24 Hour Fitness
Fitness Industry • Headquartered in California
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Sources: BBB • $295M Settlement • CA Settlement
Documented Tactics
Recurring Billing Setup
Verbal promises to cancel recurring billing not honored. $295M settlement (2010) resolved claims that 24HF continued withdrawing fees after members cancelled.
Cancellation Obstruction
Members report proper in-person cancellation with verbal confirmation, but 24HF fails to process. Without email confirmation (which was never sent), refunds denied.
Partial Refund Math
When refunds are issued, amounts don't match promises. BBB complaint: manager promised "at least half" refund — customer received nothing until BBB intervened.
Employee Turnover Defense
High turnover (Glassdoor: "very very high") means managers who made promises depart. BBB: "Edwin who promised to help has since left the company."
Lifetime Fee Guarantee Broken
Sold prepaid lifetime memberships ($600-$1,400 upfront) with "fixed annual renewal for life" — then raised rates 200%+. Led to $1.2M CA settlement and $1.5M class action.
Fine Print Override
Company points to contract fine print allowing rate increases "regardless of uniform promises made by membership counselors." Classic bait-and-switch.
Mandatory Arbitration
All disputes must go to individual arbitration — no class actions, no jury trials. NLRB found their arbitration clause "violated federal labor law."
Unexplained Extra Charges
Members report charges exceeding agreements. BBB: Signed up for $263.88, charged $293.87. Staff "wouldn't look at" the agreement — "no refunds."
Documented Settlements & Fines
Court filings document a pattern of "unauthorized electronic funds transfer" after cancellation, "misleading" rate promises, employee "misclassification," and "unfair and fraudulent business practices."
Improper EFT billing after cancellations
Failure to honor fixed-rate lifetime renewals
Wage theft and misclassification of managers/trainers
Deceptive rate increases for prepaid memberships
Penalties and costs to CA District Attorneys
Fines for accessibility violations at WA locations
Public Legal Actions
Unauthorized Post-Cancellation Charges Settlement
July 2010Keller Grover served as co-lead counsel for 1.5 million class members alleging 24 Hour Fitness continued withdrawing membership fees from bank accounts after members cancelled. Settlement included $20 cash or 3-month membership certificate.
California Consumer Protection Settlement
November 2017Orange County and Contra Costa County DAs prosecuted 24 Hour Fitness for deceptive prepaid membership sales (2006-2009). Sales reps promised fixed lifetime renewal rates ($29-$199/year) for $600-$1,400 upfront, then raised rates. Company admitted no wrongdoing.
Prepaid Membership Rate Increase Settlement
June 8, 2018Full-relief class action settlement (In re: 24 Hour Fitness Prepaid Memberships Litigation) for members promised fixed lifetime renewal rates who saw increases starting April 2015. Class members received full refunds and rate reversions. Chimicles Schwartz Kriner & Donaldson-Smith LLP served as lead counsel with Tycko & Zavareei LLP as co-counsel.
Harper v. 24 Hour Fitness USA, Inc.
2008-2014Alleged deceptive prepaid contracts under California UCL and CLRA. Court of Appeal (2008) reversed decertification. Trial ultimately found plaintiffs failed to prove class-wide consumer injury. Case established important precedent on gym contract class certification.
Operating States
24 Hour Fitness currently operates in the following states:
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