LA Weight Loss Australia Goes Bust

Australian dieters have been left out of pocket after LA Weight Loss clinics closed their doors.
The LA Weight Loss franchise has been operating in Australia for about a year - with at least 12 clinics.
Yesterday, the doors were chained and there was a sign posted, apologising for the closure of the business."It is very disappointing. I feel for all those people who had only recently signed up," said Ms Deery. "There were many customers at the shop (yesterday), shaking their heads in shock."
Many customers have paid the 52 week maintenance fee (AUD$ 10 per week) in advance - as well as paying up front for a large supply of the protein bars.
There is no evidence that this has any affect on LA Weight Loss operations in the US.
NOTE: An on-line support group has been set-up here.
UPDATE: Apparently all Australian clients of LAWL will be receiving letters
canceling their contract for any further payments to LAWL.
Havent made any payments yet. Due to day, but have made sure there is no money in there!
I am so angry.
ReplyCertegy arent even answering their phones now! What mongrels!
ReplyAs far as I am concerned I was lied to by certigy that some centres are still open as I have rung all the centres and the phone is either engaged or goes to an answering machine - and the number that they gave me is incorrect as I think that all sydney numbers start with 9 - but i have found another number 02 9899 9635 so will try that. I have rung certigy again and of course they are engaged now so thanks Fleur for the fax number and advice from Legal Aid.
Replywell that is good Penny, because I know for a fact that Certegy don't give LA they money until you have successfully made 2 payments through direct debit. It is crap all the bull crap you have to go through.
ReplyI have made 1 payment. Am on the phn to Certergy now. Will let you know what they say.
ReplyThere are definately no centres open in AUSTRALIA..... I wish there was because I would still have a job and could service all you people
ReplyHi,
Replybut even if you cancel the direct debt don't you still owe the money, it would be the same as if you had put the fees on your credit card. The bank would not wipe that debt
Icontacted the Banking and Finacial Services ans they could only help with the bank side not Certery. I also wonder about the legality of the contract like someone previouly said. There is a box in the top right corner of contract saying goods taken which is not the case. Cetergy hung up on me after telling me I could not speak with a manager. Am now ringing Department of Fair Trading
ReplyThats right, nobody has any goods. If you did you wouldnt be having this problem, just keep going ladies, you all deserve your money back.
ReplyLA weightloss, how do you know certigy don't pay LA untill two direct debts have been processed, I have only made one, I want to call them with the facts
ReplyAm on the phone to certigy and they state that they are not the third party and that we owe them the money and it is as simple as that - LA have told certigy that there will some more information about opening the company this week - YEH RIGHT!!!!!!!!
ReplyThat is what I was told by certegy in training. They wait until they successfully get money from you before paying LA
ReplyCertegy say send a fax and management will take it from there. I will send the fax. Have been directed back to Legal Aid now. God can anyone help us. I just keep getting fobbed off by everyone. Maybe like Penny said, go straight to today tonight and see what they can do
ReplySend a fax for what and to who Fleur - I was told we had to definately take it up with LA by certegy as this has nothing to do with them - I think that certegy needs to investigate this so that we are not all told different things
ReplyHave just phoned certigy, I have only made one payment and they have paid LA, they said they pay LA straight away, my invoices were 18th April and 14th April, they say they paid them on 10th May
ReplyGood on you girls for getting the media invovled. I too was tempted to write to Today Tonight but decided against it because I didn't particularly want to be on television. I'd be happy to sign any petition anyone can start. It is really unfair on us consumers... I worked out last night I still have about $800 worth of direct debits to come out (Already paid about $1000, which I've accepted is gone)...
ReplyWhen spoke to a really rude lady at Certegy she said fax my complaint and notice of cancelling contract in writing to Melanie (0881002680). I asked to speak with management and of course they said she was not there today. Legal Aid are booking me in for an appointment.
ReplyHi everyone,
ReplyMy daughter & I were attending Morayfield Centre and arrived on Saturday AM to find a notice posted by a company called "Healthy Inspirations". That say they will honour 3 months worth of services.. (not bars)
I will be calling them today so we can at least get support for the next three months without being out of pocket any further. We have lost a lot of money, so a least this will help us a lot emotionally.
