Members Of Closed Health Clubs May Qualify For Reimbursement
Members Of Closed Health Clubs May Qualify For Reimbursement
HARTFORD â Former members of recently closed health and fitness clubs, including one in Middlebury and Danbury, are urged to apply to Connecticutâs Health Club Guaranty Fund if the business does not provide reimbursement for their prepaid membership fees, Commissioner Jerry Farrell, Jr, said in a recent release.
âFor more than 20 years, this fund created by State law has been protecting consumers from losing money if their health club closes,â Mr Farrell said. âEach individual affected could receive up to 100 percent of their pro-rated membership fees from the fund. If your health club shuts down and does not refund your fees, please visit the Department of Consumer Protection website for a complaint form at www.ct.gov under âGuaranty Funds.ââ
The agency allocates part of every Connecticut health clubâs licensing fee to the Health Club Guaranty Fund, a pool of money held in reserve to aid consumers who lose money when a health club closes unexpectedly. To be considered for repayment, individuals must apply to the fund within six months of the health clubâs closing, and provide evidence of their payments and membership.
After the club has been closed for six months, the department reviews all membersâ claims, conducts an investigation into the circumstances of the closing, determines whether and how much money it will distribute from the fund, and holds a hearing to order payment by the commissioner. Payments are on a pro-rated basis to former club members who qualify.
The department is concluding its Guaranty Fund investigations on three clubs that recently closed, and with the recent closing of Curves in Torrington, anticipates more Guaranty Fund activity for the foreseeable future. The agency will soon determine payouts to former members of the following defunct clubs: Manhattan Fitness Center of East Haven; Curves of Middlebury; and Cuts Fitness for Men of Danbury.
For more information about applying to the Health Club Guaranty Fund, contact the Department of Consumer Protection, Trade Practices Division at 860-713-6100 or visit www.ct.gov/DCP under âGuaranty Funds.â