Read more here: LA Weight Loss to Pay Refunds to New York Members

Also Read:  LA WEIGHT LOSS, PURE WEIGHT LOSS

Post from: EveryJoe

LA WEIGHT LOSS: New York Members to Receive Refunds

Additionally, the Pennsylvania Office of Attorney General is also working with authorities from the states of New York and Maryland to recover additional funds for consumers from the states.

[Read full press release here:  Pure Weight Loss to Pay $700,000 to Former Members (Weight Loss Complaints)]

Both New York and Maryland require weight loss centers to post security bonds intended to protect consumers against losses, and all complaints involving consumers from those states will be turned over to authorities in New York and Maryland as claims against those security bonds – allowing the remaining funds to be distributed to consumers from Pennsylvania and other states.

When the much-maligned Pure Weight Loss (formerly LA Weight Loss) chain abruptly closed its 400 locations nationwide in January, 2008, it left thousands of members owed hundreds of thousands in prepaid products and services.

In another story, the EEOC has won a $20 Million award against Pure Weight Loss for hiring discrimination.  Read more here:  The EEOC Celebrates $20M Victory Over Non-Existent Company (about Pure Weight Loss)

Related posts:

> PURE WEIGHT LOSS INFORMATION CENTER

HOW MUCH DOES PURE WEIGHT LOSS OWE YOU?

Pure Weight Loss (L.A. Weight Loss) to Close All 400 Locations

PURE WEIGHT LOSS CUSTOMERS: SHARE NEWS & OPINIONS HERE

WHAT DO YOU THINK?  SHARE A COMMENT BELOW.

__________________________

FEATURED STORY:

TanWorld: Creating the Next-Generation Tanning Salon Franchise

OVERVIEW Interview with Tanworld V.P. Bob McQuillan

Visit FRANBEST’s: Unbiased franchise information, franchise interviews and detailed, searchable information on 400 franchise and business opportunities.

.

Franchisees, customers & experts vote for their favorite new franchises at Top New Franchise: Who’s hot. Who’s not.

Post from: EveryJoe

Pure Weight Loss Members to Receive $700,000 in Refunds

In case you’re interested in seeing your hard-earned tax dollars at work, but don’t have time to read the latest EEOC press release (“LA WEIGHT LOSS SETTLES NATIONWIDE SEX DISCRIMINATION LAWSUIT WITH EEOC”), here’s a summary:

• The EEOC has won $20 million and other “significant relief” on behalf of workers who were never hired by a company that has “ceased operations” and whose name is different, anyway.
• Thanks to this landmark victory by the EEOC, the male employees who were never hired will be entitled to $16 million in back pay for work they never performed, and will now be offered positions in the company that no longer exists.
• The no-nonsense EEOC requires that from now on the company that no longer exists must apply “numerical benchmarks” to ensure that the number of men and women who are not-hired and not-promoted to the nonexistent positions within its extinct departments is fair and equitable.
• To ensure that this nonexistent company does not discriminate against future nonexistent employees, the EEOC is requiring it to “to conduct quarterly reviews to assess attainment of its hiring goals” and, at the EEOC’s option, “to employ an outside expert to examine the hiring process to assist in achieving any unmet hiring goals.”

Congratulations to Creditor 100,001!

The EEOC has declared victory against Pure Weight Loss, which ceased operation of its 400 weight loss centers and closed its Horsham, PA headquarters in January, 2008.  The closing of Pure Weight Loss (formerly LA Weight Loss) left thousands of customers cheated out of prepaid services and left employees nationwide jobless.  With more than 100,000 creditors and liabilities at $10 million to $50 million, Pure Weight Loss filed for Chapter 7 bankruptcy.  Shortly thereafter, the Attorney General of PA sued for fraud and moved to seize both corporate and personal assets of the company and its founder, Vahan Karian.

According to the EEOC, Pure Weight Loss discriminated against male applicants, having denied them the same opportunity to receive pre-Christmas pink slips and bounced paychecks like their female cohorts.  In its battle against employment injustice, the EEOC is not fazed by a small obstacle such as the non-existence of the employer.

A Fictional Victory for Fictional Times?  Or a Nail in the LAWL Coffin?

So, is the EEOC declaring a fictional victory for these fictional times, or is their accomplishment, in actuality, much greater than that?  Did the EEOC lawsuit actually prompt the closure of Pure Weight Loss outlets earlier this year?  Did they put the final nail in a coffin perhaps worth closing for good?

