It also names CoreFunds longtime president, Bonnie Castillo, as the sole manager of CoreFund. fails to comply with a request regarding a list of collateral or a statement of account under Section. }); She said CoreFund plans to release the carriers that want to find a new factoring company, but it could be risky for those companies that are already factoring CoreFund truckers accounts receivable. Get a reliable factoring company that doesn't require contracts or charge hidden fees. googletag.defineSlot('/21776187881/fw-responsive-main_content-slot5', [[728, 90], [468, 60], [320, 50], [300, 100]], 'div-gpt-ad-1665767778941-0').defineSizeMapping(gptSizeMaps.banner1).addService(googletag.pubads()); ALIENABILITY OF DEBTORS RIGHTS. Our commitment is to our clients by providing them with. There is no doubt that CoreFund Capital is an outstanding factoring company. Melissa Harris joined CoreFund Capital as vice president. googletag.enableServices(); Email formats & phone numbers of CoreFund Capital 10-50 employees. View contacts for CoreFund Capital to access new leads and connect with decision-makers. Staffing Agencies. The most common UCC in trucking is a UCC-1 lien. The court will consider appointing a receiver. As of 7/24/2022, Frost Bank and TBK Bank have been served, but Wakefield and Sacks have not according to court records. Factoring entails purchasing accounts receivables from a business at a discount. This still has some risks if the Debtor actually owes money to the Secured Party. Please try again later. Somebody needs to go to jail for the hardships that youve caused in the past 2 mths! NOT SO FRIENDLY FACTOR TRIUMPH BUSINESS CAPITAL. The world has enough supply chain problems as it is. June 3, 2022 Contact Information. In fact our agreement is online for the world to see. googletag.pubads().enableSingleRequest(); 5) No Online reviews, Your email address will not be published. googletag.pubads().enableSingleRequest(); However, a debtor or secondary obligor whose deficiency is eliminated or reduced under Section 9-626 may not otherwise recover under subsection (b) for noncompliance with the provisions of this part relating to collection, enforcement, disposition, or acceptance. Here are 4 things you should do right now if you were factoring with CoreFund: Those brokers have never received a Notice of Assignment (NOA) from CoreFund, so you can still actively haul for them. DELIVER LOAD Deliver your load and get a signed Bill of Lading or other required paperwork. Itll take a couple of days to add your truck(s) to their insurance and get their decals, but once you have it, you can book your own loads under their authority and make a deal to share revenue. Many of you are now aware that CoreFund is currently closed due to an ongoing lawsuit and that all staff was terminated last week and is now legally unable to conduct any business whatsoever. googletag.cmd.push(function() { Factoring entails purchasing accounts receivables from a business at a discount. Additionally we are saddened and sickened by how this is impacting our clients who we consider family and we are legally unable to do anything to help as they struggle to stay in business. Is your factoring company next? The petition states that this is because of a , between the parties who control CoreFunds holding company and trust (Wakefield and Sacks). If this is done, the receiver will be able to process buyouts and terminations. Ashley DellingerExpress Freight FinanceTel: 770.500.9435adellinger[at]expressfreightfinance.com, Ask a question, send us a note we are here for you, and we always respond at the speed of your business. According to court documents, Shim Sacks founded CoreFund Capital in 2014. Edit Details . googletag.cmd.push(function() { googletag.pubads().enableSingleRequest(); However, late Thursday, Parker County, Texas, District Judge Graham Quisenberry appointed a receiver on behalf of CoreFund, which may help truckers gain access to funds more quickly. CoreFund Capital can help you manage cash flow by purchasing your outstanding invoices through a process called transportation factoring or freight bill factoring. Everyone trying to call their account representatives or the general phone number were left getting only voicemails or mailbox full notifications. googletag.pubads().collapseEmptyDivs(); Factoring involves three parties, the buyer, the seller and the factor. If a secured party fails to comply with a request regarding a list of collateral or a statement of account under Section 9-210, the secured party may claim a security interest only as shown in the list or statement included in the request as against a person that is reasonably misled by the failure. }); Hundreds of small-business