Has anyone else got a letter from a Arthur P. liebersohn, Trustee about Pure Weight Loss is file Chapter 7 Bankruptcy. I got my today and was wondering if anyone else got one yet. Is this a way we might got some of our money back?
If the company is completely in the red, this probably isn't going to help much. If the company has any non-exempt assets, they will be liquidated and used to pay the creditors (possibly you, but customers are probably at the bottom of the list). The trustee divides the assets, and pretty much gets to decide how to distribute them. They could decide to give a percentage to every creditor, pay off the largest creditors first, or pay off the oldest debts first.
In 2004 my husband and I had to file bankruptcy due to medical bills. If we had owned a house it would have been exempt (unless it was worth more than a set value). They also could not take our car (because it wasn't worth enough - $1500 I think), and all of our belongings did not exceed the value necessary for them to sell any of our stuff. As a result, we had no assets and none of our creditors received a penny.
I'm sure business bankruptcies are somewhat different, but if there is no money to divide, you won't get any. If there are assets, my guess is that they'll pay the biggest corporate debts first. My understanding is that the trustees do this because it's the most efficient. Not only because it's easier to write a few checks than a few thousand, but if they distribute it to everyone, it tends not to help anyone much. If the company owes you say $500, and your "fair" share comes out to a few cents, it almost adds insult to injury.
I also got my bankruptcy letter today . I am going to take it to a family friend that is a bankruptcy lawyer this weekend and see what he has to say about it . I will post a message and let everyone know what he says. Maybe we can get a better idea if we will be lucky enough to get some money back. Have a great weekend and I will keep you posted.
Lois
When our local LAWL franchise went bankrupt, we were told by the court there was ZERO chance to get any money back. period...
You're only hope is if you paid with a credit card and haven't paid it all off, you can be forgiven the remaining debt by the CC company..
Sorry, but that's it.. Believe me, we tried every angle...
You're best bet is to talk with your Attorney General office's Consumer Complaints Department. They'll probably tell you the same thing, but you never know...
Having sat through a semester of Bankruptcy law, I can sum it up in a few words: We're essentially out of luck!
Chapter 7 bankruptcy is not as easy to declare as it used to be, chances are they tried to file for a Chapter 11 which is a business reogranzation and it failed. After whatever assets are liquidated, the payments will begin. First to get paid off will be any back taxes owed to the fed government and any back payroll. Then it goes down the creditors list with us probably being towards the bottom of the food chain. No creditor will even get close to what they are fully owed, we're talking about in the best of terms at most 20 cents to every dollar.
I guess it's just about chalking it up to experience and realizing I could be out a lot more than I am. Ironically, I was up near COD the other day, sign is still up there and everything.
I was actually at my LAWL center....they're still going strong. Is there a chance they'll close down too? I'm kinda worried because I JUST started, so yeah.
I was actually at my LAWL center....they're still going strong. Is there a chance they'll close down too? I'm kinda worried because I JUST started, so yeah.
unfortunately there are no signs that a COD is going to close. there have been people who join and then the next day or two the COD closes. Mine was busy busy, I had to wait in line to see a counsler, and there were about 3-4 counslers working at a time..... and then one day I walk up and there was a sign on the door. There have been people who buy their bars in bulk and then the next week the COD is gone. Sorry..... I am sure this is not what you wanted to hear.
Yeah....it's not exactly what i was hoping for, but since last Saturday, they've been open still, so hopefully. I'm going to go there today to get my stuff.
Yeah....it's not exactly what i was hoping for, but since last Saturday, they've been open still, so hopefully. I'm going to go there today to get my stuff.
I am just curious--where are you in Texas? I am in Vernon, and go to the center in Wichita Falls.
Also, does anyone know how to find out how stable the company is??? They talked me into bulking more lites(enough to get me through weight loss, if I lose like I need to!) a few weeks ago, and I am trying to figure out if I need to go ahead and try to get all my stuff. I am really wishing I would have said no!! Thanks for any help!!
Just a few questions to try to clarify things in my own mind . . .
(1) Wasn't it the corporately owned LAWL centres that changed their name to Pure Weight Loss? The individually owned (i.e. franchised) centres continued on under the name LAWL, I think????
(2) It's the corporation that owns Pure Weight Loss Centres that has gone bankrupt, isn't it? So all the Pure WLC's are impacted, but not the LAWL's ????
(3) If a franchised/privately owned LAWL centre has gone bankrupt, isn't it a totally independent happening? Although I guess there are some LAWL's where more than one franchise is owned by the same people???
(4) Does any of this affect the LAWL Centres in Canada? Are the Canadian ones all franchised, individually? or are some corporately owned but by a separate corporation? Does anybody know? My SIL recently started at LAWL and everything seems fine. But I am curious.
I am just curious--where are you in Texas? I am in Vernon, and go to the center in Wichita Falls.
Also, does anyone know how to find out how stable the company is??? They talked me into bulking more lites(enough to get me through weight loss, if I lose like I need to!) a few weeks ago, and I am trying to figure out if I need to go ahead and try to get all my stuff. I am really wishing I would have said no!! Thanks for any help!!
I live in San Marcos, and I go to the center there. They seem to be doing well, though. I might ask them about what's going on and what I should expect on Wednesday. Maybe they'll have a more solid answer for me, but I'm not really counting on it.
United Startes Bankruptcy Court
