It has been investigated that nationwide chain-type sports facility companies, such as gyms, Pilates, and yoga, have included consumer-unfavorable clauses in their contracts.
The Korea Consumer Agency (KCA) announced on the 27th that after reviewing contracts from 20 nationwide chain-type sports facilities, it confirmed that all contracts contained clauses restricting consumers' cancellation of contracts or allowing operators to evade responsibility.
Among these, 14 operators included clauses that unfairly restricted cancellations or refunds, making it difficult for consumers to terminate their contracts. Of these, 12 places completely prohibited cancellations for discounted memberships, and 3 places entirely banned early terminations for personal reasons.
This raises concerns that these practices may violate the Fair Trade Commission's notice allowing users of sports facilities to terminate contracts at any time and the 'Act on the Regulation of Terms and Conditions.'
Eighteen operators, accounting for 90% of the subjects of the investigation, included clauses in their terms that shifted full responsibility for item loss, user injuries, and disputes among members onto the users. According to the 'Act on the Regulation of Terms and Conditions,' sports facility operators cannot limit their liability without justifiable reasons or transfer risks they should bear onto customers.
Meanwhile, a survey conducted by the KCA found that the average contract duration for users of sports facilities was 6.8 months. While long-term contracts are common, 21.6% of users indicated that they entered into contracts without checking the cancellation and refund terms.
Additionally, when respondents were asked about the most appropriate measures to prevent consumer harm due to the closure of sports facilities, 78.4% stated that they would consider whether to choose facilities based on future insurance subscription.