Gym membership contracts ruled unfair

The English High Court has ruled that minimum contract length and a number of other key terms in thousands of gym membership contracts run by a management firm are "unfair" and "unenforceable".

In a law suit against Ashbourne Management Services, which draws up membership agreements and then collects members' payments, for more than 700 gym clubs UK-wide, Mr Justice Kitchin also ruled that a number of the company's techniques for collecting arrears were unlawful.

It is thought the ruling could pave the way for the gym industry as a whole to be forced to mend its ways in terms of behaviour to customers, many of whom feel trapped in lengthy contracts they no longer use.

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The company, which is based in the Midlands, but manages a number of gyms north of the Border, was criticised by Mr Kitchin, who said its contracts were "designed and calculated" to take advantage of the "naivety and inexperience" of the average consumer.

He considered 13 of Ashbourne's contracts, and ruled that the minimum terms in ten of them were completely unfair.

Jason Freeman, director in the OFT Goods and Consumer Group, said: "This should bring peace of mind to many people who have fallen into the trap of signing up to these lengthy gym contracts."

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