By Will O’Brien

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Bay Area gym members may find some solace in the recent court ruling on the opposite coast, as Massachusetts Attorney General Andrea Joy Campbell secured a multi-million-dollar judgement against a former CEO of a major fitness chain. According to a release from the Massachusetts Attorney General’s Office, Patrick Walsh, ex-CEO of Town Sports International LLC, operating as Boston Sports Club (BSC), has been ordered to pay nearly $4 million in restitution to former customers who were charged for gym services during the COVID-19 pandemic closures.

The Suffolk County Superior Court found in favor of the AG’s lawsuit on all counts, deeming Walsh’s actions during April 2020 particularly egregious. BSC had closed its doors in mid-March due to the pandemic, yet members were still billed for the month of April—a time when they had no access to the facilities. The court ruled to “immediately cancel” these charges, marking an effort to rectify the injustice brought upon consumers. “After years of litigation and a multiweek trial, I am incredibly proud of my team who fought tirelessly to secure meaningful relief for Massachusetts consumers who were unfairly charged for services they could not use during the global pandemic,” Campbell said in a statement obtained by the AG’s office.

Detailed within the judgement was the fact that the health club’s members had a legitimate right to cancel their contracts without penalty, given the “substantial change” in operations prompted by the indefinite pandemic shutdown. When they attempted to do just that, more than 2,000 complaints were lodged with the AG’s office by members who encountered significant hurdles while trying to cancel their BSC memberships. In addition to being billed for the month of April, members received deceptive letters from the company, falsely claiming they would get account credits once the clubs reopened—a promise that was not honored unless members voiced their complaints individually.

It may come as a relief to those affected that they do not have to take additional steps to receive restitution, as the AG’s office will assess the best way to return the money once it has been collected from Walsh. Individuals concerned about their refunds need not contact the AGO at this time to secure payment. The legal victory represents a staunch defense of consumer rights and a clear message against corporate malfeasance. “This victory sends a clear message that my office will continue to prioritize consumers and enforcement of our strong consumer protection laws,” Campbell affirmed on the AG’s office.

This legal achievement was brought to fruition by a team of dedicated legal professionals from the AGO’s Consumer Protection Division, including Managing Attorney Matthew Lashof-Sullivan, Assistant Attorney General Richard Dohoney, Senior Trial Counsel Peter Downing, Paralegals Noam Miller and Sarah Most, State Trial Counsel Jim Sweeney, Assistant Attorney General Ann Lynch of the AGO’s Civil Rights Division, and Senior Financial Investigator Colleen McMahon of the AGO’s Civil Investigations Division. The full ruling, now a beacon of hope for those wronged in such unprecedented times, stands as a testament to diligent consumer advocacy and legal perseverance.