$886,000 in claims made against Brisbane trailer manufacturer Brice Trailers
Former customers of a liquidated trailer manufacturer west of Brisbane allege they’ve been left up to $120,000 out of pocket, paying hefty deposits on trailers that never came, up to two years before the business closed.
Ipswich
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A family business owner is one of several making claims they’ve been left tens of thousands out of pocket by a liquidated Ipswich trailer manufacturer, with new information revealing the business owes more than $880,000 to customers who paid above industry standard deposits for trailers that never came.
Brice Trailers Pty Ltd, based at Wulkuraka, has entered into liquidation after a failed attempt to restructure the company’s debts.
The company was a well-known manufacturer of horse floats, goosenecks, caravans and trailers, developing a strong following after it was founded in 2017.
In the wake of the liquidation, several former customers, who include other businesses, have been left distraught after they allegedly paid considerable deposits to Brice Trailers for orders not fulfilled.
In some cases, customers who paid deposit have been waiting for up to two years for trailers that were never built.
Appointed Worrells liquidator Adam Ward said it was estimated $1.7 million was owed by the company in total, including $886,000 to customers who had paid in advance, with re remainder owed to employees and financiers with security over known assets, as well as the ATO.
Mr Ward added there were four employees at Brice Trailers at the time of his appointment.
Jamie Beyer, owner of Newcastle Hire and Excavations alleges his business ordered their fourth trailer from Brice Trailers some months ago, allegedly paying a $10,000 deposit initially, followed by $40,000 a month ago, when the trailer was supposed to be done.
“Two weeks ago we couldn’t get any information out of them, they went cold turkey on the phone,” Mr Beyer said.
“It’s wrong.
“We’re a business so it’s not too unfortunate but it’s different when there’s families out there spending a lot of money on horse floats.”
Stacey Drew said she paid a $1,000 deposit in July 2022 for a stock combo trailer and was allegedly told the build would commence in November 2023.
“That had come and gone and follow up emails, had them supply many other dates as to when they might commence build,” Ms Drew said.
“On April 1, 2024 I received an email requesting a further $14,255, as they were ready to commence building, I paid this on the April 2.
“On April 29 the liquidation notice was supplied.”
Mr Ward, in response to the claims from Mr Beyer and others, said he could not comment on individual customer claims at this time.
Brice Trailers was contacted for comment.
“Obviously numerous customers have paid substantial sums of money for trailers to be built that the company was not able to fulfil,” Mr Ward said.
“I cannot comment on what has happened as yet other than these amounts have been paid to Brice Trailers over a lengthy period of time.
“In some cases customers have paid and have been waiting for up to two years.
“The funds appear to have been absorbed into the operating costs of the business during this time and the company had no cash available upon my appointment.
“There is no suggestion that the Director has taken funds though.
“Of course my investigations will seek to look into these matters as the administration continues.”
Brice Trailers was contacted for comment.
Mr Beyer pointed out that in his dealings with Brice Trailers, he alleged he was always required to pay a high deposit for a trailer, well above the Australian Consumer Law recommendation of no more than 10 per cent of the total cost.
“They’re cash flow was good, taking 50 per cent upfront.
“They were taking their profit upfront.”
A spokesman for the Department of Justice and Attorney-General said while there are some laws that regulate deposit amounts, there are no laws that set a limit on how much deposit should be paid for general goods and services.
“Sellers are free to set whatever deposit amount they wish,” the spokesman said.
“Factors could include the amount of work involved, the cost of parts and equipment, the cost of transport or storage, the amount of time before the final goods or services must be delivered to the customer under the contract, and whether the remaining amount will be paid in stages or not paid until delivery.
“Excessive deposits leave consumers vulnerable to being out of pocket if the business becomes insolvent.
“If you need to resolve a problem with an insolvent business, your first step is to contact the administrator to explain the problem.”
Brice Trailers amassed a following of 10,000 on its Facebook page and close to 500 on its Instagram page.
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