The GoodLife Fitness Clubs chain has changed its marketing practices after a federal Competition Bureau investigation found the clubs had published misleading ads.
Following consumer complaints, the bureau launched an investigation and found the GoodLife chain's marketing "had failed to disclose additional mandatory fees in its advertising of membership offers."
As a result, consumers had to pay more for memberships than the ads suggested.
The Competition Bureau said GoodLife will pay a $75,000 penalty and it has agreed not to make any further false or misleading representations.
GoodLife also consented to a 10-year agreement that includes publishing corrective ads in newspapers and on its website.
The GoodLife Fitness Clubs chain has more than 90 outlets in seven Canadian provinces.