Repossession

Xarpolis

Life's a Dream
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15,639
I was wondering if any of you have any experience with this as someone who would like to perform a repossession.

My company has been doing business with another company for a number of years. We make small metal parts that fit into the machines that they sell. We currently have 3 unpaid invoices with said customer, and we received a notice that the business was sold off and instantly transferred to another owner. There were definitely some back room deals going on. No one, not even the employees of this business, knew that they were in trouble. Then the next day it was under new ownership. The new owners are dealing with a lawyer to handle everyone's claims, and this is a response that I received when asking if we would be able to pick up the unpaid shipped parts that have been delivered.


I am writing in response to your letter to my colleague ********. In our capacity as legal counsel to ***, we are advised that as you may be aware, *** was unable to sustain its business operations on a financially viable basis in conformity with its obligations to its secured creditors. As a result, ***'s secured lender foreclosed on all of ***'s assets and sold certain assets to <****>. We are advised that neither the secured lender nor <****> assumed any of the company's liabilities and *** has no further assets to satisfy any other creditor claims.
I realize this is their way of saying "go fuck yourself", but there has to be a way to reclaim our lost parts. I mean, if a company recently purchased a vehicle and then tried that shit to the manufacturer, it would be repo'd. How would I go about doing the same?

I'm thinking about responding to her email saying something likeI appreciate your response to our letter, but I feel there may have been some confusion as a result. I would like to make it clear that I am not attempting to secure any type of payment for our lost goods. I'm simply trying to repossess parts that we delivered to you that have been unpaid. This way we would be able to retain the scrap value of these parts to help offset our losses.

Any advise from you guys would be appreciated.
 

chaos

Buzzfeed Editor
17,324
4,839
If it were me, I wouldn't correspond with them again until I had spoken with a lawyer. If it isn't valuable or serious enough that you want to get a lawyer involved, then maybe I would try one more time to go pick it up but otherwise I would let it go.
 

Xarpolis

Life's a Dream
14,148
15,639
It's minimal. A whopping $6000 lost in total. We're just trying to reclaim the lost parts. I don't believe we want to go the route of a lawyer, as we still plan on doing business with the "new" owners. We're just trying not to get screwed in the process.
 

Borzak

Bronze Baron of the Realm
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32,089
I can't imagine dicking with it for $6000. That's probably he other guys thought too but do you win even if you "win". Almost 100% of our shop equipment was picked up at auction. I assume when they go bankrupt you can make a claim on it. I know our biggest piece was a repo but I assume they waited till they filed for bankrupcy or shut down etc...Considering it took us a few weeks to unload it I can't imagine sneaking in and repoing it.
 

Soygen

The Dirty Dozen For the Price of One
<Nazi Janitors>
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If you can write if off, then I would reach out once more clarifying you simply want the product back. If still no dice, and you do end up doing business with the new owners, work that 6000 bucks back into the pricing with them over time.
 

Borzak

Bronze Baron of the Realm
24,700
32,089
If you can write if off, then I would reach out once more clarifying you simply want the product back. If still no dice, and you do end up doing business with the new owners, work that 6000 bucks back into the pricing with them over time.
If you are key to their business you might have something. I worked contract to companies for 25 years. One guy I did a lot of work for filed for bankrupcy and he owed me $25k. I found out from someone else. I figured I would never see that money. A few days later the owner came by the house on his motorcycle and wrote me out a personal check for $25k. I figured it wouldn't clear. I ran to the bank about 30 seconds after he left, it cleared. I assume he thought at some point he would open back up and would need the services of what I did which aren't that common.
 

Xarpolis

Life's a Dream
14,148
15,639
That's a shock. We've been burned a couple of times over the years, but we're just tired of it. Yet we're in a business that even when people fuck us and re-open, we need the business, so we always take them back. We're like a battered wife.
 

Unidin

Molten Core Raider
807
447
If they haven't actually filed for BK, then the debts of the old owners are the debts of the new owners. That's also assuming it's the same company.
 

Creslin

Trakanon Raider
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If they didn't file for bankruptcy but just sold all the assets to some new company and stiffed the old creditors then that's almost definitely illegal.
 

Xarpolis

Life's a Dream
14,148
15,639
I don't know what it is. I believe they're under a new name now, but not even 100% sure on that. We received an email about a week ago from one of the employees saying that overnight the business had changed, but the employees were never told about it, nor were they affected in any way.
 

Creslin

Trakanon Raider
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Sounds like they just plan to stiff you and hope its not worthwhile for you to sue them, even if you probably have a good case.