Company filedChapter 11 Bankruptcy

sconti_95March 18, 2009

Having a company install thin pavers on my lanai and pool deck. Have not given any money, with the total amount due upon completion and my satisfaction. Saw in the local paper the company has filed Chapter 11 Bankuptcy, but the owner called me yesterday and said that everything was set to start the job Monday. Should I have anything to be concerned about as I have not given any money and will not until I am satisfied. Would be interested in knowing if anyone has had any experience with a similar situation. Thanks !!

Thank you for reporting this comment. Undo
duluthinbloomz4

I wouldn't be too worried - they just restructure, reorganize and go on with business as usual. It should be fairly seamless for you as a consumer.

If they don't expect to get paid until they complete the work to your satisfaction you're pretty well protected.

    Bookmark   March 18, 2009 at 6:05PM
Thank you for reporting this comment. Undo
gibby2015

I guess I might wonder if the company would be around in a year or two if I had problems after the initial installation. I might also wonder about any subcontractors who might not get paid and then end up with a lien on my property. Of course all of this could happen with someone who wasn't in bankruptcy.

    Bookmark   March 18, 2009 at 9:31PM
Thank you for reporting this comment. Undo
triciae

"...they just restructure, reorganize and go on with business as usual. It should be fairly seamless for you as a consumer."

Well, not entirely. First, a BK Court & the company's creditors must approve a restructure plan. And, possibly, the issue of most concern in today's environment is whether the company is able to secure Debtor In Possession (DIP) financing. That is, under no circumstances, a given today.

If the contractor fails to pay his supplier for the materials and/or labor on your job those contractors may file a Mechanic's Lien against your property. Frankly, with so many contractors looking for work today, I'd find somebody else to do the job.

/tricia

    Bookmark   March 19, 2009 at 3:36AM
Thank you for reporting this comment. Undo
sconti_95

duluthinbloomz4,gibby3000,and triciae:
Thank you very much for your quick response. As for the material,(12'square thin pavers,2000 sq.ft.)I am paying for them myself. Regarding the labor, I am going to examine that closely. As mentioned however, this could occur with any company.I have used this company before without any incidents,so hopefully the same positive results will occur. I have known the owner for a long time, so hope that is worth something.Again, thanks to each of you for your insight and advice. It is greatly appreciated.

    Bookmark   March 19, 2009 at 8:09AM
Sign Up to comment
More Discussions
Family Banking Concept, anyone heard of it?
I did a search here and did not see any similiar thread....
rjinga
refinancing a home
Just learned my interest is 5.25 on our home morgage....
victory_tea2085
anyone had trouble getting an Amex card accepted?
I have an Amex card with a very good cashback program,...
davidrt28 (zone 7)
Experience as a 1-car couple?
We moved into a new home (my first real house with...
ked1985
Buying a new house financial questions?
This seems silly, but I don't have anyone else to talk...
Butternut
Sponsored Products
Chooty and Co Slam Dunk Tangerine Valance - CPV15880
$19.99 | Hayneedle
Winsome Velda Writing Desk with 2 Shelves Multicolor - 94550
$229.99 | Hayneedle
Surya Vintage VTG-5224 Area Rug Multicolor - VTG5224-23
$154.20 | Hayneedle
Verus Sports Vintage Steel Horseshoe Set - HO100
$49.99 | Hayneedle
Calligaris Airport Expandable Dining Table - CS/4011_GAW_P77_P77
Hayneedle
ELK Lighting Formations 31133 Pendant - 33W in. - 31133/6ASH
$868.00 | Hayneedle
People viewed this after searching for:
© 2015 Houzz Inc. Houzz® The new way to design your home™