I was actually so excited on Saturday as I had just reached my goal & was looking foward to celebrating with the girls there,as they were just fantastic
(thanks girls, we will miss you heaps )
Good luck to everyone!
Hey Guys,
I have been trying to contact the company and no cigar.. I am so sorry to hear about everyone's situation as it is such a hard thing to deal with, not only the idea of losing money but also the fact that so many people believed in this company.. I am very upset as I was guarentted to get my money back as I had had a very bad experience with La Weightloss and I had advised the people who worked in the centre I went to that I was gluten and wheat intollerent and they continued to try and sell me stuff, I felt I was corned and definately NOT HAPPY with the service, I was promised my reversal of my money and I ahve nothing.. I just checked the bank and do not know what to do.. Unfortuantley my experience has not been the best and I have not a lot of love for the company at all..
Anyway you know what guys, you all have made a choice to change your life, I left la weightloss after 2 wks and realising it wasn't for me and I have lost 15 kilos on my own.. Guys you can do it!! I jsut got into gym and meet some lovely people who supported me.. If anyone can give me a hand on who or how I can ring someone to enquire about my money please can you respond..
have a great day and best of wishes
ReplyDanni
Ive rung Certegy again and they said they have paid LA up front! I havent even made my first payment yet! I have also sent a fax to Director of fair trading - fax: 02 6207 0538 and about to ring fair trading in Adelaide. I have sent 3 emails to Today tonight, I encourage everyone else to do it!
There has to be a way out for us!
ReplySo LA have taken off with all the money for our programs and products and left us with the bill!
ReplyI don't want to be negative but if you could just speak to someone, at least someone who could come out and say okay this is what you need to do but I am not sure where to go, I have tried to google etc.. I have tried to ring and nothing.. I payed up front.. I just wish they woudl communicate with us.. I am sorry about so many things but at the end of the day, this is abit unfair..
ReplyOf course they have Penny - obviously don't care about anyone even thought they have advised Certegy that there will be updates about the company this week!! All we can do is keep going with the program as I have lost 14kgs don't need the bars to do this and maybe might join a gym. Also have today faxed certecy regarding cancellation of my PDA with them and will let you know how i go.
ReplyI have appointment with Legal Aid tomorrow. I have also contaced Today Tonight.
ReplyHi,
ReplyAre you sure we can cancel,won't they put a bad debt against our name, I have only made one payment to them and they said they have already paid LA
I believe so. I have appointment with Legal Aid Lawyer tomorrow so will see what they say. The whole company sounds like a con now that I have read more articles about it. Will keep you posted as to what Lawyer says
ReplyWell I have spoken to Fair Trading in SA and he spoke for a while but said best I could do at the moment is see a lawyer immediately to see if this contract sticks.
Also just had a phone call from a reporter with the Canberra Times. Spoke to him for ages and he is doing some investigating for us girls!!! I think he is about to ring fair trading as well. He has also contacted the radio stations here that LA was advertising with!
Told Certegy they hadnt heard the last of me! Arseholes!
ReplyPenny and Fleur count me in if you want anyone else in your campaign. I'm really peeved off now as up here in Qld we haven't had anything more on this. I missed the news article but kept doing seaches on the net to get info from the story that was broadcast and there was zip. Only info I could find was the original story in gold coast bulletin news.
I've contacted my bank and am now contacting legal services here as well. Thanks guys for the info on who to fax and the number at Certegy. If I get any more info I'll pass it on here.
Heads Up Girls. These b@stards won't be going with our money without a fight I can tell you.
ReplyLol, that's fantastic Penny. The more media attention the better. A bit of pressure will hopefully make Certegy pay a little more attention!!
ReplyHi everyone, we are in the same boat still owe about $700, i am really worried about cancelling the direct debit as we don't want to get a bad debt recorded against us. Have called Certgy this morning and moved our next payment a week. They said they are waiting on information from LA hopefully this afternoon, and to contact them in a couple of days. Has any one got anything definite from banks, lawyers?
