Alabama § 8-23-3 Registration of Health Studio Sales Persons; Resident Agent; Security Bond

Alabama Statutes

§ 8-23-3 — Registration of Health Studio Sales Persons; Resident Agent; Security Bond

Alabama § 8-23-3

Title 8Commercial Law and Consumer Protection

Ch. 23Health Studio Services

This text of Alabama § 8-23-3 (Registration of Health Studio Sales Persons; Resident Agent; Security Bond) is published on Counsel Stack Legal Research, covering Alabama primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook

Ala. Code § 8-23-3 (2026).

Text

(a)Each person who sells health studio services in this state shall register with the Attorney General’s Consumer Protection Division on forms the division provides. The person shall furnish the full name and address of each business location where health studio services are sold as well as any other registration information the division deems appropriate.

(b)There shall be one registered agent representing each seller of health studio services in the county where a studio is located and shall serve as a resident agent for receipt of service of process.

(c)The division may bring an action for mandamus against a health studio to require the club to register or to have and maintain the surety required by this section.

(d)Every health studio which sells contracts for health studio service

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(a) Each person who sells health studio services in this state shall register with the Attorney General’s Consumer Protection Division on forms the division provides. The person shall furnish the full name and address of each business location where health studio services are sold as well as any other registration information the division deems appropriate.
(b) There shall be one registered agent representing each seller of health studio services in the county where a studio is located and shall serve as a resident agent for receipt of service of process.
(c) The division may bring an action for mandamus against a health studio to require the club to register or to have and maintain the surety required by this section.
(d) Every health studio which sells contracts for health studio services to be rendered at a planned health studio or a health studio under construction shall purchase a security bond in an amount not less than $50,000, or shall file with the division an irrevocable letter of credit by a surety company or lending institution permitted to do business in the state.
(e) A buyer of health studio services who suffers or sustains any loss or damage by reason of breach of contract or bankruptcy by the seller of the health studio services contract may bring an action based on the bond and recover against the surety.
(f) The liability of the surety under any bond may not exceed the aggregate amount of the bond, regardless of the number of amount of claims filed.
(g) If the claims filed should exceed the amount of the bond, the surety shall pay the amount of the bond to the division for distribution to claimants entitled to restitution and shall be relieved of all liability under the bond.
(h) Any person or business bonded under this section shall maintain accurate records of the bond and of premium payments on it. These records shall be open to inspection by the division at any time during normal business hours.