• Report: #31597

Complaint Review: Inches Aweigh, Scott Simcik, Ken Giglio

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  • Submitted: Tue, October 01, 2002
  • Updated: Fri, May 11, 2012

  • Reported By:las vegas nv
Inches Aweigh, Scott Simcik, Ken Giglio
inchesaweigh.com Birmingham, Alabama U.S.A.

Inches Aweigh, Scott Simcik, Ken Giglio gets fat ripping off franchisees Birmingham Alabama

*UPDATE Employee: Scott Simcik Inches A Weigh Franchise Growth Partners

*Consumer Comment: I was ripped off by the same person

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I entered into a franchise agreement with Inches Aweigh in 1998. During various conversations I was presented with information about "more than 200 successful franchisees making high six-figure incomes after only a few months in business". During the training and orientation in Birmingham I discovered that of the more than 200 franchises sold more than half had failed, 60 were on the verge of failure, 27 were barely breaking even, and the remainder were making a small profit.

My investment exceeded $70,000.00. I decided not to proceed and tried to negotiate a partial refund with no success. Scott Simcik, the owner, did not appear at mandated mediation hearings until my attorney forced the issue.

When he did attend he pleaded ignorance, said he couldn't find documents, claimed he was nearly bankrupt, etc. Simcik eventually agreed to a settlement that was never paid.

mike
las vegas, Nevada

This report was posted on Ripoff Report on 10/01/2002 04:34 PM and is a permanent record located here: http://www.ripoffreport.com/r/Inches-Aweigh-Scott-Simcik-Ken-Giglio/Birmingham-Alabama/Inches-Aweigh-Scott-Simcik-Ken-Giglio-gets-fat-ripping-off-franchisees-Birmingham-Alabam-31597. The posting time indicated is Arizona local time. Arizona does not observe daylight savings so the post time may be Mountain or Pacific depending on the time of year.

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REBUTTALS & REPLIES:
0Author 2Consumer 0Employee/Owner
Updates & Rebuttals

#1 UPDATE Employee

Scott Simcik Inches A Weigh Franchise Growth Partners

AUTHOR: shackcrack - (United States of America)

I just came across a record of a woman in Maryland named Ms Thomas who tried to get her money returned alleging violations of Marylands franchise law. Breach of contract, misrepresentation etc. Scott forces the arbitration clause and the arbitrator awards the franchises, Ms Thomas her fee of $29,000 plus $10,000 additional fees. Scott must have been beside himself! Good for you Ms Thomas! Most don't have the funds to follow through. Not to mention the arbitration usually is set in Birmingham. I would estimate 95% of the Inches A Weigh licencees either let Scott resell their center for a small amount of money to quietly move on or attempted legal recourse. He knows his business model was a dog and had the clauses in his agreements well written because he knew everyone would realize the fraud and consult an attorney. He was actually shocked when the Arizona location was able to tread for a few years. They also quietly closed with regrets.

Circuit Court Montgomery County Maryland case 229473-V December 2002.

If he put the same effort in designing a business model that he paid attorneys to "iron clad " his lisence agreement he might have been successful.

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#2 Consumer Comment

I was ripped off by the same person

AUTHOR: Bill - (U.S.A.)

My name is Bill Porter and I feel I have been ripped off by Scott Simsik, also. I have invested roughly $100,000.00 into an Inches-A-Weigh and am about to lose the business. I was sold the same story as the gentleman before, only to find out later, that most of the businesses were failing.

I am ashamed to say that I did not do enough homework on Mr. Simsik before I bought into the business. I was told there were over 60 centers nationwide, only to find out after I had bought into the system that most were struggling or going out of business. I have not talked to corporate for a few months, as I have become so discusted in them, I do not want to have anything to do with them.

I have found out that many centers are going to file suit against Mr. Simsik and his business. It is a shame that someone can continue to do this to people. I have talked to Mr. Simsik about selling the business, but how can you sell a business that is failing.

I also do not want to take part in selling a business that will take the new owners down the same road. I am going to try to get ahold of the former owners who have all been taken advantage of and see what kind of legal action there is to take, if any.

This man has to be punished for what he is doing. How can you continue to sell an idea that continually fails? This is America, where the people's rights have to be protected. In this case, this man has been simply slapped on the wrist and he just continues to do business. If you have any suggestions as to the steps that can be taken to stop this from going on, be let me know. I have poured alot of money into this concept, only to find out, as others have, that the majority of people that have entered this business have failed.I would appreciate your comments. Thank you.
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