N.H. AG accuses fitness club of violating consumer protection laws

In the complaint, the State is seeking permanent relief enjoining Redwood Personal Training from violating the Consumer Protection Act (Courtesy photo)

CONCORD - The Attorney Generals Office today announced the filing of a civil complaint in Merrimack Superior Court against Granite Personal Training Inc, operating in New Hampshire as Redwood Personal Training, alleging unfair or deceptive acts or practices in violation of the New Hampshire Consumer Protection Act.

The complaint alleges that Redwood Personal Training violated the Consumer Protection Act and a Health Club statute. The Health Club statute includes numerous consumer protections, including mandatory disclosures, cancellation rights, and refunds under certain circumstances for customers with prepaid health club contracts. Redwood offers personal training services out of "The Zoo" in multiple locations in the state. Redwood's predatory business model is to lock consumers into annual contracts with large monthly payments and then make it extremely difficult for a customer to cancel a contract in violation of New Hampshire law.

New Hampshire consumers have the statutory right to cancel prepaid health contracts, be relieved of all further obligations under the contracts, and can receive refunds for unused prepaid services if the aggregate value of the contract exceeds $1,000. Redwood is actively violating these consumer rights by: (1) not cancelling prepaid contracts upon request, (2) failing to provide refunds when required, (3) requiring payment of an early termination fee that exceeds established public policy to cancel, (4) having contracts contain inconsistent and deceptive terms regarding refunds, and (5) Redwood's entire course of conduct when a customer tries to cancel an agreement is an unfair or deceptive act or practice in violation of law.

In the complaint, the State is seeking permanent relief enjoining Redwood Personal Training from violating the Consumer Protection Act, the Health Club statute, and from operating as a health club in New Hampshire. The State is seeking restitution for affected customers, civil penalties, and attorney's fees. The State is also seeking a preliminary injunction seeking similar relief.

Senior Assistant Attorneys General Alexandra Sosnowski and Brandon Garod of the Department of Justice's Consumer Protection and Antitrust Bureau are litigating the case.

If you or someone you know has tried to cancel a contract with Redwood Personal Training, please file a consumer complaint with the Consumer Protection and Antitrust Bureau at: https://www.doj.nh.gov/consumer/complaints/index.htm.