Dec 11, 2007 11:07 am US/Central
'Fig' Locations Have Closed... Now What?
FORT WORTH (CBS 11 News / AP) ―
CBS 11 News and other media outlets have
reported on the controversy surrounding local 'Fig' weight loss centers. Clients claimed that they did not get the results they were guaranteed, or that the procedure was more painful than they were led to believe.
Area locations have now closed their doors, leaving many clients lost in the fallout. What can you do in response? This FAQ should help answer some of your questions.
Why did the 'Fig' clinics close?
The company sites "economic conditions beyond our control." According to their
website, "The company is currently consulting with counsel and will likely seek legal relief under the bankruptcy code to ensure it preserves all options including the ability to reorganize and continue operations."
Was this strictly a financial issue?
This is part of the controversy. In September, a judge in Kansas blocked a state regulation that would have prevented most doctors from using the methods practiced at 'Fig' clinics. The state said that they were trying to protect consumers from potential health problems caused by an unproven drug. A board in Kansas said it had received complaints about clinics, including adverse reactions such as nodules, infections and nausea. 'Fig' issued a lawsuit.
Where did 'Fig' have clinics?
The first clinic opened in St. Louis about two years ago. The company also operated
locations in Kansas City, Las Vegas, Atlanta, Columbus, Scottsdale, Louisville, Dallas and Houston. One location in Costa Mesa, Calif. is independently owned.
Have all 'Fig' locations shut down?
The company closed its doors at 17 of their 18 clinics across the country. One independently owned 'Fig' office in Costa Mesa, Calif. has remained opened.
What will happen to the company's employees?
More than 500 'Fig'
employees are now out of work after the company closed most of its clinics. About 130 employees work at the corporate office in Maryland Heights, a suburb of St. Louis. A handful of employees have volunteered their time to help former employees and patients with the consequences of the company's closing.
How does 'Fig' plan to help former employees?
The company set up a phone number for employees to call. Here, they can check on the status of their compensation and benefits. Medical, dental and life insurance plans will remain in effect until the end of the year. Employees should call 1-866-973-4344 for the latest information.
What will happen to patients currently undergoing treatment?
According to their website, the company will be contacting current patients regarding treatment options and refunds.
What other options do consumers have?
According to the Texas Attorney General's Office, outside of private legal action, consumers have few other options at this point, until a bankruptcy case is filed by the company. When a bankruptcy case is officially filed, consumers can then file with the court as a creditor.
What about patients paid with CareCredit?Patients who chose the CareCredit payment option have been encouraged by 'Fig' to follow the standard dispute resolution process as described in their billing statement. This will preserve the patient's rights under the Fair Credit Billing Act.
How will I know when 'Fig' has filed for bankruptcy?
Keep checking
CBS11TV.COM for the latest updates on this story.
Can I file a complaint?
Yes! Complaints can be filed with the Texas Attorney General's Office by calling 800-621-0508 or by visiting the office's website by
clicking here. You can also contact the Texas Medical Board at 800-201-9353 or visiting their website by
clicking here.
(© 2009 CBS Broadcasting Inc. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed. The Associated Press contributed to this report.)
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