Just Got Burned!!!

[MowJo]

:angry: I just found out one of my commercial contract customers filed CHAPTER 11 in December! So no more MONEY unless some court decides to throw me a bone (I won't be holding my Breath) some day.

Mowing season seems pretty far away right now.

[Fivestar]

Those %#&*^%$#*

[KirbysLawn]

Welcome to the club.

[cajuncutter]

That kind of sux!! Especially when no one tells you til a month and a half later after you have done work during that period. Is there any way you can take out a lean on any property they may own? Anything you think will go up for auction so you can be guarenteed you hard earned money?

[LAWNGODFATHER]

I guess that's a benifit of billing per service visit, monthly invoicing.

[MowJo]

OK, I'm a little calmer now (but not much).

Has anybody had a customer file Chapter 11? If so, is there anything I can do to collect my money?

F.Y.I. The customer is a franchise of a national hotel.

Another thought: This hotel is located in a major technology park I maintain. If they survive and I cut them loose, I'll open the door for a competitor right smack in the middle of our best job!

If we continue to work for them what would be the best way to structure future payments.

PLEASE ADVISE

[thelawnguy]

"I'll open the door for a competitor right smack in the middle of our best job! "

Big deal. Let someone else work for free, unless you get off on that kind of thing...

[VLM]

I had a similar problem this fall. The account was a plastic surgeon who lost most of his business after the 9/11 attack. I guess people dont want face lifts when we are at war. Anyway, they paid up but I am keeping in touch and hoping all will work out. Remember chapter 11 doesn't mean they are going out of business, it's just a legal status to change their financial situation. If you can you should be as nice to them as possible in the hope of keeping their business, unless you dont want the account anyway. It would suck big time to make a big stink out of getting paid and then have to watch some other dude making money on your account next season. If you find out for sure they are closing down then go for it, liens, lawyers whatever.

[kristopher l kave]

I WOULD QUIT MOWING IT OR MOW IT ONCE MORE AND REALLY F IT UP

[awm]

just be glad u not the one doing the 11. hang loose,
u may get the money in time.later now

[Twotoros]

Line up a sod installation,then rent a sod cutter. You know the rest.:laugh:

[Atlantic Lawn]

Get your name added to the list of creditors,good luck.

[A1 Lawn@Landscapes]

The court will send you a proof of claim. The debtor will list their creditors and how much they are owed. You will need to return this with the amount they owe you written on it. They must list you in order to receive protection. If they do not list you, they must pay. Hang in there.

[ADA]

I am not sure about chapter 11 but on regular bankrupsys I have never gotten one red cent out of about 50 or so people that have declared bankrupsy. ( I am a merchant). My claims were never categorized as secured. You probably do not have a secured claim. Yours would probably be considered unsecured. You might get a piece of the bone after they satisfy all secured debts. Not a lawyer but thats my experience.
Why don't you see if you can continue cutting on a cash basis. You cut ,you get paid Then! That way you stay visible and you keep your foot in the door if they come out of chapter 11. They may be willing to pay off what they owe you by adding a little bit with each cut. Something is better than nothing.