FTC Sues LA Fitness Over Allegedly Difficult Membership Cancellations and Unwanted Fees
The U.S. Federal Trade Commission is suing LA Fitness operators for allegedly making gym membership cancellations exceedingly difficult, illegally charging unwanted fees, and violating federal consumer protection laws.
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Overview
- The U.S. Federal Trade Commission (FTC) has filed a lawsuit against LA Fitness operators, Fitness International and Fitness & Sports Clubs, for allegedly imposing exceedingly difficult gym membership cancellation policies.
- The FTC accuses the gym operators of illegally charging tens of thousands of consumers hundreds of millions of dollars in unwanted recurring fees due to their burdensome cancellation processes.
- The lawsuit alleges that LA Fitness failed to adequately disclose cancellation options to consumers when they signed up for memberships, violating federal laws like the FTC Act and ROSCA.
- Customers reportedly faced significant hurdles, including requirements to print cancellation forms and log in with credentials they might not possess or remember, making online cancellations difficult.
- The legal action aims to halt these unfair and unlawful practices, ensure compliance with consumer protection laws, and secure refunds for the millions of affected LA Fitness members nationwide.
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Analysis
Center-leaning sources frame this story by emphasizing consumer struggles and FTC allegations against gym chains. They use loaded language like "cumbersome process" and "impossible to cancel" to highlight cancellation difficulties. The narrative prioritizes the consumer's perspective and the FTC's role, presenting the gym's defense as a late addendum, collectively portraying the gyms negatively.
"The FTC accused Fitness International and its subsidiary Fitness & Sports Clubs of illegally charging consumers “hundreds of millions of dollars in unwanted recurring fees” as a result of cumbersome cancellation processes."
ABC News"The FTC believes LA Fitness and others have created a cumbersome process for consumers to cancel."
GizmodoArticles (3)
FAQ
LA Fitness allegedly required members to cancel memberships in person during limited weekday hours by submitting printed forms to a specific manager, or by mailing cancellation requests via certified or registered mail. The cancellation instructions were inconsistent and confusing, and phone or email cancellation attempts were refused. These burdensome processes trapped members in recurring charges.
The FTC alleges that more than 3.7 million members nationwide were trapped in recurring memberships due to LA Fitness's unfair cancellation practices.
LA Fitness is accused of violating the Federal Trade Commission Act (FTC Act) and the Restore Online Shoppers' Confidence Act (ROSCA) by making cancellation processes unfair and nondisclosed, thus deceiving consumers and charging unwanted fees.
The FTC is seeking a court order to stop the unfair cancellation practices, ensure LA Fitness complies with consumer protection laws, and obtain refunds for consumers who were charged unwanted recurring fees due to the difficult cancellation processes.
Yes, the lawsuit also includes other California-based Fitness International brands such as Esporta Fitness, City Sports Club, and Club Studio, which collectively operate over 600 locations and have similar cancellation practices.
History
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