Monday, December 9, 2019

Merry Holidays..You Don't Have A Job


Drivers for Celadon Group Inc. (OTC: CGIP) appear to have been the last ones to find out about the company’s imminent bankruptcy and shutdown of its over-the-road trucking operation, leaving many of them stranded on highways with no instructions on how to dispose of their rigs and freight or assistance getting home. Some of Celadon’s competitors are stepping into the breach to help drivers get home, but before they abandon their vehicles there are steps they should take to protect themselves from liability, experts say.

Company drivers “need to find a safe location to park the truck, like a truck stop or rest stop, take pictures of the truck, hide the keys, document the location and where the keys are, and send all that information to the company,” Cassandra Gaines, a transportation attorney and head of Gaines Law Group LLC in Scottsdale, Arizona, said in a phone interview. She stressed that trucks not be left on the side of the road because of the danger of being hit by another vehicle. Drivers are on their own to find bus, air, rail or other transportation home, but should keep receipts because there may be options to file as a creditor with the bankruptcy court, depending on their state of employment, Gaines said.

Independent owner-operators who provided service to Celadon are contractually obligated to complete their assignment, Gaines advised, but should keep their receipts because they can submit any expenses for possible reimbursement or sue in small claims court, and drivers owed unpaid wages should file a claim in bankruptcy court, although there’s no guarantee they will get any money, she said.

Celadon has about 3,000 drivers and about 2,700 tractors across its North American operations.
FreightWaves was first to report (Dec. 6) that Celadon is going under because it defaulted on loan covenants and couldn’t secure additional financing. An official bankruptcy filing is expected next week.

https://www.freightwaves.com/news/Full Story

This is so very sad. Reminds me of a company I worked for. They planned on filing Chap 7. Told our manager, who they had transferred from out of town, Hey we are filing Chap 7. Leave your rental car in the hotel lot. Pack your stuff exit a back door, of the hotel. Stay away from the front desk. Come over to the office we have a plane ticket for you to go home.

The Liberals will blame Trump....Stay Alert...Rob

2 comments:

Jess said...

The worst part is that the drivers will only receive pennies on the dollar as reimbursement, at best. More than likely, they'll receive nothing, and have a hard time getting their wages.

Rob said...

Sad, but true statement. It happens to so many workers when company makes bad choices. What hurts even more is when the company asks for pay cuts because of their stupidity.