Monday, June 25, 2012

How do I get my money back from a spa that went out of business? -

Hi, I purchased a package at a spa a few months ago and only used a small portion of it but was planning to use the rest in the next month. I told them this at the time and they assured me there was no problem and no expiration on what I pre-paid for. They sent me an email yesterday saying that they are going out of business. There was no warning, they suddenly just closed yesterday and took my remaining $900 along with them. How can I attempt to get my money back for services that I paid for in advance? If they refuse to refund me, can I sue them in small claims court if they have not filed bankruptcy? Any advice would be very helpful! Thanks!

You can sue them but if they are bankrupt then you re not going to get anything. The media has been warning about buying gift cards for Christmas for this same reason. if you buy it and the chain goes under (and most times there is no advanced warning) then your out of luck and are not going to get any money back. I would call them and ask about a refund and see what they say. If they say they do not have it if you have proof of what you still have owed to you then you could talk to a lawyer. Don t mean to sound negative but you are probably going to loose your money.

Yes you sue them in small claims court. Do it quickly before their creditors go after them.

No harm in trying to go to Small Claims court - but do it now!

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