Master Chang's Martial Arts

deceitful practice related to contract, communication and billingIn 2013 we signed contract with Master Chang to use their services for 5 years. When our plans changed and we could not continue with the program in 2014, they told us that there was NO possibility of getting out of the contract and suggested that we pay half price instead of full price. This was first deceitful move from their part. Starting from September of 2014 my son was unable to attend practices, but we were obliged to pay monthly amount of $85 because we were incorrectly told that we could not terminate our contract. In June of 2015 when I talked to one of the managers, I was informed that we in fact could request termination of contract with 90 day notice. After the notice was given, they would charge us full price for 3 months (which equals to $170 per month). Had we been told in September of 2014 about this policy, we would have avoided paying monthly $85 for almost an entire year. Another problem with Master Chang's Martial Arts is miscommunication between the two managers. One assured me that since we have been paying $85 for the past 10 months or so without using their services, we could now terminate our contract without paying the fine of $170X3. I was told that they would send me an email confirmation that very day. I did not receive any emails from them that day. For over a week, I was stopping at their office every day and was being promised that I would receive an email every day, but this email never came. Finally, I discussed the issue with another manager who informed me that I could terminate the contract but will need to pay $170X3 despite the fact that I had been paying monthly fee of $85 without using their services. Following this conversation, I wrote an official request for them that I wanted to terminate the contract and asked them to send me confirmation email that they did receive the request. I have not received any confirmation from their office. My complaint is in regards to their deceitfulness when it comes to the terms of signing contracts with customers, as well as their inability to communicate in a timely and professional manner. I request to be freed from my obligation to pay $170X3, due to the fact that I discussed the reasons why we could not continue with Martial Arts program with one of the managers in September of 2014 and had I been told that I had the right to terminate my contract by paying $170X3, I would have accepted this obligation. As I was not told about this, I continued paying monthly fee of $85 knowing that my son was NOT attending the practices and not using the services of Master Chang's Martial Arts. Desired SettlementI request to be freed from the obligation to continue paying $170 for 90 more days, i.e. 3 months. OI have already paid over $800's equivalent of a fine, since I have not used their services for the past 10 months and when I spoke to the manager in September I was not given the option of terminating the contract by paying a fine. Business Response I have contacted the family and explained the situation, as it appears that there have been a few misunderstandings.Firstly, the family began with a 12 month term agreement on 4/4/13 at $169 per month. On 2/22/14 they entered into a 4 year membership agreement at 50% of our normal monthly rate due to the fact that their child will only be able to attend for 6 months out of the year due to soccer. A contract was signed to this effect with monthly payments of $85. If their plans changed in 2014 and they were unable to attend, why would they upgrade the level of their membership sign a contract extending their membership out. The signed contract clearly states that it is at a reduced price to allow for the child to attend soccer for half of the year and our classes for the other half. There is no mention of inability to train year-round on the contract or in any written correspondence.The only early termination options available on our contracts are for relocation and medical reasons only. We do not have a policy of allowing students out of contract agreements early with any notice. This is not a written or oral policy followed by any of our locations or staff members.I met with the family in question on June 15th. They explained their inability to attend and requested to cancel their membership. They also mentioned this supposed "90-day" policy. As this family has been loyal and has trained with us for a number of years, I made the executive decision to forgive the remainder of their contract as of October 26th, 2015. I made this offer to the family as a gesture of good faith for their time spent with us. Contractually, we are under no obligation to do so and have every legal right to pursue the full amount of the contract on a a monthly basis or in-full, should the buyer default.The family agreed to my gesture and I asked for a written confirmation of their acceptance. This email was provided and filed. Unbeknownst to me, the email also contained a request for a reply in receipt of the message. I did not reply and 3 days later we received this Revdex.com complaint. Myself and our ownership are incredibly disappointed that it would come to this. While I am at fault for not reading the email closely and responding, I had already put into place measures to end their contract with us at the agreed upon time (10/26/2015). This complaint, the contents of the complaint, and the use of phrases such as "deceitful practice" are very hurtful. Upon speaking with the family, I informed them of our disappointment that they went to such lengths. I clearly explained their contract agreement to them again and explained that the offer I extended to cancel early was simply a gesture of good faith, and NOT a policy we carry. Despite their intent to bring formal complaint against us, with no legal merit, I informed the family that the good-faith offer is still available to them. Should they refuse this offer or continue to disparage this business' reputation, then the full terms of the contract will be pursued.Copies of the signed contract in question are available to all involved parties upon request. Upon signing, a copy was provided to the family and a copy is in our possession. We have a stellar reputation in the community and online of always taking care of our students and customers. We intend to continue to keep our reputation high and provide an impressive level of service.Consumer Response My complain related to Master Chang's Martial Arts is about several inconsistent and what I consider abusive practices towards the customers and I will try to explain them below. 1. My children have attended many different sports/activities for the past 20 years (including soccer, swimming, gymnastics, dance, languages, etc.) and in none of these cases we were requested to sign a 4-year-long commitment out of which we would be unable to withdraw. In my experience one pays for the service either already provided or which will be provided in the immediate future. Master Chang's practice to require customers to sign an agreement according to which their child will be committed to certain activity for 4+ years is abusive. Yes, I am guilty of falling into this trap, but I wish to express my disdain for such practice and say how unethical I consider it to be. 2. After my son attended practices for over a year, we realized that this sport was not serious enough and this business was mostly geared towards making money. One of the main reasons we wished to get out of the contract was that watching the practices we realized that this was not a serious sport and we did not wish to pay for it. 3. When we came to talk to the administration of Master Chang's Martial Arts in JULY of 2014 (we signed 4-year agreement in February, but we were being charged full price until July of 2014), to explain that we wanted out, we were told that this was not possible and as a favor they would allow us to pay half of the full price if my son were to attend 6 out of 12 months of the year. I was reluctant to agree to these terms because I knew that we were not interested in attending these practices any more. But, if this was the only option, there was nothing else I could do. In June of 2015, after having paid $85 for 11 months without my son attending practices, I tried to talk to the administration again and express my frustration with the situation. This time, I was told that it was their POLICY to allow customers to terminate the agreement with a 90 day penalty. What the person states in his response to my initial complaint is NOT TRUE. I was told by BOTH administrators (managers) that there was a policy of terminating agreement with a penalty in the amount equal to three months' full payment. I was even told that for this to happen officially, they had to receive my written request, which I did and to which I never received a reply nor confirmation. One of the managers also told me that since I had been paying for the past months and not using their services, I should be able to terminate the contract without any penalty. I repeat that by June of 2015, I had already paid 11 months of $85 with my son NOT attending the practices. My question is: why wasn't I notified of such policy in July of 2014 when I asked to be allowed to terminate the contract? I would have gladly paid three months worth of fee (3X$169=$507). Instead I paid 11X$85=$935 just because of the lack of professionalism and/or the deceitful practices of the administration. I request to be allowed to terminate the contract without having to pay an additional penalty of $507 since I was given incorrect information (wether out of lack of professionalism or due to abusive practice) in June of 2014. In my opinion, Master Chang's Martial Arts owes us $428 (the amount that I would not have paid had I been told initially that I could terminate my contract by paying a penalty of $507 in June of 2014).