Bakersfield, Calif., carrier files for bankruptcy

November 18, 2022

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Earlier this week, Freon Logistics based in Bakersfield, Calif., filed for bankruptcy protection. Media reports say the abrupt filing surprised employees, left them waiting for paychecks and stranded many.

A TikTok video report from Bravo Street Media posted on the Kern County Activities account shows drivers protesting at the offices of Freon Logistics.

The drivers complained of not being paid for weeks, according to the video. Some claimed they were owed thousands of dollars, up to $17,000. The report said drivers were stranded on the road with their company equipment and fuel cards not working.

@kern_county_activities_ Company is freon logistics on enos lane in bakersfield California #bakersfield #trucking #protest #sadcase #chapter11 #california ♬ original sound – Kern_county_ activities_

The company is seeking Chapter 11 bankruptcy protection, according to documents filed Nov. 8 in Eastern District of California U.S. Bankruptcy Court, KBAK/Bakerfield Now reports. The documents were signed by CEO Hardeep Singh. Generally, a Chapter 11 bankruptcy debtor puts forth a reorganization plan to keep the business alive. The debtor remains in possession of the business.

One Freon Logistics driver reported having to spend $450 of his own money to pay for a tire for the truck to get home from Utah, according to the KBAK report.

According to the KBAK report, Freon’s safety manager Bill Prough said the company intends to pay their workers.

According to its website, Freon Group offers less-than-truckload and truckload services, plus intermodal, repair and maintenance, and warehousing.

The FMCSA SAFER system lists Freon Trucking LLC (U.S. DOT 3144780) as having 766 power units and 305 drivers. LL

Bankruptcy information from OOIDA

OOIDA has a white paper on bankruptcies titled “I Cannot Afford to File for Bankruptcy.” It offers a brief summary of the most common forms of bankruptcy.