Sec. 16.5. (a) Except as provided in subsection (d), if any of a health spa‘s facilities or services described in the contract are no longer provided before full receipt of the services and use of facilities for which the buyer contracted, the buyer is entitled to a refund based on the total consideration proportional to the elapsed time portion of the contract at the time of the unavailability, or may exercise the option provided by subsection (b).

     (b) A buyer has the option, instead of the proportional refund provided in subsection (a), to choose to complete the unused portion of the contract, including renewal periods, at another location that is owned, controlled, affiliated with, or operated by the seller. A modification of the contract must be made in writing.

Terms Used In Indiana Code 24-5-7-16.5

  • Buyer: means a purchaser of services under a contract for health spa services. See Indiana Code 24-5-7-1
  • Contract: means a contract for health spa services entered into after August 31, 1983. See Indiana Code 24-5-7-1
  • Contract: A legal written agreement that becomes binding when signed.
  • Health spa: means any business entity, other than an entity that is exempt from taxation under Section 501 of the Internal Revenue Code, offering health spa services to the public. See Indiana Code 24-5-7-1
  • in writing: include printing, lithographing, or other mode of representing words and letters. See Indiana Code 1-1-4-5
  • Seller: means a seller of services under a contract for health spa services. See Indiana Code 24-5-7-1
     (c) This section does not restrict a health spa’s ability to:

(1) make improvements to the facilities or services; or

(2) replace a facility or service with a superior facility or service.

     (d) If a health spa ceases to provide services or access to facilities in order to perform regular maintenance or to repair equipment, a buyer may not exercise the rights provided in subsection (a) or (b) until the health spa has failed to provide services or access to facilities for a continuous period of thirty (30) days. However, if a health spa that has ceased to provide services or access to facilities in order to perform regular maintenance or repair equipment is unable to resume providing services or access to facilities within thirty (30) days due to circumstances beyond the control of the operator of the health spa, a buyer may not exercise the rights provided in subsection (a) or (b) until the health spa has failed to provide services or access to facilities for a continuous period of sixty (60) days.

As added by P.L.24-1989, SEC.18.

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