Canceling an "email" contract

Question

I live in the UK. A few months ago, I registered at a gym. The employee there told me that I could cancel the subscription at any time. I didn't sign any contract, just gave my information.

Fast forward last month, I asked to cancel my subscription. They responded that "a welcome email was sent to me after my registration containing the terms and conditions of the gym and a 12-month obligation". Since I did not contest that email, I am bound by a contract.

I never received this email and I cannot find such an email anywhere (might had gone in the spam and then deleted, I'll never know). I asked them in writing (registered letter) to provide me of a proof that they sent the email to my account (including the email headers) or any other proof that I entered into a contract with them, but they haven't responded in 2 weeks.

Is what they did legal? For instance, if I send to someone an email saying "you will pay me £x per month for 12 months for this service and this is a binding contract unless you reply to me in 14 days rejecting", is it legally binding?

Can I cancel the payments unilaterally? They don't have any signed or verbal contract. Who has the burden of proving if I received the email or not?

This is not about the money. I am just upset by their business model. The employee clearly told me I would be able to cancel with 1 month notice which he now refuses to have said. Sending at email as a binding contract without verification of receipt is sneaky at the best.

Answer 1

Is this a legally binding contract?

Probably not: see the related question What is a contract and what is required for them to be valid? Generally, silence cannot constitute acceptance: Felthouse v Bindley (1862) 142 ER 1037. However, this doesn't mean that explicit assent or signed contract terms are always necessary – see the Wikipedia article on agreement in English law. Even if a contract has not been formed, accepting a benefit without forming a contract may constitute unjust enrichment. The issue can become very complex if the amount of money involved is large enough to warrant litigation.

Can I cancel the payments unilaterally? Who has the burden of proving if I received the email or not?

As a practical matter, you probably have the power to cancel the payments unilaterally; it depends on how they are made. If the payments are charged to a credit card you can normally issue a chargeback. If you refuse to pay a contractual debt, your creditors bear the onus of proving that a legally enforceable contract was formed in court. Of course, it is unlikely that a gym would sue you over an unpaid membership. They are more likely to make your life difficult by referring the purported debt to a debt collector or credit reporting agency.