A new class action complaint accuses massage studio chain Massage Envy of improperly managing customer subscriptions by charging fees even after customers attempt to cancel their memberships.
Named plaintiff Alexandria Stockman, on behalf of herself and others, filed a new class action lawsuit against Massage Envy Franchising LLC on Feb. 2 in Cook County Circuit Court. The lawsuit is accusing Massage Envy of violations of the Electronic Fund Transfer Act (EFTA) and the Illinois Consumer Fraud Act (ICFA).
Massage Envy operates franchise clinics across the country, including in Illinois, and maintains a website applicable to all franchise locations. It serves as the point of contact for all its customers.
Stockman obtained a membership at Massage Envy's location in Chicago's River North neighborhood. The membership authorized Massage Envy to automatically charger her credit card for her monthly membership fees.
Stockman determined after being a member for some time, that it became difficult to schedule sessions at the River North location due to an alleged lack of availability. Court documents state that she tried with no success over several months to get an appointment.
At that point, the plaintiff chose to cancel her membership through the online portal. While all other aspects of her membership could be easily accessed through the portal, there was little information regarding the cancellation procedure.
The complaint contends that Massage Envy makes it too difficult for its subscribers to cancel their subscriptions. Further the complaint asserts the protracted cancellation process allegedly allows the company to then continue to withdraw the monthly maintenance fee, even after the customer has informed the company of their expressed intention to cancel and stop their payments.
The complaint asserts Massage Envy's practices amount to a so-called "negative option renewal," which the Federal Trade Commission has determined is an unfair business practice.
In a further effort to cancel her membership, Stockman chose to contact Massage Envy directly to expressly communicate her desire in writing to withdraw membership and to cancel any autmoatic charges associated with it.
Massage Envy allegedly received her request on Dec. 28, 2021, and allegedly responded on Feb. 2, leaving the plaintiff a voicemail that they wanted to "discuss" her cancellation request.
Despite her expressed written desire to cancel, Massage Envy allegedly withdrew a payment of $75 from her account. The suit accuses Massage Envy, by withdrawing payment after written notification to cancel was given and received, of directly violating the EFTA. By allegedly making the cancellation process unclear, essentially blocking a consumer's path to cancel, should be considered an unfair practice in violation of the Illinois consumer fraud law, the complaint asserts.
Massage Envy operates 49 licensed locations within Illinois. It is unknown how many people may ultimately be included in the putative class action.
Plaintiffs are seeking unspecified actual damages and punitive damages, plus attorney fees.
Attorneys for the plaintiffs are Seth McCormick of Great Lakes Consumer Law Firm, of Chicago, and Michael Wood and Celetha Chatman, of Community Lawyers, of Chicago.