358-I:1 Definitions. –
As used in this chapter:
I. "Contract" means a monthly contract or a term contract:
(a) "Monthly contract" means any contract where services are paid on a monthly basis.
(b) "Term contract" means any contract where services are paid for in advance for a period of time greater than one month.
II. [Repealed.]
III. "Facilities" means equipment, physical structures, and other tangible property utilized by a health club to conduct its business. The term includes, but is not limited to, saunas, whirlpool baths, gymnasiums, running tracks, swimming pools, shower areas, and exercise equipment.
IV. "Health club" means an establishment which provides services or facilities which purport to improve or maintain the user's physical condition or appearance through weight control, exercise, dieting, or a combination of these. The term includes, but is not limited to, establishments referred to by such terms as reducing salon, spa, exercise club, exercise gym, health studio, health club, weight control center, or other similar term. As used in this chapter, the term "health club" shall not include, and this chapter shall not apply to services rendered by:
(a) Any nonprofit public or private school, college, or university;
(b) The state, or any of its political subdivisions;
(c) Any nonprofit religious, ethnic, community, or service organization; or
(d) Any establishment which does not have as one of its primary purposes or businesses the provision of health club services or facilities.
IV-a. "Initiation fee" means any sum of money received at the initiation of a membership for the incurred costs including but not limited to advertising, administration, commissions, and orientation.
V. "Member" or "buyer" means a natural person who enters into a health club contract or attains a status entitling him to the services or facilities of a health club.
VI. "Prepayment" means any payment for services or the use of facilities made before the services or facilities are made available by the health club. It is not a prepayment if a payment for services or the use of facilities is made on the same day the services or use of the facilities is provided. Money or other consideration received by a health club from a financial institution upon the assignment or sale of a contract shall be considered a prepayment to the extent the member is required to make prepayments to the financial institution pursuant to the contract.
VII. "Seller" means the person, corporation, partnership, association, or other entity engaged in the operation of a health club as defined in this section, and who offers for sale the right to use the facilities or the services of the health club.
VIII. "Services" means programs, plans, guidance, or instruction provided by a health club for health club members. The term includes, but is not limited to, diet planning, exercise instruction, exercise programs, and instructional classes.
IX. "Special offer or discount" means any offer of health club services or the use of health club facilities at a reduced price or without charge to the member or prospective member.
Source. 1983, 438:1. 1985, 300:29, IV. 1998, 305:1, 2, eff. Jan. 1, 1999. 2007, 281:2, eff. July 1, 2007.