Sylvan Learning Center folds
The Grass Valley franchise of Sylvan Learning Center is closing its doors a final time Saturday.
Sylvan Learning Centers offer personalized instruction in math, reading, and other academic skills to students K-12 all over USA and Canada. The Grass Valley franchise is one of the 29 centers in Northern California.
“We are closing due to finances,” said Paul Micsan, director of the Grass Valley franchise. “We are losing money because we don’t have enough students.”
Micsan said some Sylvan Learning Centers are franchised, while others are corporate-owned.
More than a year ago, the Maryland-based corporate entity, Sylvan Learning Systems, Inc., bought several franchises throughout the area – Auburn, Yuba City, Roseville, Fair Oaks, and Greater Sacramento – but refused to purchase the Grass Valley location, as it was not generating enough revenues.
The Grass Valley franchise was advised by the corporate body to sell its physical assets and go out of business.
On March 13, the Grass Valley franchise brought litigation against Sylvan Learning Systems, Inc. for breach of contract, breach of covenant of good faith and fair dealing, fraud, negligent misrepresentation and tortious interference with business relations.
The lawsuit alleges that Sylvan Inc. had consistently ignored or refused their obligations to the Grass Valley franchise in numerous ways.
Micsan, however, is hesitant to comment too much on the litigation.
For now, he is busy wrapping up the franchise, which no one came forward to buy when it was on the market in December 2005. Micsan thinks that might be because prospective buyers had to be told that the main corporate office didn’t want to own it and had to tell them why.
“There are a lot of reasons why this center has not been able to grow like other centers,” Micsan said. “Even though we’d been struggling, for the benefit of students and for a really outstanding teaching staff, we tried to keep this center open.”
To contact staff writer Soumitro Sen, e-mail soumitros@theunion .com or call 477-4229.
• The Grass Valley franchise of Sylvan Learning Center was started in April 2000.
• The Grass Valley center is also called Montrose Educational Services, Inc.
• The faculty consisted of eight part-time teachers and two full-time Sylvan employees.
• The top hourly tuition rate at the Grass Valley center was $55. Students would typically attend 2-4 hours of class per week.
• Sylvan Learning Centers, which was started in 1979, now has more than 1,000 centers all over USA and Canada. There are also centers in Hong Kong and Guam.
• Sylvan Learning Centers is owned by Educate. Inc. a company that serves the K-12 marketplace.
Source: Sylvan Center Grass Valley; http://www.educate.com
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