The EEOC originally sued L.A. Weight Loss Centers, Inc. (LAWL) in February 2002 under Title VII of the 1964 Civil Rights Act,  alleging that the company “engaged in a pattern or practice of disparate treatment against men in its recruiting, hiring, and assignment of employees.”  On September 6, 2007, an EEOC press release announced “A federal court has ruled that the U.S. Equal Employment Opportunity Commission (EEOC) may proceed to trial with its class sex discrimination lawsuit against L.A. Weight Loss Centers, Inc. (LAWL) on behalf of qualified male applicants nationwide.”

The judge’s decisive rejection of LAWL’s motions to dismiss the case indicated that the EEOC case, which included “discriminatory admissions by various high-level LAWL officials,” was strong.

Three months later, Pure Weight Loss announced it was closing all 400 centers nationwide and laying off all employees, male and female.

And that, dear readers, is how the EEOC helped Pure Weight Loss and its founder, Vahan Karian, provide equal opportunity to all, male and female.

The End

WHAT DO YOU THINK?  SHARE A COMMENT BELOW.

__________________________

Visit FRANBEST’s: Unbiased franchise information, franchise interviews and detailed, searchable information on 400 franchise and business opportunities.

.

Franchisees, customers & experts vote for their favorite new franchises at Top New Franchise: Who’s hot. Who’s not.

Post from: EveryJoe

The EEOC Celebrates $20M Victory Over Non-Existent Company

Pure Weight Loss  declared bankruptcy (see Pure Weight Loss Files Chapter 7 Bankruptcy Protection), claiming it had In a court document, the company said it had more than 100,000 creditors. It estimated its assets at $1 million to $10 million and its liabilities at $10 million to $50 million.  It was subsequently sued (along with its founder, Vahan Karian) by the Attorney General of PA for fraud (see Pure Weight Loss Lawsuit Filed by PA Attorney General).

Now, a year later, the EEOC has declared victory on behalf of the male applicants who were deprived of the Pure Weight Loss Employment Experience.

Below, I have posted the December 2, 2008 EEOC press release in its entirety.  I will write my commentary on this historic employment coup separately, when I am finally sure that I am neither dreaming this nor have been slipped some sort of hallucinogen (by myself or others).  This is just a little too surreal:

The U.S. Equal Employment Opportunity Commission
FOR IMMEDIATE RELEASE December 2, 2008

CONTACT: Jacqueline H. McNair Regional Attorney
(215) 440-2666/2670
TTY: (215) 440-2610

Tracy Hudson Spicer
Supervisory Trial Attorney
(202) 419-0711

M. Patricia Tanner
Program Analyst
(410) 209-2721
LA WEIGHT LOSS SETTLES NATIONWIDE SEX DISCRIMINATION LAWSUIT WITH EEOC

Company Refused to Hire Men into Weight Loss Counselor and Other Jobs, Agency Alleged

BALTIMORE – The U.S. Equal Employment Opportunity Commission (EEOC) announced today that it has resolved its pattern or practice sex discrimination lawsuit against LA Weight Loss Centers, Inc., (renamed Pure Weight Loss, Inc., in early 2007), for $20 million and other significant relief.

According to the EEOC’s suit (WDQ-02-CV-648), filed in the U.S. District Court for the District of Maryland, Pure Weight Loss had a nationwide policy of not hiring qualified males into the positions of counselor/sales, medical assistants, assistant managers, center managers, area supervisors, trainers, and other field positions. Former Area Trainer Kathy Koch was disciplined and fired in retaliation for complaining about the company’s policy of not hiring men and for interviewing male candidates, the EEOC also alleged.

Pure Weight Loss discontinued its business operations in January 2008 and filed a voluntary petition under Chapter 7 of the United States Bankruptcy Code on January 11, 2008, in the U.S. Bankruptcy Court for the Eastern District of Pennsylvania (Case No. 08-10315-JKF). The bankruptcy trustee has agreed to the terms of the consent decree, which was approved by the bankruptcy court.

