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Usually it would depend on what the contract says. For instance my gym went out of business, but hidden in the contract it was written they could transfer my m

Usually it would depend on what the contract says. For instance my gym went out of business, but hidden in the contract it was written they could transfer my membership to any other gym within 10 miles of the gym. And I was forced to pay a cancellation fee of several month to get out of it.

WalterBright 7y ago
Contracts that "hide" things in them tend to get invalidated by the court if you refuse to pay. Courts take a dim view of attempts to trick consumers. If you didn't read the contract before you signed it, though, next time you should. When I bought a house, they gave me a stack of paper about half an inch high to read, including a document for me to sign that said "I have read and understand the documents." So I sat there with the agent and read every word of it. She was clearly quite irritated with me "wasting her time" by reading it, but too bad for her. A couple issues I was particularly interested in was what happens if I default on the mortgage, and what happens if I prepay the loan. BTW, I recommend reading the fitness club contracts first. They are negotiable, but if you don't read them you won't know what to negotiate, and will be paying the "sucker price".
- reaperducer 7y ago
  Contracts that "hide" things in them tend to get invalidated by the court if you refuse to pay. Which court is that? The one that finally hears your case three years after the gym has reported the debt to the credit bureaus and ruined your credit?
  - samatman 7y ago
    Small claims court doesn't take three years, doesn't allow counsel, comes to decisions quickly, and best of all: Small claims judgements are accepted as dispute resolution by all credit reporting agencies.
    - throwawayjava 7y ago
      Seriously, use your small claims court! I've used small claims 4 times now. Each time, I spent less time with the court than I did with customer service prior to the court. Lesson learned. I ask customer service once, in plain english, on a recorded line. If they don't resolve it at that opportunity, I just go to small claims.
- JamesBarney 7y ago
  I read the clause and interpreted it as "company can move down the street" not close down and sell my membership.

WalterBright 7y ago

Contracts that "hide" things in them tend to get invalidated by the court if you refuse to pay. Courts take a dim view of attempts to trick consumers. If you didn't read the contract before you signed it, though, next time you should. When I bought a house, they gave me a stack of paper about half an inch high to read, including a document for me to sign that said "I have read and understand the documents." So I sat there with the agent and read every word of it. She was clearly quite irritated with me "wasting her time" by reading it, but too bad for her. A couple issues I was particularly interested in was what happens if I default on the mortgage, and what happens if I prepay the loan. BTW, I recommend reading the fitness club contracts first. They are negotiable, but if you don't read them you won't know what to negotiate, and will be paying the "sucker price".

reaperducer 7y ago
Contracts that "hide" things in them tend to get invalidated by the court if you refuse to pay. Which court is that? The one that finally hears your case three years after the gym has reported the debt to the credit bureaus and ruined your credit?
- samatman 7y ago
  Small claims court doesn't take three years, doesn't allow counsel, comes to decisions quickly, and best of all: Small claims judgements are accepted as dispute resolution by all credit reporting agencies.
  - throwawayjava 7y ago
    Seriously, use your small claims court! I've used small claims 4 times now. Each time, I spent less time with the court than I did with customer service prior to the court. Lesson learned. I ask customer service once, in plain english, on a recorded line. If they don't resolve it at that opportunity, I just go to small claims.
JamesBarney 7y ago
I read the clause and interpreted it as "company can move down the street" not close down and sell my membership.