§ 44-79-60 — Permissible contractual provisions.

A contract for physical fitness services may contain clauses which: (1) provide for extension of the term of the agreement for a period equal to a period of temporary disability or pregnancy of the customer, or for any other just or reasonable cause; (2) specify that the written contract constitutes the entire agreement between the parties; (3) provide for a renewal option, for a duration longer than one month but not more than twelve months, which to be enforceable must be exercised by the buyer in writing, or by payment by the buyer of part or all of the renewal price. A renewal option for a duration longer than one month may be exercised only near the expiration of any previous contract and for not more than twelve months; (4) provide for an automatic renewal option, for a duration of no longer than one month, which to be enforceable must be disclosed in bold type of at least fourteen-point font on the front page of the contract and must be initialed by the customer. The customer will be given the ability to opt-in to the automatic renewal provision at the time the initial contract is executed by initialing an opt-in provision. Near the expiration of the initial contract, the facility shall notify the customer in writing at the customer's last known address of the automatic renewal option which the customer selected at the time the initial contract was executed. Price may not increase or decrease in an automatically renewed contract without written notice to the customer of at least thirty but not more than sixty days prior to the effective date of the change in price; (5) specify that cancellation of a contract voids automatic renewal provisions.

Legislative History

HISTORY: 1985 Act No. 165, SECTION 1; 2008 Act No. 298, SECTION 2, eff upon approval (became law without the Governor's signature on June 12, 2008).