Usacomplaints.com » Health & Medicine » Complaint / Review: Andrew Barnett - Unauthorized Healthclub Dues Charged. #1104369

Complaint / Review
Andrew Barnett
Unauthorized Healthclub Dues Charged

COMPLAINT ACTIVITY REPORT Case # 90324501 BBB serving Southeast Florida & the Caribbean

Consumer Info: Barnett, Denise Business Info: Diversified Health & Fitness Inc.
8210 Keweenaw Street 1850 SE 17th St., Suite 203
Kalamazoo, MI 49009 Fort Lauderdale, FL 33316
219 765-1873 219 765-1873 954 449-4700
[email protected]

Location Involved: (Same as above)

Consumer's Original Complaint :
Diversified Health and Fitness is charging our members with no authorization from the gym owner.
On Oct 13th, the business owner, me, sent out an email to both the billing company, National Fitness, and the corporation, Diversified Health and Fitness, that we were ceasing operation as of Oct 1st because of lack of promised help from the corporation. No billing was to happen after Sept 14th. This email was approved by corporate and I have the email. On Oct 11th, the corporate took it upon themselves to begin billing our members again with no warning. They sent out an email on Oct 13th stating that the members could go to another gym and that their members were being transferred to this other gym. I had no knowledge of this email and/or did NOT approve of reinstating the billing for our members.

When members called the 800 number to find out what was going on, they were told that the gym owner, me, reinstated the dues and automatically transferred all members to this new gym. This is untrue and I have emails to prove that this is untrue. I did not approve any of this... I had no idea what was even going on!

The corporate is telling the members they have to manually cancel their memberships by going to their website to do this. If they don't do it now, they will be charged another month because they need 30 days notice. When my original email went out, that was the cancellation for all the members and the 30 days notice. If there was an issue with that email I sent, then I should have been notified, which I was not.

The corporate has no right to reinstate dues without telling people. All these members were charged without notice. Some had NSF's, some are living pay check to pay check, etc.

I'm livid and would like some action against Diversified Health and Fitness.

For potential franchisees, DO NOT invest in this company!!!

For potential members, DO NOT sign any agreements with this company!!

Consumer's Desired Resolution:
I would like an email sent out to all members stating that I did not approve of any of this and that the corporate is at fault. I would like all the members to be refunded their unauthorized dues that were taken out for Oct and any others beyond this month.

