Gascho v. Global Fitness Holdings, LLC

Case # 11-cv-00436
Case Name Gascho v. Global Fitness Holdings, LLC
Jurisdiction US District Court for S.D. OH
Summary

Plaintiffs allege that Defendants (doing business as Urban Active gyms) actively violated state and federal laws regarding gym memberships and contracts. Employees of the gyms actively recruited members and personal training contracts. These employees were either not trained in applicable state and federal laws or were instructed not to make consumers aware of those laws. By engaging in this practice, Urban Active gyms were able to enrich themselves by "engag[ing] in a common policy and practice of avoiding cancellations, making cancellations as difficult as possible, imposing unlawful cancellation fees and extra-contractual burdens to cancellation, and failing to honor cancellations by continuing to charge members after cancellation." (see Complaint, paragraph 21)

Final Approval Date 07/16/2014
Result
  1. Final Approval granted.
  2. All objections were found to be without merit and overruled.
  3. Both groups of objectors appealed the Final Approval.
  4. In a 2-1 decision, the Sixth Circuit overruled all the arguments by the Objector-Appellants and affirmed the District Court decision.
  5. Both Objector-Appellants petitioned for an en banc rehearing, which was denied.
  6. Both Objector-Appellants petitioned the Supreme Court for a writ of certiorari.
    • The cert petition was supported by 17 state attorneys general.
  7. The cert petition was denied by the Supreme Court on February 21, 2017.
Dismissal of Last Appeal 02/21/2017
Attachments Docket Report.pdf
Third Amended Complaint.pdf
Preliminary Approval.pdf
Plaintiff's Response to Objections.pdf
Defendant's Response to Objections.pdf
Report and Recommendation.pdf
Objection of Joshua Blackman (Report and Recommendation).pdf
Objection of Zik et al (Report and Recommendation).pdf
Final Approval.pdf
Final Judgement.pdf
Appellate Decision.pdf
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Objection of Robert J. Zik, April N. Zik, James Michael Hearon

Objectors Robert J. Zik
April N. Zik
James Michael Hearon
Signers Joshua T. Rose
Gregory Belzley
Ronna Lucas
Attorneys Joshua T. Rose
Gregory Belzley
Ronna Lucas
Summary
  1. Release is overbroad.
  2. Class is too disparate, subject to differences in state laws.
  3. Settlement shows signs of collusion.
  4. Class representative awards are excessive.
  5. Claims process is unnecessarily burdensome.
  6. Notice is deficient, since it is not easily recognizable by consumers in the mail.
  7. Parties are forum shopping.

NOTE: This objection was filed by a group of class members who were party to a separate settlement in Kentucky against the same Defendant.

Attachments Objection of Zik et al.pdf
Zik et al Reply to Plaintiff's Response to Objections.pdf
Objection of Zik et al (Report and Recommendation).pdf
Appeal of Zik Objectors.pdf
Zik et al Appeal Docket.pdf
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Objection of Joshua Blackman

Objectors Joshua Blackman
Signers Adam E. Schulman
Theodore J. Froncek
Attorneys Adam E. Schulman
Theodore J. Froncek
Theodore H. Frank
Summary
  1. Claims-made provisions are improper and designed to depress the Defendant's financial obligations.
  2. Direct payments to known class members should be made.
  3. Attorneys' fees are improperly calculated, based on a 100% claims rate.
  4. Class representative awards are excessive and lead to inadequate representation for absent class members.

There was dispute over whether Objector Blackman was a member of the class, since he signed a contract and then cancelled it during the cancellation period prescribed by law. The Court found that Objector Blackman did have standing and denied the Motion to Strike.

NOTE: Ted Frank filed his appearance on the Appeal.

Attachments Objection of Joshua Blackman.pdf
Blackman Reply to Plaintiff's Response to Objections.pdf
Motion to Strike Objection of Joshua Blackman.pdf
Response to Motion to Strike Objection of Joshua Blackman.pdf
Reply to Response to Motion to Strike Objection of Joshua Blackman.pdf
Objection of Joshua Blackman (Report and Recommendation).pdf
Appeal of Blackman Objector.pdf
Frank Appearance for Objector-Appellant Blackman.pdf
Blackman Supreme Court Cert Petition.pdf
Amicus Brief in Support of Blackman Cert Petition.pdf
Blackman Appeal Docket.pdf
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