Client won't pay his invoice

GreatLakes

New Member
2
So wondering if any one can tell me the legalities of a situation we find ourselves in.

All our shipments are payment before delivery ( we put this on every quote in writing). Had a client give us a job to pickup 8 standard skids. Upon pickup, turns out it's 20 skid spots. Adjust their bill and explain the additional charges. As of right now, freight is sitting at the carriers terminal. Tried to reach out to the client a couple times to try and work things out and get paid, but have yet to hear back from them. It's only been two weeks, and I'm sure the matter will get resolved, but thought I'd see if anyone has been in such a position? How long did you wait until potentially selling the freight? I have read that it is legal to do so eventually but how long does one have to wait?

Any insight would be helpful. Thanks in advance.
 

loaders

Site Supporter
30
Obviously your client doesn’t have much use for whatever the product is. In the meanwhile, you are running up a storage charge with the carrier you selected. Best to consult a paralegal, such as ScamChaser who can be contacted through this site, to review your options. Certainly a registered letter outlining the particulars and demanding payment for both the cartage and the storage fees accumulated to date is in order. If they fail to respond you will have to find a way to dispose of these goods and hopefully you end up not loosing too much over this deal gone bad. Best advice is act now before the storage fees get too troublesome.
 

shayne

Active Member
15
you aren't allowed to sell the freight , that illegal - not paying an invoice isnt technically illegal.

if you sell the freight thats theft
 

GreatLakes

New Member
2
you aren't allowed to sell the freight , that illegal - not paying an invoice isnt technically illegal.

if you sell the freight thats theft
I actually read online, although this may be in the USA, that we are permitted to do that to recoup the loss, however, more or less the reason I thought I'd poke around on here was for some advice on the matter. Have zero interest in selling other peoples goods, prefer to just work it out, get paid, deliver, move on with life.

Do you have a resource for it being illegal I could read at all? Thanks for the reply.
 

GreatLakes

New Member
2
Obviously your client doesn’t have much use for whatever the product is. In the meanwhile, you are running up a storage charge with the carrier you selected. Best to consult a paralegal, such as ScamChaser who can be contacted through this site, to review your options. Certainly a registered letter outlining the particulars and demanding payment for both the cartage and the storage fees accumulated to date is in order. If they fail to respond you will have to find a way to dispose of these goods and hopefully you end up not loosing too much over this deal gone bad. Best advice is act now before the storage fees get too troublesome.

Yeah, they obviously are in no big rush to resolve the matter, and neither am I, but I am running up a storage bill with the carrier which is really my only concern at this point. I could always have it delivered to my yard, which has free storage, but also incurs additional costs on my part to get it here/unloaded. I'll reach out to ScamChaser as well. As for the loss financially, wouldn't be the end of the world.
 

loaders

Site Supporter
30
Shayne, if the delivery could not be completed and the goods had to go into a public or private warehouse, they would become subject to a warehouseman’s lien. If the storage remains unpaid after I believe 2 months, and all proper registered notifications to all parties has been completed, the warehouse is entitled to sell the goods at auction. Really not that different than a mechanic’s lien for unpaid car or truck repair bills. Problem of course, is if the goods aren’t worth much to start with, will they bring enough at auction to satisfy the outstanding storage charges? If they bring nothing at auction, you now have the disposal charges to absorb as well as the storage fees. Again, this isn’t something to let slide for very long.
 

GreatLakes

New Member
2
Hey, Thanks very much for your insight on that, greatly appreciated. I kind of figured it was something like 2 months, but I will deeper into that. Thankfully the value of the goods is about 3x what the owe so no major cause for concern on getting our money in terms of a re-sale. Really appreciate your input. Thank you, Nick
 

loaders

Site Supporter
30
Not really in my limited knowledge. Freight charges are a separate issue that unfortunately doesn’t involve a lien. If you do decide to enlist professional assistance, ScamChaser will be able to offer you excellent advice at a reasonable cost. We have used his services in the past all with positive outcomes.
 

GreatLakes

New Member
2
Alright, thanks very much - I shot him a message earlier and I'll see where that takes me. Totally appreciate you're replies. Learn something new in this business every day! I also learned today, that rail equipment is exempt from an AES/72 hour notice at US Customs. haha.
 

GreatLakes

New Member
2
I'll definitely post it should I feel others should know (once I figure out what's going to happen). I think they're just mad they under estimated the actual space required and it's costing more money now.
 

shayne

Active Member
15
Shayne, if the delivery could not be completed and the goods had to go into a public or private warehouse, they would become subject to a warehouseman’s lien. If the storage remains unpaid after I believe 2 months, and all proper registered notifications to all parties has been completed, the warehouse is entitled to sell the goods at auction. Really not that different than a mechanic’s lien for unpaid car or truck repair bills. Problem of course, is if the goods aren’t worth much to start with, will they bring enough at auction to satisfy the outstanding storage charges? If they bring nothing at auction, you now have the disposal charges to absorb as well as the storage fees. Again, this isn’t something to let slide for very long.
Im sorry but the storage charges are because @GreatLakes isnt paying the actual transporting carrier. This shouldn't be the problem of @GreatLakes client who hasn't paid yet.

@GreatLakes , does your quote say that if the size shipped is differnet than what quote
I'll definitely post it should I feel others should know (once I figure out what's going to happen). I think they're just mad they under estimated the actual space required and it's costing more money now.
im sure thats the reason, people go crazy for $$$$. Ive heard some threats when i charge back ltl re weights from carriers
 

loaders

Site Supporter
30
That is the way I understood it. No dispute with the delivering carrier, just the customer has gone radio silent and Great Lakes wants an answer from them regarding the shipment that grew in size .
 
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