BBB Processing

10/15 web BBB Case Received by BBB
10/15 BBB MORE INFO RECEIVED FROM THE CONSUMER: Diversified Health and Fitness owns the following gyms:
FitZone for Women
Zoo Gyms
Sedona Gyms
Fit for Her
Access Fitness
American Body Works
10/15 BBB MORE INFO RECEIVED FROM THE CONSUMER: And since I started this complaint, I guarantee they will charge these members another month. This is how Diversified Health and Fitness works. Unethical and unjust.
10/16 MGM BBB Case Reviewed by BBB
10/16 Otto EMAIL Send Acknowledgement to Consumer
10/16 Otto EMAIL Notify Business of Dispute
10/20 BBB MORE INFO RECEIVED FROM THE CONSUMER: My husband just received a phone call from Andrew Barnett at 10:14am Michigan time on 10/20. He is the CEO of Diversified Health and Fitness. He stated that if we drop this comment from the BBB, he will help the members get their refunds back.
10/20 BBB MORE INFO RECEIVED FROM THE CONSUMER: We are not dropping these comments until our demands are met. They are nothing but crooks and unethical people at this company. They are doing illegal acts to innocent people.
10/21 BBB MORE INFO RECEIVED FROM THE CONSUMER: As of today, 10/21, membership dues are still being taking out of membership accounts. I received a text from a member at 7:25am that stated she just got looked at her account and $24.95 was taken out. She just had $24.95 taken out on 10/11.
10/23 WEB BBB RECEIVE BUSINESS RESPONSE: Diversified Health and Fitness is not Mrs. Oliver's franchisor nor is it in any way responsible for the closure and the debts of her franchisee owned facility. The success or failure of her franchise ultimately falls on her shoulders. Her franchisor gave her the same excellent support that it offers all of its franachisees. Despite her frustration over the closure of her club the franchisor wishes Denise all the best in her future endeavors. In keeping with the best interests of the health and well being of her health club members, they were transferred to a new facility within a 10 mile range of the closed facility so that they can maintain their workout schedules uninterrupted. The transferee health club is comparable in every respect to the club that has closed and includes group fitness classes, 24/7 access, top of the line equipment and one of the most professional staff in the industry. The members were informed that they can continue working out at the new facility or they can easily cancel their memberships by taking the following steps:
Contact National Fitness at 1-800-658-7600 and request a cancellation per their terms.
10/26 ZVP EMAIL Forward Business response to Consumer
10/27 WEB BBB BBB REVIEWS CONSUMER REBUTTAL TO BUSINESS RESPONSE : (The consumer indicated he/she DID NOT accept the response from the business.)
1. If Diversified Health and Fitness was NOT my franchisor, then who did I pay $15, 000 to initially? Also, whom, then, did I pay royalty and marketing fees to each and every month? It was Diversified Health and Fitness.
2. According to my GPS, the club that took over our members is more than 10 miles away. I've asked Andrew Barnett, the CEO of Diversified Health and Fitness, to please provide me the legal documentation that states that they can just reinstate these members dues because of this "mileage clause" which I've yet to receive. Remember, the franchisor APPROVED in writing that our gym was closing with no response to me for any other further action so they should NOT have reinstated these dues.
3. The members are telling me that continue to call National Fitness, that National Fitness has no clue what is going on. I'm getting in writing what responses National Fitness is telling the members. Things like, "we have no record of the gym closing"; "you must provide proof that your gym closed"; "you will be charged one more month and possibly your maintenance fee"; "you need to put this in writing"; and the list goes on. Again, my email was sent to National Fitness and Diversified and Diversified APPROVED the closing of the gym with no one telling me any other actions I needed to take.
So my worry is this... Those members calling Candice Rojas at Diversified are being told that she will cancel their memberships and refund them their money. Those members calling National Fitness are getting a completely different story and may be charged more dues and a maintenance fee! And then there are the members that do not have email or look at their accounts every day so they will continue to be charged???
I would like Diversified Health and Fitness to send a LETTER, NOT email, out to all members telling them the proper steps they need to take. Obviously, calling National Fitness is NOT the correct step. OR have National Fitness get on the same page as everyone else and tell these members the proper thing to do.
I have files upon files from all parties involved on these wrong doings. This is an unethical act that Diversified Health and Fitness did to these members. If these member's dues where just left alone (as was approved by corporate), this process would have been so seamless. But now, a can of worms has been opened and several hundred people are being affected. Single moms, retired folks, people living pay check to pay check and they are ALL getting surprise dues taken out, NSF fees, etc...
