SmileDirectClub is closing — just months after the troubled teeth straightening company filed for bankruptcy protection.
In an announcement Friday, SmileDirectClub said it had made an “incredibly difficult decision to wind down its global operations with immediate effect.”
That leaves existing customers in the dark. SmileDirectClub’s aligner treatment through its telehealth platform is no longer available, the Nashville, Tennessee-based company said, as it urged consumers to consult their local dentist for further treatment. Customer service for the company has also been discontinued.
Customer orders that have not yet shipped have been canceled and the “Lifetime Smile Guarantee” no longer exists, the company said. SmileDirectClub apologized for the inconvenience and said additional information about refund requests will arrive “as soon as the bankruptcy process determines the next steps and additional actions customers can take.”
SmileDirectClub also said that Smile Pay customers are expected to continue paying, which will cause further confusion and frustration online. When contacted The Associated press On Monday, a spokesperson said the company could not comment further for additional information.
SmileDirectClub filed for Chapter 11 bankruptcy protection in late September. At the time, the company reported nearly $900 million in debt. On Friday, the company said that despite a months-long search, it could not find a partner willing to provide sufficient capital to keep the company afloat.
When SmileDirectClub went public in 2019, the company was valued at approximately $8.9 billion. But the shares soon plummeted, plummeting in value over time as the company proved unprofitable year after year and faced multiple legal battles. In 2022, SmileDirectClub reported a loss of $86.4 million.
SmileDirectClub, which has served more than 2 million people since its founding in 2014, promised to one day revolutionize the oral care industry by delivering clear dental aligners (marketed as a faster and more affordable alternative to braces) directly to consumers by mail and in major retailers. But the company has also seen resistance from within and outside the medical community.
Last year, the District of Columbia Attorney General’s office sued SmileDirectClub for “unfair and deceptive” practices. The company was accused of unlawfully using non-disclosure agreements to manipulate online reviews and prevent customers from reporting negative experiences to regulators. SmileDirectClub denied the allegations but agreed to a settlement agreement in June that required the company to release more than 17,000 customers from the NDAs and pay $500,000 to DC.
The British Dental Association has also been critical of SmileDirectClub and similar remote orthodontics – pointing to cases of advanced gum disease fitted with aligners, risks of misdiagnosis and more on a Sunday. after on X, the platform formerly known as Twitter.
“Bankruptcy should not have been necessary to protect patients from harm,” says the British Dental Association wrote, while calling on British regulators for more protection. “Dentists must pick up the pieces when these providers offer completely inappropriate treatment.”
