Employment · Pending Court Approval

Equinox to Pay $1.9 Million Over Illinois Non-Compete Clauses for Low-Wage Workers

Published October 10, 2026

Non-managerial Equinox workers in Illinois employed between January 2022 and September 2026 were covered by a $1.9 million settlement with the Illinois Attorney General announced in October 2026. Eligible workers will be notified by mail and email and have until March 15, 2027 to claim a share of $990,000.

Rows of exercise equipment inside a fitness club

What Is This About?

Illinois Attorney General Kwame Raoul announced on October 9, 2026 that Equinox Holdings, Inc. agreed to pay $1.9 million to resolve a lawsuit his office filed in the Circuit Court of Cook County, People of the State of Illinois v. Equinox Holdings, Inc., Case No. 2026CH09708. The money breaks down into $990,000 for restitution to workers and administration costs, and a $910,000 civil penalty paid to the state.

The Attorney General filed the agreement as a consent decree with an unopposed motion asking the court to enter it. Equinox denies that it violated the law or did anything wrong, and the decree says it is not an admission of liability.

Status Consent Decree Filed · Pending Court Approval
Worker Restitution $990,000 Split equally among claimants after administration costs · plus a $910,000 civil penalty to the state
Claim Deadline March 15, 2027 Eligible workers receive notice by mail and email

What the Attorney General Alleged

The Illinois Freedom to Work Act bars non-compete agreements for workers earning $75,000 a year or less and non-solicitation agreements for workers earning $45,000 a year or less. It also requires employers to give workers 14 days to review such a clause and to advise them in writing to consult a lawyer before signing.

According to the complaint, Equinox put non-compete and non-solicit clauses in the contracts of Illinois employees whose expected earnings fell under those thresholds, did not give them 14 days to review the terms, and did not advise them in writing to talk to a lawyer. The Attorney General’s office describes the affected group as more than 300 of the company’s lowest-earning workers between 2022 and 2025. Equinox runs more than 100 clubs nationwide, five of them in Chicago.

Equinox says it never tried to enforce a non-compete or non-solicit against an Illinois employee. It also says that in August 2025 it told current and former covered employees it would not enforce the clauses and would treat them as void from the date they were signed.

Who Is Covered and How Claims Work

The decree covers non-managerial employees Equinox employed in Illinois between January 1, 2022 and September 11, 2026 whose names are on a list the company and the Attorney General exchanged. The list is not public.

Equinox has 60 days after the decree takes effect to send the Attorney General workers’ mailing and email addresses, which then go to the claims administrator, Atticus Administration LLC. Within 60 days of receiving Equinox’s first payment, the administrator sends notice and invites each eligible worker to choose a payment method on a settlement website or by returning a claim form. Workers who do so become claimants. The options include direct deposit, a prepaid card or a paper check.

The deadline to submit a claim is March 15, 2027. The administrator pays claimants within 90 days of receiving Equinox’s last restitution installment, which is due March 15, 2027. That puts payments around mid-2027.

How Much Each Worker Could Get

Each claimant receives an equal share: the $990,000 fund, minus administration costs estimated at $15,950, divided by the number of claimants. If about 300 workers all filed, each share would be about $3,200. If fewer people claim, each share grows. If more than 300 workers are on the list, shares shrink.

Other Terms

Besides the money, Equinox agreed to follow the Freedom to Work Act going forward, bring its current Illinois contracts into compliance within 21 days and give managers annual training on the law. Equinox pays the $1.9 million in installments, the last of them due May 15, 2027.

Questions

Who is eligible for a share of the Equinox restitution?

The consent decree covers non-managerial employees Equinox employed in Illinois between January 1, 2022 and September 11, 2026 whose names appear on a list Equinox and the Attorney General exchanged. The names are not public.

How will eligible Equinox workers be notified?

Equinox gives the Attorney General workers’ mailing and email addresses, which go to the claims administrator, Atticus Administration. The administrator sends notice by mail and email within 60 days of receiving Equinox’s first payment.

What is the deadline to file a claim?

Under the consent decree, eligible employees have until March 15, 2027 to submit a claim, either by choosing a payment method on the administrator’s website or by sending in a claim form.

How much will each worker receive?

The decree splits the $990,000 fund equally among claimants after administration costs, estimated at $15,950. If every one of roughly 300 eligible workers claimed, each would receive about $3,200; fewer claimants means larger shares.

Did Equinox admit wrongdoing?

No. Equinox denies violating the Illinois Freedom to Work Act and says it never tried to enforce the clauses. The decree states that it is not an admission of liability or wrongdoing.

Sources

For more class actions keep scrolling below.
Status Consent decree filed, pending court approval
Case Title People of the State of Illinois v. Equinox Holdings, Inc.
Case Number 2026CH09708
Court Circuit Court of Cook County, Illinois, Chancery Division
Date Filed October 9, 2026

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