One more comment... I sent the email out on Sept 13th that our gym was closing. It was approved on Sept 14th that no more dues would be taken out after the Sept 13th date. Diversified took it upon themselves and reinstated (charged) dues on Oct 11th, THEN sent their email out on Oct 13th stating all memberships would be transferred, then charged folks again two weeks later. Shouldn't their email have gone out first to "warn" these members?
10/29 RPC EMAIL Forward Consumer Rebuttal to Business
11/02 BBB MORE INFO RECEIVED FROM THE CONSUMER: As of November 2, not one person that I know of has received a refund from their dues taken out, as assured from corporate, and now they are being charged their $25 maintenance fee. I've been getting several emails from members that the corporate is not returning their calls as well. Members are now being harassed from the billing company as stating that they are not paying their dues. The billing company is threatening collections for these members. Can someone please help these members? Thank you, Denise Barnett
11/10 OttO BBB No Response from Business re: Consumer Rebuttal
11/16 BBB MORE INFO RECEIVED FROM THE CONSUMER: As of 11/16 at 8:11 am, Diversified is still charging members for membership dues. As instructed by Diversified, the members were to either call Candice at corporate or National Fitness to receive their refunds and cancel their memberships. Several have tried and have left several messages with no response back and charging still continues. Why cannot Diversified just run a report that lists all members for club 7314 that were illegally charged after Sept 13th to get a refund? An email can go out stating that a refund will be processed at this time. Why does each and every member have to call separately to get this issue resolved? Again, many folks do not have email and/or read their email.
11/16 BBB MORE INFO RECEIVED FROM THE CONSUMER : ***Document Attached***
Attached is just a snippet of emails regarding dues still being taken out and no refunds. Many many more are available upon request.
11/18 ZVP BBB Bureau judged complaint to be closed UNRESOLVED
11/18 Otto EMAIL Inform Consumer - Case Closed UNRESOLVED
11/18 Otto EMAIL Inform Business - Case Closed UNRESOLVED
11/18 Otto BBB Case Closed UNRESOLVED
11/18 BBB MORE INFO RECEIVED FROM THE CONSUMER: So this complaint is closed as UNRESOLVED? What are the next steps then? This business can just charge people for dues for no reason? How can consumers fight for their rights if no one is willing to help? The BBB was the last hope for these members. I just received another notice of a member being charged on 11/17. This is so unfair for these people!
11/20 ZVP BBB ReOpen the Complaint
11/20 ZVP BBB RECEIVED BUSINESS' REBUTTAL RESPONSE: We responded to the complaint and don't know why we received an email stating that we had not. The following is the response we sent.
Diversified Health and Fitness is not Mrs. Oliver's franchisor nor is it in any way responsible for the closure and the debts of her franchisee owned facility. The success or failure of her franchise ultimately falls on her shoulders. Her franchisor gave her the same excellent support that it offers all of its franachisees. Despite her frustration over the closure of her club the franchisor wishes Denise all the best in her future endeavors. In keeping with the best interests of the health and well being of her health club members, they were transferred to a new facility within a 10 mile range of the closed facility so that they can maintain their workout schedules uninterrupted. The transferee health club is comparable in every respect to the club that has closed and includes group fitness classes, 24/7 access, top of the line equipment and one of the most professional staff in the industry. The members were informed that they can continue working out at the new facility or they can easily cancel their memberships by taking the following steps:
Contact National Fitness at 1-800-658-7600 and request a cancellation per their terms.
11/20 ZVP EMAIL SEND BUSINESS' REBUTTAL RESPONSE TO CONSUMER: Complaint Response Date bumped because: Thanksgiving
Complaint Response Date bumped because: Holiday
11/20 BBB MORE INFO RECEIVED FROM THE CONSUMER: Complaint ID#: 90324501
Business Name: Diversified Health & Fitness Inc.
We have received your most recent correspondence in the above-mentioned complaint case.
You have indicated that you are NOT satisfied with the business' response in the matter.
The business has not made any further concessions to their original response.
Unfortunately, BBB can not pursue the matter further. This complaint case is now considered closed UNRESOLVED.
BBB develops and maintains Reliability Reports on companies in our service area. This information is available to the public and is frequently used by potential customers. The company's level of cooperation in resolving to this complaint becomes a part of their file with BBB.
If you wish to take your complaint further, you may want to try contacting the Division of Consumer services at 1-850-922-2966 or their website at www.800helpfla.com. You can also try the Attorney General at 1-850-414-3990 or their website www.myfloridalegal.com.
We apologize that we could not help you further in your matter.
Sincerely,
Customer Service Department
11/24 ZVP BBB CONSUMER REJECTS BUSINESS' FINAL OFFER: I DO NOT accept Diversified's recent comment as it has not changed from their first one. These members are STILL being charged as of 11/17. Diversified first tells the members and myself to call Candice, now they are saying call National Fitness, but National Fitness has no clue that our gym closed, but again, they and Diversified approved it. This is so unbelievably confusing for all!!!