ReplyHi guys!
I too am one of the very peeved LA weight loss customers. I joined about 4 weeks ago and have so far lost about 5 kgs'. I will continue on with the program on my own but am really P.ss.ed off that certegy will not allow me to cancel my contract. I have contacted legal aid also along with BFSO and have been told to send a letter to the bank along with certegy revoking my authority for the payments to be made..I'm sure this will turn into a very long process but I REFUSE to have to be paying for a service & product that I am not receiving. Is anyone else having any luck?
Replya couple of things on the definition of terms:
Us or we means Certegy Australia Plc who is acting on behalf of the merchant (as a Direct Debit payment processor) which you have authorised by signing a direct debit request (sounds third party to me)
Certegy Ezi-Pay means, goods or services are provided to you in advance of full payment and you have authorised us to Direct Debit your account to pay the balance for those goods or services in full. ( I dont believe we have received it in full. I only got 6 boxes for my $2500 which I have only paid $300 of!)
I have an appointment with Legal Aid on Thursday.
ReplyHi All
Read the bottom part of the acknowledgment on your forms. It says that "Certegy is acting as a direct debit payment processor on behalf of the Merchant". It doesn't say that they will pay the Merchant the full measure of the fees you owe the Merchant and re-coup the money back from you.
Certegy aren't paying our loan for us (if they did that isn't what I agreed to!) they are only the go between for collecting the direct debits on behalf of LA weightloss. Therefore Certegy have no right to say that we owe them money if I am reading your comments correctly.
I have been told by a friend that it is illegal for a company in liquidation to perform any further financial transactions once they have been declared. I am still investigating if this is true or not. Waiting to hear from a legal source.
Replywhat a nightmare! My head hurts!
But at least I havent run to the chocolate box yet!
ReplyI have been on the certigy website, parent company is american, under the ezi-pay conditions it is the merchant (LA Weight Loss) who gets to choose if they are paid upfront or in installments, they amount of interest they pay is calculated on that decision. As we were not made aware that LA Weight Loss was going to be paid upfront by Certigy I believe we should be able to cancel aour agreements, Certigy should be recovering funds from LA. Additionally I believe the contracts are duds because they are Goods Taken contracts and this is not the case, and many of us have two contracts which is not allowed according to their own terms and conditions. I have emailed the parent company alerting them of the situation. Additionally staff of LA are saying that they were advised during trainingby certigy that payments are not made untill two successful direct debts have been recieved, which makes sence, Certigy are denying this, so were they deceptive in their training
ReplyHi Penny,
I am in Canberra as well, and, obviously, am in the same boat as everyone else!!!
I would be happy to be involved in the Canberra times investigation (if help is needed) and also will email today tonight.
I will be faxing the Office of Fair Trading today too, as they are launching an investigation. So all Canberra people - PLS do the same. Fax to the Director on 02 6207 0538.
I will also, after reading this site, fax a letter to certigy requesting cancellation of the contract.
ReplyIf you ring certegy they will hold off your payments until 11/06/2007 as they given la weight loss that time to open their doors if they don't then certegy will cancel all our contracts and take the loss and if they do they will resume payments as per normal. They said to make sure that on the 10th july you ring them if la haven't opened to make sur your contracts have been cancelled.
ReplyHi Heidi,
Replywho did you speak to at certigy? I have phoned them twice this morning and haven't got anywhere
I have also spoke to certegy twice this morning and have been told to fax in a letter and they will not do anything for me. Good on you Penny for contacting the Canberra Times. I emailed our story to Today Tonight o fingers crossed they will make contact. Even if LA reopens its doors I will not be going back because whos to say this wont happen again. I say we have the program, do it ourselves.
ReplyI have just phoned Dominique at Certigy who has confirmed what Heidi has said, he said there has been a dispute between parent company and LA australia, they hope it resolves within 14 days, if that is the case direct debts will continue as usuall, if not they ARE going to cancell our agreements. If they do reopen I will be in to demand my money back anyway!
ReplyBoy I am feeling relieved now!