Refusing to hire qualified applicants because of their gender, maintaining sex-specific job classifications, and retaliating against employees who protest unlawful discriminatory practices violate Title VII of the Civil Rights Act of 1964. Pursuant to the consent decree and as approved by the bankruptcy trustee, the EEOC will have a claim in bankruptcy court of $20 million — $16,842,656 in back pay and $3,157,344 in punitive damages — payable to men whom the EEOC determined were subjected to hiring discrimination because of their sex during the period January 1, 1997, through the entry of the decree. The portion of the settlement, if any, that the EEOC will be able to obtain through its pending bankruptcy court claim is presently unknown. Koch settled with Pure Weight Loss in November 2005.

Along with the monetary relief to the class members, the 10-year consent decree provides for significant injunctive relief. The decree applies to all Pure Weight Loss centers or to any successor resuming business operations. The decree:

• Prohibits Pure Weight Loss from discriminating against job applicants or employees because of sex and retaliating against any of its employees or applicants;

• Requires Pure Weight Loss to use an electronic applicant tracking system for each person hired and for any person who submits an application, and to provide specific information on applicants by sex and other categories defined by the EEOC; and

• Mandates that Pure Weight Loss create a discrimination complaint procedure, post its commitment to equal opportunity and a diverse workforce, and report compliance to the EEOC.

Additionally, the consent decree requires hiring of rejected male applicants and includes numerical benchmarks for hiring and/or promoting men to the positions from which they had been previously excluded; requires Pure Weight Loss to conduct quarterly reviews to assess attainment of its hiring goals; and, at the EEOC’s option, requires Pure Weight Loss to employ an outside expert to examine the hiring process to assist in achieving any unmet hiring goals.

“We brought this lawsuit to advance the legal right to a workplace free of sex discrimination and to remind employers that they must make employment decisions based on the applicant’s ability to perform the duties of the job,” said EEOC Philadelphia Regional Attorney Jacqueline McNair, whose jurisdiction includes Maryland.

“EEOC will strongly pursue employers who choose to flagrantly disregard federal law by engaging in systemic gender discrimination,” said EEOC Supervisory Trial Attorney Tracy Hudson Spicer. Added EEOC Senior Trial Attorney Ronald L. Phillips, “The EEOC’s systemic initiative was undertaken to combat company-wide discriminatory employment practices like this one.”

The EEOC’s Baltimore Field Office litigation team included EEOC attorneys Tracy Hudson Spicer, Ronald L. Phillips, Corbett Anderson and Cecile Quinlan. Applying the Commission’s national law firm model, the Baltimore team was also assisted in this case by attorneys from EEOC’s New York, Boston, St. Louis, Pittsburgh, Indianapolis, Dallas, and Chicago offices.

The EEOC enforces federal laws prohibiting employment discrimination. Further information about the EEOC is available on its web site at www.eeoc.gov.

WHAT DO YOU THINK?  SHARE A COMMENT BELOW.

__________________________

Visit FRANBEST’s: Unbiased franchise information, franchise interviews and detailed, searchable information on 400 franchise and business opportunities.

.

Franchisees, customers & experts vote for their favorite new franchises at Top New Franchise: Who’s hot. Who’s not.

Post from: EveryJoe

EEOC: "LA WEIGHT LOSS SETTLES NATIONWIDE SEX DISCRIMINATION LAWSUIT WITH EEOC"

We rely almost solely on information reported in our comments by customers and employees, so please share what you know. 

Here are some important announcements and links:

LA WEIGHT LOSS: Centers Closed or Closing (Updated List)

See the list for LA Weight Loss centers closing in NC, SC, KY, IN, GA, CA, TN, CO, ID, MT and NE.  Many of these closings are happening with little to no notice;  some continue to sell long-term, prepaid contracts a week before their unannounced closings.

Contact List of State Attorneys General

If LA Weight Loss owes you services and/or products they are not providing, you should file a complaint both with the Attorney General of your home state and with the Attorney General of PA (LAWL’s home state).  A number of states have already launched investigations in order to get consumers repaid.

Horror stories of recent closures:

LA WEIGHT LOSS: Bakersfield, CA Centers Reportedly Closing

LA WEIGHT LOSS: Evansville, IN Center Sold Memberships a Week Before Closing

LA WEIGHT LOSS: Attorney General Investigates Abrupt TN Closings

LA WEIGHT LOSS: Letter From Closed Chattanooga Center

LA WEIGHT LOSS: Lexington, KY Centers Close, Bartlett, TN Next

LA WEIGHT LOSS: Adding Insult to Injury in Columbia, TN

LA WEIGHT LOSS: Former Employee Guilty in Drug Smuggling Conspiracy

PURE WEIGHT LOSS News:

PURE WEIGHT LOSS MEMBERS: The PA Attorney General Wants YOU!

