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Aug 20, 09:27 PM
FTC Sues LA Fitness Over Difficult Membership Cancellations
Law
Business

FTC Sues LA Fitness Over Difficult Membership Cancellations

Authors
  • Reuters
  • Bloomberg
  • The Hill
25

The US Federal Trade Commission on Wednesday sued Fitness International LLC and its subsidiary Fitness & Sports Clubs, accusing the operators of LA Fitness and several sister brands of making it "exceedingly difficult" for customers to cancel memberships. In a complaint filed in federal court, the agency says cumbersome in-person and mail-only procedures, coupled with opaque online options, caused consumers to pay hundreds of millions of dollars in unwanted recurring fees. The FTC cites tens of thousands of complaints and contends the practices violate the FTC Act and the Restore Online Shoppers’ Confidence Act. Fitness International runs more than 600 gyms under the LA Fitness, Esporta Fitness, City Sports Club and Club Studio banners, serving roughly 3.7 million members nationwide. The regulator is seeking an injunction to halt the alleged conduct and restitution for affected customers. Jill Hill, president of club operations for Fitness International, said the company “works diligently to comply with all health-club state laws” and will defend its practices. The case extends the FTC’s broader crackdown on firms that impede subscription cancellations after the agency’s proposed “click-to-cancel” rule was temporarily blocked by a federal appeals court last month.

Written with ChatGPT .

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