Section 407.325

Title XXVI TRADE AND COMMERCE

Chapter 407

Effective - 28 Aug 1988   

  407.325.  Definitions. — As used in sections 407.325 to 407.340, the following terms shall mean:

  (1)  "Business day", any day except a Sunday or a legal holiday;

  (2)  "Buyer", a natural person who enters into a health spa contract;

  (3)  "Contract price", the sum of all monthly fees except interest required by the health spa contract and any nonrecurring fee charged at or near the beginning of a health spa membership;

  (4)  "Health spa", any person, firm, corporation, organization, club or association engaged in the sale of memberships in a program of physical exercise, which includes the use of one or more of a sauna, whirlpool, weight-lifting room, massage, steam room, or exercising machine or device, or engaged in the sale of the right or privilege to use exercise equipment or facilities, such as a sauna, whirlpool, weight-lifting room, massage, steam room or exercising machine or device.  The term "health spa" shall not include the following:

  (a)  Bona fide nonprofit organizations, including, but not limited to, the Young Men's Christian Association, Young Women's Christian Association, or similar organizations whose functions as health spas are only incidental to their overall functions and purposes;

  (b)  Any private club owned and operated by its members;

  (c)  Any organization primarily operated for the purpose of teaching a particular form of self-defense such as judo or karate;

  (d)  Any facility owned or operated by the United States;

  (e)  Any facility owned or operated by the state of Missouri or any of its political subdivisions;

  (f)  Any nonprofit public or private school, college or university; and

  (g)  Any facility owned or operated by any person, firm, corporation, organization, club or association, engaged in the sale of the right or privilege to use such facility when the proceeds of the sale of such rights or privileges accounts for twenty percent or less of the gross annual receipts of the person, firm, corporation, organization, club or association;

  (5)  "Health spa contract", a written agreement whereby the buyer of health spa services purchases, or becomes obligated to purchase, health spa services to be rendered over a period longer than three months; and the seller of health spa services receives payment to cover a period more than three months;

  (6)  "Health spa services", services, privileges, or rights offered for sale or provided by a health spa;

  (7)  "Monthly fee", the total consideration, including but not limited to, equipment or locker rental, credit check, finance, medical and dietary evaluation, class and training fees, and all other similar fees or charges and interest, but excluding any nonrecurring fee charged at or near the beginning of a health spa membership, to be paid by a buyer, divided by the total number of months of health spa service use allowed by the buyer's contract, including months or time periods called "free" or "bonus" months or time periods and such months or time periods which are described in any other terms suggesting that they are provided free of charge, which months or time periods are given or contemplated when the contract is initially executed;

  (8)  "Prepayment", payment of any consideration for services or the use of facilities made prior to the day on which the services or facilities of the health spa are fully open and available for regular use by the members.

­­--------

(L. 1988 S.B. 486 § 1)