LM
Loyiso M

1 reviews | Active since Feb 2018

13 Feb 2018, 09:02

Contract Cancellation in contradition of CPA

I cancelled my gym contract and was advised that I would be liable for a cancellation fee amounting to forty percent of the remaining term monthly premiums. I subsequently looked up what the consumer protection act says about this.

And it reads “Section 14 permits you to escape a fixed-term contract by giving 20 business days’ written notice, without penalty, but the consumer remains liable to the supplier for any amounts owed to the supplier in terms of that agreement up to the date of cancellation, subject to a cancellation penalty with respect to any goods supp****, services provided, or discounts granted to the consumer in contemplation of the agreement enduring for its intended fixed term, for example, kit bags or trainer discounts”.

From this I am thus of the opinion that forty percent is then unreasonable. I contacted a them about this and we couldn't reach a conclusion. They informed me of an ombudsman that I could contact, however I could not find their details on their website and I again contacted them to source this information to no avail.

This forty percent penalty, debited immediately, is in my opinion not CPA compliant.

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Replies (1)
LM
Loyiso M's update13 Feb 2018, 09:32
Reviewer Update
Justin Morgan, after consultation with Nadim Barodien, has just told me they cannot give me the ombudsmans details as thet do not have them, I therefore have to find them myself.