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Montessori bankruptcy
raises questions, concerns

by CHRIS GRAY
Observer Staff Writer

      Parents who paid tuition for their students to attend Romeo Montessori School received an unfortunate surprise.
       As of the end of July, the private school has gone into bankruptcy and closed its doors, causing parents to wonder what will happen to the tuition money they paid.
       Even with the closing, though, parents can find solace in a local school starting Montessori-based classes, as well as a new Montessori school being established for this fall.
       Chapter 7 bankruptcy is the most common form of bankruptcy. All non-exempt property of the debtor is sold and proceeds are distributed to the creditors. This is also known as liquidation.
       Stuart Gold, attorney and trustee, has been put in charge of this task. An estate auction will be held Aug. 24 at the attorney's office in Southfield to begin collecting proceeds. Once assets are recovered, the pool of money will be distributed according to the U.S. bankruptcy code's priority scheme.
       Elias "Lee" Majoros, an attorney from Gold, Lange and Majoros P.C. working with Gold, said that those parents who file a timely proof of claim should receive a dividend of the generated proceeds, though how much of their money they will see returned has yet to be determined.
       "Parents are extremely upset, but there is nothing we can do for them right now, there is procedure and federal law to follow," he said. "(Gold) empathizes with their position . . . but they have to realize we're not formal management, we're a third party that was brought in."
       Majoros said there were no depositions or testimony taken on the case yet, so they currently don't know what led to the demise of the school. The educational records of the students, though, have been given to Romeo Community Schools.
       Picking up the pieces
       With the closing of the school, parents have other local options to consider. The Krambrooke-Griffin Academy, a nonsectarian private school in Washington, will be adding the Montessori philosophy to its core education classes.
       Montessori is a philosophy with the goal of addressing an individual's developmental needs, allowing them to excel at their own speed regardless of age.
       A school in Warren recently closed, so Krambrooke-Griffin will adopt its philosophy and technology into its classes, said Kathy Kram, owner of Krambrooke-Griffin. She said talks of bringing the philosophy to the school were taking place before Romeo Montessori School closed.
       "I won't be an authentic Montessori, but we will have training to implement that into our preschool," Kram said. "Our programs have been good, but with this mindset I think it would help make some parents more comfortable."
       She said she sympathizes with the parents who had enrolled their students at Romeo Montessori School only to have it close.
       "We have had some parents from there come in, but right now they're still adjusting to the rug being pulled out from under them," she said. "We will try and work with them financially."
       Three former Romeo Montessori School teachers are working to establish a new Montessori in the St. Paul Episcopal Church. The Village of Romeo Planning Commission approved of a special land use request at its Aug. 13 meeting to allow the school to be led at the church.