Why in the world can't Diversified just run a report on all members from club 7314 that were charged after Sept 13 and refund all the monies that they were unethically and illegally charged??? This again, is the simplest thing to do. No members get skipped and they will not have to call individually, saving both themselves and National Fitness and Candice time and money! Just think how much money is being wasted by National Fitness and Diversified having to deal with each and every member that does call.
These members were "transferred to a club 10 miles away". The closest club is NOT 10 miles away! Diversified did this without even telling the members or myself.
I have taken this complaint to the Florida Attorney General and other consumer complaint departments.
Diversified, JUST REFUND ALL DUES THAT WERE CHARGED AFTER 9/13 by running this report and not putting this responsibility on each member! This is not fair to them!!!
11/24 ZVP BBB Bureau Judged Case AJR
11/24 Otto EMAIL Inform Consumer Case Closed Answered
11/24 Otto EMAIL Inform Business - Case ADMINISTRATIVELY CLOSED
11/24 Otto BBB Case ADMINISTRATIVELY CLOSED
12/09 BBB MORE INFO RECEIVED FROM THE CONSUMER: And still members are not getting their refunds MONTHS later! I cannot believe that each and every member is having to keep track of all this when they should not be! Diversified is making these people be accountable for all these actions when they SHOULD NOT BE!!! It is DIVERSIFIED'S responsibility to make sure ALL THE MEMBERS get their refunds!!! Here is another example that came across just yesterday!
Denise,
Can you please help? I spoke w Candice many months ago and she said my refund wpuld be here within 5-15 days. Here I am months later with no refund and no response from her after numerous emails.
Anything you can do is greatly appreciated.
Thanks!
Laura Stensland
12/18 BBB MORE INFO RECEIVED FROM THE CONSUMER: Still no refunds from several members...
The Stenslands
12:02 AM (17 hours ago)
to me
I'm getting no where. I've sent several emails go her. She's replied but to the extent that they don't process the refunds- National Fitness does. I've called and left several messages with no response.
I don't know what else to do. Simply put it shouldn't be taking this long to get a refund on money they illegally took.
I know this isn't your fault but hoped you could help.
12/18 BBB MORE INFO RECEIVED FROM THE CONSUMER: Again, still getting emails... I am NOT the gym member that approved the rebilling. Family Fitness was. Just for the record.
Kristen Millek
2:45 PM (2 hours ago)
to me
Hi Denise, As of today I still have not received a refund for my membership dues in Oct/nov I have contacted national fitness several times and every time I am told it is pending but somehow it just never goes through (it has been "pending" since nov 2nd!!! They did respond to my complaint with the better business bureau denying any wrong doing, they say they were told by you to begin re-billing??? I don't know what is going on or why I have not received my refund yet. I really don't want to have to involve a lawyer over $54.95 but being charged to go to a gym that does not exist is NOT something I will just ignore!
-Kristen Ely
12/21 BBB MORE INFO RECEIVED FROM THE CONSUMER: Kristen Millek
Dec 19 (2 days ago)
to me
Denise,
I Didn't mean to imply that I thought you were at fault, I have never thought that, just relaying what I was told. I have spent so many HOURS at this point on hold and being transferred ect... I am just very agitated by they whole thing! I have to this day not been put in touch with anyone who claims to be in a management position. Every time I call they say they are unavailable and I will be put on a call back list and then of course they never call! Let me know if you get any where too. I had a friend suggest the states attorneys office??? not sure really hope they would not make it come to that over the amount they have billed me but i'm not going to just let them keep it either! I really hope you and your family have a good Holiday.
-Kristen Ely
01/09 BBB MORE INFO RECEIVED FROM THE CONSUMER: Elaine Kuklinski
Jan 7 (2 days ago)
to me
No, I've not received anything. elaine

From: Denise Barnett mailto: [email protected]
Sent: Thursday, January 07 9:33 AM
To: Elaine Kuklinski
Subject: Re: fitzone

Hi Elaine,

Did they refund you yet? I just received another email from a member stating that they did refund.
Thank you,
Denise Barnett

On Tue, Jan 5 at 2:46 PM, Elaine Kuklinski wrote:
This is the update from the Business Consumer Alliance that I filed.
Note: besides taking out Nov yearly fee, they also took out Nov dues.
elaine
01/26 BBB MORE INFO RECEIVED FROM THE CONSUMER: AND THESE MEMBERS ARE STILL BEING CHARGED!!! CAN'T SOMEONE HELP AND GET THIS COMPANY OFF THE MAP! THEY ARE ILLEGALLY CHARGING MEMBERS!
Denise
I was charged $19.99 yesterday from Fit Zone. How do I stop this from be deducted from my bank account?
Thank you
Teresa Oisten

Date:

Offender: Andrew Barnett

Country: USA   State: Florida   City: Fort Lauderdale   ZIP: 33316
Address: 1850 SE 17th St. , Suite 203
Phone: 9544494700
Site:

Category: Health & Medicine

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