PORTLAND, Ore. (KOIN) – The local franchise of the Zoom Room shut down suddenly after only nine months and some customers said they are out hundreds of dollars in prepaid agreements.
The California-based company that sells Zoom Room franchises told KOIN 6 News they “do not own or control the operations of our franchisees and we are not the guarantor of their business.”
Local bankruptcy attorney Douglas Ricks said it is a buyer-beware situation when customers pay ahead for services. He suggested paying in installments, and if you sign a contract, check to see if the money is set aside for refunds if the business closes.
Ricks also said paying by credit card is safer, since card companies may sometimes provide refunds on undelivered merchandise.
The customers at the Portland Zoom Room on NW 10th are waiting to see if the business will re-open. The owner of this franchise, John Calvert, died suddenly this week.