Spa Closes Unexpectedly, Customers Question Their Gift Certificates

Edwin Framalino has been receiving a lot of questions about the unexpected closure of a spa that formerly used his business namesake. He's had customers stopping into his salon, Edwin Paul Salon, for days inquiring about the closure. 
His attorney, Lisa Pinkos Howle, estimated she handled approximately 60 calls in three days late last week alone.
The questions revolve around the closure, the lack of information about the closure and outstanding gift certificates held by the customers who hadn't yet used them. 
At least one customer who lives in the City of Grosse Pointe contacted Patch via email questioning what was happening with the spa. She has a $100 gift certificate she wants to use. She is one of the customers who contacted Framalino, she said. If need be, she'll pursue legal action, she said.
The spa--formerly known as Edwin Paul Spa--was under new ownership and closed approximately two weeks ago unexpectedly. Framalino is the president of Edwin Paul Inc., which owns the salon at 20327 Mack. Although the spa used the Edwin Paul name previously, Framalino has not been an owner of that business for years.
The spa at 21023 Mack Ave. had been owned by Elizabeth Wagensumer through a limited liability corporation named PKM Industries until January of this year. That is when Grosse Pointe Woods business owner Rose Marchese purchased it. Marchese held an open house just a few weeks ago after months of making updates to the business.
She's since closed the spa unexpectedly. In an interview with Patch, Marchese said she was forced to close it after most of the employees quit and she was unable to replace them in a timely enough manner to continue servicing clients.
Due to the name issue related to the salon and to the spa, Framalino has been receiving calls and visits by customers who are upset because they have gift certificates to the spa but cannot get in touch with anyone there. Framalino said he had one doctor come to see him after he bought a couple hundred dollars worth of certificates at the spa as a gift. Framalino cannot help the customers because he has nothing to do with the spa, Pinkos Howle said.
The former owner, Wagensumer, sold the business to Marchese without alerting Framalino despite the trademarked rights to the name, which Wagensumer had permission to use as documented by Michigan Licensing and Regulatory Affairs.
This is the second time Framalino is having to deal with spa issues since Marchese has taken over, Pinkos Howle said. The trademarked name was not a part of the sale and despite requests that the sign be removed from the building, Pinkos Howle said it took a drafted a legal complaint about the violation of trademark that was to be filed in Wayne County to garner its removal. 
Marchese said the name issue was not discussed during the sale and she was unaware she would have to change it. She began changing it but did not take formal action to do so. She alerted the Grosse Pointe Chamber of Commerce of it, calling it Serenity Spa, but had not formally registered the business as a member, Executive Director Jennifer Boettcher said. The Grosse Pointe Chamber of Commerce has also been receiving calls from customers with gift certificates wondering what's happening with the business, Boettcher said.
According to a string of emails shared with Patch Thursday June 6, 2013, Framalino and Marchese discussed the naming rights and issue before the purchase of the business was complete. 
Marchese told Patch Friday that she is "reverting my interest back to (PKM Industries)." She described the deal struck between herself and Wagensumer as her purchasing an interest in PKM Industries. 
The outstanding gift certificates, Marchese originally said to Patch, will have to be addressed by Wagensumer after they work out the details of her divesting from the business. 
Framalino questions why gift certificates were being sold at the spa as recently as Mother's Day if it were closing. Although he has nothing to do with the spa, he's had to deal with repeated questions and frustrated customers who believe he's involved because of the name.
Meanwhile, Marchese insists she was not planning to close. She described the time since she purchased the business as "unbearable." The closing of the spa, she said, "is an awful situation for a lot of people."
Marchese said there were a variety of undisclosed issues in the sale and gift certificates were one of them. She said there were more outstanding gift certificates than what she paid for the business.
Patch is trying to obtain a copy of the sale agreement and to contact Wagensumer. 
In the meantime, the spa has been closed for at least two weeks without any information available for customers. The phone line picks up with a fax sound and then puts callers into a 'receptionist' queue with hold music. There is no answer. 
Marchese said an employee was to have put a voicemail message on the phone line Friday to alert customers about the closure. 
Later in the interview with Marchese, she said she wants to "remedy any issues I can with customers." To do that, Marchese is offering any customers who purchased a gift certificate from the spa during the time she owned it--January to mid-May--to spend the value of the certificate at her other businesses, Hannah Bear Boutique and La Jolie Rose.  

UPDATE: Additional information was added to this story June 6, 2013, at 12:32 p.m. to reflect knowledge of the name issue prior to the sale of the business.