truckers who use CoreFund Capital to factor their accounts receivable are struggling to stay afloat after the Weatherford, Texas-based company abruptly closed its doors 10 days ago and fired its entire staff over a legal spat between two brothers. There are some possible legal ramifications for the new factor as well. We appreciate how complicated this process and situation can get, especially for smaller carriers. Our Take: Even if your contract with CoreFund states that the transfer of rights is prohibited (a new factoring company takes over in case of default), this section does not allow such prevention. Q. In theory, this would be a free process much like any normal day if you wanted to get out of your CoreFund agreement before any of this had happened. A. , the secured party may claim a security interest only as shown in the list or statement included in the request as against a person that is reasonably misled by the failure. I had a carrier trying to get us to pay him directly hes called me a dozen times today but theres nothing we can do until we have a notice of assignment from CoreFund that this trucking company has gone to them for funding and CoreFund sends us an invoice, which we will pay the same day, Ginevra told FreightWaves. PERSONS ENTITLED TO FILE A RECORD. Jason is able to send this demand letter for you if you request it. This is very different from bank loans which influence the businesses debt to equity ratio, credit score, etc. Send me an email. With month-to-month agreements and no hidden terms or fees, why not start getting your cash fast today, All rights reserved. #notsofriendlyfactor, Clarissa has covered all aspects of the trucking industry for 14 years. (a) [Judicial orders concerning noncompliance.]. googletag.pubads().enableSingleRequest(); As of Monday night, July 25th, the company confirmed via Facebook that, unfortunately, the entire CoreFund team was terminated. If you have ever done a load for this broker in the past, they likely still have a NOA on file and will not pay you. He issued the following statement about the factoring companys ongoing lawsuit on LinkedIn. Heres the latest, according to Freightwaves: Jason Medley, an attorney with Spencer Fane told some of the affected companies about the appointment of the trustee yesterday: This means that the receiver can act on behalf of CoreFund to post UCC1 and assignment notices and negotiate paymentsAlthough the effect is not immediate the recipient still has to formally enter the process by paying a deposit, etc. }); googletag.cmd.push(function() { We have been with CoreFund Capital LLC, since September 2021; CoreFund Capital has the industry expertise, stability and outstanding customer service . googletag.pubads().collapseEmptyDivs(); Ashley Dellinger, Vice President at Express Freight Finance, said, Carriers are upset and panicked at this time. Melissa Harris joined CoreFund Capital as vice president. At that point they will be able to begin the process of terminations. Our staff is hurting and struggling with this as we were completely blindsided. googletag.enableServices(); Can they? This section refers to defaulting on the contract. googletag.defineSlot('/21776187881/fw-responsive-main_content-slot5', [[728, 90], [468, 60], [320, 50], [300, 100]], 'div-gpt-ad-1665767778941-0').defineSizeMapping(gptSizeMaps.banner1).addService(googletag.pubads()); NO! Disclaimer: The following information does not constitute legal advice. It has been sent. (f) [Statutory damages: noncompliance with Section 9-210.]. Our agreement: https://loadxfactoring.com/terms-and-conditions/, Our application: https://loadxfactoring.com/loadx-factoring-application/. A recipient of a request under Section 9-210 which never claimed an interest in the collateral or obligations that are the subject of a request under that section has a reasonable excuse for failure to comply with the request within the meaning of this subsection. If youre looking for a new factoring service and youre coming from CoreFund, give us a call +1 (410) 204 2084. 