California Active Advantage Membership Fees Class Action Settlement

The Active Network Inc. has agreed to pay $1.25 million to settle allegations that the company deceptively charged membership fees to individuals using their website Active.com, in violation of California state law.

Active.com is an online resource for runners, cyclists and outdoor enthusiasts who want to sign-up for various sporting events taking place across the nation.

According to the Active class action lawsuit, Active.com is the exclusive method for online registration for many recreational activities including more than 66,000 races.

Plaintiff Elena Boland says she went online to register for the 2014 San Diego Resolution 5k and 15k and was directed from the official race website to Active.com in order to complete the registration process.

In order to finish her race registration, Boland says she provided her credit card information to Active.com and agreed to pay the $35 race entrance fee as well as Active’s $3.61 processing fee.

However, Boland claims the defendant used her credit card info to automatically enroll her in a “free trial” of their Active Advantage program. This program reportedly allows members to receive discounts on future races and outdoor gear.

Boland says she did not consent to pay for an Active Advantage membership nor did Active.com properly disclose that individuals making purchases on Active.com would be charged $59.99 (and later $64.99) for the annual membership.

The plaintiff claims this practice is a violation of California’s Consumer Legal Remedies Act as well as common law fraud and deceit.

“Active knew or had reason to know that Plaintiff and Class members provided their credit card information for the sole purpose of purchasing goods and services related to outdoor activities, and not for the purpose of establishing and activating a membership in the Active Advantage program,” the Active class action lawsuit states.

The Active Network denies the allegations but agreed to settle the class action lawsuit to avoid the cost and uncertainty of ongoing litigation.

Under the terms of the settlement, Active agreed to fully reimburse California residents who were enrolled in Active Advantage between Jan. 1, 2010 and Dec. 31, 2013 “by means of a sign-up process offered, advertised, or initiated on any interstitial webpage appearing after the completion of the Registration Process.”

In addition, Active will also donate Active Advantage memberships worth $1.75 million to various under-resourced groups located in the State of California.

If any funds remain after all Class Members have been refunded the full amount they were automatically charged for an Active Advantage membership, they may receive additional funds in the form of an enhanced settlement award.

This Active Advantage class action settlement is separate from the District Attorneys’ settlement. Class Members who already received refunds from that case cannot get a second refund. However, they will automatically be able to receive an enhanced settlement award if there are remaining funds available.

Class Members who want to object or opt-out of the Active Advantage settlement must do so no later than Jan. 13, 2017.

Who’s Eligible

Eligible Class Members include all California residents who enrolled in Active Advantage between Jan. 1, 2010 and Dec. 31, 2013 “by means of a sign-up process offered, advertised, or initiated on any interstitial webpage appearing after the completion of the registration process.”

Note: Individuals who already received a full refund for payments made to Active Advantage or who used the Active Advantage membership benefits, are excluded from this settlement. (unless it was obtained through the District Attorneys’ settlement)

Potential Award

Varies. 

Class Members who file a valid claim for the $1.25 million Active Advantage class action settlement will receive a full refund for any membership fees they paid.

If any funds remain, the rest of the money may be distributed to Class Members in the form of enhanced settlement awards.

The Enhanced Settlement Awards may be up to three times the refunded membership fees.  For example, if the refunded fees are $128, the claimant could (funds permitting) get $384.

In addition, Active Advantage has agreed to donate $1.75 million in free memberships to various under-resourced California groups including: college students, faculty, and staff, as well as the YMCA and Wounded Warriors Program members.

Proof of Purchase

Class Members must submit a Claim Form no later than Jan. 9, 2017 if they want to receive a refund for their Active Advantage membership fees.

Individuals who submitted and received a membership fee refund through the District Attorneys’ settlement do not need to file another Claim Form. Those Class Members will automatically be entitled to the enhanced settlement award if any funds remain but they will not receive a second refund.

Claim Form

CLICK HERE TO FILE A CLAIM »

Claim Form Deadline

1/9/2017

Case Name

Elena Boland v. The Active Network Inc., Case No. 3:14-cv-00790, in the U.S. District Court for the Southern District of California

Final Hearing

1/27/2017

Settlement Website

www.ActiveSettlement.com

Claims Administrator

Active Class Action
c/o KCC
PO Box 43439
Providence, RI 02940-3425

Class Counsel is available by calling: 619-338-1100

Class Counsel

Timothy G. Blood
Leslie E. Hurst
BLOOD HURST & O’REARDON LLP

Defense Counsel

Daniel T. Pascucci
Jennifer Rubin
Wynter Deagle
Evan S. Nadel
MINTZ LEVIN COHN FERRIS GLOVSKY AND POPEO PC