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Just to be devil's advocate, that same person could just as easily be impressed by a club where everybody spars but does not do so with any real skill.

Understood, but I stand by my comments never the less.
Suspicious? That may mean that you should look deeper as any good student would do. There are more questions to ask before you bolt for the...

A MUCH better question, IMO. :)

So you're saying that choosing a school is based on whether they spar or not? You know nothing else and yet you are advising him to leave. I would call that a red flag.