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Perimeter declares bankruptcy

Bus company hit by court order to pay $639,000

Perimeter Tours and Travel declared bankruptcy on Nov. 25, four days after discontinuing their regularly service from Whistler to Vancouver International Airport (YVR) through their Whistler Express.

At the time the company maintained that it would continue to offer charter service with its fleet of vehicles, but the latest post on their website says otherwise.

“Please be advised that Perimeter Transportation ceased all operations on November 25, 2008 due to bankruptcy. The Bowra Group has been appointed trustee of Perimeter Transportation.”

The bankruptcy claim comes after a judge ruled against Perimeter’s bid to be charged the same rates as public transportation agencies or charter services that provide service to the airport. As a result, Perimeter was ordered to pay $639,024 owing to YVR for the fees they did not pay after the company won an injunction to keep operating until their claim against the airport was heard in court.

One condition of the injunction was that Perimeter was required to pay the full fees that were in place when Perimeter’s contract with YVR expired in 2005. Perimeter did not comply, according to court documents, instead deducting a 40 per cent booking fee for every ticket sold into a subsidiary company to lower their gross revenues and payment to YVR. They also classified all inbound trips from Whistler as charters to pay the lower charter service rate.

Customers that pre-booked tickets were advised in a phone message to contact their credit card companies for a refund.

Pique contacted Bowra Group to find out more details of the bankruptcy, which normally provides a company with protection from their creditors. It’s unknown whether that applies to the fees owing to YVR.

The contract to provide scheduled service between Vancouver and Whistler was awarded by YVR to Pacific Coach Lines in 2007.