Thursday, February 26, 2015

$394K Judgment Against Body Renew Fitness, Owner

Posted By on Thu, Feb 26, 2015 at 9:52 AM

In July 2014, officials with Body Renew Fitness said they had "a business that's bleeding," triggering their filing for bankruptcy and padlocking the doors of their five Treasure Valley facilities. Three months later, Idaho Attorney General Lawrence Wasden filed a consumer protection lawsuit against the company and its owner Dakota Routh. The AG's office registered 54 consumer complaints against the company. The suit alleged that Routh closed his business after charging consumers for memberships, training, tanning and other fees, but didn't refund any monies.

And this morning, Wasden announced that a $394,900 judgement has been entered against the company. The judgment includes $13,900 in restitution for 70 consumers and prohibits Body Renew Fitness or Routh from attempting to collect on the debts of four other consumers. The remainder of the judgement includes $375,000 in civil penalties and $6,000 to reimburse the state for the cost of the suit. Routh is also prohibited from operating an Idaho fitness facility in the future.

“A business with prepaid membership accounts cannot simply shut its door and ignore its debts,” Wasden said. “There is a right way to go out of business and a wrong way. Leaving a note on the door and skipping town with customers’ money is not the right way.”

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