According to a report on franchise discussion site FranchisePick.Com, hey have filed a petition for damages in the Circuit Court of St. Louis County against AABB FITNESS HOLDINGS, INC. (formerly known as CONTOURS EXPRESS, INC.), CONTOURS EXPRESS, LLC, and franchise broker JAMES E. HOGG (dba Franchise Visions), alleging fraud and breach of contract.
Among the numerous complaints, each of the plaintiffs allege that the Contours Express UFOC dramatically understated the cost of building out and operating a location, that the owners of Contours Express and their representatives also made “earnings claims” or verbal pitches regarding profitability, and that the typical franchisee’s working capital was exhausted soon after they opened their location and most could not service a debt load of 50 to 100 percent greater than they had been led to believe. The suit also alleges that Contours Express provided little or no support to the franchisees and once the stores were opened, very few of the franchisees were ever visited by representatives of the franchisor.
READ THE ARTICLE HERE: Franchise Dreams Becoming Nightmares for Many Fitness Club Owners
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IS BUTTERFLY LIFE A GREAT FITNESS FRANCHISE?
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The Contours Express Second Amended Complaint for Damages document, Uniform Franchise Offering Circular (UFOC) and other documents are available in the FranBest.Com franchise document library.
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