NYS AG Letitia James: Equinox, SoulCycle owner must pay $600G over hard-to-cancel memberships

New York State Attorney General Letitia James announced a $600,000 settlement with fitness company Equinox Group for making it difficult for members to cancel their memberships.

The Equinox Group, which owns Equinox, Equinox+ and SoulCycle, must also change its subscription practices and offer refunds to subscribers who were unable to cancel their memberships, according to a news release.

"New Yorkers should be able to cancel a membership they no longer use or want without breaking a sweat," James said in a statement. "The Equinox Group made it challenging for customers to end their membership, costing them time and money. As a result of my office’s settlement, New Yorkers can now cancel their membership with Equinox, SoulCycle, or any of Equinox Group’s brands much faster."

An Equinox spokesperson said Sunday in an email: “Prior to being made aware of this inquiry, we had already begun to make changes to our terms and conditions in conformance with all statutory requirements, and our policies are in full compliance. We are pleased that this matter is resolved." 

James found that Equinox Groups did not lay out clear subscription terms, which appeared in fine print disclosures or within terms and conditions documents that were difficult to understand, the news release states. Equinox Group maintained an overly complicated and time-consuming cancellation process, per the release, did not provide subscribers a "post-purchase acknowledgment," and didn't obtain "informed affirmative consent."

New York subscribers to Equinox Group facilities are eligible for up to $100 in restitution. Equinox Group is also ordered to provide customers with an acknowledgment featuring cancellation information, improve its disclosures, and get informed affirmative consent from subscribers. 

In addition, Equinox Group is to "clearly and conspicuously disclose cancellation information in the subscription agreement and on an easily accessible website page for each brand."

Equinox Group also owns Blink Fitness, an affordable gym chain that filed for Chapter 11 bankruptcy protection last year. Blink has nine locations on Long Island. 

James has pursued other cases of unwanted subscriptions. Last November, the New York Supreme Court found that SiriusXM had forced "customers to undergo a long and burdensome process to cancel their subscription" after a lawsuit brought by James.

By Joshua Needelman

joshua.needelman@newsday.com

Joshua Needelman covers the Town of North Hempstead for Newsday. A Long Island native and University of Maryland graduate, his work has appeared in publications including The New York Times and The Washington Post.