59.1-296.2:1 - Prepayment contracts; prohibited practices; relocation; refund
§ 59.1-296.2:1. Prepayment contracts; prohibited practices; relocation;refund.
A. No health spa shall sell a health spa contract on a prepayment basiswithout disclosing in the contract the date on which the facility shall open.The opening date shall not be later than 12 months from the signing of thecontract.
B. No health spa shall close or relocate any facility without first givingnotice to the Commissioner and conspicuously posting a notice both within andoutside each entrance to the facility being closed or relocated of theclosing or relocation date. Such notice shall be provided at least 30 daysprior to the closing or relocation date. If a relocation is to occur, theCommissioner and the facility's members shall be provided with the address ofthe specific new facility at the time of this notice.
C. No health spa shall knowingly and willfully make any false statement inany registration application, statement, report or other disclosure requiredby this chapter.
D. No health spa shall refuse or fail, after notice from the Commissioner, toproduce for the Commissioner's review any of the health spa's books orrecords required to be maintained by this chapter.
E. Unless it so discloses fully in 10-point bold-faced type or larger on theface of each health spa contract, no health spa shall sell any health spacontract if any owner of the health spa, regardless of the extent of hisownership, previously owned in whole or in part a health spa that closed forbusiness any facility and failed to:
1. Refund all moneys due to holders of health spa contracts; or
2. Provide comparable alternate facilities with another health spa thatagreed in writing to honor all provisions of the health spa contracts or atanother facility operated by the originally contracting health spa.
F. No health spa that has failed to provide the Commissioner the appropriatesurety pursuant to § 59.1-306 shall sell a health spa contract unless thatcontract contains a statement that reads as follows: "This spa is notpermitted, pursuant to the Virginia Health Spa Act, to accept any initiationfee in excess of $125 or any payment for more than the prorated monthly feefor the month when the contract is initially executed plus one full month inadvance."
Such disclosure shall be printed in 10-point bold-faced type or larger on theface of each contract.
(1990, cc. 392, 433; 1993, c. 686; 2003, c. 344; 2004, c. 988; 2010, c. 439.)