LANSING, Mich. (WXYZ) — Michigan Attorney General Dana Nessel announced Wednesday a consent judgment has been reached with a Michigan-based fitness company.
To resolve a four-count complaint for alleged violations of the state's Consumer Protection Act, Family Fitness has been ordered to pay up $220,000 to the AG's office over the next three years. Officials say $190,000 of that money will be allocated to the consumers affected by the company's poor business practices.
“My office will always stand up to protect Michiganders from companies that conduct business in bad faith,” Nessel said. “This consent judgment returns funds to hardworking Michiganders and makes clear that no business is above the law.”
According to a press release from the AG's office:
"The Attorney General’s Office launched an investigation into the poor business practices of the company after receiving hundreds of consumer complaints. A class-action lawsuit was subsequently filed."
"As part of the judgment Family Fitness is not allowed to charge any cancellation fees on any membership or personal training agreement resulting from a drawing or event prize. Additionally, cancellation fees on other membership or personal training agreements cannot exceed $75, regardless of when the agreements were entered. This limitation applies regardless of the number of consumers that are part of a single membership or agreement."
The complaints were filed in September.