4814

LAWS OF MARYLAND

Ch. 892

CLUB SERVICES AGREEMENT MAY BRING AN ACTION BASED ON THE
BOND AND RECOVER AGAINST THE SURETY.

(B)  (1) THE LIABILITY OF THE SURETY UNDER ANY BOND MAY
NOT EXCEED THE AGGREGATE AMOUNT OF THE BOND, REGARDLESS OF
THE NUMBER OR AMOUNT OF CLAIMS FILED.

(2) IF THE CLAIMS FILED SHOULD EXCEED THE AMOUNT
OF THE BOND, THE SURETY SHALL PAY THE AMOUNT OF THE BOND TO
THE DIVISION FOR DISTRIBUTION TO CLAIMANTS ENTITLED TO
RESTITUTION AND SHALL BE RELIEVED OF ALL LIABILITY UNDER THE
BOND.

(C)  ANY PERSON OR BUSINESS BONDED UNDER THIS SECTION
SHALL MAINTAIN ACCURATE RECORDS OF THE BOND AND OF PREMIUM
PAYMENTS ON IT. THESE RECORDS SHALL BE OPEN TO INSPECTION
BY THE DIVISION AT ANY TIME DURING NORMAL BUSINESS HOURS.

14-12B-05 14-12B-03.

(A) IF A BUYER DESCRIBED IN § 14-12B-01(B)(1)(I) OF
THIS SUBTITLE BECOMES DISABLED DURING THE MEMBERSHIP TERM,
THE BUYER IS ENTITLED TO EXTEND THE MEMBERSHIP CONTRACT FOR
A PERIOD EQUAL TO THE DURATION OF THE DISABILITY.

(B) THE PROVISIONS OF SUBSECTION (A) OF THIS SECTION
DO NOT APPLY UNLESS THE DISABILITY IS CONFIRMED BY A
PHYSICIAN AND IS FOR A PERIOD LONGER THAN 1-WEEK 3 MONTHS.

(C) IF A HEALTH CLUB FACILITY AT WHICH A BUYER OF
HEALTH CLUB SERVICES IS PROVIDED WITH THOSE SERVICES IS
CLOSED FOR A PERIOD LONGER THAN 1-WEEK 1 MONTH THROUGH NO
FAULT OF THE BUYER, THE BUYER IS ENTITLED TO:

(1) EXTEND THE MEMBERSHIP CONTRACT FOR A PERIOD
EQUAL TO THE PERIOD DURING WHICH THE FACILITY IS CLOSED; OR

(2) A PRORATED REFUND OF THE AMOUNT PAID BY THE
BUYER UNDER THE CONTRACT.

(D) (1) IF THE HEALTH CLUB FACILITY IS CLOSED THROUGH
NO FAULT OF THE SELLER, THE CHOICE OF REMEDY DESCRIBED IN
SUBSECTION (C) OF THIS SECTION SHALL BE MADE BY THE SELLER.

(2) IF THE HEALTH CLUB FACILITY IS CLOSED
THROUGH THE FAULT OF THE SELLER, THE CHOICE OF A REMEDY
DESCRIBED IN SUBSECTION (C) OF THIS SECTION SHALL BE MADE BY
THE BUYER.

14-12B-04.

(A) A HEALTH CLUB SERVICES AGREEMENT MAY NOT CONTAIN
AN AUTOMATIC RENEWAL CLAUSE, UNLESS THE AGREEMENT PROVIDES
FOR A RENEWAL OPTION FOR CONTINUED MEMBERSHIP WHICH MUST BE
ACCEPTED BY THE BUYER.