New Hampshire Revised Statutes 358-S:5 – Length of Membership Contract; Automatic Renewal; Required Membership Options
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I. No term contract for martial arts school services shall be for a term of more than 3 years. The buyer has the option of purchasing a shorter term contract in accordance with the other courses offered by the martial arts school. The buyer has the option of entering into a contract up to 3 years provided they have been enrolled in the school for at least one year. A contract may provide for a renewal option for continued membership, but any such renewal shall be accepted in writing by a buyer and is effective only upon payment under the terms of the preceding agreement. Under no circumstances may a contract for martial arts school services be renewed more than 90 days before the contract’s expiration date. Buyers may upgrade their membership under new agreements at any time.
II. Every seller shall offer a month-to-month membership option and a monthly membership option to any new prospective student, in addition to any other term contract the seller elects to offer. The availability of month-to-month memberships shall be stated in any written or broadcast advertisement or posting or marketing materials that describe any other membership option the seller offers which apply to the skill level for the prospective students based upon the curriculum of each martial arts school as determined by the director of the martial arts school. No seller shall limit the availability of month-to-month or monthly memberships to any new prospective student in any manner in which the seller does not also limit the availability of any term contract; nor may a seller accept payment from a buyer or enter into a term contract unless and until the seller has informed the buyer both orally and in writing of the availability of the month-to-month or monthly memberships to any new prospective student. Month-to-month memberships shall offer the same access to martial arts school facilities and services that term or monthly contracts offer.
III. The annualized price of a month-to-month membership shall not exceed the annualized price of the corresponding program’s term contract the seller offers by more than 25 percent.
II. Every seller shall offer a month-to-month membership option and a monthly membership option to any new prospective student, in addition to any other term contract the seller elects to offer. The availability of month-to-month memberships shall be stated in any written or broadcast advertisement or posting or marketing materials that describe any other membership option the seller offers which apply to the skill level for the prospective students based upon the curriculum of each martial arts school as determined by the director of the martial arts school. No seller shall limit the availability of month-to-month or monthly memberships to any new prospective student in any manner in which the seller does not also limit the availability of any term contract; nor may a seller accept payment from a buyer or enter into a term contract unless and until the seller has informed the buyer both orally and in writing of the availability of the month-to-month or monthly memberships to any new prospective student. Month-to-month memberships shall offer the same access to martial arts school facilities and services that term or monthly contracts offer.
Terms Used In New Hampshire Revised Statutes 358-S:5
- Contract: A legal written agreement that becomes binding when signed.
- Contract: means a month-to-month contract, monthly contract, or a term contract:
(a) "Month-to-month contract" means any contract for a new prospective student to pay membership fees on a monthly basis. See New Hampshire Revised Statutes 358-S:1 - Facilities: means equipment, physical structures, and other tangible property utilized by a martial arts school to conduct its business. See New Hampshire Revised Statutes 358-S:1
- Martial arts school: means any establishment primarily operated for the purpose of teaching a form or forms of self-defense, such as judo or karate. See New Hampshire Revised Statutes 358-S:1
- Seller: means the person, corporation, partnership, association, or other entity engaged in the operation of a martial arts school as defined in this section, and who offers for sale martial arts instruction at the martial arts school. See New Hampshire Revised Statutes 358-S:1
- Services: means programs, plans, guidance, or instruction provided by a martial arts school for martial arts school members. See New Hampshire Revised Statutes 358-S:1
- student: means a natural person who enters into a martial arts school contract or attains a status entitling him or her to the services or facilities of a martial arts school. See New Hampshire Revised Statutes 358-S:1
- Term contract: means any contract where services are paid for in whole and in advance for a period of time greater than one month. See New Hampshire Revised Statutes 358-S:1
III. The annualized price of a month-to-month membership shall not exceed the annualized price of the corresponding program’s term contract the seller offers by more than 25 percent.