SPOKANE, Wash. – Positive Changes Hypnosis officially filed bankruptcy Thursday leaving many clients who paid for appointments up front wondering if they will get their money back.
With an eviction notice on the door and a Chapter 7 bankruptcy filing it is clear Positive Changes is closed.
On Tuesday, KREM 2 spoke to two women in the parking lot who showed up for appointments to find the office closed. We checked back in with one of the women Friday afternoon, she said since the news broke about the closing she contacted a legal aid for help and drove past the office every day to tell other people who showed up for appointments. She said she encountered several women in her same shoes who are now out thousands of dollars for appointments they paid for in advance.
"It's hurtful now to me, I've gotten passed being angry and I'm not so much upset for myself, but I have a real thing about people who get victimized," the woman said.
KREM 2 spoke to a bankruptcy attorney who said clients of Positive Changes legally have to be notified of the bankruptcy filing, which usually happens through the mail. The woman KREM 2 spoke with has not yet been notified and has still yet to hear from anyone with the company.
“I've tried to call every day, I haven't been able to get through. I've tried different ways on the internet. They had changed their website, so I tried getting back on their old one and the newer one and neither one are there anymore," said the client.
The bankruptcy attorney said creditors named in the filing can go online and file a proof of claim. The form can found on the United States Bankruptcy Court Eastern District of Washington website. Filing a proof of claim does not guarantee you will get any money though. The attorney KREM 2 spoke with said clients would only get money if there are any assets left.
KREM 2 also spoke to the attorney for Positive Changes. He said they are waiting for a trustee to be appointed for the case and then they will see if another franchise or anyone else is interested in taking over the clients. Clients KREM 2 spoke with are frustrated with the way the closing happened.
"I just wanted to talk to somebody that could give me an explanation, I'm sure it's financial reasons, but why they just felt like they couldn't give us the courtesy of knowing what was going on," a client said.