PRINTER'S NO. 343
No. 319 Session of 1987
INTRODUCED BY SEVENTY, ITKIN, KOSINSKI, KUKOVICH, OLASZ, REBER,
FOX, PISTELLA, TRELLO, DeLUCA AND PRESTON, FEBRUARY 11, 1987
REFERRED TO COMMITTEE ON CONSUMER AFFAIRS, FEBRUARY 11, 1987
AN ACT
1 Regulating contracts for health spa services; and prescribing
2 remedies.
3 The General Assembly of the Commonwealth of Pennsylvania
4 hereby enacts as follows:
5 Section 1. Short title.
6 This act shall be known and may be cited as the Health Spa
7 Consumer Protection Act.
8 Section 2. Definitions.
9 The following words and phrases when used in this act shall
10 have the meanings given to them in this section unless the
11 context clearly indicates otherwise:
12 "Contract for health spa services." A contract for
13 instruction, training or assistance in physical culture,
14 bodybuilding, exercising, reducing, figure development or any
15 other such activity or for the use of the facilities of a health
16 spa, figure salon, weight loss clinic, gymnasium or other
17 facility used for any of the above purposes, or for membership
1 in any group, club, association or organization formed for any
2 of the above purposes.
3 "Health spa." Any business entity offering to the public the
4 services included in the definition of "contract for health spa
5 services."
6 Section 3. Written contract required.
7 Every contract for health spa services shall be in writing
8 and shall be subject to the provisions of this act. A copy of
9 the written contract shall be given to the buyer at the time the
10 contract is executed.
11 Section 4. Requirement of contract.
12 (a) Effect of certain contracts.--All contracts for health
13 spa membership which may be in effect between the same seller
14 and the same buyer, the terms of which overlap for any period,
15 shall be considered as one contract for the purpose of this act.
16 (b) Contents.--No contract for health spa services shall
17 require payments or financing by the buyer over a period in
18 excess of 37 months from the date the contract is entered into,
19 nor shall the term of any such contract be measured by or be for
20 the life of the buyer; however, the availability of the health
21 spa facilities to the buyer and under the contract may extend
22 over a period not to exceed three years from the date the
23 contract is entered into, with the right to renew for additional
24 periods.
25 Section 5. Performance of contract; cancellation and refund.
26 (a) Performance.--Every contract for health spa services to
27 be rendered at an existing health spa facility shall provide
28 that the performance of the agreed-upon services will begin
29 within 45 days from the date the contract is entered into.
30 (b) Option of voiding contract.--Every contract for health
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1 spa services at a planned spa facility or spa facility under
2 construction shall, at the option of the buyer, be voidable in
3 the event that the health spa facilities and the agreed-upon
4 services are not available within 12 months from the date the
5 contract is entered into.
6 (c) Cancellation and refunds.--Every contract for health spa
7 services shall further provide that the contract may be canceled
8 within three business days after the date of receipt by the
9 buyer of a copy of the contract by written notice delivered by
10 certified or registered United States mail to the seller at the
11 address specified in the contract. The notice must be
12 accompanied by the contract forms, membership cards and any and
13 all other documents and evidence of membership previously
14 delivered to the buyer. All moneys paid pursuant to the contract
15 shall be refunded within 30 days of receipt of the notice of
16 cancellation. Every contract for health spa services shall
17 provide that, after the three-day period for cancellation as
18 provided in this subsection, the buyer's estate may cancel a
19 contract for services if the buyer dies. The buyer may also
20 cancel after three days if the buyer becomes totally and
21 permanently physically disabled or moves his residence to a
22 location more than 25 miles from a health club operated by the
23 seller or a substantially similar health club facility which
24 would accept the seller's obligation under the contract or after
25 the services are no longer available as provided in the contract
26 because of the seller's permanent discontinuance of operation.
27 Nothing contained in this section shall restrict or prohibit the
28 seller from offering or providing in the contract additional or
29 broader reasons for cancellation.
30 (d) Verification.--The health spa shall have the right to
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1 require and verify reasonable evidence of permanent physical
2 relocation, permanent physical disability or death. In the case
3 of permanent disability, the health spa may also require in the
4 contract that the buyer submit to a physical examination by a
5 doctor agreeable to the buyer and the health club, the cost of
6 which examination shall be borne by the health club.
7 (e) Retention of certain moneys.--All moneys paid pursuant
8 to the contract canceled for the reasons contained in this
9 section shall be refunded within 30 days of receipt of the
10 notice of cancellation; however, the seller may retain the
11 expenses incurred and the portion of the total price
12 representing the services used or completed, and the seller may
13 demand the reasonable cost of goods and services which the buyer
14 has consumed or wishes to retain after cancellation of the
15 contract. In no instance shall the seller demand more than the
16 full contract price from the buyer. If the buyer has executed
17 any credit or loan agreement to pay for all or part of the
18 health spa services, any such negotiable instrument executed by
19 the buyer shall also be returned within 30 days.
20 Section 6. Provisions not exclusive.
21 The provisions of this act are not exclusive and do not
22 relieve the parties or the contracts subject thereto from
23 compliance with all other applicable provisions of law.
24 Section 7. Noncomplying contracts voidable.
25 Any contract for health spa services which does not comply
26 with the applicable provisions of this act shall be voidable at
27 the option of the buyer. The seller may cure the noncompliance,
28 and no class action may be brought for relief under this
29 provision unless, following receipt of written notice of the
30 noncompliance, the seller fails within 30 days of receipt of the
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1 notice of noncompliance to notify all buyers of the
2 noncompliance, and fails to make the changes in subsequent
3 contracts for health spa services as may be required to comply
4 with this act.
5 Section 8. Fraud rendering contract void.
6 Any contract for health spa services entered into in reliance
7 upon any willful and false, fraudulent or misleading
8 information, representation, notice or advertisement of the
9 seller shall be void and unenforceable.
10 Section 9. Waiver of provisions.
11 Any waiver of the buyer of the provisions of this act shall
12 be deemed contrary to public policy and shall be void and
13 unenforceable.
14 Section 10. Preopening sales bond; amount; filing.
15 Every health spa which sells contracts for health spa
16 services to be rendered at a planned health spa facility or
17 health spa facility under construction shall maintain a bond
18 issued by a surety company admitted to do business in this
19 Commonwealth. The principal sum of the bond shall be a minimum
20 of $25,000. The health spa shall be relieved from the obligation
21 to maintain the bond upon commencing health spa service.
22 Section 11. Bond; persons protected.
23 The bond required by section 10 shall be in favor of the
24 Commonwealth for the benefit of any person injured by having
25 paid moneys for use of a health spa facility which fails to open
26 within 12 months after the date upon which the buyer and the
27 health spa entered into a contract. The aggregrate liability of
28 the surety to all persons for all breaches of the conditions of
29 the bonds provided in this act shall in no event exceed the
30 amount of the bond.
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1 Section 12. Trained personnel.
2 Every health spa shall insure that at least one person
3 trained in cardiopulmonary resuscitation (CPR) is present on the
4 premises of the health spa at all times the health spa is open
5 for business.
6 Section 13. Effective date.
7 This act shall take effect in 60 days.
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