Former Boston Sports Club Members To Get Refunds

NEWTON, MA— The company behind Boston Sports Club, which filed for bankruptcy in September, will be giving former members a refund, Massachusetts Attorney General Maura Healey said Wednesday.

Shortly after the pandemic forced the state to close, Boston Sports Clubs around the region began shuttering for good. Customers started complaining that they couldn't contact anyone at the company to discontinue their memberships. Many said they were still being charged.

“Our goal from the beginning has been about securing relief for consumers who were swindled by BSC and trapped in their memberships,” Healey said in a news release. “While obtaining money from a bankrupt company can present significant challenges, we are pleased to be able to get this result for the hundreds of consumers who took part in the claims process.”

Healey said her office has secured $126,858 in refunds for 588 former members across the state from Town Sports International, as part of the bankruptcy process.

“Consumers who were wrongfully charged before TSI was sold on November 30 and who submitted a claim to the Bankruptcy Court will receive a full refund," Healey’s office said in a statement. "They will receive notification in the next week informing them about the result of their claim, followed by an email with payment via virtual Mastercard."

The Bankruptcy Court also ordered BSC not to pursue collections on consumers who obtained a refund through a dispute with their credit card companies, she said.

BSC members sued Town Sports in June over the company's continued collection of monthly dues during the pandemic shutdown.

Healey opened an investigation and said the fitness chain "hasn't been fair to its members about their right to cancel their membership and continued to charge members who tried to cancel. Make no mistake—this is illegal."

The company ultimately froze memberships and promised customers additional days of access equal to the number of days paid for while its clubs were closed. But even as it rerouted customers to nearby gyms, it ultimately closed many of those, too.

The owner of Boston Sports Clubs filed for bankruptcy in September, citing the coronavirus pandemic in a quarterly communication. In November, Healey filed a lawsuit.

Healey said her office received more than 2,000 complaints from people who couldn’t cancel their memberships and the lawsuit is ongoing.

Previously:

• Boston Sports Club Closes West Newton Gym
• Waltham BSC Closes Abruptly