2023-08-30 04:00:00
A baby product company popular online with Quebec parents closed overnight without warning. More than 1,000 customers now have to scramble to get a refund.
• Read also: St-Méthode Bakery is looking for new funding
• Read also: Pharmalab: now safe from its creditors
Agatha boutique went bankrupt on August 11. “We invite you to contact the financial institution that issued your credit card in order to request a refund through the chargeback process,” it says on its website since.
However, on August 9, the store, known for using “influencers” to promote itself, was still encouraging its customers to buy its products on Facebook.
Agatha Boutique Facebook post dated August 9 screenshot of Agatha boutique facebook page
If it was popular online, Agatha boutique also had a storefront in pretty premises in Mont-Royal, on the island of Montreal, since December 2019.
The premises of Agatha boutique in Mont-Royal, on the island of Montreal, made influencers happy. photo taken from the Evol website
The company belongs to André Malépart and Agathe O’Donoughue, a couple of entrepreneurs who started the now moribund box in Mirabel.
“The business had been struggling before. A proposal had been made to the creditors last February, which had been accepted”, indicates Patrice Attanasio, who takes care of the communications of the couple.
A recovery plan had thus been put in place. But the sales were not there. “Until the last minute, the company had hope,” adds Mr. Attanasio, who insists on the good faith of entrepreneurs.
More than 1000 customers affected
Still, more than 1,000 customers now have to run following their reimbursement themselves.
They are precisely 1077 customers and suppliers to have to be paid, can we read in the bankruptcy notice prepared by Raymond Chabot. The amounts vary from $80 to $4000.
In addition to these unsecured creditors, Agatha boutique also owes $413,000 to the Caisse Desjardins de la Vallée des Pays-d’en-Haut, $430,000 to Evol Financement, $331,000 to Filaction and $280,000 to PME MTL Centre- West.
The total value of the company’s debt is $4,697,472.15 once morest assets of $556,904. The shortfall is therefore $4.1 million.
Remedies for customers
Marie-Lou Chartrand, of Amos, is one of the unsecured creditors. She bought an infant car seat online for $459.84 on June 15.
On August 16, she had still not received anything. “It was when I wrote to them that day that I learned that they were bankrupt”, launches the mother of two twins of almost 9 months.
However, the refund procedure only applies to customers who made purchases online and paid with their credit card.
“People don’t always know that they can make a chargeback,” observes lawyer Sylvie De Bellefeuille, from Option consommateurs.
This is often the only way to review the color of your money during a bankruptcy, since consumers are the last to be reimbursed by the trustee in bankruptcy.
With only $556,904 in assets, it is certain that Agatha boutique will not be able to reimburse its customers and suppliers.
“The law is clear: if the customer paid with his credit card and did not receive his product, he can obtain a chargeback from his financial institution,” assures Ms. De Bellefeuille.
This is what Marie-Lou Chartrand intends to do, “because with twins, the expenses accumulate quickly”.
Do you have any information to share with us regarding this story?
Write to us at or call us directly at 1 800-63SCOOP.
1693381523
#Abrupt #Agatha #boutique #bankrupt #company #debts #million
