Legislation
SECTION 624
Rights of cancellation of contracts for services
General Business (GBS) CHAPTER 20, ARTICLE 30
* § 624. Rights of cancellation of contracts for services. 1. Every
contract for services at a planned health club or a health club under
construction shall, at the option of the buyer, be voidable in the event
that the health club and the services to be provided pursuant to such
contract are not available within one year from the date the contract is
executed by the buyer.
2. Every contract for services shall provide that such contract may be
cancelled within three business days after the date of receipt by the
buyer of a copy of the written contract. Notice of cancellation shall be
delivered by certified or registered United States mail at the address
specified in the contract. Such contract shall contain the following
written notice in at least ten point bold type: CONSUMERS RIGHT TO
CANCELLATION. YOU MAY CANCEL THIS CONTRACT WITHOUT ANY PENALTY OR
FURTHER OBLIGATION WITHIN THREE (3) DAYS FROM THIS DATE . . . . . .
Notice of cancellation shall be in writing subscribed by the buyer and
mailed by registered or certified United States mail to the seller at
the address specified in such form. Such notice shall be accompanied by
the contract forms, membership cards and any other documents or evidence
of membership previously delivered to the buyer. All moneys paid
pursuant to such contract shall be refunded within fifteen business days
of receipt of such notice of cancellation. If the buyer has executed any
credit or loan agreement to pay for all or part of health club services,
any such negotiable instrument executed by the buyer shall also be
returned within fifteen days.
3. Every contract for services shall provide that after such three day
period for cancellation as provided in subdivision two of this section,
the buyer's estate may cancel a contract for services if the buyer dies.
The buyer may also cancel after three days if the buyer becomes
significantly physically disabled for a period in excess of six months,
or moves his residence to a location more than twenty-five miles from a
health club operated by the seller, or after the services are no longer
available or substantially available as provided in the contract because
of the seller's permanent discontinuance of operation or substantial
change in operation. Nothing contained herein shall restrict or prohibit
the seller from offering or providing in such contract additional or
broader reasons for cancellation. The seller may require reasonable
evidence for a cancellation pursuant to this subdivision. Such contract
shall contain the following notice captioned in at least ten point bold
type:
ADDITIONAL RIGHTS TO CANCELLATION:
You may also cancel this contract for any of the following reasons:
If upon a doctor's order, you cannot physically receive the services
because of significant physical disability for a period in excess of six
months.
If you die, your estate shall be relieved of any further obligation
for payment under the contract not then due and owing.
If you move your residence more than twenty-five miles from any health
club operated by seller.
If the services cease to be offered as stated in the contract.
All moneys paid pursuant to such contract cancelled for the reasons
contained in this subdivision shall be refunded within fifteen days of
receipt of such notice of cancellation; provided however that the seller
may retain the expenses incurred and the portion of the total price
representing the services used or completed, and further provided that
the seller may demand the reasonable cost of goods and services which
the buyer has consumed or wishes to retain after cancellation of the
contract. In no instance shall the seller demand more than the full
contract price from the buyer. If the buyer has executed any credit or
loan agreement to pay for all or part of health club services, any such
negotiable instrument executed by the buyer shall also be returned
within fifteen days.
* NB Effective until February 23, 2025
* § 624. Rights of cancellation of contracts for services. 1. Every
contract for services at a planned health club or a health club under
construction shall, at the option of the buyer, be voidable in the event
that the health club and the services to be provided pursuant to such
contract are not available within one year from the date the contract is
executed by the buyer.
2. Every contract for services shall provide that such contract may be
cancelled within three business days after the date of receipt by the
buyer of a copy of the written contract. Notice of cancellation shall be
delivered by United States mail or electronic mail at the address or
e-mail address specified in the contract. Such contract shall contain
the following written notice in at least twelve point bold type:
CONSUMERS RIGHT TO CANCELLATION. YOU MAY CANCEL THIS CONTRACT WITHOUT
ANY PENALTY OR FURTHER OBLIGATION WITHIN THREE (3) BUSINESS DAYS FROM
THIS DATE. ..... Notice of cancellation shall be in writing subscribed
by the buyer and mailed by United States mail or electronic mail to the
seller at the address or e-mail address specified in such form. Such
notice shall be accompanied by the contract forms, membership cards and
any other documents or evidence of membership previously delivered to
the buyer. All moneys paid pursuant to such contract shall be refunded
within ten business days of receipt of such notice of cancellation. If
the buyer has executed any credit or loan agreement to pay for all or
part of health club services, any such negotiable instrument executed by
the buyer shall also be returned within ten business days.
