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chp 11 filing

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Rbaginski

Junior Member
What is the name of your state? Ca
WE recently purchased a spa through a company that has benn in buisness for about 5 years. We paid for it in full up front on American Express Card.They Said the custom spa would be delivered in about 4-6 weeks. I had called twice for update during that time. They told me everything was on schedule and would ship out around August 23rd. Then we recieved a letter from a lawyer's office saying they had filed chp.11. Having a very hard time contacting the attorney who is taking care of this. In the mean time I've gone into the store and they are selling there demo spa's at a discounted rate. I think we should have 1st choice at those. No one in the store will help us and they keep telling us to call the attorney. Then I read about filing a proof of claim and share in the liquidationof the backruptcy estate. Is there anything we can do or do we just sit and wait?What is the name of your state?
 


azatty

Member
File your proof of claim, and file a request for notice with the bankruptcy court. Make sure to file the proof of claim as an "unsecured priority claim" under 11 U.S.C. §507(a)(7). It grants you priority status for a deposit made on consumer goods up to $1,800 (property purchased for family/household use). Then sit and wait.

The other possibility is to contact AMEX and do a "charge back" on the grounds that the vendor never provided the goods.

It's unlikely that the lawyer will call you back. Believe me, when a retail shop goes into an 11, there are simply too many customer calls for the lawyer to handle.
 

2901bruce

Member
File your proof of claim, and file a request for notice with the bankruptcy court. Make sure to file the proof of claim as an "unsecured priority claim" under 11 U.S.C. §507(a)(7). It grants you priority status for a deposit made on consumer goods up to $1,800 (property purchased for family/household use). Then sit and wait.

The other possibility is to contact AMEX and do a "charge back" on the grounds that the vendor never provided the goods.

It's unlikely that the lawyer will call you back. Believe me, when a retail shop goes into an 11, there are simply too many customer calls for the lawyer to handle.

Agreed. Call AMEX, immediately & tell them that you paid for the spa and that it was never received. Tell them you need an immediate "charge back". I wouldn't even mention their BK.
 

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