The alleged shutdown of Preferred Florists Network seems to be impacting many florists around the country, who have called SAF seeking guidance on how to get money that's owed to them. John Satagaj, a Washington, D.C., attorney and president of the Small Business Legislative Council, offers this advice:

 • Try contacting your state attorney general's office. While most attorneys general are more geared toward helping consumers rather than businesses, some states may have an office that can help you. 
  
 • Check the contract you signed with PFN to see what it says about dispute resolution. If the agreement does not mention where disputes between florists and PFN will be handled, you could file a complaint against PFN in your state's Uniform Commercial Code (UCC) court. This will, however, require you to hire an attorney, pay the court costs, etc. If your claim is less than $2,000 or so, it may not be worth it -- in most cases the attorney and court fees could cost more than that. 
  
 • Find out if PFN has filed for bankruptcy. (At press time, it has not officially filed.) If it does so in the future there should be a public record of it with the federal bankruptcy court for the jurisdiction where PFN is located (Randolph, N.J.). If PFN has filed for bankruptcy and the company owes you money, you could submit a claim against PFN as a creditor and possibly recover some of your money. You would, however, most likely be considered an "unsecured" creditor, which means you would have to wait until all the "secured" creditors have been paid before receiving compensation.

John Satagaj offers 15 minutes of free legal advice on employee-related matters. Take advantage of this SAF member service by calling Satagaj at 202-639-8500.

Get more information about the New Jersey Office of Consumer Affairs or file a complaint with the office. 

--Vanessa Machir
vmachir@safnow.org

 

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