I signed a 4 year contract in March of 2009 for a boxing/muay thai/kickboxing type of gym. They have recently re-located 19-20 miles away from their orignal location. I only found this out by noticing their stuff had been vacated at their old location and they had put up signs on the door notifying of the location change. I want to cancel my contract with them, but want some legal backing in order to do so. First of all, I've been told that the maxium gym term allowed in Georgia is 1 year. Is that true? If not, what is the maximum term? Secondly, is their relocation considered breach of the original contract? The new location is 30 minutes away from me and NOT convenient anyway. Please advise and your help is much appreciated!
Answer
O.C.G.A. Section 10-1-393.2 limits health spa/club/gym cointracts to 36 months and provides no contract over that length is valid.
The same code section also provides "The written contract used shall contain the following clause: "Under this contract, no further payments shall be due to anyone, including any purchaser of any note associated with or contained in this contract, in the event the health spa at which the contract is entered into ceases operation and fails to offer an alternate location, substantially similar, within ten miles."
So the change of location also voids the contract.
I would suggest that (1) you have an attorney look at the contract to write them to rescind the contract if it does violate that statute, and possibly to sue them due to the contract violating the law, and (2) contact the Georgia Office of Consumer Affairs, which may be very interested in a health club that violates the law. Bear in mind that you apparentlky have dealt with unethical people who deliberately violated the law. Calling in a lawyer may be smart.
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