4-94-109. Cancellation of contracts.

4-94-109. Cancellation of contracts. (a)(1) Contracts for health spa services may be cancelled within three (3) business days after the date of receipt by the buyer of a copy of the contract by written notice to the seller at the address specified in the contract. (2) The notice must be accompanied by the contract forms, membership cards, and any and all other documents and evidence of membership previously delivered to the buyer. (3) All moneys paid pursuant to the contract shall be refunded within thirty (30) days of receipt of the notice of cancellation. (b)(1) Every contract for health spa services shall provide that, after the three-day period of cancellation as provided in subsection (a) of this section, the buyer's estate may cancel a contract for services if the buyer dies. (2) The buyer may also cancel after three (3) days if the buyer becomes totally and permanently physically disabled or moves his or her residence to a location more than fifty (50) miles from a health club operated by the seller or a substantially similar health club facility which would accept the seller's obligation under the contract or after the services are no longer available as provided in the contract because of the seller's permanent discontinuance of operation. (3) Nothing contained in this section or § 4-94-108 shall restrict or prohibit the seller from offering or providing in the contract additional or broader reasons for cancellation. (c)(1) The health spa shall have the right to require and verify reasonable evidence of permanent physical relocation, permanent physical disability, or death. (2) In the case of permanent disability, the health spa may also require in the contract that the buyer submit to a physical examination by a doctor agreeable to the buyer and the health club. (d) All moneys paid pursuant to any contract cancelled for the reasons contained in this section shall be refunded within thirty (30) days of receipt of the notice of cancellation; provided, however, that the seller may retain the benefits conferred and that portion of the total price representing the services used or completed, and further provided that the seller may receive the reasonable cost of goods and services which the buyer has consumed or wishes to retain after cancellation of the contract. In no instance shall the seller receive more than the full contract price from the buyer except for goods and services consumed by the buyer separate from the contract. If the buyer has executed any credit or loan agreement to pay for all or part of health spa services, then the credit or loan agreement executed by the buyer shall also be returned within thirty (30) days.