Bill > S4825

This bill modifies New Jersey law regarding health club services contracts by introducing new requirements for ownership transfers and member notifications. Specifically, the bill mandates that when a health club facility changes ownership, the current owner must notify members by mail or electronically about the ownership transfer and provide details about the date of transfer. Moreover, the health club cannot automatically assign existing member contracts to the new owner without first obtaining explicit written consent from each member, which can include electronic acknowledgement. The consent must be sent separately from the original contract and in advance of the ownership transfer. If the new owner fails to obtain written consent from a member within 30 days of the ownership change, the contract is automatically considered canceled, unless the member subsequently provides consent. The bill aims to protect consumers by ensuring they have a choice about continuing their membership under new ownership and are properly informed about changes to their health club services contract. This legislation applies to all health club services contracts entered into on or after the bill's effective date.

Business and Industry

https://www.njleg.state.nj.us/bill-search/2024/S4825