Pilates, Consumer Damage from 'Closure' and 'Contact Loss' Increasing Every Year
9 out of 10 Damage Relief Applications Are for 'Contract Termination'
There has been a growing number of reports each year of people suffering damages after paying for Pilates at event prices but failing to receive mid-term refunds, or due to business closures and loss of contact with operators, so caution is necessary.
According to the Korea Consumer Agency on the 26th, there were 2,487 Pilates-related damage relief applications received over the past three years from 2021 to last year. By year, there were 662 cases in 2021, 804 in 2022, and 1,021 last year, showing an increasing trend. By type of damage, cases related to 'contract termination,' such as refund refusal and excessive penalty fees, accounted for the largest portion at 91.4% (2,273 cases), followed by 'contract non-fulfillment' at 7.0% (174 cases).
Regarding the gender of applicants for damage relief, women accounted for the majority at 94.3% (2,345 cases). By age group, those in their 30s were the most common at 40.8% (1,010 cases), followed by those in their 20s at 35.8% (886 cases), and those in their 40s at 15.6% (385 cases).
Last year, 'unresolvable' cases due to loss of contact with operators increased more than fourfold compared to the previous year. It was confirmed that most of these damages occurred when Pilates businesses notified consumers of temporary closures due to financial difficulties, internal construction, or instructor resignations, then lost contact or closed down, resulting in consumers not receiving refunds.
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The Consumer Agency urged consumers to prevent Pilates-related damages by "not being swayed by events or discounts when signing contracts, carefully deciding the contract period (number of sessions), and thoroughly checking contract details such as refund policies in case of mid-term termination." They also added, "When entering into long-term or multiple contracts, use credit card installment payments to prepare for damages caused by business closures, and secure proof of communication such as certified letters or text messages in case of disputes."
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