Mackinnon Transport Inc Guelph
- Thread starter Gord M
- Start date
10
Built up profits
There is one very big difference between what the freight brokers costs are and those of the Carrier.
One can comfortably say that a long-haul truck will consume upwards of $400.00 per day in fuel if it is used near maximum capacity.
Multiply that figure by the amount of trucks that are in you fleet and you get a considerable figure.
Count on dispersing for fuel daily or if you are lucky , weekly!!
That is why carriers can seldom afford terms over 30 days.
Now, if you have a brokerage division such as is the case here. You can take the receivables from that division, pay for your own trucks fuel and stretch payment to the carriers.
Then when expenditures, get out of hand, there are no monies left to pay the carriers.
Hence , why so many carriers are out of pocket in this case!
There is one very big difference between what the freight brokers costs are and those of the Carrier.
One can comfortably say that a long-haul truck will consume upwards of $400.00 per day in fuel if it is used near maximum capacity.
Multiply that figure by the amount of trucks that are in you fleet and you get a considerable figure.
Count on dispersing for fuel daily or if you are lucky , weekly!!
That is why carriers can seldom afford terms over 30 days.
Now, if you have a brokerage division such as is the case here. You can take the receivables from that division, pay for your own trucks fuel and stretch payment to the carriers.
Then when expenditures, get out of hand, there are no monies left to pay the carriers.
Hence , why so many carriers are out of pocket in this case!
10
Apparently those cases were for monies earned AFTER the trustee was set up so they don't serve as precedents in this case.
Things are happening, I will keep you posted
10
For you folks on the carrier list of this poor unfortunate carrier, there has been some activity with regard to 'partner carriers'.
A court order was issued Jan 11th, and a KPMG letter dated Jan 16th will be forthcoming to you explaining same.
It includes a cease and desist with regard to chasing their customers for payment, but there is also some good news. If you are a creditor and can't wait, PM me.
A court order was issued Jan 11th, and a KPMG letter dated Jan 16th will be forthcoming to you explaining same.
It includes a cease and desist with regard to chasing their customers for payment, but there is also some good news. If you are a creditor and can't wait, PM me.
All of the KPMG documents regarding Mackinnon are available here:
MacKinnon | KPMG | CA
It looks as though $475,000 is being put aside for "partner carriers" as a form of repayment for services rendered. This money is obviously coming from the van div. sale to Laidlaw.
MacKinnon | KPMG | CA
It looks as though $475,000 is being put aside for "partner carriers" as a form of repayment for services rendered. This money is obviously coming from the van div. sale to Laidlaw.
10
MacKinnon's paying a $3,000 sign on BONUS to new drivers and O/O's for their deck division. Good thing they don't owe me, I think I'd lose my chit over this. They can't pay their bills BUT they can use owed monies to recruit!
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$3,000. Sign on Bonus!! Flatbed AZ Drivers & Owner operators - Cambridge Driver & Security Jobs - Kijiji Cambridge Canada.
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10
Creditors list
An interesting read.
Noted that the secured creditors seem to be owed nothing. How does that work?
What was the amount owed to MacKinnon Holdings?
I guess the rest of us will be paying a lot more for tires this year, seems not to have liked paying the tire guys!
An interesting read.
Noted that the secured creditors seem to be owed nothing. How does that work?
What was the amount owed to MacKinnon Holdings?
I guess the rest of us will be paying a lot more for tires this year, seems not to have liked paying the tire guys!
15
Mackinnon
We were owed $50,000 when we received the insolvency letter. We gave the file to a US collections agency. They billed Mackinnon's customer. But Mackinnon paid every penny they owed us, we had to pay the collections people 20%.
Usually when we get an insolvency letter, we are lucky to get 10 points. This one worked out good for us.
We were owed $50,000 when we received the insolvency letter. We gave the file to a US collections agency. They billed Mackinnon's customer. But Mackinnon paid every penny they owed us, we had to pay the collections people 20%.
Usually when we get an insolvency letter, we are lucky to get 10 points. This one worked out good for us.
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30
You were very lucky Gord M. Often times these things don't work out - OR all of the time you spent trying to collect - never pans out.
Nice to hear this good fortune outcome...for a change....
Nice to hear this good fortune outcome...for a change....
30
I know of another carrier that was paid also. Looks like they are paying everyone - kudos to them for that.
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2
Not everyone is getting paid
We did a load that was paid to Mackinnon before the NOI (Our load was paid on December 9th to Mackinnon by their customer) so we are not owed our money according to KPMG...this makes no sense...really... any suggestions?
We did a load that was paid to Mackinnon before the NOI (Our load was paid on December 9th to Mackinnon by their customer) so we are not owed our money according to KPMG...this makes no sense...really... any suggestions?
10
Gord M
Kudo's !
I do not agree with you being very lucky, you are very smart.
By hiring the collection agency and having such a large amount owing you simply scared either the trustee or the company themselves to pay out. Maybe that particular client was a keeper!
I will send out a demand letter accompanied by a criminal complaint to a carrier/ brokers customer later this morning.
Kudo's !
I do not agree with you being very lucky, you are very smart.
By hiring the collection agency and having such a large amount owing you simply scared either the trustee or the company themselves to pay out. Maybe that particular client was a keeper!
I will send out a demand letter accompanied by a criminal complaint to a carrier/ brokers customer later this morning.
10
F1...If they were paid before the NOI, it's not that you aren't owed the money, its that you do not become part of the carrier payout package that they set the $475k aside for. If they were paid prior to Dec 16th, you become an unsecured creditor.
I got a little over half of what I was owed because it was paid after the 16th. The balance is going unsecured and requires a separate claim, as per the court order.
It's funny that they had no trust account, in clear violation of the HTA, and there is no penalty. Not even a lousy $200.00 ticket on principle.
I got a little over half of what I was owed because it was paid after the 16th. The balance is going unsecured and requires a separate claim, as per the court order.
It's funny that they had no trust account, in clear violation of the HTA, and there is no penalty. Not even a lousy $200.00 ticket on principle.
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The same thing happened to us. Not fair that MacKinnon received the funds and then didn't pay us. Maybe we'll have to go directly to the Customer?
30
Interesting read. So if your bill to Mackinnon was dated before the NOI, Dec. 16, you get nothing, yet if your bill was dated after Dec 16, you receive at least partial payment out of this "carrier payout package"? If Mackinnon was brokering freight without a Trust Account, they are in violation of the HTA Trust Account provision. Perhaps those owed monies prior to Dec. 16 should organize themselves and seek relief from the courts, perhaps in some sort of class action. Certainly worth the time and effort to investigate.
10
There is a court order prohibiting chasing the customers for payment.
For invoices not paid by the 16th, KPMG paid out 100%
I have left it all in the hands of my lawyer...a pretty strong transport outfit.
My problem is, the outstanding amount is just over 4 grand. How much do I spend to get it?
For invoices not paid by the 16th, KPMG paid out 100%
I have left it all in the hands of my lawyer...a pretty strong transport outfit.
My problem is, the outstanding amount is just over 4 grand. How much do I spend to get it?
30
That is the dilema, do you throw more money on the fire? I don't know the cost or procedure of a class action, or if this case even qualifies for one, but surely there are a number of carriers in exactly your position. One would think that if the courts were agreeable to issue an order preventing creditors from contacting Mackinnon's customers for payment, they might also entertain hearing a case centred around failure to comply with the HTA Trust Account Provision.