9-509. Harris is experienced in a range of factoring operations. googletag.enableServices(); This may be good news as it may allow for a faster path for removing UCCs and NOA to allow clients to sign on to a new factoring company without issue. Q. CoreFund Capital, a factoring company based in Weatherford, Texas, went dark the week of July 18, 2022 with no warning or communication to clients or the public. Harris has 20 years of experience in the factoring industry, working in general factoring early in her career and specializing in transportation factoring for the past 17 years. I spoke to a carrier yesterday out of New York that submitted three invoices to CoreFund last week and no one responded to her so shes stuck in limbo, Ashley Dellinger, vice president of sales and marketing of Utah-based Express Freight Finance, told FreightWaves. The petition states that this is because of a spat between the parties who control CoreFunds holding company and trust (Wakefield and Sacks). Charter Capital works with many oil and gas servicing companies who have gained a competitive advantage with invoice factoring. If this process runs as planned, our fees will be very manageable and divided among the group. googletag.enableServices(); I feel for these guys because many are living load to load right now, but we legally cant pay the carriers directly because we have to pay CoreFund first.. It will take a little time for the receiver to get into the offices, get access to accounts, etc, but the hard part is over. This is a moving target for sure, Medley said in an email to FreightWaves. Tony Ginevra, director of operations for Florida-based John J. Jerue Truck Broker, works with a network of 50,000 trucking companies, including 140 carriers in his database that factor their receivables through CoreFund Capital. Will they? You most often will hear of UCCs if one of your customers refuses payments to your factor or, in the case of CoreFund's closing, if the factor does not make good on their payments to their carriers. Our credit checks are instant through our online portal. Paying wages due is more important than obeying a dispute. This is normal for factoring companies and acts as a form of protection for the factoring company in case of client or debtor default. googletag.defineSlot('/21776187881/fw-responsive-main_content-slot2', [[728, 90], [468, 60], [320, 50], [300, 100]], 'div-gpt-ad-1665767737710-0').defineSizeMapping(gptSizeMaps.banner1).addService(googletag.pubads()); CoreFund Capital specializes in business financing through invoice factoring. The following is from Todd Waller, former Business Development Officer at CoreFund Capital. May 7. PH 281.352.6032 Frost Bank did freeze CoreFunds operating account, and CoreFund believes TBK Bank will do the same. Truckers were hit with a double whammy after CoreFund went dark in mid-July and no one was in the office to release them from the UCC-1 (Uniform Commercial Code) liens filed by the factoring company against the carriers assets. The initial credit line provided to the client on May 31 was increased from $12 million to $25 million on Nov. 2 to provide the necessary availability to support ongoing . CoreFund Capital | Weatherford TX window.googletag = window.googletag || {cmd: []}; The petition is asking the Parker County, Texas District Court (Case No. As of right now, NO FACTORING COMPANY has the ability to release you from your NOA or UCC. 4) No RipOffReport.com reports filed 5 stars all day long Date of experience: November 08, 2019 Share SC Sherwyn Cox 1 review US Aug 24, 2019 I have provided information to them in hopes they can also put pressure on Shim Sacks and Chris Wakefield, the parties responsible for shutting our doors with no plan of how to take care of the carriers. Menu icon A vertical stack of three evenly . may not otherwise recover under subsection (b) for noncompliance with the provisions of this part relating to collection, enforcement, disposition, or acceptance. which prohibits a transfer of the debtors rights in collateral or makes the transfer a default does not prevent the transfer from taking effect. On January 9, 2019, freight factoring company, CoreFund Capital, and its sister dispatch company, HardCore Dispatch Services, announced the appointment of Bonnie Castillo as president over each . Our commitment is to our clients by providing them with the cash flow solutions they need using a customized approach and a level of care and service they deserve. GMA Funding LLC, a global leader in factoring and alternative commercial finance, announced that the board of directors have selected James Rothman as Chief Executive Officer of GMA Factor and its operating units GMA USA and CoreFund Capital. Were actively working with a number of carriers affected by this situation to identify solutions for their unique situation. Q. In basic terms, UCC stands for Uniform Commercial Code. Each state has its own legal and financial laws, but for businesses that typically operate across state lines, a UCC is a common set of laws that multiple states agree and abide by. If we can help in any other way, dont hesitate to reach out to our team at Express Freight. in a filed record, as applicable, may recover $500 in each case from a person that: (3) files a record that the person is not entitled to file under Section, (1) and whose failure is part of a pattern, or consistent with a practice, of noncompliance; or, may recover damages under subsection (b) and, in addition, $500 in each case from a person that, without reasonable cause, fails to comply with a request under Section. Now some of you may have noticed in your CoreFund contract Section 17.1.1(c) and (d). Our Take: Simply put, if the secured party (CoreFund) is not following the UCC regulations you have the right to file a lawsuit against them for damages incurred due to their failure to comply. Trust your transportation leasing and finance needs to Convoy Leasing & Sales. 2. 5+ Years, Please select ALL of your current, valid drivers licenses. 3 Years
