For Immediate Release
May 21, 2009
Senior Assistant Attorney General Connie Stratton
Attorney General Kelly A. Ayotte announced that today a Belknap County Grand Jury indicted Downtown Fitness, LLC d/b/a Work Out World Laconia for felony violations of the Consumer Protection Act. Work Out World's principal, Steven Borghi, was also charged with misdemeanor violations of the Consumer Protection Act.
Work Out World Laconia, a health club located in that city, began taking membership fees from consumers as early as November of 2008, claiming that it intended to open in January of 2009. New Hampshire law requires a health club to escrow membership fees when it obtains those fees prior to opening. The charges allege that Work Out World failed to escrow the membership fees it obtained prior to opening which is a violation of the Consumer Protection Act. The charges also allege violations of the Consumer Protection Act by taking deposits and failing to provide the promised services.
Attorney General Ayotte said "Health clubs in the State of New Hampshire are regulated by statute and the failure to comply with the statutes constitutes a violation of the Consumer Protection Act. My office is tasked with monitoring these health clubs and we will do what is necessary to protect consumers from health clubs which fail to meet their statutory obligations."
If you have a complaint against Work Out World Laconia, or any other business, and wish to file a complaint, visit the Consumer Protection Bureau's Web site at www.doj.nh.gov/consumer.
New Hampshire Department of Justice | 33 Capitol Street | Concord, NH | 03301