not made as agreed ,seller can remove said equipment, and shall not be responsible for any damage resulting from removal therof"
the only thing I'm not sure of legally is does that still stand if they are in chapter 11 or not and does that depend on if they knew they were in chapter 11 when we did the work and didn't tell us or not.
07-07-2011, 02:07 PM #2Regular Guest
- Join Date
- Jul 2001
With the STRANGE laws in Texas pertaing to CHAPTER 11 , I would go see a Lawyer for real advice.
07-07-2011, 02:22 PM #3
My invioces state the same thing and from what my attorney has informed me is as long as they sign the invioce on both of the signature lines until payment is made in full the equipment is not thier equipment it belongs to me. So basically you are loaning the equipment to them. But i would double check with your attorney first. Have they payed anything at all.
07-07-2011, 02:27 PM #4
they haven't paid anything.
but yeah. were checking with an attorney.
just wanted some of y'all s thoughts.
07-07-2011, 08:05 PM #5Professional Member*
- Join Date
- Jun 2010
- Philadelphia PA
When did they file chap 11?
If they filed after you did the work then you are an unsecured creditor and if you want to recover you better scoop up your equipment. Better to seek forgiveness after the fact then permission before!
If they filed before you did the work, two things come to mind
1. your invoice goes to the top of the list OR 2. by with holding that important piece of information sounds like fraud or theft by deception. Now in some places a local prosecutor would be on that. Places like our big city with big problems they DA could care less.
Your call but I would scoop up the outdoor unit and recover something. Without the benefit of legal advice I think the reasonable person doctrine would be in effect.You have got to learn from other people's mistakes! Because God knows you don't live long enough to make them all yourself !!!!!!!!
07-07-2011, 10:28 PM #6
If they filed before you did any work, you need to let the bankruptcy court
know they are not paying their bills as they had agreed to in their filing.
If they filed after you did the work, answer is bad.
07-08-2011, 06:00 AM #7
With the right to protect life, or property laws Texas has. I wouldn't be to quick to go and try and take the equipment back.Contractor locator map
How many times must one fix something before it is fixed?
07-08-2011, 06:49 AM #8
Everything can change under the direction of a court in a bankruptcy filing. Have your attorney check to see if they have filed, when that was, and what your options are. Case closed.
07-08-2011, 01:01 PM #9
so we went and met with them and some lawyers today and turns out they filed back in 2009. so now we have to pay a lawyer to get our $$$, but it's a sizable sum so worth it.
The owner hates getting involved with lawyers but what else could we do really.
07-08-2011, 02:48 PM #10
Good thing you checked.
07-08-2011, 07:51 PM #11Professional Member*
- Join Date
- Feb 2006
file a lien against property and sue in small claims if under whatever limit isallowed in your jurisdiction usaully 5000 dollars and if you use and pay lawyer recoup legal fees
07-08-2011, 08:58 PM #12Banned
- Join Date
- Jun 2005
- Winston-Salem NC
I might be strange, but I either do work for folks on a handshake, or I require a deposit that covers at least all of the equipment and supplies for the install, and maybe a little of the labor.
I would consult a lawyer. As if you take stuff the government has seized in a bankruptcy proceeding, then you are stealing from the government, and they get a might peeved at that.