Flexport, the new operator of the rebooted Convoy Platform, responded to Overdrive inquiries about the trucking companies left unpaid when the digital freight brokerage's platform suddenly shut down in October.
Previous reporting revealed a $519,000 interpleader case between Convoy and Ikea, as well as details of Hercules Capital, the lender that foreclosed on Convoy, and carriers' rights (and in some cases efforts) to seek payment from shipper customers of Convoy. Among those customers were household names like Home Depot, Nestle, Ikea and others.
Flexport's latest statement provided potential resources for carriers left unpaid by Convoy, and acknowledged the ongoing nonpayment issue while stressing that the company places the responsibility for payment on Convoy's former lenders.
We understand the stress and frustration many carriers have experienced in receiving payments following the closure of Convoy Inc. Flexport acquired only Convoy’s technology and intellectual property, what is commonly referred to as the “Convoy App” or the “Convoy Platform,” in November 2023. Convoy Inc.’s former lenders wholly own matters related to claims, 1099 requests, and invoices. Carriers seeking more information can reach out to the parties responsible via the following emails:
Claims: [email protected]
1099 requests: [email protected]
Invoices: [email protected]
After learning of the contact emails, Overdrive spoke to two trucking companies that had sought payment from Convoy support in the aftermath of the October collapse. Neither of them knew about the @convoy-collections.com email addresses Flexport provided Tuesday.
The statement's "reach out to the parties responsible" likely means the email addresses lead to the unit working for Hercules Capital, which wound down operations at Convoy after the foreclosure, as reported Monday, March 4.
Hercules Capital did not respond to Overdrive requests for comment, and an inquiry to the Claims email Flexport provided wasn't answered as of midday March 6.
It's hard to pin down exactly how many carriers remain unpaid by Convoy, but a Convoy insider said it could be as few as 50 or 60. A debt collection firm that was an interpleader in the Ikea case estimated carriers must have been owed millions of dollars, collectively, but didn't know how many individual unpaid carriers there might be. Overdrive has direct knowledge of 45 carriers claiming nonpayment from Convoy, including the carriers involved in the Ikea interpleader suit.
[Related: Convoy's unpaid truckers: Where to seek payment?]
Otherwise, Flexport remained optimistic about the Convoy Platform, calling it a "critical solution" for small trucking businesses.
"Flexport is focused on restoring this critical solution back to small carriers and owner-operators, who have historically had to spend significant time and effort to source freight with unpredictable relationships with third parties, and seldom contracted directly with shippers," the spokesperson wrote.
As noted in prior reporting, with the reboot of the Convoy Platform through Flexport, initial loads populating the platform were from customers of the Flexport Freight brokerage, the company said. Flexport reiterated this week that with time, other "broker partners" will be able to post loads.
"Carriers and owner-operators will get access to high quality freight from the top shippers and broker partners in the world through the Convoy Platform," the spokesperson said.
On the new platform's website, hosted at Convoy.com (the same URL as before the Flexport acquisition), a "Brokers" navigation link at the top of the page leads to a sign-up form and mentions the Convoy Platform "will be available to new broker accounts in the near future."
The Carrier navigation link at the Convoy.com website points users to the rebooted Convoy app.
[Related: Ikea v. Convoy: Lawsuit reveals glimpse at contract rates, broker margins]
