Order wrangle closed Mid
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by Steve Banner • A disagreement over a major order involving retail group Budgens was the cause of the closure of Sandy, Bedfordshirebased Tidd Trailers.
One-third of the order, believed to be for 30 expensive multi-compartment, multitemperature double-deck trailers, was completed. The trailers were similar to eight built by Tidd earlier which were already in service, says Tidd sales director, Roland Merrill. "They were state of the art," he comments. "Nobody had produced anything like them before."
A dispute then arose over the construction of the remaining 20. Brighton accountants Jeremy Knight & Co says the order was then withdrawn. Tidd, however, had contracted to buy materials to build the remainder of the trailers, says Knight, and the loss of business meant it couldn't meet its liabilities. The dispute could only be resolved by legal action, say the accountants, which would have been protracted and expensive.
Tidd had already entered into a company voluntary arrangement with its creditors, and steps have now been taken to put the firm into creditors' voluntary liquidation. Knight & Co has issued notice of a creditors' meeting, due to take place this week.
The factory, which employs 42 people, has been completing work in progress before final shut-down. Budgens was unable to comment when CM contacted it.
Roland Merrill says it is still possible that something will be salvaged from the collapse. "Several parties are interested," he says. And Hector Tidd would be involved in any revival of the operation, he adds.