Anyone had to collect from Walmart due to client non payment

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Thefriendlybroker1

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Jan 31, 2013
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Question

I have a US client that is well over 120 days for about 10 K. The loads delivered into Wal-mart Canada.

Has anyone run into a similar situation where they have had to contact a large consignee like this demanding payment ( Walmart is listed as consignee which i believe under the mercantile act, allows me to go to them for payment should the shipper default )

Looking for some advice
 
Look at the Custom Doc's and make sure the shipper is the seller as it could be a Canadian Sales Broker and you may be able to go to them and not involve WalMart at all. If you have to go to Wal Mart and can find the right person to talk to about the situation that will be the first big task, my suggestion would be to explain your situation but don't mention billing them at first, see if they will help you with the shipper because they will just shut you down if you mention you are going to bill them. If it is a daily stock item you will have a better chance than a 1 off as they still do business with the shipper and if you are lucky will say something to the buyer about the situation. If all that fails bill them and see where it leads.
 
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The shipper is 100 % the seller. They are moving Reese and Hershey product to walmart ( Frozen ). They haven't done business with Walmart since the loads we hauled for them as they are moving facilities and trying to sell equipment to come up with funds ( while using co-packer now to re-start the business )... I will try just calling wal-mart to see if they can put pressure on them though !.. good idea
 
Well you have a couple of problems:

[1] Since the freight originated in the US, the Courts have generally ruled that the origin dictates which country's laws apply. Therefore, the ability to rely on the Bill of Lading Act (Federal) or the Mercantile Law Amendment Act (Ontario) may be on shaky grounds.

[2] If I assume from your "handle" that you are a broker, you may not be able to rely on either of these two acts, since as a broker, you did not sign the bill of lading. You may be able to get around this by having the carrier assign his rights of collection to you, in return for your paying his freight bill; however, the problem here is that the assignment would have occurred substantially after you had paid the carrier(s).


Thefriendlybroker1 said:
Question

I have a US client that is well over 120 days for about 10 K. The loads delivered into Wal-mart Canada.

Has anyone run into a similar situation where they have had to contact a large consignee like this demanding payment ( Walmart is listed as consignee which i believe under the mercantile act, allows me to go to them for payment should the shipper default )

Looking for some advice
Click to expand...
 
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You' have a better shot if the product was private-labeled as Walmart brand. The only way I was able to collect some monies from a supplier to big-boxes that went bankrupt a few years ago was to hold some product back, and reach out to procurement at those retailers that we had product and if we didn't get paid we were going to sell to a jobber. That gets them responding fast.

It doesn't sound like the case here and you may be looking to take blood from a stone. Good luck.
 
I have been in touch with a lawyer than handles this and he has a few idea on how this could work well in an Ontario court as the delivery was done here. Much of what he had said was similar to Scam chaser's comment... so fingers' crossed !... It looks like from a legal statement, it can reasonable be expected that we would assume the rights to collection from the carrier as we've paid them, which should entitle us to the similar rights as they would have
 
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