Specifically that they're selling pre-paid gym memberships, without allowing the proper 3-day right to cancel, that should not be three days after the contract is signed, but three days after the gym opens.
That's against state law. The state also says that Peak Fitness continues to violate other laws including failure to maintain bonds, closing down locations without transferring members to similar gyms, deceptive automatic renewal provisions, and deceptive advertising and sales tactics.
As part of the complaint, the state is asking a judge to order cancellations and refunds on all illegal contracts.
Livio Canera says he's a victim of those sales tactics.
He says, "I want all my money back."
He says he signed a two year contract in December, after an employee at a Raleigh location told him a Peak Durham location has racquetball courts. It doesn't.
So, he canceled his membership and has e-mails and phone messages from Peak employees confirming his refund of $424. He adds, "The promises that the check is in the mail."
It's now May and no refund.
He says, "They need to pay some kind of price they can't be doing this to people for 4 to 5 months. It's not really about the money but I feel they should be punished."
After Troubleshooter Diane Wilson got in touch with Peak Fitness, he finally got his $424. A rep for Peak told Troubleshooter Diane Wilson Livio's request was inadvertently misfiled and should have gone out sooner.
As for the state's action, the health club chain told us, in a written statement, "Peak fitness is committed to keeping its members satisfied and does so in full compliance with the law. The allegation that peak fitness is only giving new members 3 days from the day they sign up at a new, unopened facility to cancel their membership is not true.
The statement went on to say, "...Members to our facilities that are under construction are able to use all of our gym for free until their club opens."
Peak fitness also said they're in the process of responding to the AG's complaint, but denies all of the claims, and expects it to be resolved in their favor.