FTC sues LA Fitness operators over "impossible to cancel" memberships

midian182

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In brief: There are few things more difficult in life than trying to cancel a gym membership. The FTC says that some health clubs make this task intentionally awkward to dissuade cancellations, which is why the agency is suing several gym chains, including the operators of LA Fitness. The FTC has gone after other services for the same reason in recent times, including Uber, Adobe, and Amazon.

The FTC names Fitness International and Fitness & Sports Clubs in its lawsuit, owners of gym chains such as Esporta Fitness, City Sports Club, Club Studio, and LA Fitness.

The companies and their subsidiaries are accused of illegally charging consumers hundreds of millions of dollars in unwanted recurring fees by creating a cumbersome cancellation process.

Cumbersome sounds like an understatement in this case. For LA Fitness, customers who want to cancel must log in to the website and print off a cancellation form, which obviously requires the use of a printer. But as the gym encourages people to use its app and a QR code, most people don't have or remember their login credentials. There's no way to cancel using the app, of course.

While most people would simply reset their login credentials at this point, even this process is unnecessarily difficult. It requires the original email used to set up the membership account, the "key tag number" assigned at signup, and the first five digits of the bank account or credit card number listed on the account.

Many customers have complained that when attempting to cancel their memberships, they can't access the LA Fitness website, so they just give up. Some even claim that when attempting to make an online account, they never received the email to do so after requesting it.

It's also pointed out that even those who did access the website and print out the forms are directed to bring it to a brick-and-mortar gym location, but they can only be handed in Monday to Friday between 9am and 5pm – when most people are at work – despite being open 19 hours per day, seven days a week. The forms can only be submitted to one on-site employee, the Operations Manager, who may or may not be available during the stated hours.

The forms can be mailed, but it's recommended that this be done via certified mail. The FTC also claims LA Fitness trained staff to reject cancellation requests that come via phone or email, and "consumers who try to cancel their memberships by stopping charges to their bank or credit card find they are rebilled, often under new account numbers."

"The FTC's complaint describes a scenario that too many Americans have experienced – a gym membership that seems impossible to cancel," said Christopher Mufarrige, director of the FTC's Bureau of Consumer Protection.

The FTC has long fought to make subscriptions as easy to cancel as they are to sign up for, hence the introduction of its click-to-cancel rule. While it took effect in early 2025, enforcement of its key provisions was deferred until July 14.

Just days before click-to-cancel enforcement was due to begin, the US Court of Appeals for the Eighth Circuit blocked the rule due to procedural errors. However, existing federal and state laws, such as the Restore Online Shoppers' Confidence Act (ROSCA), still require clear disclosures, express consent, and easy cancellation for online, negative-option subscriptions.

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I have run up on this on one occasion. I just contacted my credit card provided and told them to block any charges from a specific vendor because I couldn't cancel the yearly subscription. They did and that subscription ended.
 
Another move by this administration that literally nobody should have a problem with...

But they'll find a way to complain anyways.
What will happen is this is part of the "Click to cancel" bill that has been in Limbo since the start of the Trump of the Administration. The FTC will set a precedent that moves the bill forward, The left will forget that it was proposed under Biden and get mad at Trump for passing it.
 
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This is why you should never join a gym! Did you know that 100% of people who exercise regularly DIE!!
It's true! And people who are exposed dihydrogen monoxide also always die, very dangerous chemical!

I have run up on this on one occasion. I just contacted my credit card provided and told them to block any charges from a specific vendor because I couldn't cancel the yearly subscription. They did and that subscription ended.
Yes, one of the many benefits of credit cards. I've had to end more than one subscription this way. Not with gyms (hah, as if I'd care that much about my health to go to a gym), but just in general.
 
Yes, one of the many benefits of credit cards. I've had to end more than one subscription this way. Not with gyms (hah, as if I'd care that much about my health to go to a gym), but just in general.
The gym I was using, 24/7 fitness, they sent me to collections after I kept filing charge backs with my credit card.
 
The gym I was using, 24/7 fitness, they sent me to collections after I kept filing charge backs with my credit card.
So what did you do? Were you able to argue that you cancelled and the charges were fraudulent?
 
