Got a bankruptcy notice from Jallen today

[gunrunner2019]

I got a bankruptcy notice from the us bankruptcy court today in regards to J Allen....

I'm beyond pissed. They stole my money and are now trying to write it off as chapter 7. I ordered a $1650 chassis from them in march of last year. They kept the money, never produced the chassis, wouldnt return emails or calls, and now expect it to be written off in a chapter 7.

Anyone else get the shaft by them? If so, what did you or can I do about it?

 

[Kadams1563]

Wow I knew they were having problems but thought they came out and said they would complete what orders they had.

I also thought they sold their design to someone else but I might be making that up

 

[gunrunner2019]

I believe MDT bought the designs. And they made zero attempt at any compensation. proven by the letter from the bankruptcy court today. They knew they owed me enough to include me in the chapter 7 filing.

 

[wade2big]

Nothing you can do. Companies file for Chapter 7 all the time and screw people they owe. You have unsecured debt. Kiss it goodbye.

 

[sharpshot50]

You could file a bankruptcy court claim but it will likely cost you the majority of what you are owed in lawyer fees and that doesn’t even guarantee you’ll get it. Even if you get everything filed and do everything right, the money comes from the company’s assets being liquified and all of that goes toward mortgages/liens and taxes, as well as wages and any retirement plan payouts that existed for employees of the company before any of it goes toward consumer claims, likely leaving zero for that

You could try to do a chargeback with your CC company, but it’s probably been too long now.

It sucks, but there’s probably not much you can do. I would definitely talk to the credit card company though.

 

[gunrunner2019]

My order was placed March 4th 2019. I kept getting the "it's in the process of being made" story so I kept waiting. Waited long enough that I couldn't get anywhere with the cc company.

 

[Bender]

Hard oof.....

 

[DIBBS]

Sheitt!!!! That sucks!

 

[BootyLord]

Damn that sucks man. Sounds like all you can do is count your blessings and decide on a new chassis.

 

[Tokay444]

 

[Sean the Nailer]

This situation sucks. I wonder what the going rate is for kidney's.... lungs.... a liver..... cornea's.....

All joking aside, but when someone goes out of their way to do this to other individuals/customers ON PURPOSE... then there's gotta be a way of making it back.

 

[Rootshot]

Try reversing charges on the credit card. Worked for me many years ago when I ordered and paid for some furniture and the store went out of business.

 

[W54/XM-388]

If the CC company won't help then you are totally screwed. If they are going full on bankruptcy, they spent your money long ago to keep the bills paid and there is nothing left but a few scraps and a pile of debt. If you get 1 cent on the dollar you are lucky.

 

[BCX]

And thats why i don't put a deposit on any orders anymore. I tell them straight up w the reason why, they usually just take my info and call when items come in. Hard burn....

 

[Movistar]

If the CC company won't help then you are totally screwed. If they are going full on bankruptcy, they spent your money long ago to keep the bills paid and there is nothing left but a few scraps and a pile of debt. If you get 1 cent on the dollar you are lucky.

Sad thing is there are time limits to that. I believe it’s 6 months so he is well passéd that. I had a similar thing with an AR part company know for gas blocks and piston systems. It was far less money but the same principal. Still sucks.

 

[Walter Haas]

I got a bankruptcy notice from the us bankruptcy court today in regards to J Allen....

I'm beyond pissed. They stole my money and are now trying to write it off as chapter 7. I ordered a $1650 chassis from them in march of last year. They kept the money, never produced the chassis, wouldnt return emails or calls, and now expect it to be written off in a chapter 7.

Anyone else get the shaft by them? If so, what did you or can I do about it?

You can write that off in your tax filing.

 

[W54/XM-388]

You can write that off in your tax filing.

IF you actually would have more in deductions itemized than the standard deduction is. That's a bit rare for most these days, but I guess if you could, then getting back 25 to 33% of your money is better than any other option.

 

[Doc68]

This is why you don't buy from gun manufacturers that tell you it's gonna take two years to make you a rifle, chassis, barrel. Or etc.......just saying.

 

[deersniper]

Southwest ammo burned me for $700 and kept stinging me along too

Bunch of crooks

Bankruptcy used to mean all your assets get sold. Not anymore

 

[Steel head]

That blows!
Sorry to hear that, I was hoping they’d at least fulfill all obligations.

 

[Downtown]

Happened once to me. Southwest Ammo. Lesson learned.