WHAT DO YOU THINK?  SHARE A COMMENT OR INFORMATION BELOW.

__________________________

Visit FRANBEST’s: Unbiased franchise information, franchise interviews and detailed, searchable information on 400 franchise and business opportunities.

.

Franchisees, customers & experts vote for their favorite new franchises at Top New Franchise: Who’s hot. Who’s not.

Post from: EveryJoe

LA WEIGHT LOSS: Widespread Closures Reported Across the Nation

Well, here come the closings:

LA WEIGHT LOSS: Multiple Centers Close in KY

LA WEIGHT LOSS: 4 Weight Loss Centers Closing in CO

LA WEIGHT LOSS: Terre Haute, IN Center Closed

LA WEIGHT LOSS: Evansville, IN Center Closes

Recent Postings:

LA Weight Loss Tosses Client Files in Dumpster

LA Weight Loss Center Closings Rumored (UPDATED)

La Weight Loss ex-employee warns of closings. Don’t prepay!

WHAT DO YOU THINK?  SHARE A COMMENT BELOW.

__________________________

Visit FRANBEST’s: Unbiased franchise information, franchise interviews and detailed, searchable information on 400 franchise and business opportunities.

.

America’s Next Top Franchises.

Franchisees, customers & experts vote for their favorite new franchises at Top New Franchise: Who’s hot. Who’s not.

Franchising’s Worst-Case Scenarios:

Unhappy Franchisee: Franchising rumors, rants, controversies, issues, complaints & insider information you’re not supposed to know.

Post from: EveryJoe

LA WEIGHT LOSS: The Closings Begin

(FranchisePick.Com)

Today’s post on Pure Weight Loss over at Dear Vahan says that a recent letter sent out from the the bankruptcy court was sent by mistake and is misleading.

The letter implied that there was a resolution to the bankruptcy case and basically, members owed thousands of dollars are out of luck.

However, a bankruptcy trustee said that wasn’t accurate. 

Read:  Pure Weight Loss Bankruptcy Update at the Pure Weight Loss watchdog site DEAR VAHAN.

WHAT DO YOU THINK?  SHED THOSE UNWANTED COMMENTS BELOW.

__________________________

Visit FRANBEST’s: Unbiased franchise information, franchise interviews and detailed, searchable information on 400 franchise and business opportunities.

.

Franchisees, customers & experts vote for their favorite new franchises at Top New Franchise: Who’s hot. Who’s not.

PHOTO CREDIT: Marchivist.   Licensed under Creative Commons.

Post from: EveryJoe

PURE WEIGHT LOSS: Bankruptcy Letter Mailed by Mistake

(FranchisePick.Com)  Related posts:

IS PURE WEIGHT LOSS VIOLATING HIPAA PRIVACY LAWS? (Part 1)

IS PURE WEIGHT LOSS VIOLATING HIPAA PRIVACY LAWS? (Part 2)

Pure Weight Loss Members Ask: Where Are My Confidential Records?

LA Weight Loss Tosses Client Files in Dumpster

The tough economy has put a strain on all small business owners, identity thieves notwithstanding.

Luckily, they’ve caught two breaks this year. The first was when the 400+ Unit Pure Weight Loss (formerly LA Weight Loss) chain closed its doors in January.  While Pure Weight Loss left thousands of customers and employees stranded without the services and products they paid for, and without the paychecks they were due, identity thieves were most appreciative of the chain’s thoughtfulness.

There were widespread reports of confidential member records, containing HIPAA protected medical records, personal data and financial information, either abandoned in or behind closed centers or tossed in dumpsters.  Identity thieves probably though this was a once-in-a-lifetime opportunity.

It turns out there’s ANOTHER L.A. Weight Loss chain that loves identity thieves just as much.  History seems to be repeating itself as L.A. Weight Loss centers are reportedly closing… and following in their predecessor’s crack security protocols.

According to Weight Loss watchdog site Dear Vahan (named affectionately for Pure’s CEO Vahan Karian, currently being sued by the PA Attorney General) in a post entitled LA Weight Loss Tosses Client Files in Dumpster, two recently closed L.A. Weight Loss franchises closed abruptly, leaving their members stranded without their prepaid services or their prepaid products.

