Legal Question in Credit and Debt Law in Arizona
Contract Null and Void?
I joined a health club who has their membership fees handled by a third party. My initial contract instructed this company to debit my checking account for $89 each month. The very first month they debited my account for $64. My first contract agreement and the health club makes it very clear that you have to renew and resign a NEW contract every 12 months. I stopped going to the gym and the last month I owed my bank suspected fraud on my account which was a mistake however, they shut my card off and sent me a new one with new numbers etc. . the health club accounting company went to debit for the last month and it obviously didn't go through. They are trying to get $89 for the month plus late fees and a processing fee. I am confused because how can they try to get the original $89 when the first 11 months of the 12 month contract they only debited the $64. I think that them not following the original contract of $89 makes the entire agreement Null and Void. Am I correct? If so, do you recommend I try to get a full refund of the entire 11 months since they never followed the agreement since the very first month?
1 Answer from Attorneys
Re: Contract Null and Void?
It seems to me that, at best, you are liable for the last month at the rate of $64.00 since that was the amount you were paying and the amount that they were accepting. It may be, though, that you are liable at the full rate for the entire period of the contract.
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