Gym Closure Notices
As you know, when a gym is closing its doors, the owner must ensure that members are sent written notification of the planned closure. Members should be notified within ten business days of the planned facility closing. We have also been informed that there have been incidences in which gyms have opted to send out notices of closure via email and those emails were never received by the gym members because the notices were redirected to the spam folder of the member’s Internet Account. To avoid such issues, we recommend that copies of notices of planned closure are mailed via U.S. mail to the consumer. If a consumer has indicated that communication from the gym may be sent via email only, an exception may be made and an emailed notice may be sent as requested by the consumer.
In addition, CPD would like to remind gym owners that for gyms that are closing their doors, memberships may only be transferred to facilities that are located within ten miles and are substantially similar in size and services. Therefore, a gym that had previously offered 24-hour access to members and is closing may not transfer members to a facility that does not offer 24-hour access since that facility would not be a substantially similar facility. Any such transferred membership would be subject to cancelation at the consumer’s request and must be honored. Gym owners, please be aware that health spa memberships may not be transferred to facilities that are not approved by this office and may not be transferred to facilities that are not health spas. If there are any questions regarding this information, please contact this office at (404) 458-3800.