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Parents want refunds after martial arts studios close

Three Arizona locations of Premier Martial Arts closed in September
Posted at 9:47 PM, Oct 09, 2023
and last updated 2023-10-10 00:47:38-04

GILBERT, AZ — Parents across the Valley are looking for refunds after several Premier Martial Arts studios closed without warning.

Jennifer Morales signed her 5-year-old son, Anthony, up for classes at the Arcadia location after picking up a PMA flier at her son's back-to-school night.

"Martial arts are very focused on respect and discipline - all good things that a kindergartener needs in their life - outside of school as well as in the home," said Morales.

Morales said she paid for six months of lessons for $895 in August. One month later, she got a text message from a Premier Martial Arts employee saying her location was closing. Within hours, she found the door locked and no one inside the location at 40th Street and Indian School Road. She texted, asking for a refund, but said she did not get an answer.

Morales said she disputed the $895 charge through her credit card, and she had to tell her son the classes were canceled.

"[He] was really starting to like the techniques and coming, and punching, and kicking, and learning all the different skills, so he was very sad," Morales said.

The ABC15 Investigators heard from several parents who had prepaid for months - or even years - of Premier Martial Arts lessons before locations in Gilbert, Arcadia, and Paradise Valley closed.

PMA is a martial arts franchise with 200 locations across the country. ABC15 contacted the owner of the three closed locations, Holly Pitman. By text, Pitman said she planned to file for bankruptcy and claimed PMA's parent company, Unleashed Brands, was "selling a business model that doesn't work."

"My family has been devastated," Pitman added.

Dozens of franchisees, not including Pitman, filed a federal lawsuit last year claiming Unleashed Brands defrauded franchisees. A judge moved the case to arbitration. ABC15 emailed Unleashed Brands and called a national spokesman for Premier Martial Arts, but neither responded with a comment for this story.

ABC15 reached out to owners and managers of other Premier Martial Arts locations in the Valley. They are still open and are offering to make good on already paid-for lessons.

"I do believe that it's a beautiful thing that other studios are offering the opportunity to families," Morales said. "I appreciate that."

Morales said she hopes to switch Anthony to the PMA Ahwatukee location after fall break.

Contact ABC15 Senior Investigative Reporter Melissa Blasius at Melissa@abc15.com or 602-685-6362.