A. A good factoring partner will have tools and expertise that help you with everything you need, not just same-day cash. According to court documents, Meir Shim Sacks founded CoreFund Capital in 2014. IMPORTANT: WE ARE RECEIVING MORE AND MORE CALLS FROM TRUCKERS STATING THEY ARE RECEIVING CALLS FROM FACTORING COMPANIES THAT CLAIM THEY HAVE A SPECIAL AGREEMENT WITH THE COREFUND RECEIVER TO GET YOU RELEASED FASTER THESE ARE SHADY TACTICS THAT ARE NOT TRUE. A restraining order can also be requested to stop CoreFund from enforcing contract terms or penalties they believe they can asses if you proceed on your own without them with another Factor, etc. If you send them to CoreFund they will be placed in an already long queue. Subject to subsection (h), if requested by the account debtor, an assignee shall seasonably furnish reasonable proof that the assignment has been made. Our best advise is to speak with an attorney. 04/30/2022. Everyone in the industry has heard of the CoreFund case by now, so letting them know youve been affected by it could earn you some empathy points. PERSONS ENTITLED TO FILE A RECORD. googletag.pubads().collapseEmptyDivs(); Please know that every employee of CoreFund wishes more than anything we could have continued funding our clients and now that we could release them and end this awful mess but even if we terminated a UCC or sent a release letter it would not be enforceable given we are no longer employees of CoreFund. Financial Services . }); Its unclear why Jacob Sacks created the new trust. If you have a news tip or story idea, send her an email to, Copyright 2023, All Rights Reserved, FreightWaves, Inc, Receiver works to get truckers paid after CoreFund Capitals abrupt closure, Loaded & Rolling (Enterprise Fleet News/Analysis), Carriers unable to pay drivers, buy fuel after CoreFund Capital closes. Before you become an O/O you should take business classes and have atleast 20k in the bank. | CoreFund Capital LLC is a premier provider of financial services, specializing in business financing through invoice factoring services. Attorneys for CoreFund have indicated this morning they may file for voluntary bankruptcy or receivership as noted yesterday. More updates coming. Shim Sacks did not respond to FreightWaves request seeking comment. I have several carriers and other factors I am assisting with this, and Im sure other attorneys are too. These funding sources are monitored daily for the best interest rates and terms available to your business. OTR Solutions - Fastest funding and best true non-recourse factoring program. They are also attempting to help as much as they are able. You'll have access to over 81,000 square feet of coworking space, 900 tech-focused events, 150+ of the top tech mentors in Texas, quarterly Founders . We have seen CoreFund client contracts and Section 21.1 No Lien Termination without Release also possibly limits this ability. At this moment there is no way for a factoring company to arrange buyouts or releases until this is resolved. These reviews are mostly positive, many reviewers have mentioned they are working with CoreFund for years without facing any problems. (e) [Statutory damages: noncompliance with specified provisions.]. (2) if the collateral is consumer goods, a person that was a debtor or a secondary obligor at the time a secured party failed to comply with this part may recover for that failure in any event an amount not less than the credit service charge plus 10 percent of the principal amount of the obligation or the time-price differential plus 10 percent of the cash price. As we said from the beginning, we stand with the great staff that made CoreFund the success it was. Hes concerned about not being able to pay these carriers since hes had no communication with any of CoreFunds executives. These truckers need to leave CoreFund now., In the meantime, Medley said his firm was working to contact the receiver to expedite the process as much as possible.. The date and time of the hearing are not clear at this time. 1-5 Months
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