I’m sure all of this will be played out in spectacular fashion in the courts of British Columbia in the coming months. Directors in BC are liable for unpaid wages to employees. No doubt they pulled the rug just in time to ensure people got their statutory severance. But beyond that, anyone hoping for more will have to get in a long line behind secured creditors. Man this sucks.
In a situation like this, someone with a contract not receiving consideration mere days after signing can probably just not pay. It would be very difficult for a company in the midst of shutting down to fight anyway.
It would indeed be foolish to pay an invoice to a company that has very publicly declared insolvency. Many if not most contracts I have ever signed contain a provision voiding the obligations of the parties if either party is insolvent.
I'd be shocked if you didn't get reimbursed. But if you don't, let me know and Afino might be able to mitigate a portion of your losses with a friendly discount. That just ain't right.
When a company goes bankrupt, there’s a specific order that everyone who’s owed money gets paid out in. I wouldn’t be surprised if “operational costs” like refunds are low on the list.
I signed up with Capchase on a 12-month contract, too. Does this mean my contract is with Capchase and I’ll have to pay for the next 12 months even if I don’t get the service? Feels like a great scam. Sign a whole bunch of new customers in 12-month contracts and get paid upfront from Capchase in full and leave us paying off our debt to Capchase. I’m so frustrated.
