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Falcon Transport Tried to Raise Capital Before Sudden Closure

Finally, we got some answers on the abrupt shutdown of Falcon Transport. The Youngstown, Ohio business with a fleet of around 700 shuttered suddenly. In fact, they left drivers and their trucks stranded on the road. However, Falcon Transport says it didn’t let employees know, because it was hustling to raise capital. This is an unusual position to take. Still, the company says notifying employees would have hampered efforts to raise the money. Coincidentally, the company's filing to the Ohio Department of Job and Family Services revealed this information. Naturally, the abrupt shutdown didn’t sit well with employees. In fact, they've filed a class action lawsuit. The suit contends that Falcon Transport didn’t provide them with the customary 60-day notice before the layoff. Reasons for the Shutdown It wasn't until last week that Falcon Transport filed its WARN paperwork to the state of Ohio. Mind you, this is several weeks following its closure. The company’s paperwork indicates the reason behind not telling its employees was “unforeseen circumstances relating to material impairm ... Read More

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