SoulCycle Gift Certificate Class Action Settlement

A settlement has been reached in a class action lawsuit alleging SoulCycle Inc.’s method of selling cycling classes involved “gift certificates” under California and federal law, and that the expiration dates associated with them violated the law.

If you purchased a SoulCycle class that expired before you used it, you may be entitled to benefits from the SoulCycle class action settlement.

Plaintiff Rachel Cody initially filed the SoulCycle class action lawsuit on Aug. 25, 2015, claiming that SoulCycle’s expiration dates for its class packages violated the Electronic Funds Transfer Act and various state laws applying to gift cards or gift certificates.

According to the SoulCycle class action lawsuit, SoulCycle customers must purchase certificates before they can sign up for indoor cycling classes at a SoulCycle studio. Each certificate has an expiration date that is based on the number of classes purchased. Some SoulCycle certificates expire in 30 days, Cody alleges, and if the classes expire, the customer’s money is not refunded.

Because larger packages are sold at a discount and have a longer window in which the classes can be used, many SoulCycle customers are enticed to purchase the larger class packages, the SoulCycle class action lawsuit says. However, customers often find that it is hard to get into a class because of overbooking, and many passes remain unused and SoulCycle keeps the customers’ money, the lawsuit states.

Cody alleges that SoulCycle’s expiration date policy violates the Electronic Funds Transfer Act and the Credit Card Accountability and Disclosure Act, which prohibits expiration periods of less than five years.

SoulCycle denies that it did anything wrong but agreed to settle the SoulCycle class action lawsuit to avoid the cost, delay and uncertainty of ongoing litigation.

The SoulCycle class action settlement was preliminarily approved on June 22, 2017.

In addition to offering cash benefits and reinstated classes to eligible Class Members, SoulCycle has also agreed to make certain changes to its business practices, including amending its disclosures about the distinction between the sale of classes and gift cards.

Class Members who would like to opt out of or object to the SoulCycle settlement must do so no later than Sept. 11, 2017.

Who’s Eligible

Class Members of the SoulCycle settlement include:

• Anyone who, between Aug. 25, 2014 and Feb. 10, 2017, purchased a SoulCycle class that expired before it was used, and
• Anyone with a California billing address who, between Feb. 1, 2012 and Feb. 10, 2017, purchased a SoulCycle class for use in California that expired before it was used.

Potential Award

Up to $50 in cash, or up to two reinstated SoulCycle classes.

Class Members who purchased one SoulCycle class that expired unused during the Class Period will automatically have one new class added to their SoulCycle account. Class Members who had more than one SoulCycle class expire unused during the Class Period will automatically have two new classes added to their SoulCycle account.

Alternatively, Class Members may elect to file a claim for a $25 cash payment per class (up to two classes) instead of reinstated classes. The payment amount may be reduced pro rata if the claims exceed a total of $500,000.

Proof of Purchase

N/A. Class Members who file a claim for a cash payment must assert under the penalty of perjury that all information included in the Claim Form is true and correct.

Claim Form

CLICK HERE TO FILE A CLAIM (PDF) »

Claim Form Deadline

9/11/2017

NOTE: A Claim Form is only required for Class Members requesting a cash payment instead of reinstated classes.

Case Name

Cody v. SoulCycle Inc., Case No. 2:15-cv-06457, in the U.S. District Court for the Central District of California

Final Hearing

10/2/2017

UPDATE: The SoulCycle Gift Certificate Class Action Settlement was granted final approval on October 3, 2017.  However, an appeal to the settlement has been filed.  Claims will not be paid until all appeals are exhausted.  We appreciate your ongoing patience. Top Class Actions will continue to provide updates as we learn more.

UPDATE: On February 26, 2018, the appeal to the SoulCycle Gift Certificate Class Action Settlement was dismissed. Let Top Class Actions know when you receive a check in the comments section below or on our  Facebook page.

Settlement Website

www.CycleClassAction.com

Claims Administrator

Cody v. SoulCycle Inc.
c/o Dahl Administration
P.O. Box 3614
Minneapolis, MN 55403-0614
1-855-234-7127
info@CycleClassAction.com

Class Counsel

Dorian S. Berger
Daniel P. Hipskind
BERGER & HIPSKIND LLP

Nicholas Diamand
LIEFF CABRASER HEIMANN & BERNSTEIN LLP

Defense Counsel

Shirli F. Weiss
Katherine J. Page
Keara M. Gordon
Colleen M. Gulliver
DLA PIPER LLP (US)