407.330. Contracts, in writing, required provisions--buyer's right to cancel.
Contracts, in writing, required provisions--buyer's right to cancel.
407.330. 1. Every health spa contract for the sale of future health spaservices which are paid for in advance or which the buyer agrees to pay for infuture installments shall be in writing and shall contain the followingcontractual provisions:
(1) A provision for the penalty-free cancellation of the contract withinthree business days of its making and refund upon such notice of all moneyspaid under the contract;
(2) A provision requiring that to cancel a contract the buyer shallnotify the health spa of cancellation in writing, by certified mail, returnreceipt requested, or personal delivery, to the address specified in thehealth spa contract; that all moneys to be refunded upon cancellation of thehealth spa contract shall be paid within thirty days of receipt of the noticeof cancellation; and that if the customer has executed any credit or lienagreement with the health spa to pay for all or part of health spa services,any such negotiable instrument executed by the buyer shall also be returnedwithin thirty days after such cancellation;
(3) A provision for the cancellation of the contract if the buyer diesor becomes permanently disabled and unable to use a substantial portion of theservices for sixty or more consecutive days. Upon receipt of such notice, thehealth spa shall refund to the buyer funds paid or accepted in payment of thecontract in an amount computed by dividing the contract price by the number ofweeks in the contract term and multiplying the result by the number of weeksremaining in the contract term. In the case of disability, the health spa mayrequire the buyer to submit to a physical examination by a doctor agreeable tothe buyer and the health spa;
(4) A provision for extension of the term of the membership for timeloss due to temporary disability. In the case of disability, the health spamay require the buyer to submit to a physical examination by a doctoragreeable to the buyer and the health spa.
2. The provisions required by subsection 1 of this section shall be setforth under a conspicuous caption:
"BUYER'S RIGHT TO CANCEL"; and read substantially as follows:
If you wish to cancel this contract, you may cancel by delivering writtennotice to this health spa by certified mail, return receipt requested. Thenotice must say that you do not wish to be bound by the contract and must bedelivered or mailed before midnight of the third business day after you signthis contract. The notice must be delivered or mailed to: ....................................................... (Health spa shall insert its name and mailing address.)
(L. 1988 S.B. 486 § 4)*No continuity with § 407.330 as repealed by L. 1963 S.B. 2 § 10-102, effective 7-1-65.