By Laura JonesBusiness reporter, BBC News
Getty ImagesSmile Direct Club closed months after filing for bankruptcy in the US, leaving some customers confused and stranded as their treatment continues.
Best known for selling land lines remotely, the company said it had made the “incredibly difficult decision” to end operations late Friday.
The US-based dental company offered aligners for around £1,800 without the need to visit a dentist.
However, a last-ditch rescue attempt failed as it became saddled with debt.
Founded in 2014, the orthodontic company has positioned itself as a disruptor in the brick-and-mortar dental industry.
In traditional dentistry, train-track braces and clear aligners are fitted by the dentists and orthodontists themselves, or a trained orthodontic therapist, after a personal consultation.
Many customers were attracted to Smile Direct Club because of the lower price and the fact that they could take the molds for their aligners at home themselves.
Treatment with the company typically lasts between four to six months, and clients have online check-ins with registered dentists.
In a statement on its website, the company says it has “improved more than two million smiles and lives.”
However, customers in the US, UK and elsewhere have been left confused as the company says its customer support line will no longer be available, despite the fact that customers may need check-ins or adjustments for their aligners.
He recommends that if people want to continue their treatment, they should get in touch with a local dentist.
It also angered some customers by saying the “lifetime smile guarantee” it previously offered was no longer valid, while those who had set up payment plans were expected to continue making payments.
There will be more information about the refunds, he said, as the bankruptcy process continues and “next steps” are determined.
“Disgusted” by the treatment
On Facebook, several users wondered what to do about their treatment and complained that they had made recent payments.
One wrote: “Disgusting how everyone has treated us… I just booked my aligners, made my first payment and now I won’t even get my braces.”
Another said his wife had paid for her treatment in full and needed a new conservator, but was no longer sure whether or not she would receive it at all.
On Instagram, another customer asked: “I did six months [of] treatment – now what? I can’t finish?… This is heartbreaking.”
In a statement on its website, Smile Direct Club apologized for the inconvenience caused.
Lisa Webb, consumer law specialist at Who? he said many customers would feel “left behind” by the collapse of the company.
He pointed out that where there are refunds, they will be handed over by liquidators. “But customers will be at the back of a long queue of creditors, so this is unlikely to be much, if anything,” he said.
He advised that anyone in the UK still waiting for products who had not had their order canceled and paid for by credit card could also try to claim their money back through Section 75 under the Consumer Credit Act.
Smile Direct Club was forced to file for Chapter 11 bankruptcy in the US at the end of September, which postpones a company’s obligations to its creditors, giving it time to restructure its debts or sell parts of the business.
But on Friday, it emerged that a final rescue attempt had failed.
Attorney Spencer Winters told a bankruptcy judge that a deal for its founders to provide new capital and buy Smile Direct Club out of bankruptcy was not complete after it could not reach an agreement with its major lender.
“We pushed really, really hard this week and we just didn’t get it done,” he said.
It was once valued at $8.9bn (£7bn) but failed to turn a profit and was nearly $900m in debt at the time it filed for bankruptcy, according to Fortune magazine.
The company, boosted by selfies and positive online reviews, had also faced problems with patent conflicts and Dentists’ concerns range from poor aligner fit to claims of permanent nerve damage and tooth loss.
She has strongly defended her practices throughout and has consistently said that clients’ treatments are reviewed by licensed professionals, and the risks are outlined.
Worried about your treatment plans or the possibility of getting a refund? Share your experiences by emailing haveyoursay@bbc.co.uk.
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