Another move by this administration that literally nobody should have a problem with...

But they'll find a way to complain anyways.

This has nothing to do with this administration. It started under Biden who confirmed the current FTC chair Lina Khan. I'm only shocked that Trump didn't dismantle the FTC yet to help out those that bribe him like he did with the FCC.

https://www.independent.co.uk/news/...nt-merger-democrats-bribe-trump-b2811807.html

Go after Comcast Xfinity next. They have similar demands to cancel. Cerified letter or in person. They don't even have a phone number listed.
 
This has nothing to do with this administration. It started under Biden who confirmed the current FTC chair Lina Khan. I'm only shocked that Trump didn't dismantle the FTC yet to help out those that bribe him like he did with the FCC.

https://www.independent.co.uk/news/...nt-merger-democrats-bribe-trump-b2811807.html

Go after Comcast Xfinity next. They have similar demands to cancel. Cerified letter or in person. They don't even have a phone number listed.

I didn't have any issues canceling my Xfinity internet last year. It was irritating canceling it, but no odd things to do.

The lady I spoke with, I know she was simply following her script to try and keep customers by continuing to offer a "deal" every time I said I just want to cancel or every time I said "No thank you." to one of the "deals" she was offering if I stayed as a customer. It's hard not to get mad at these service reps for doing their job, but I kept it civil and treated her nice since she was being nice and respectful to me the whole time.

I think it took me about 15-20 minutes to officially cancel my account with them. In no way was it difficulty, it was just annoying as hell.

I'm glad I don't throw anything away, too, because apparently about 4 years prior to me canceling, for some reason Comcast sent me some device they call an XBox (not the console, but some kind of device you use to stream with? Hell if I know what it was, I didn't care about it and never used the stupid thing, I just shoved it into a cabinet) and I had to return it or I would be billed X amount of dollars for it and I was given a grace period of I think 10 business days to return it to a physical store or mail it back to Comcast. I found a physical store near me, took about 15 minutes to drive there. Turned in the device, got my receipt for it and that was that. My hands were washed of Xfinity, good riddance!
 
So what did you do? Were you able to argue that you cancelled and the charges were fraudulent?
I waited until it dropped off my credit report because it kept getting sold from debt collector to debt collector regardless of the disputes I made. I probably still "owe" them $480, it's just not on my credit report anymore. But fair warning, they will continue to charge you even if you reverse the charges on your credit card. Actually, they were the reason I asked my bank for a new card with new numbers, because they kept charging it every month.
 
I waited until it dropped off my credit report because it kept getting sold from debt collector to debt collector regardless of the disputes I made. I probably still "owe" them $480, it's just not on my credit report anymore. But fair warning, they will continue to charge you even if you reverse the charges on your credit card. Actually, they were the reason I asked my bank for a new card with new numbers, because they kept charging it every month.
That's unfortunate, long time to wait. Some credit cards let you create a virtual account number that you can put expiration and/or spend limits on. I've used those in the past. With an account that already exists, if you can swap out the payment methods, then you can replace a "physical" one with a virtual card that has a limit so they can only charge (at most) once more. Might be a little easier than asking for a new card after the umpteenth charge. Hopefully the FTC will kill the problem at its root, but those who set up these schemes in the first place will probably get off scot-free.
 
It is wild that a business built on the idea of self-improvement leans so hard on self-sabotage when it comes to canceling. The machines are open all day, but the one person allowed to take your cancellation form is on banker hours. You almost have to respect the creativity of the grift.
 
Not true! I know many people who exercise regularly, and have never died!

On the other hand, I knew quite a lot of people who died, and not one of them is exercising any more!
But they WILL die…. Now a perceptive person might argue that EVERYONE dies but… why take the chance!
 
What will happen is this is part of the "Click to cancel" bill that has been in Limbo since the start of the Trump of the Administration. The FTC will set a precedent that moves the bill forward, The left will forget that it was proposed under Biden and get mad at Trump for passing it.
Persons who pay attention to reality seldom exhibit this behavior.
 
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