 

[THEIS]

Hi,

Sounds like everyone was strung along while they were finalizing the selling of product ownership rights over to MDT and then "spend" aka hide that money somewhere before they submitted the Chapter 7 paperwork........???

Sincerely,
Theis

 

[BCX]

I knew something was up last time i spoke w Lisa. Something was odd when they restructured their chassis builds.

 

[FjallJager]

Dude I feel for you. I was shocked that they went out of business, but then I realized they were charging $1750 for a chassis and thought yeah that is most expensive bullshit I have ever heard of. Heard the ergonomics on their chassis were incredible.

I am sorry you got burned by them. You are probably fucked.

I remember when there was a John Rigby owned by Geoff Miller and Co in Paso Robles, CA. They had an alternate ego rifle company for selling cheaper rifles and I placed an order but never sent the deposit for the rifle. As I just didn't quite have what they wanted for a deposit in my pocket, and thank god that saved me. A friend of mine ordered a John Rigby double rifle and had about $10,000 of a deposit with them. They filed for bankruptcy and he took it in the ass.

 

[Steel head]

Hi,

Sounds like everyone was strung along while they were finalizing the selling of product ownership rights over to MDT and then "spend" aka hide that money somewhere before they submitted the Chapter 7 paperwork........???

Sincerely,
Theis

That’s unfortunately what it looks like.

 

[Deleted member 10043]

Dude I feel for you. I was shocked that they went out of business, but then I realized they were charging $1750 for a chassis and thought yeah that is most expensive bullshit I have ever heard of. Heard the ergonomics on their chassis were incredible.

I am sorry you got burned by them. You are probably fucked.

I remember when there was a John Rigby owned by Geoff Miller and Co in Paso Robles, CA. They had an alternate ego rifle company for selling cheaper rifles and I placed an order but never sent the deposit for the rifle. As I just didn't quite have what they wanted for a deposit in my pocket, and thank god that saved me. A friend of mine ordered a John Rigby double rifle and had about $10,000 of a deposit with them. They filed for bankruptcy and he took it in the ass.

OMG

 

[BCX]

Wow losing 10k

 

[Pbgt]

Have LIAM NEISEN call them.....

 

[W54/XM-388]

If somebody is able to have a good lawyer bring this up to the bankruptcy judge, there is a good chance for some clawbacks or additional digging into where the money went and came from at the end when they knew they were going bankrupt and if somebody pocketed a bunch on the way out, they may be able to be forced to cough some up.

 

[mahlv]

It’s sickening the way there’s always a bailout for companies. We did a bunch of work for a large mining company that was constructing a new mine. Payments were on time, all was good, then the checks quit coming. We made out better than most local companies, in that we only lost 5 digit amounts of money, others here lost 6digit amounts and as much as 7figures. All said and done, this shitbag corporation declared bankruptcy, the construction never missed a day of progress and the new company (different name but same people at the helm) bought the debt for pennies on the dollar and never missed a beat on both mining and the construction of the mine. With a shady maneuver in your back pocket like this, why wouldn’t all big time corps use it.... oh wait.

 

[W54/XM-388]

It’s sickening the way there’s always a bailout for companies. We did a bunch of work for a large mining company that was constructing a new mine. Payments were on time, all was good, then the checks quit coming. We made out better than most local companies, in that we only lost 5 digit amounts of money, others here lost 6digit amounts and as much as 7figures. All said and done, this shitbag corporation declared bankruptcy, the construction never missed a day of progress and the new company (different name but same people at the helm) bought the debt for pennies on the dollar and never missed a beat on both mining and the construction of the mine. With a shady maneuver in your back pocket like this, why wouldn’t all big time corps use it.... oh wait.

Did all the companies and people that lost refuse to ever work for any company run by those same crooks again?
Or did they go back to dealing with them again, hoping to get paid this time?

That's why corporations get away with it.

Funny how Hillary and the rest of the politicians made it very hard for individuals to get out of debt with bankruptcy, but made it even easier for corporations to do so.

 

[mahlv]

Did all the companies and people that lost refuse to ever work for any company run by those same crooks again?
Or did they go back to dealing with them again, hoping to get paid this time?

That's why corporations get away with it.

Funny how Hillary and the rest of the politicians made it very hard for individuals to get out of debt with bankruptcy, but made it even easier for corporations to do so.

