ACT Industry Code of Practice – Your obligations

#Blog

ACT Industry Code of Practice – Your obligations


As a recognised industry body, FITREC has been asked to share the following from ACCESS CANBERRA;

"Access Canberra is concerned some fitness industry participants are failing to meet their obligations under the Code of Practice. To remind you of your obligations and encourage compliance with the Code of Practice, we have prepared a short information letter (enclosed). This document highlights areas of most concern to Access Canberra in relation to compliance and the themes of complaints and enquiries we receive."

Fitness Industry Code of Practice 2009 – Your obligations

The provision of fitness services in the ACT is regulated under the Fitness Industry Code of Practice 2009 (the Code).

It establishes the rights and obligations between suppliers and consumers of fitness services to ensure appropriate standards of trading are maintained within the fitness industry.

Who does it apply to? 

The Code is mandatory and applies to all suppliers of fitness services in the ACT. Fitness services include:

  • pre-exercise evaluation
  • individual fitness programs and fitness assessments
  • supervised fitness programs
  • group fitness programs
  • the provision of fitness equipment at fitness centres for use by consumers (ie gyms).

What does it cover?

The Code prescribes a range of practices which fitness suppliers must comply with, including:

  • information standards, including content and provision of marketing material and membership agreements
  • memberships, including contract conditions and cooling-off periods
  • staffing requirements, including qualification requirements
  • service standards, including equipment and supervision standards.

Membership agreements and periodic billing

The Code mandates that membership agreements for fitness services must be in writing, be signed by the consumer, and must include certain information, including:

  • the rights and responsibilities of the supplier and consumer
  • information about cooling off periods
  • full cost disclosure.

Membership agreements that are pre-paid, or subject to periodic billing, must not be for periods greater than 12 months. The cost of any periodic billing agreement must have a proportional relationship to any term or annual membership rates on offer, so as not to discourage consumers from selecting this membership option.

The following notice must be provided by the supplier and signed by the member at the time of entering into any periodic billing agreement. Written notice of termination by the member must be accepted by the supplier in accordance with this notice.

‘I acknowledge that unless I provide written notice of termination of my membership prior to the end of the fixed term of my Periodic Billing Agreement, I will still be liable for my membership fees until 14 days after I provide written notice of termination to the Fitness Centre. I understand the Fitness Centre must respond to its receipt of a written notice within 7 days.’

Membership agreements are subject to all relevant provisions of Australian Consumer Law, including limitations on unfair contract terms. Including unfair contract terms in a contract is illegal, and their use may attract substantial penalties.

Exemptions

Some suppliers of fitness services, including registered medical practitioners, registered physical therapists, and sporting clubs, may be automatically exempted from complying with the Code. All other suppliers may apply in writing to the Minister for an exemption to all or part of the Code. If the Minister agrees to grant an exemption, they may prescribe specific conditions to this exemption that must be complied with.

It is a condition of the Code that fitness services provided at fitness centres are always supervised by appropriately qualified persons. Fitness suppliers may apply for an exemption to this condition. These exemptions, if granted, will be accompanied by conditions. These conditions will impose additional requirements for security devices, pre-exercise orientation programs, and limitations on equipment allowed during unstaffed hours. Failure to abide by all conditions will be assessed as a breach of the Code.

What if I breach the Code?

If the Commissioner for Fair Trading believes, on reasonable grounds, a fitness service provider is acting in breach of the Code, they may require them to provide a written undertaking committing them to a remedy. 

If the fitness service provider refuses to provide an undertaking, or breaches the terms of the undertaking, the matter may be referred to the ACT Magistrates Court for enforcement.

Further information

You can view the Fitness Industry Code of Practice 2009 online via the ACT Legislation Register.

If you have any questions about the Code that are not answered on the website, please contact the Access Canberra Fair Trading and Compliance team by emailing complianceandinvestigations@act.gov.au.