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Whoever told you that it is illegal for them to charge you is completely incorrect. You entered into a contract with them and the only time you would not have to pay them is if they ceased providing their services by closing down.
Your moving away doesn't mean you can get out of a firm contract.
I don't know if they are going to sue you or not but they can most assuredly harm your credit rating because they will have account with Equifax and TransUnion and they will report this is an unpaid debt.