A popular Australian gym chain has collapsed after it was embroiled in a legal battle with three of its franchisees.
Ultimate Franchising Group Pty Ltd, UFC Gym Prospect Pty Ltd and Ultimate Franchising Group Properties Pty Ltd — the three parent companies behind UFC Gym Australia — went into voluntary administration on May 23.
The three companies held the master franchise agreement for UFC Gym Australia.
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UFC Gym specialises in mixed martial arts training and has several centres across Australia, according to its website, with more set to open soon.
At the start of last month, UFC Gym Australia and its directors were ordered to pay three franchisees $5.2 million as revealed by court documents, after allegations of “misleading conduct”.
UFC Balcatta in Perth and UFC Castle Hill and Blacktown in Sydney were the three gyms engaged in the legal battle.
UFC Balcatta, which has now been rebranded as Rival Gym, wrote on Facebook that the past several years had been “challenging, to say the least”.
“We’ve faced hardships, hurdles, and obstacles, but through it all, our resolve to deliver a…