Having heard of a number of instances of bad practice in the last week, I would like to raise this subject with readers in an attempt to determine how wide spread this is within the HVAC sector.
The conversations have specifically focused on phoenix companies that shut down, then start up again in a short period of time, having walked away from their debts.
This, of course, causes a great deal of inconvenience for their suppliers and industry partners, who are frequently faced with the fruitless task of attempting to claw back some of the money owed.
For smaller companies, the extra time required for this task alone can be prohibitive. There is also often little satisfaction to be gained against the type of people and companies that do this on a regular basis, as they ensure that their names are not included on any documents that could involve financial liability.
My concerns in this area are that the continuing difficult economic conditions will lead to more instances of bad practice such as this arising.
Of course, we’ve all seen instances where companies fail due to a number of reasons and despite the valliant efforts of those involved to avoid this. I’m referring to the businesses that close and reopen on a regular basis with the same people in charge.
H&V News will be publishing more information on the legal implications involved in these cases, in order to assist readers and help them to avoid being caught in the future. If you or your company have been a victim in the recent past, please let me know.