Montreal City Weblog

Kate 09:02 on 2019-02-08 Permalink Reply  

• TC 23:48 on 2019-02-08 Permalink

  I hope the drivers get their money. I’ve said it before, let Montreal, or ideally the province, implement an app similar to Uber. The city or province approves the driver and the vehicle. The revenue goes to the driver, some fees for admin, maybe some toward transit needs.

• Ephraim 11:44 on 2019-02-09 Permalink

  They will get most of their money, if not from the trustees, then from WEPP. See https://www.canada.ca/en/employment-social-development/services/wage-earner-protection/employee/benefit-amount.html

• Kate 13:38 on 2019-02-09 Permalink

  Ephraim: eventually they may get some of what they’re owed, but that doesn’t help people living paycheque to paycheque. Téo ought to man up and pay them and give them the documentation they need to apply for pogey, now.

• Ephraim 16:42 on 2019-02-09 Permalink

  Kate – Téo can’t pay them…. they don’t exist. I think you may need a better understanding of bankruptcy laws and what bankruptcy means. Téo ceased to exist at the very moment they declared bankruptcy and lost complete control of all finances. And even if the principals wanted to pay them out of their own pocket, they can’t, they don’t have control over the bank accounts and the first creditor is Revenue Canada/Revenu Quebec (and the principals are liable for remitting back income taxes before ANYTHING else.) So CRA/RQ would seize the money before the employees were paid. No one can be paid until the CRA/RQ are paid. Likely the first meeting is 21 days… so for 21 days there is almost no money going out.

  Even without their paperwork, they can start with IC immediately, as of the date of bankruptcy. I don’t think they even have the waiting period. The relevant information on how to lay claim in Quebec is provided by the CNESST. https://www.cnesst.gouv.qc.ca/en/Publications/Documents/NT100-152Aweb.pdf

• Kate 11:28 on 2019-02-10 Permalink

  OK, but Téo Taxi had a parent company, Taxelco, and the same company owns Taxi Diamond which is still in operation, as far as I know. I suppose the whole point of corporations existing is to put a conceptual wall so creditors can’t get into individual owners or parent companies for their due payment?

• Ephraim 21:31 on 2019-02-10 Permalink

  I haven’t seen the paperwork, but my guess is that Taxelco is a holding company and therefore owned shares in Téo, but didn’t actually run Téo. They may (or may not) have also been their banker. Being corporations, they are hands off of each other. An easy example might be RBI (Restaurant Brands International) which is the holding company for Tim Horton’s, Burger King and Popeye’s Louisiana Kitchen. Another bigger example might be MTY Group, which is the holding company for so many chains, it’s hard to even write a full list. And MTY owns Imvescorp, which in turn owns Pizza Delight, Bâton Rouge, Scores, Mikes, and Ben & Florentine… so a holding company to a holding company.

  In any case, there is no way for the employees to get cut a cheque. They have to apply for EI and WEPP. They may get all their pay, but it will definitely take time. Minimum is 21 days before there is even a creditor’s meeting. And Texelco will likely lose most, if not all of it’s stake in Téo.