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A BILL TO BE ENTITLED
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AN ACT
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relating to the regulation of health spas. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 702.155, Occupations Code, is amended to |
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read as follows: |
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Sec. 702.155. DURATION OF SECURITY. A certificate holder |
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shall maintain the security filed or posted under Section 702.151 |
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in effect until [the later of:
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[(1)
the second anniversary of the date the
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certificate holder's health spa closes; or
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[(2)] the date the secretary of state determines that |
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each claim filed against the security has been satisfied or |
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foreclosed by law. |
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SECTION 2. Section 702.156(b), Occupations Code, is amended |
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to read as follows: |
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(b) If the security filed or posted under this subchapter by |
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a certificate holder is canceled, the secretary of state shall: |
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(1) suspend the certificate holder's certificate of |
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registration on the date of cancellation; and |
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(2) maintain other security on file with the secretary |
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until [the later of:
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[(A)
the second anniversary of the date the
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certificate holder's health spa closes; or
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[(B)] the date the secretary determines that each |
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claim filed against the security has been satisfied or foreclosed |
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by law. |
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SECTION 3. Section 702.251, Occupations Code, is amended to |
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read as follows: |
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Sec. 702.251. FILING OF SECURITY CLAIM. A member may file a |
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claim against the security filed or posted under this subchapter by |
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providing [sending] to the secretary of state [by certified mail] a |
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copy of the contract between the member and certificate holder who |
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filed or posted the security, accompanied by proof of payment made |
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under the contract, if the certificate holder's health spa: |
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(1) closes and fails to provide alternative facilities |
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not more than 10 miles from the location of the health spa; or |
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(2) relocates more than 10 miles from its location |
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preceding the relocation. |
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SECTION 4. Section 702.304(a), Occupations Code, is amended |
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to read as follows: |
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(a) Except as provided by Subsection (b), a contract must |
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state in at least 10-point type that is boldfaced, capitalized, |
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underlined, or otherwise conspicuously distinguished from |
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surrounding written material: |
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(1) "NOTICE TO PURCHASER: DO NOT SIGN THIS CONTRACT |
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UNTIL YOU READ IT OR IF IT CONTAINS BLANK SPACES." |
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(2) "IF YOU DECIDE YOU DO NOT WISH TO REMAIN A MEMBER |
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OF THIS HEALTH SPA, YOU MAY CANCEL THIS CONTRACT BY MAILING TO THE |
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HEALTH SPA BY MIDNIGHT OF THE THIRD BUSINESS DAY AFTER THE DAY YOU |
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SIGN THIS CONTRACT A NOTICE STATING YOUR DESIRE TO CANCEL THIS |
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CONTRACT. THE WRITTEN NOTICE MUST BE MAILED BY CERTIFIED MAIL TO THE |
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FOLLOWING ADDRESS: |
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(Address of the health spa home office)." |
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(3) "IF THE HEALTH SPA GOES OUT OF BUSINESS AND DOES |
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NOT PROVIDE FACILITIES WITHIN 10 MILES OF THE FACILITY IN WHICH YOU |
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ARE ENROLLED OR IF THE HEALTH SPA MOVES MORE THAN 10 MILES FROM THE |
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FACILITY IN WHICH YOU ARE ENROLLED, YOU MAY: |
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(A) CANCEL THIS CONTRACT BY MAILING BY CERTIFIED |
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MAIL A WRITTEN NOTICE STATING YOUR DESIRE TO CANCEL THIS CONTRACT, |
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ACCOMPANIED BY PROOF OF PAYMENT ON THE CONTRACT TO THE HEALTH SPA AT |
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THE FOLLOWING ADDRESS: |
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(Address of the health spa home office); AND |
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(B) FILE A WRITTEN NOTICE OF A CLAIM FOR A REFUND |
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OF YOUR UNUSED MEMBERSHIP FEES AGAINST THE BOND OR OTHER SECURITY |
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POSTED BY THE HEALTH SPA WITH THE TEXAS SECRETARY OF STATE. TO MAKE |
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A CLAIM AGAINST THE SECURITY SEND A COPY OF YOUR CONTRACT TOGETHER |
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WITH PROOF OF PAYMENTS MADE ON THE CONTRACT TO THE TEXAS SECRETARY |
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OF STATE. [THE WRITTEN NOTICE MUST BE MAILED BY CERTIFIED MAIL TO
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THE FOLLOWING ADDRESS:
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[OFFICE OF THE SECRETARY OF STATE
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[STATUTORY DOCUMENTS SECTION
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[P.O. BOX 12887
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[AUSTIN, TEXAS 78711-2887.]" |
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(4) "IF YOU DIE OR BECOME TOTALLY AND PERMANENTLY |
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DISABLED AFTER THE DATE THIS CONTRACT TAKES EFFECT, YOU OR YOUR |
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ESTATE MAY CANCEL THIS CONTRACT AND RECEIVE A PARTIAL REFUND OF YOUR |
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UNUSED MEMBERSHIP FEE BY MAILING A NOTICE TO THE HEALTH SPA STATING |
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YOUR DESIRE TO CANCEL THIS CONTRACT. THE HEALTH SPA MAY REQUIRE |
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PROOF OF DISABILITY OR DEATH. THE WRITTEN NOTICE MUST BE MAILED BY |
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CERTIFIED MAIL TO THE FOLLOWING ADDRESS: |
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(Address of the health spa home office)." |
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SECTION 5. Section 702.452(a), Occupations Code, is amended |
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to read as follows: |
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(a) At least 30 days before the date a health spa is |
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scheduled to close or relocate, the certificate holder shall |
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contemporaneously: |
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(1) post, inside and outside each entrance to the |
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health spa, a notice stating: |
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(A) the date the health spa is scheduled to close |
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or relocate; |
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(B) that a member of the health spa may, not later |
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than the 90th day after the date the notice is first posted [health
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spa closes or relocates], file with the secretary of state a claim |
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to recover actual financial loss suffered by the member as a result |
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of the health spa closing; and |
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(C) the procedures for perfecting a security |
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claim; and |
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(2) notify the secretary of state in writing of the |
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health spa closing or relocation and the date that the notice was |
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first posted. |
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SECTION 6. The changes in law made by this Act to Sections |
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702.251, 702.304(a), and 702.452(a), Occupations Code, apply only |
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to a contract that is entered into on or after the effective date of |
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this Act. A contract entered into before the effective date of this |
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Act is governed by the law in effect immediately before that date, |
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and the former law is continued in effect for that purpose. |
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SECTION 7. This Act takes effect September 1, 2009. |