NSW Fair Trading has issued a public warning not to deal with a fitness centre operator, which advertises "state-of-the-art facilities" and runs out of a high school in Sydney's west.
The warning relates to Maverick Design Tribe Pty Ltd, currently trading as FIT 'n' GO, and follows 24 complaints relating to misleading and deceptive conduct, unfair contract terms and unapproved membership charges since 2013.
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Do you know your consumer rights?
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FIT 'n' GO is a fitness centre situated at the Hills Sports High School in Seven Hills, where it operates in the hours before and after school.
Cardio theatre, full body workouts, cross training, yoga, Zumba and injury rehabilitation are among the services offered at the gym, which is not a member of Fitness Australia, the industry association governing standards in the fitness industry.
"The complaints mostly relate to misleading and deceptive conduct, not refunding membership fees and unfair contract terms," said NSW Fair Trading Commissioner Rod Stowe.
"We have had numerous reports of FIT 'n' GO deducting membership fees by direct debit even after the consumer has terminated their membership."
It is understood consumers have struggled to contact the operator to raise complaints about unauthorised debits.
Members of the gym are also reportedly required to sign a binding membership agreement complete with terms and conditions, despite the gym's promotion of a "no contract" offer.
Affected consumers are advised to send a written request to the operator to cease direct debit deductions.
Failing that, they are encouraged to contact their financial institutions to have the payments stopped, and make a complaint to Fair Trading, which is conducting an ongoing investigation.
Andrew Smith O'Brien, 29, lives around the corner from the gym and was encouraged to join in November last year, after seeing a $6.90 a week, no contract, no joining fee offer.
After his membership was suddenly cancelled, following a verbal disagreement with management, he had to visit the gym premises five times to stop direct debit charges.
"After they took an extra payment I decided to cancel my card and get a new one from the bank, I could see where it was going."
On Facebook last week, former member Diana Evennett left a review alleging that the gym "illegally kept direct debiting my account".
"Was told 1st week in Sept that refund would be finalised in 3 weeks time. Still.waiting. Have now contacted Dept of fair trading."
A NSW Department of Education spokesman said the Hills Sports High School had "no direct arrangement" with FIT 'n' GO, but only a "community-use-of-facilities agreement with the Seven Hills–Toongabbie RSL Club", which originally assisted in fitting out the building where the gym operates.
"The school has no other connection with the operator. NSW public schools expect any users of their facilities to comply with any relevant laws and regulations," he said.
When the high school first built the gym, the RSL Club assisted by finding a gym operator to lease and fit out the space. Since then the space has been on-sold to FIT 'n' GO.
It is a condition of the space that any gym operator must allow for student use during school hours.
A former FIT 'n' GO employee, who has asked not to be named, has instigated proceedings against the company through the Fair Work Commission.
"I unsuccessfully tried to deal with the owners to get my wages paid, so I had to contact Fair Work which is now in the process of issuing legal notices for outstanding unpaid wages of several former employees," he said.
When he began working in an administrative capacity at the gym in June 2015, he said gym members who had cancelled in February were still being charged four months later, "because nobody until that time processed their cancellation".
"[I am] owed around $4000 in gross wages."
Fairfax Media has emailed FIT 'n' GO seeking a response, but has been unable to call the gym as it "[does] not employ a receptionist to answer phone calls ... to keep our costs down ... [and] pass the savings onto our members".
A listed phone number for Maverick Design Tribe has been disconnected.