I know atleast one of the companies is out there again, and likely hosing the shit out of them to try and recoup some of that. I got ahold of the head cheese of the site, a guy that lived down the street from me at the time, and he basically expected us to keep coming out there for maintenance so that we could recover our losses. We took a pass on that offer, and that has been a hard lesson for me when considering opportunities for other work similar to this. I get that in order to progress and make money, chances have to be taken, but I'm way too hard headed to try and profit off of squishing the little guys.

 

[deersniper]

It’s sickening the way there’s always a bailout for companies. We did a bunch of work for a large mining company that was constructing a new mine. Payments were on time, all was good, then the checks quit coming. We made out better than most local companies, in that we only lost 5 digit amounts of money, others here lost 6digit amounts and as much as 7figures. All said and done, this shitbag corporation declared bankruptcy, the construction never missed a day of progress and the new company (different name but same people at the helm) bought the debt for pennies on the dollar and never missed a beat on both mining and the construction of the mine. With a shady maneuver in your back pocket like this, why wouldn’t all big time corps use it.... oh wait.

Sounds like a good way to get shot and or your house/business burned down.

The judge is the real guilty one there

 

[mahlv]

Sounds like a good way to get shot and or your house/business burned down.

The judge is the real guilty one there

Its kind of an american epidemic thing I think, another example of big corporate playing and changing the rules for their benefit. The right/wrong that most of us had beat into us growing up, is just bullshit. The laws written allow for a big dick corp to enter into contracts for lots of money, get the benefit of the contract, and can legally lay down and not keep their end of the deal. I'm getting pissed about it again, and it was 10+ years ago, dammit.

Anyway, to the OP, this sucks man, hopefully we can all learn to weed through these situations and avoid them.

 

[19Scout77]

It sucks, but rest assured, a society with bankruptcy laws and the protections they afford is a HELLUVA lot better than the alternative. My brother filed chapter 7 and included the $10k I loaned him! Shit happens. Count your blessings that you have never had to file.

 

[Crang]

BlackHorse Arsenal got me the same way for about the same amount. Bastids.

 

[mahlv]

It sucks, but rest assured, a society with bankruptcy laws and the protections they afford is a HELLUVA lot better than the alternative. My brother filed chapter 7 and included the $10k I loaned him! Shit happens. Count your blessings that you have never had to file.

Taking advantage of bankruptcy laws is the part that sucks, especially if it is used as a normal process of doing business. Always a bad apple or 7 to fuck up the principle the loopholes were created on. Hell, bankruptcy might just be my retirement plan, if only I could live with my conscience after that...

 

[W54/XM-388]

You could cut a lot of it out by disallowing chapter 11 bankruptcies and not allowing any of these sweeheart deals to let the same guys buy back stuff for pennies and get back to work.

Your corporation wants to file bankruptcy, fine, All your assets, all your IP, everything down to the last little bit gets put up for public auction bit by bit to the highest bidder in a manner designed to bring the greatest amount of money in, then all that money goes to pay off your creditors. AND we take a look hard at any large payments or other special swaps designed to enrich the guys that crashed it all on their way out and any "special" retirement packages they may be holding.

That would go a very long way to fixing the problem.

 

[mahlv]

You could cut a lot of it out by disallowing chapter 11 bankruptcies and not allowing any of these sweeheart deals to let the same guys buy back stuff for pennies and get back to work.

Your corporation wants to file bankruptcy, fine, All your assets, all your IP, everything down to the last little bit gets put up for public auction bit by bit to the highest bidder in a manner designed to bring the greatest amount of money in, then all that money goes to pay off your creditors. AND we take a look hard at any large payments or other special swaps designed to enrich the guys that crashed it all on their way out and any "special" retirement packages they may be holding.

That would go a very long way to fixing the problem.

Or.....

Be a lawyer, profit off both sides?

 

[footsteps]

I got a bankruptcy notice from the us bankruptcy court today in regards to J Allen....

I'm beyond pissed. They stole my money and are now trying to write it off as chapter 7. I ordered a $1650 chassis from them in march of last year. They kept the money, never produced the chassis, wouldnt return emails or calls, and now expect it to be written off in a chapter 7.

Anyone else get the shaft by them? If so, what did you or can I do about it?

Since you were noticed of the impending court filing you Will know when they will be in court, can get some sort or possible refund or other compensation.

