HARRY HUGHES, Governor

3305

(2) [The health club facility shall conspicuously
disclose in the health services agreement the buyer's right to
cancel within 3 business days] A BUYER WHO PURCHASES HEALTH CLUB
SERVICES FOR A PLANNED FACILITY OR A FACILITY UNDER CONSTRUCTION
MAY CANCEL THE CONTRACT AT ANY TIME PRIOR TO 5 BUSINESS DAYS
AFTER THE OPENING OF THE FACILITY, OR AFTER RECEIVING NOTICE OF
THE OPENING OF THE FACILITY, WHICHEVER COMES LATER.

(3) (2) If the buyer cancels [within 3 business
days] UNDER PARAGRAPH (1) OR (2) OF THIS SUBSECTION, the
health club facility shall refund any deposit, down payment, or
payment on the agreement INCLUDING ANY INITIATION, DEPOSIT,
MEMBERSHIP, OR OTHER FEES.

(4) (3) AT THE TIME THE BUYER SIGNS ANY CONTRACT FOR
HEALTH CLUB SERVICES, EACH SELLER OF HEALTH CLUB SERVICES SHALL
FURNISH TO THE BUYER AND HAVE THE BUYER SIGN A SEPARATE FORM IN
DUPLICATE ENTITLED "NOTICE OF CONSUMER RIGHTS", WHICH CLEARLY AND
CONSPICUOUSLY DISCLOSES IN A FORM ACCEPTABLE TO THE DIVISION EACH
CONTRACT FOR HEALTH CLUB SERVICES SHALL CONSPICUOUSLY DISCLOSE
UNDER THE HEADING "NOTICE OF CONSUMER RIGHTS";

(I)  THE SELLER'S HEALTH CLUB REGISTRATION
NUMBER WITH THE DIVISION;

(II)  A DESCRIPTION OF WHETHER THE SELLER IS
BONDED AND THE AMOUNT OF THE BOND OR, IF NOT BONDED, AN
EXPLANATION OF THE BASIS FOR THE SELLER'S EXEMPTION FROM THE
BONDING REQUIREMENTS: ;

(III)  THE BUYER'S RIGHT TO CANCEL AS DEFINED IN
§ 14-12B-05 § 14-12B-06 OF THIS SUBTITLE; AND

(IV)  THE BUYER'S RIGHTS IN THE EVENT OF A
DISABILITY OR TEMPORARY CLOSING UNDER § 14-12B-04.

(5) (4) EACH CONTRACT FOR THE SALE OF HEALTH CLUB
SERVICES SHALL CONTAIN IN A FORM ACCEPTABLE TO THE DIVISION:

(I)  A CLEAR AND CONSPICUOUS ITEMIZED
DESCRIPTION OF ANY FEES AND CHARGES; AND

(II)  IF THE FACILITY IS NOT IN OPERATION, THE
EXPECTED DATE OF OPENING ; AND A DESCRIPTION OF THE SPECIFIC
SERVICES AND FACILITIES THAT WILL BE AVAILABLE UPON OPENING.

(III) IN THE CASE OF A BONDED HEALTH CLUB, THE
NAME AND ADDRESS OF THE SURETY AND A DESCRIPTION OF THE CLAIMS
PROCEDURE; AND

(IV) WHERE A LETTER OF CREDIT HAS BEEN POSTED,
THE PROCEDURE TO FILE A CLAIM WITH THE DIVISION.