What's next for employees, customers of Positive Changes - Spokane, North Idaho News & Weather KHQ.com

What's next for employees, customers of Positive Changes

Posted: Updated:
SPOKANE, Wash. -

It's a scramble for answers now that Positive Changes Hypnosis in Spokane has filed for bankruptcy. Employees are out of work while clients and vendors are out a lot of money. They are out of more than $5 million according to the documents KHQ has reviewed.

KHQ tried tracking down the CEO Sheryl Manchester again, this time stopping by her home but with no luck. We were told by a person who answered the door that she was headed to Seattle.

We stopped by another office, looking for Dale Stevens, the company secretary and a board member of Positive Changes' parent company, ET Research. He wasn't around either and his co-worker had no comment.

Our very last stop was Mike Merritt, the trustee of ET Research and ESOP, which is an employee stock ownership plan to see what would happen to the employees in the company. He told us to contact the lawyer for Positive Changes.

When we talked with an employee of the Spokane Positive Changes who wished to remain anonymous, he told us all is lost. "Every employee owned part of the company. We were told that evaporated when the company declared bankruptcy. That's no longer because the value of the company went to nothing. How do we take care of the clients, and what happens with our benefits?"

The lawyer for Positive Changes says they are waiting for the appointment of a trustee. Then they'll see if the franchisor or another interested party will reacquire the location and its assets.

Corporate says they are still trying to figure out how to best help customers but they say they really want customers to reach out to them and leave their name and number by calling 877-POSITIVE.

The Attorney General's Office says they've received multiple complaints about Positive Changes Hypnosis in Spokane.

It's not just the Spokane location that's officially closed but also in Bellevue, Washington, Beaverton, Oregon and Boise, Idaho. 

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