Pennsylvania Statutes Title 73 P.S. Trade and Commerce § 2173. Health club exempt from financial security

(1) All health club contracts used must contain the following clause:

Under this contract, no further payments shall be due to anyone, including any purchaser of any note associated with or contained in this contract, in the event the health club at which the contract is entered into ceases operation and fails to offer a comparable alternate location within ten miles.

(2) All payments due under the contract must be in equal monthly installments spread over the entire term of the contract, except that a club may charge and collect at the beginning of the contract, an initiation fee not to exceed the lesser of six monthly installments to be made under the contract, or the actual costs of establishing the initial health club membership.

(3) There may be no payments of any type, including, but not limited to, down payments, membership fees or any other direct payment to the health club, other than the monthly payments and initiation fees described in paragraph (2).

(4) The term of the contract may not exceed 12 months.

(5) The contract must comply with all other provisions of this act.