3. (a) Every contract for services shall provide that after such three
business day period for cancellation as provided in subdivision two of
this section, the buyer's estate may cancel a contract for services if
the buyer dies. The buyer may also cancel after three business days if
the buyer becomes significantly physically disabled for a period in
excess of three months, or moves their residence to a location more than
twenty-five miles from a health club operated by the seller, or after
the services are no longer available or substantially available as
provided in the contract because of the seller's permanent
discontinuance of operation or substantial change in operation. Nothing
contained herein shall restrict or prohibit the seller from offering or
providing in such contract additional or broader reasons for
cancellation. The seller may require reasonable evidence for a
cancellation pursuant to this subdivision.
(b) Such contract shall contain the following notice captioned in at
least twelve point bold type:
ADDITIONAL RIGHTS TO CANCELLATION:
You may also cancel this contract for any of the following reasons:
If upon a doctor's order, you cannot physically receive the services
because of significant physical disability for a period in excess of
three months.
If you die, your estate shall be relieved of any further obligation
for payment under the contract not then due and owing.
If you move your residence more than twenty-five miles from any health
club operated by seller.
If the services cease to be offered as stated in the contract.
(c) All moneys paid pursuant to such contract cancelled for the
reasons contained in this subdivision shall be refunded within ten
business days of receipt of such notice of cancellation; provided
however that the seller may retain the expenses incurred and the portion
of the total price representing the services used or completed, and
further provided that the seller may demand the reasonable cost of goods
and services which the buyer has consumed or wishes to retain after
cancellation of the contract. In no instance shall the seller demand
more than the full contract price from the buyer. If the buyer has
executed any credit or loan agreement to pay for all or part of health
club services, any such negotiable instrument executed by the buyer
shall also be returned within ten business days.
4. (a) Every contract for services shall provide that such health club
shall accept cancellation of a membership by the buyer or the buyer's
estate, as provided in this section, no later than three business days
after receiving notice of the cancellation.
(b) Where a contract for services is due for renewal on an annual
basis, such contract for services following the initial contract shall
provide that such health club shall accept cancellation of renewal of a
membership, by the buyer or the buyer's estate, provided such request is
made within fifteen business days after such renewal takes effect. Where
a contract for service is due for renewal on a monthly basis, such
contract for services following the initial contract shall provide that
such health club shall accept cancellation of renewal of a monthly
membership, by the buyer or the buyer's estate provided such request is
made within three business days after such renewal takes effect.
(c) Such health club shall accept notice of cancellation of a
membership through methods including, but not limited to, website,
electronic mail, telephone, mail, or in person.
(d) If a health club allows a buyer to enter into a contract for
services through a website, such health club shall accept a notice of
cancellation of such contract through such website in addition to the
methods provided pursuant to paragraph (c) of this subdivision.
* NB Effective February 23, 2025
contract for services at a planned health club or a health club under
construction shall, at the option of the buyer, be voidable in the event
that the health club and the services to be provided pursuant to such
contract are not available within one year from the date the contract is
executed by the buyer.
2. Every contract for services shall provide that such contract may be
cancelled within three business days after the date of receipt by the
buyer of a copy of the written contract. Notice of cancellation shall be
delivered by certified or registered United States mail at the address
specified in the contract. Such contract shall contain the following
written notice in at least ten point bold type: CONSUMERS RIGHT TO
CANCELLATION. YOU MAY CANCEL THIS CONTRACT WITHOUT ANY PENALTY OR
FURTHER OBLIGATION WITHIN THREE (3) DAYS FROM THIS DATE . . . . . .
Notice of cancellation shall be in writing subscribed by the buyer and
mailed by registered or certified United States mail to the seller at
the address specified in such form. Such notice shall be accompanied by
the contract forms, membership cards and any other documents or evidence
of membership previously delivered to the buyer. All moneys paid
pursuant to such contract shall be refunded within fifteen business days
of receipt of such notice of cancellation. If the buyer has executed any
credit or loan agreement to pay for all or part of health club services,
any such negotiable instrument executed by the buyer shall also be
returned within fifteen days.
3. Every contract for services shall provide that after such three day
period for cancellation as provided in subdivision two of this section,
the buyer's estate may cancel a contract for services if the buyer dies.
The buyer may also cancel after three days if the buyer becomes
significantly physically disabled for a period in excess of six months,
or moves his residence to a location more than twenty-five miles from a
health club operated by the seller, or after the services are no longer
available or substantially available as provided in the contract because
of the seller's permanent discontinuance of operation or substantial
change in operation. Nothing contained herein shall restrict or prohibit
the seller from offering or providing in such contract additional or
broader reasons for cancellation. The seller may require reasonable
evidence for a cancellation pursuant to this subdivision. Such contract
shall contain the following notice captioned in at least ten point bold
type:
ADDITIONAL RIGHTS TO CANCELLATION:
You may also cancel this contract for any of the following reasons:
If upon a doctor's order, you cannot physically receive the services
because of significant physical disability for a period in excess of six
months.
If you die, your estate shall be relieved of any further obligation
for payment under the contract not then due and owing.
If you move your residence more than twenty-five miles from any health
club operated by seller.