They did, however, have the thoughtfulness to leave their confidential records for them… conveniently located in their unlocked dumpster.

On behalf of identity thieves everywhere:  Thanks, L.A. Weight Loss!

WHAT DO YOU THINK?  SHARE A COMMENT BELOW.

__________________________

Visit FRANBEST’s: Unbiased franchise information, franchise interviews and detailed, searchable information on 400 franchise and business opportunities.

.

Franchisees, customers & experts vote for their favorite new franchises at Top New Franchise: Who’s hot. Who’s not.

Unhappy Franchisee: Franchising rumors, rants, controversies, issues, complaints & insider information you’re not supposed to know.

Post from: EveryJoe

THANKS, L.A. WEIGHT LOSS! Identity Thieves Catch a Break

I am in Colorado. I just signed up in June and found out last week the centers were closing.

I paid about $400 up front and about another $100 for LA Lites. So far I am losing weight but very nervous about this “On the Go” thing. I don’t think a simple phone is going to cut it for me!

I wonder what are my options at this point. My center is supposed to close the end of August :(-

Has anyone had any luck getting any money back?

In North Carolina, closed LA Weight Loss Center reportedly left  members high and dry.  According to a news story, a neighboring Beverly Hills Weight Loss is helping out:

A local weight loss center is offering discounts to clients stood up by neighboring LA Weight Loss.

The owner of Beverly Hills Weight Loss and Wellness Center on Racine Drive says she will waive the membership fee for LA Weight Loss clients.

Beverly Hills is not affiliated with LA Weight Loss.

So, clients who bought protein bars and other products will have to work that out with them.

Nikki Simpson, Beverly Hills Weight Loss Center, said, “Unfortunately what I’m hearing from a lot of clients is they’ve purchased a lot of product up front that they haven’t received yet. So we can’t really help them with the product, but we can try to give them a little discount on our product.”

LA Weight Loss sorry over clinic’s closure:

Beth Reed wonders just how much money clients of LA Weight Loss Centers are out after the clinic abruptly shut its doors.

She knows in her case, it’s $1,100…

Abby Reed signed a year contract in April, but when she went to the clinic on Monday it was closed and there was a for rent sign on the side of the road.

LA Weight Loss Franchise Company publicist Jackie Zima said they were also “surprised and shocked” when they heard of the closing of the Jacksonville and Wilmington centers, which were owned by the same franchisee.

“We regret that the owners have decided to abruptly close without notice and in no way approve of or support their actions,” Zima said in a statement she e-mailed to The Daily News Thursday afternoon.

Calls to the owner of the Wilmington and Jacksonville LA Weight Loss Centers franchise locations were not returned.

…Reed said she’s learned that if she is going to pay in advance, to do so with a credit card.

“The contract I paid by check. The merchandise I paid by credit card, so I contacted my credit card company and hopefully they can do something about that. But now I could just kick myself for not putting the whole thing on my credit card,” she said.

That’s a lesson Jennifer Canada, spokeswoman for the N.C. Department of Justice, hopes others take to heart.

“We recommend they pay by credit card, that way if you don’t receive the merchandise you paid for, you can always contact your credit card company and attempt to get a refund that way,” she said.

WHAT DO YOU THINK? ARE YOU FAMILIAR WITH L.A. WEIGHT LOSS?  LEAVE A COMMENT.

_________________________

Unbiased franchise information, franchise interviews and detailed, searchable information on 400 franchise and business opportunities.

Franchisees, customers & experts vote for their favorite new franchises at Top New Franchise: Who’s hot. Who’s not.

Unhappy Franchisee: Franchising rumors, rants, controversies, issues, complaints & insider information you’re not supposed to know.

Post from: EveryJoe

LA Weight Loss: Allegations of Closings, Losses & Bait & Switch

According to the LA Weight Loss complaint site, numerous centers are believed to be closing in the near future:

LA WEIGHT LOSS CLOSING LIST

Says KH Poser:

I was an Area Manager for LAWL for the last 2 years. The handwriting is on the wall. …The laweightloss.com website reports that the company has 450 centers open, but it is a lot less than that. They have been closing 20-30 units now for the last several months. Many of the franchise centers were taken back over by corporate in an effort to re-invigorate the brand, but they could not make it work. Many of the centers are doing as little as $2000 a week in sales. When sales are that low, it makes it impossible to advertise…

Post from: EveryJoe

LA Weight Loss Centers to Close (List)