I. No term contract for health club services shall be for a term of more than one year, nor shall any health club term contract contain an automatic renewal clause for a period greater than one month. A contract may provide for a renewal option for continued membership, but any such renewal must be accepted in writing by a buyer and is effective only upon payment of the renewal price. Under no circumstances may a contract for health club services be renewed more than 90 days before the contract’s expiration date. The annualized price of the buyer’s first term contract or membership option with a seller may not exceed the annualized price of any subsequent term contract or other membership option with the seller by more than 25 percent.
II. Every seller shall offer a month-to-month membership option in addition to any other term contract the seller elects to offer. The availability of month-to-month memberships shall be stated in any written or broadcast advertisement or posting or marketing materials that describe any other membership option the seller offers. No seller shall limit the availability of month-to-month memberships in any manner in which the seller does not also limit the availability of any term contract; nor may a seller accept payment from a buyer or enter into a term contract unless and until the seller has informed the buyer both orally and in writing of the availability of the month-to-month membership. Month-to-month memberships shall offer the same access to health club facilities and services that term contracts offer. A buyer may cancel a month-to-month membership option with 30 days written notice to the seller, provided the original contract obligations have been met, for any reason, and have no further obligation to the seller. The provisions of this paragraph shall apply to a university, college, or educational institution to the extent that it offers health club services to the general public, but shall not apply to a university, college, or educational institution in its offer of health club services to its student body.

Terms Used In New Hampshire Revised Statutes 358-I:5

  • 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. See New Hampshire Revised Statutes 358-I:1
  • Contract: means a monthly contract or a term contract:
    (a) "Monthly contract" means any contract where services are paid on a monthly basis. See New Hampshire Revised Statutes 358-I:1
  • Contract: A legal written agreement that becomes binding when signed.
  • Facilities: means equipment, physical structures, and other tangible property utilized by a health club to conduct its business. See New Hampshire Revised Statutes 358-I:1
  • 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. See New Hampshire Revised Statutes 358-I:1
  • month: shall mean a calendar month, and the word "year" a calendar year, unless otherwise expressed; and the word "year" shall be equivalent to the expression "year of our Lord. See New Hampshire Revised Statutes 21:8
  • Obligation: An order placed, contract awarded, service received, or similar transaction during a given period that will require payments during the same or a future period.
  • 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. See New Hampshire Revised Statutes 358-I:1
  • Services: means programs, plans, guidance, or instruction provided by a health club for health club members. See New Hampshire Revised Statutes 358-I:1
  • Term contract: means any contract where services are paid for in advance for a period of time greater than one month. See New Hampshire Revised Statutes 358-I:1

III. The annualized price of a month-to-month membership shall not exceed the annualized price of any term contract the seller offers by more than 25 percent.