health club fee

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health club fee

Seems my health club closed, that I hadn’t been using anyway, and gave my membership to another club in another city. They have been charging me for months my closed health club fee, which is higher than their fee. This sounds at the least unethical if not illegal. What do you say?

Asked on September 7, 2016 under Business Law, California

Answers:

SJZ, Member, New York Bar / FreeAdvice Contributing Attorney

Answered 5 years ago | Contributor

Yes, if they bought the old club (bought either the LLC or corporation, if it was one; or even if they did not do that, took over the membership contracts), then they can continue your membership *as it was* and keep charging you what you were paying under the old membership, at least until the expiration of that membership (e.g. if there 7 months left on the then-current contract, they could charge you for another 7 months).
They can't charge you more than you had agreed to pay: if they take over the membership, they take it over as is and have to honor the then-in-effect terms. But that also means they don't have to give you a break or discount, if their fee is lower than the one you'd agreed to; for the remainder of your membership's term, they can charge you what you had been paying. And yes, that is unethical, but it is not illegal.


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