Now, Sats has decided to repay its members for the digital training subscription they moved them to while the gyms were closed earlier this spring.
The compensation will be offered to members who have not used the digital offer, or who have made limited use of it.
At the same time, Sats avoids the million fine The Consumer Agency threatened them with earlier this autumn:
Gets million claims for misleading customers
Were moved on to online training whether they wanted to or not
Let’s go back in time and look at why Sats risked a fine of as much as two million kroner for violating the Marketing Act:
- When the corona virus “crashed” our daily lives, several service industries were closed during the day, including gyms.
- At the end of March, the fitness center chain Sats therefore notified its members that they were being transferred to a new, temporary, digital membership for NOK 199 a month while the fitness centers were closed. This happened automatically, unless the customers chose an alternative compensation option at Sats.
- The Consumer Agency quickly received complaints from desperate members of the training chain who said that they did not manage to respond to the e-mail from Sats informing about the move from physical to digital subscription, that they did not receive the e-mails, or that they did not understand that this was something they had to respond to avoid being charged for digital membership.
- In processing this case, the Norwegian Consumer Agency thus concluded that Sats introduced a new product that customers had not previously agreed on, and that the company had therefore violated the Marketing Act when they demanded payment from their members without obtaining acceptance from customers.
- Furthermore, Sat received notice of a prohibition decision with a coercive fine in August if they continued to demand outstanding payment for the digital membership – whereupon the training chain confirmed that they waived these requirements.
- The Norwegian Consumer Agency has also been concerned that it is cleaned up for those consumers who had already paid for the digital membership, but did not use it – and that has now been resolved.
Before the weekend, a newsletter was sent out from Sats with an offer that members can demand compensation.
The Norwegian Consumer Agency considers this to be an important, remedial measure – in line with what it is assumed that the agency can negotiate with businesses in accordance with the Marketing Act.
“Sats has shown that they are concerned about showing flexibility to the members, and we encourage consumers who have questions about the digital membership, notice period or other matters as a result of the closure of the gyms, to contact the company,” says acting supervisory director Bente Øverli in one press release.
