CURVES Franchise Lawsuit Settlements
In the Curves International 2010 Franchise Disclosure Document (FDD) issued March 25, 2010, 28 civil actions were disclosed in the Item 3 Litigation section.
5 are individual or group actions by Curves franchisee owners alleging such things as breach of contract, fraudulent inducement, negligent misrepresentation, etc. on the part of Curves International.
7 are lawsuits by Curves members allegedly injured on pieces of equipment or on premises.
5 are by vendors, employees and a competitor (Weight Watchers) against Curves International.
11 are lawsuits by Curves International against its franchisees, most seeking recovery of damages (non-payment of fees) resulting from their alleged “abandonment of the franchise.”
Curves International, Inc. Settlements With Franchisees Who Sued
The mandatory disclosures of litigation in the Curves FDD make public the following “confidential settlements” between Curves International, Inc. and the Curves franchisees who sued them. For more information on the allegations and court venues, consult the CURVES International 2010 Franchise Disclosure Document (FDD).
Healthy Directions Northwest, Inc. v. Curves International, Inc., George Blaine and Sandy Blaine d/b/a Curves.
“…A confidential settlement between the parties and this case was dismissed by the court on 4/9/09 in which We [Curves International] paid $5,000 in full and complete settlement of all claims.”
Linda G. Woodward, Susan Taylor Harper, Lydia S. Romero, Jeffrey P. Kalbfleisch and Stephanie Kalbfleisch v. Curves International, Inc.
“…We paid $3,500 in settlement of all claims filed by said plaintiff [Woodward], and her claims were dismissed from this lawsuit by the Court on 2/13/08. Confidential settlements have been reached between the 4 remaining plaintiffs and Us… execution of the settlement documents and dismissal motions are pending.”
Kareen Lay v. Curves International, Inc.
“On 3/20/09, an action was filed against Us by a franchisee seeking recovery of damages in an undisclosed amount for alleged breach of the franchise agreement by an alleged failure to mediate. As of the date of this Disclosure Document, this case is still pending.”
Kinnie Gibson v. Curves international, Inc.
“On March 9, 2010, an action was filed against Us by a former master franchisee in Germany… regarding the franchise relationship. As of the date of this Disclosure Document, the case is still pending.
Momentum Sales & Services, Inc., et al. v. Curves International, Inc. and Howard Gary Heavin.
This is the largest group action lawsuit by franchisees against Curves International, Inc.
17 plaintiffs’ claims were dismissed with NO payments being made by Curves International, Inc.
29 confidential cash settlements totalling $204,400 were made by Curves International, Inc. resulting in their claims being dismissed. The average settlement amount was $8,290.
As of the date of the FDD, the case is still pending with 81 plaintiff groups remaining.
Date Settled | Plaintiffs | Amount CII Paid |
2/7/08 | Lori Brickel & Jill Kalatucka | 3,000 |
2/7/08 | Jo-Ann Garvey | 10,000 |
4/29/08 | Jan Santagate | 20,000 |
5/14/08 | Diana L. Dahlin, Peggy Matson | 20,000 |
1/13/08 | Catherine Maser | 20,000 |
3/20/08 | Angeline Bednar | 17,500 |
5/14/08 | Carol L. Rooney, Jaclyn A. Rooney | 7,500 |
5/14/08 | Jamey Kirchner | 25,000 |
6/11/08 | Sheree Corde Carter | 5,500 |
5/8/08 | Denise Alabach, Diane Schneck | 5,000 |
6/27/08 | Judith Haddad, Tringo, Inc. | 10,000 |
5/13/08 | Sandra L. David | 3,500 |
3/11/09 | Karen Wilson | 7,900 |
3/11/09 | Pauline Snowberger | 8,000 |
5/19/09 | Gloriously Fit Inc., Janet & Russell McTier | 1,000 |
6/24/09 | Akute LLC, Royce Makil, Gracy James | 6,000 |
6/24/09 | Doobly Ventures LLC, Doobly Ventures III LLC, Deborah B. Myers | 7,000 |
11/20/09 | Carol Riedel, Marie Fitness Inc. | 12,000 |
1/8/10 | Betty J. Boyd | 2,500 |
2/2/10 | Geralin Inc., Linda Coughlin, Geraldine McClary | 4,500 |
2/24/10 | S&P Wolf Inc., Peter & Sarah Wolf | 3,000 |
3/5/10* | Karen Costner Leighton | 24,000 |
3/5/10* | Melinda Rowe | 2,500 |
3/5/10* | Keeno Lampman | 5,000 |
3/5/10* | Fitness etc. LLC, Yvonne Samuels | 2,500 |
3/5/10* | RM&R Fitness Inc., Mary Stark | 2,000 |
3/5/10* | Elaine & Robert Taylor | 2,000 |
3/5/10* | Sandy Harrington | 1,500 |
3/12/10* | Treetoad LLC, Teresa Soderberg | 2,000 |
TOTAL | $240,400 | |
Average | $8,290 | |
* Agreement date. Settlement pending. |
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WHAT DO YOU THINK? SHARE A COMMENT BELOW.
Dee Dee- thanks for the link to the law office. I am in the process of filling out the questionnaire. I think the more owners we have fill it out and tell our stories the more successful we might be in our efforts. We need to somehow get the word out to all the owners to submit their stories to the firm.
Deb, I’ve checked several sources, and I do think we’ve found the right help. Thx.
I am sorry about all of your circumstances with Curves. There is a law firm, the Law Office of Jonathan E. Fortman, LLC, which is preparing/reviewing a class-action case against Curves on a CONTINGENCY basis. They were successful at winning against Contours Express after the company was purchased by a private equity firm. You potentially could collect 3x the amount of monies afforded to franchise & advertising royalties, equipment, and build-out expenses.
I realize many of you may have signed a mutual release with the settlement you arrived at with Curves, however, this would not exclude you from participating, and you may remain anonymous as a plaintiff, if a case goes forward. I believe it would be well worth investing some time to call Kelly at The Fortman Law Office regarding your situation. Her contact information is listed below.
From their website:
If you wish to join the potential lawsuit, please fill out and return
the questionnaire along with the following:
*your franchise agreement(s)
*FDD/Franchise Disclosure Document
*any written correspondence, letters, emails, any notes, advertising, etc.
*anything you deem important to your case
*AND the attached questionnaire (Be as detailed as possible!)
The link to our Curves blog and questionnaire is
http://fortmanlaw.com/curves-request-for-information/
The sooner you can get the documents to us the better. You may email,
fax, or mail them to us. We also have access to Dropbox if you would
like to upload your files there.
Our contact information is at the very bottom of this email. Should
you have any questions or concerns please do not hesitate to contact
us. Thank you and we look forward to working with you!
Our website is http://www.fortmanlaw.com
We are also on Facebook & Linkedin!
Paralegal
Law Office of Jonathan E. Fortman, LLC
250 Saint Catherine Street
Florissant, MO 63031
(314)522-2312 x 103
(314)524-1519 Fax
kms@fortmanlaw.com
Hello .. I would like to join the potential lawsuit against Curves International , however I am a UK ex franchisee .. Is this ok?
Kind regards
Fran
How to get involved in a Curves civil action lawsuit as I owned 2 and think they are a big scam and definitely scammed me.
I am closing my Curves after 2 years. Planet Fitness came to town, and you cannot beat the big box store. We don’t feel right selling a sinking ship, so we are no too thrilled about paying the $10,000 fee to close. Any law firms out there that can help?