CURVES: Negotiating Curves Closing Fees

June 20, 2012

CURVES franchise: Negotiating Curves Closing Fees

Struggling, failing and soon-to-close Curves franchise owners seek information and advice from Unhappy Franchisee on how to handle the demands Curves International is placing on them.    One of the frequent topics is the club closing procedures, and how to negotiate with Curves International in regard to their demands for “failure fees” and often tens of thousands of dollars for “future royalties.” (Also called “Liquidated damages”)

If you have advice or experience closing one of more Curves clubs, please share your experience below.

From the post CURVES: Robert Lay’s Story, here’s an exchange regarding the closing fee:

Donna  Submitted on 2009/10/08 at 2:41pm

HELP!!! I have read some of the horror stories listed. I to have to close my club. I can not get anyone to return my calls from CI. I do not know what to do. I have had my club almost 7 years and have paid my dues. I do not have 10,000 dollars. Because of the recession I have to close. I love my members and hate to dissapoint them but I have no choice. The closing packet was sent to me but I’m scared to send it in. Is there any help out there? I have to do what I need to do today. Will they let me out without the 10,000 fee. Has anyone out there been in my shoes. Please someone respond as I need advice and help NOW.

CA ex-owner  Submitted on 2009/10/08 at 8:21pm

We’ve all been there! Our club has been closed for over a year. We refused to pay the $10,000. They emailed us two more times, first lowering it to $8,000, then to $6,000 – we still refused. Next came a letter from Curves Legal stating we now owed fees for the remainder of our franchise agreement, somewhere in the amount of over $42,000, with a fair amount of scare tactics! (Read our story above: CA Ex-owner on October 16th, 2008) We then sent a letter back to legal, refusing to pay anything and the reasons why. Now I will knock on wood before I say this, but it has been over a year that we sent them that letter and we have not heard a thing yet.

We are not part of the legal action that many of the people above are pursuing, and I’m sure someone will respond on how to proceed in that direction, or direct you to on what other options you may have. Remember, you are not alone, we’ve all been through this horrible experience. It hardly makes it better, but at least maybe knowing there are so many of us out there, you might feel a little better…

CurvesAnother Curver Submitted on 2009/10/09 at 12:15pm

Hi Donna.
Like You, I had to close my club. I closed it Feb 28th this year…
Of course I did everything I could to keep Curves International properly informed and I asked them for advice on the best way to proceed…

The one thing they did spell out, there is no “standard” $10,000 fee. At least Not Anymore. They said, if I write a letter asking for a settlement instead of paying all the outstanding royalties and ad fees, then they will put it to a review board and the review board will make a suggestion for a settlement. Then they told me not to write a letter but to hold onto the closing packet.

Well, then they forgot about me for 6 or 8 or 10 weeks. I think it was sometime in May that I got a notice that I owed some $40,000 for the balance of royalties and such…
however, i did inform them that i was filing for bankruptcy. they never asked for the bankruptcy attorneys name or the case number. i am just now filing, so they havent gotten any legal notices yet either.
since then I have not heard one word. it’s been what, 7 months since I closed. ridiculous…
i do have another franchise, that i’m struggling to hold onto, and you would think maybe that’s why they’re giving me some slack…
they are very frustrating but i think they have a backlog of closed cases. i have been told by others (gossip?) that they are understaffed and overworked. of course they’re busy with the big lawsuit that “unhappy” is part of it. and all the little lawsuits. i would like to know more about gofigure’s lawsuit against them too.
my attorney told me not to worry about any of it, because our state law supercedes whatever was written in the franchise agreement….

Donna  Submitted on 2009/10/12 at 12:21pm

Robert was right on. Settlement from 10,000 now wanting 2,500. And its only been 12 days. I don’t close until Oct. 30th. They were also nice and I wouldn’t have to pay it until the end of Nov. I wonder If I ask nice they’ll say i don’t have to give away my equipment to another Curves or destroy it -I can do what I want with it. What do you think?


This post was originally published October 12, 2009 and updated June 20, 2012



258 Responses to “CURVES: Negotiating Curves Closing Fees”

  1. Happily Closed says:

    Nedra Barnett, Have the web site manager connect you to my private email and I will help you.

  2. Carole Joyce says:

    I closed my Curves almost 3 years ago now. I ended up doing a bankruptcy, since it also meant I owed rent and other bills I was too broke to pay. For me, it was relief, piece of mind and an easy bounceback to life. I still miss my place, my members, but I do not miss the agony, stress…or seeing what other clubs are going thru.

    The legal Bankruptcy, which a bit challenging to go thru, was a piece of cake and ALL of my Curves financial issues went away. I could sleep at night.

    Indeed, there IS life after Curves!

  3. Nedra Barnett says:

    So…lucky me. I am closing early!! Been losing money since the first of the year since a new club opened that is 24/7… Decided to go check it out, because someone told me it had a women’s section AND it totally has Curves equipment! Well…it does!! I am so angry!!! Curves sets the price, take money every month for royalties, ads, system fees, etc… and some fly by night guy comes in with Curves equipment and steals all my customers, because he is cheaper and has my same circuit!! Let’s see how things go now Curves…

  4. Christine says:

    Hi Curves asked me 28 ,620$ i am from Québec i dont have any money to pay this they do offer of 9000’$ i dont have money for that amont too what do i have to do do you think they can get the collection after me help help help

  5. Jessica says:

    Christine…How much longer on your agreement?

  6. Christine says:

    Hi Jessica almost 3 years but all other franchise in Québec Who as the same Time. They ask them 5000$ what should i do

  7. Jessica says:

    Did you tell them you were closing before you did? I would keep bargaining the price down. I have heard of people doing that.

  8. Christine says:

    Hi Jessica i told them after the fire but they said i dident i send help ticket to tell them thats why i have to closed no other place was available i ask them often some help and they almost never answer or they did it in english nobody. Speaker french i have no services and now they ask me money on mater i have any money so they wont have nothing what do you think