Gymfights to honour guarantees
Some members of troubled Configure Express gyms have begun receiving refunds, part owner Greg Peters says.
All the customers for whom Configure had records had been refunded by Friday except for one who had provided wrong bank account details, he said.
However, customers who had paid in cash for membership were the hardest to find records for and refund.
‘‘Honestly we are doing our best, it doesn’t do our brand any good to be in the papers for three or four days in a row, and we will, on behalf of all those members who have not seen their money, be taking legal action.’’
Configure is also taking three franchise gym owners to court over outstanding refunds to their members.
Peters said papers had been served on owners of the Papatoetoe, Manukau, and Queen St franchises in Auckland.
These gyms all had outstanding refunds with clients and therefore were in breach of the franchise agreement, he said.
‘‘The franchisee is still obliged under their personal guarantees to honour the terms under the franchise agreement, so they can’t actually not pay out.’’
Members have vented their frustration online - through Facebook and on other forums - claiming they have been left in limbo, have not received refunds, and have been unable to contact staff at head office.
The Commerce Commission had received 10 complaints since June last year, but was not ’’currently’’ investigating.
Five Configure gyms in Auckland, Hamilton and Wellington have closed. Four Wellington region gyms have rebranded as Revive Fitness and split from the company.
Peters resigned as director in October, around the time that a number of franchises were closing or splitting from the national franchise.
He now runs a website business and has left his partner, Wendy MacKay, in charge of Configure.