 

[Arc Light]

It sucks, but rest assured, a society with bankruptcy laws and the protections they afford is a HELLUVA lot better than the alternative. My brother filed chapter 7 and included the $10k I loaned him! Shit happens. Count your blessings that you have never had to file.

Your brother likely had to include your loan in his bankruptcy. ALL debts must be listed in your liability schedules, otherwise it is a violation of the bankruptcy code. Doesn't mean he can't pay you back voluntarily once his bankruptcy was discharged

 

[Doc68]

I would find out where the court case will be, and if practical then I would go there just to let them know personally how you feel and how they affected you and your family. That's just my .02 worth however.

 

[FjallJager]

My father loaned his brother $5000 right before he died, and then paid for the funeral.

Blood is thicker than water.

Not sure I would do that for my sister's family, and I damn sure wouldn't do that for my wife's sister's family. My parents and my in-laws of course.

 

[Changed]

Depending on the type of company, you could take the owners to small claims court. Especially if someone at the company pocketed the money from the MDT deal.

If it were me, I would call the sheriffs office in Yorba Linda and report a theft.


21520-G YORBA LINDA Blvd., Yorba Linda, California, 92887, United States

 

[W54/XM-388]

Depending on the type of company, you could take the owners to small claims court. Especially if someone at the company pocketed the money from the MDT deal.

Usually not once they are in bankruptcy court. That usually blocks most other court dealings (which is why it's used).

 

[Changed]

Usually not once they are in bankruptcy court. That usually blocks most other court dealings (which is why it's used).

It does not block filings on the owners themselves (again depending on company type). It does block further filings on the company itself that's the whole reason for filing Chpt. 7.

Also, if preferential payments were made (in advance of the filing), there is a look-back period for which you can retrieve payments made to creditors. You would need to engage council to proceed with that claim. For example, if they procure aluminum from a company to which they owe significant money, and they decided to pay that creditor everything, you can then file a motion to have those funds refunded for proper division amongst all creditors.

If possible you should make sure that you are listed as creditor on the bankruptcy filing.

 

[Not a Clue]

It might not be too late, see this from the FTC, specifically about being billed for something that takes longer than 60 days to get...

https://www.consumer.ftc.gov/articles/pdf-0041-billed-for-merchandise-you-never-received.pdf

Worth a try, you've got $1,650 to lose, I'd try it.

 

[Ravenworks]

About 15 years ago a group of Mexicans (cartel) bought Republic Steel.
Same deal,they poured 100's of millions into the Canton Ohio mill.
Then their payments started getting spotty.
We were building a new furnace and a second casting plant.

We were close to the end of the project and doing trial runs when the money stopped.
The Italian company that made all the equipment came in the night before we were to turn over the keys and they stripped every hardrive out of the new plant.
The mill didn't know this had been done.
The next day they filed for bankruptcy, the Italian company got paid along with every other contractor on the job.

 

[broncoaz]

It might not be too late, see this from the FTC, specifically about being billed for something that takes longer than 60 days to get...

https://www.consumer.ftc.gov/articles/pdf-0041-billed-for-merchandise-you-never-received.pdf

Worth a try, you've got $1,650 to lose, I'd try it.

Looks like you have 60 days from the bill containing the charge in question:

The Fair Credit Billing Act
To dispute a billing error on your credit card, you must:
n Write to the credit card issuer at the address for “billing inquiries,” not the address for sending your payments (the address for billing inquiries is often found on the back of your most recent
monthly statement); include your name, address, account number and a description of the billing error. A sample letter is included on page 3.
n Send your letter so that it reaches the credit card issuer within 60 days after the first bill containing the error was mailed to you.
n Send your letter by certified mail, return
receipt requested, so you have proof of what the credit card issuer received. Include copies (not originals) of sales slips or other documents that support your position. Keep a copy of your dispute letter.
n It is important to send the letter to the correct company. In the case of Visa and MasterCard, you should send it to the bank that issued
the card.
The credit card issuer must acknowledge your complaint in writing within 30 days after receiving it, unless the problem has already been resolved. And the credit card issuer must resolve the dispute within two billing cycles (but not more than 90 days) after receiving your letter.

 

[Yerman]

Have you thought of going to MDT, explain the situation, and see if maybe they can make it right? There is a possibility (albeit rather small) they could provide you with something they already have either free or at a steep discount. It's worth a shot. If owned MDT and was talking over this brand, I would certainly do something like this to keep the fire from getting out of control.

Sorry to hear you are going through this.