If the services cease to be offered as stated in the contract.
All moneys paid pursuant to such contract cancelled for the reasons
contained in this subdivision shall be refunded within fifteen days of
receipt of such notice of cancellation; provided however that the seller
may retain the expenses incurred and the portion of the total price
representing the services used or completed, and further provided that
the seller may demand the reasonable cost of goods and services which
the buyer has consumed or wishes to retain after cancellation of the
contract. In no instance shall the seller demand more than the full
contract price from the buyer. If the buyer has executed any credit or
loan agreement to pay for all or part of health club services, any such
negotiable instrument executed by the buyer shall also be returned
within fifteen days.
* NB Effective until February 23, 2025
* § 624. Rights of cancellation of contracts for services. 1. Every
contract for services at a planned health club or a health club under
construction shall, at the option of the buyer, be voidable in the event
that the health club and the services to be provided pursuant to such
contract are not available within one year from the date the contract is
executed by the buyer.
2. Every contract for services shall provide that such contract may be
cancelled within three business days after the date of receipt by the
buyer of a copy of the written contract. Notice of cancellation shall be
delivered by United States mail or electronic mail at the address or
e-mail address specified in the contract. Such contract shall contain
the following written notice in at least twelve point bold type:
CONSUMERS RIGHT TO CANCELLATION. YOU MAY CANCEL THIS CONTRACT WITHOUT
ANY PENALTY OR FURTHER OBLIGATION WITHIN THREE (3) BUSINESS DAYS FROM
THIS DATE. ..... Notice of cancellation shall be in writing subscribed
by the buyer and mailed by United States mail or electronic mail to the
seller at the address or e-mail address specified in such form. Such
notice shall be accompanied by the contract forms, membership cards and
any other documents or evidence of membership previously delivered to
the buyer. All moneys paid pursuant to such contract shall be refunded
within ten business days of receipt of such notice of cancellation. If
the buyer has executed any credit or loan agreement to pay for all or
part of health club services, any such negotiable instrument executed by
the buyer shall also be returned within ten business days.
3. (a) Every contract for services shall provide that after such three
business day period for cancellation as provided in subdivision two of
this section, the buyer's estate may cancel a contract for services if
the buyer dies. The buyer may also cancel after three business days if
the buyer becomes significantly physically disabled for a period in
excess of three months, or moves their residence to a location more than
twenty-five miles from a health club operated by the seller, or after
the services are no longer available or substantially available as
provided in the contract because of the seller's permanent
discontinuance of operation or substantial change in operation. Nothing
contained herein shall restrict or prohibit the seller from offering or
providing in such contract additional or broader reasons for
cancellation. The seller may require reasonable evidence for a
cancellation pursuant to this subdivision.
(b) Such contract shall contain the following notice captioned in at
least twelve point bold type:
ADDITIONAL RIGHTS TO CANCELLATION:
You may also cancel this contract for any of the following reasons:
If upon a doctor's order, you cannot physically receive the services
because of significant physical disability for a period in excess of
three months.
If you die, your estate shall be relieved of any further obligation
for payment under the contract not then due and owing.
If you move your residence more than twenty-five miles from any health
club operated by seller.
If the services cease to be offered as stated in the contract.
(c) All moneys paid pursuant to such contract cancelled for the
reasons contained in this subdivision shall be refunded within ten
business days of receipt of such notice of cancellation; provided
however that the seller may retain the expenses incurred and the portion
of the total price representing the services used or completed, and
further provided that the seller may demand the reasonable cost of goods
and services which the buyer has consumed or wishes to retain after
cancellation of the contract. In no instance shall the seller demand
more than the full contract price from the buyer. If the buyer has
executed any credit or loan agreement to pay for all or part of health
club services, any such negotiable instrument executed by the buyer
shall also be returned within ten business days.
4. (a) Every contract for services shall provide that such health club
shall accept cancellation of a membership by the buyer or the buyer's
estate, as provided in this section, no later than three business days
after receiving notice of the cancellation.
(b) Where a contract for services is due for renewal on an annual
basis, such contract for services following the initial contract shall
provide that such health club shall accept cancellation of renewal of a
membership, by the buyer or the buyer's estate, provided such request is
made within fifteen business days after such renewal takes effect. Where
a contract for service is due for renewal on a monthly basis, such
contract for services following the initial contract shall provide that
such health club shall accept cancellation of renewal of a monthly
membership, by the buyer or the buyer's estate provided such request is
made within three business days after such renewal takes effect.
(c) Such health club shall accept notice of cancellation of a
membership through methods including, but not limited to, website,
electronic mail, telephone, mail, or in person.
(d) If a health club allows a buyer to enter into a contract for
services through a website, such health club shall accept a notice of
cancellation of such contract through such website in addition to the
methods provided pursuant to paragraph (c) of this subdivision.
* NB Effective February 23, 2025