LA Fitness Lawsuit | Difficult Membership Cancellations

The Federal Trade Commission (FTC) has taken aim at LA Fitness and its parent company, Fitness International, accusing the gym operator of making it “exceedingly difficult” for consumers to cancel their memberships. The lawsuit centers on unfair barriers to cancellation that lead to unwanted recurring charges.

Contact our consumer protection attorneys to discuss a similar case and to learn more about filing a class action lawsuit. We represent clients in all fifty states and offer free consultations.

The FTC’s Case Against LA Fitness

In its recent complaint, the FTC alleges that Fitness International and its subsidiaries engaged in unfair and unlawful practices by restricting cancellation options to either in-person requests or mailed forms.

According to the FTC:

• Consumers are often required to log in online and print a cancellation form, a process complicated when members no longer recall their credentials.
• In-person cancellations are limited by staff availability and club hours, with some members reporting repeated failed attempts.
• Mailing a cancellation form adds cost and time delays.

The FTC claims that these methods are intentionally opaque and discouraging, designed to keep consumers locked into contracts and paying fees. Tens of thousands of customers have reportedly complained about the process, and the agency estimates that consumers were charged hundreds of millions of dollars in unwanted recurring fees.

FTC’s Broader Concerns with “Dark Patterns”

The LA Fitness lawsuit fits into the FTC’s larger enforcement focus on deceptive design practices that trick or trap consumers. In this case, the agency argues that:

• Cancellation options were not disclosed clearly at the time of signup.
• Members were sometimes enrolled in additional services with separate, more complicated cancellation requirements.
• Even the newly introduced online cancellation tool is unnecessarily hidden and burdensome.

Christopher Mufarrige, director of the FTC’s Bureau of Consumer Protection, noted: “The FTC’s complaint describes a scenario that too many Americans have experienced — a gym membership that seems impossible to cancel.”

Fitness International denies wrongdoing and expressed disappointment at the FTC’s decision to file suit. Jill Hill, president of club operations, argued that the statute relied upon by the FTC applies to online retail transactions and has never before been applied to health clubs.

In addition, the company launched an online cancellation option voluntarily, 18 months ahead of the FTC’s “click to cancel” rule.

The Click to Cancel Rule

The FTC had adopted a “click to cancel” rule requiring businesses to make cancellation as simple as signing up for a service. However, a federal appeals court recently blocked that rule before it could take effect.

Despite the setback, the FTC is pursuing companies under its existing authority to challenge cancellation processes it deems unfair or deceptive. If successful, the LA Fitness case could set a precedent for similar enforcement actions against gyms and subscription-based businesses.

Why Hire The Lyon Firm for Membership Cancellation Lawsuits?

Consumers should not be trapped in contracts by unfair cancellation policies. Companies that use confusing or hidden procedures to keep charging customers may be violating consumer protection laws.

If you have struggled to cancel a membership or subscription and were unfairly charged, our firm is prepared to help. The Lyon Firm combines legal experience with consumer advocacy, ensuring your rights are protected and companies are held accountable.