UK court rules gym contracts unfair

TheZ

Given we are operating under the same EU Directive it will be interesting to see if this case is picked up here


http://www.bailii.org/cgi-bin/markup.cgi?doc=/ew/cases/EWHC/Ch/2011/1237.html&query=ashbourne&method=boolean

<LI value=171>"In this regard, the defendants know that the average consumer overestimates the use he will make of the gym and that frequently unforeseen circumstances make its continued use impossible or his continued membership unaffordable. They are also well aware that the average consumer is induced to enter into one of their agreements because of the relatively low monthly subscriptions associated with them but that if he ceases to use the gym after between three and six months he would be better off joining on a pay per month basis. Yet the defendants take no steps to have these matters brought to the attention of consumers. Nor do the defendants ensure that consumers are made clearly aware of their overall liability at the outset which might alert them to the risks associated with early termination and the likely benefits of entering into an agreement for a shorter term. <LI value=172>Moreover, I do not believe the defendants have ever offered a satisfactory explanation for the different advice they give on their website to what they describe as "high end" gym clubs. For these, they say, a contract similar to those of the national chains, commonly a 90 day rolling contract, will be most suitable.
1. In all these circumstances I believe that the defendants' business model is designed and calculated to take advantage of the naivety and inexperience of the average consumer using gym clubs at the lower end of the market. As the many complaints received by the OFT show, the defendants' standard form agreements contain a trap into which the average consumer is likely to fall."

Sangre

Haven't read the case but I'm not surprised at all. I've would have always argued that many gym contracts breached some aspects of the various EU consumer directives. The gym industry make use of many dubious terms and conditions, along with their selling practices. This is the same for a number of industries. Unfortunately, no consumer has the drive or the financial power to challenge a big industry player on this point, especially when the contracts are for such low amounts.

marathonic

Sangre wrote: »

Haven't read the case but I'm not surprised at all. I've would have always argued that many gym contracts breached some aspects of the various EU consumer directives. The gym industry make use of many dubious terms and conditions, along with their selling practices. This is the same for a number of industries. Unfortunately, no consumer has the drive or the financial power to challenge a big industry player on this point, especially when the contracts are for such low amounts.

Off Topic: Post 10,000 for you... :-D would be interesting to know how much time we actually have spent on boards over the years :eek:

Satanta

I like the fact that Joe Blogs joins up in January, or his wife buys him a membership for this birthday, and he only uses the gym once. Guys like this are effectively subsidizing my membership. Seriously... if only for these people we'd all be paying allot more.

marathonic

Satanta wrote: »

I like the fact that Joe Blogs joins up in January, or his wife buys him a membership for this birthday, and he only uses the gym once. Guys like this are effectively subsidizing my membership. Seriously... if only for these people we'd all be paying allot more.

Agreed.... if gyms are forced to bring in 90 day memberships as standard, we'll all have to buy equipment for home bacause gym rates will at least double.

rubadub

I have said before if I was joining a gym and it was say 500 for a month and 1000 for the year (for round figures) then if I paid my 500 for my "trial month", I would expect to pay 500 for the remaining 11 months of the year.

If they would not go along with my suggestion I would think they must have something to hide.

Satanta

Why? You bought a product, i.e. a months membership for 500. At the end of that you want to buy another product, i.e. a year's membership. It's like anything else.

Let's say you buy something that is E5 each and you can get a 3 pack of the same item for E10. You wouldnt expect to be able to go back to the shop after happily using the single item you bought for E5 and expect to get another 2 for another E5

Most gym's I know will show you all their facilities before you join. IMO you know what you are getting at that point.

marathonic

They definately have the people that take 'a notion of fitness' into their heads in mind when coming up with their marketing strategies.

As a plain to be seen example of this, my gym is one of the Lifestyle Fitness chain.

They had an offer in December and January of this year whereby, if you joined for a year, you got 15 months instead. The offer was obviously directed at the 'Christmas Present' and 'New Years Resolution' crew - knowing full well that the majority of the new joinees wouldn't use 2 months, never mind 15.

The offer dissappeared only to reappear this month. It's now obviously directed towards the 'I want a beach body for Summer' crew and the exact same thing will happen.

I'm sure any regular gym-goer is fully aware of this - with the first 2 weeks of January being a nightmare as the gym is always packed.

Satanta

marathonic wrote: »

They definately have the people that take 'a notion of fitness' into their heads in mind when coming up with their marketing strategies.

As a plain to be seen example of this, my gym is one of the Lifestyle Fitness chain.

They had an offer in December and January of this year whereby, if you joined for a year, you got 15 months instead. The offer was obviously directed at the 'Christmas Present' and 'New Years Resolution' crew - knowing full well that the majority of the new joinees wouldn't use 2 months, never mind 15.

The offer dissappeared only to reappear this month. It's now obviously directed towards the 'I want a beach body for Summer' crew and the exact same thing will happen.

I'm sure any regular gym-goer is fully aware of this - with the first 2 weeks of January being a nightmare as the gym is always packed.

Yep.. you'll see them in with their new tracksuits at this time of year and in January.

m5ex9oqjawdg2i

Satanta wrote: »

Why? You bought a product, i.e. a months membership for 500. At the end of that you want to buy another product, i.e. a year's membership. It's like anything else.

Let's say you buy something that is E5 each and you can get a 3 pack of the same item for E10. You wouldnt expect to be able to go back to the shop after happily using the single item you bought for E5 and expect to get another 2 for another E5

Most gym's I know will show you all their facilities before you join. IMO you know what you are getting at that point.

Rubbish, you are given a 2 min walk around most gyms then asked to sign the dotted line. It's only after a few weeks you realise that there are no free weights or benches to use, that the machines are horrible to use etc etc.

Satanta

Bailey Wrong Flesh wrote: »

Rubbish, you are given a 2 min walk around most gyms then asked to sign the dotted line. It's only after a few weeks you realise that there are no free weights or benches to use, that the machines are horrible to use etc etc.

Not trying to be awkward here... but I wouldn't settle for a 2 min walk around a gym. It's my money. Caveat Emptor and all that. Also, that wasn't the main point of my post.

The Davestator

Nearly every club will allow you to try the club out. I'd be worried about a club that didn't allow that but they're rare in Ireland.

nice_guy80

The Davestator wrote: »

Nearly every club will allow you to try the club out. I'd be worried about a club that didn't allow that but they're rare in Ireland.

I know a few