Rep. Jaime M. Andrade, Jr.
Filed: 4/3/2018
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1 | AMENDMENT TO HOUSE BILL 4275
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2 | AMENDMENT NO. ______. Amend House Bill 4275 by replacing | ||||||
3 | everything after the enacting clause with the following:
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4 | "Section 5. The Physical Fitness Services Act is amended by | ||||||
5 | changing Section 8 as follows:
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6 | (815 ILCS 645/8) (from Ch. 29, par. 58)
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7 | Sec. 8. Prohibited contract provisions. | ||||||
8 | (a) No contract for basic physical
fitness services
shall | ||||||
9 | require payment of a total amount in excess of $2500 per year, | ||||||
10 | and every such
contract must so provide in writing;
except that | ||||||
11 | this limit shall not apply to any contract for: (1) family or | ||||||
12 | couple memberships, or
(2) group memberships, where the | ||||||
13 | purchaser is a corporation or other
business entity or any | ||||||
14 | social, fraternal or charitable organization not
created for | ||||||
15 | the purpose of encouraging this contractual arrangement.
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16 | (b) No contract for family or couple memberships for basic |
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1 | physical fitness services shall require payment in excess of | ||||||
2 | $2,500 per year per person covered under the membership.
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3 | (c) No contract for physical fitness services shall require | ||||||
4 | payments or
financing over a period in excess of 3 years from | ||||||
5 | the date the contract
is entered into, nor shall the term of | ||||||
6 | any such contract be measured by
the life of the customer. The | ||||||
7 | initial term of services to be rendered under
the contract may | ||||||
8 | not extend
over a period of more than 2 years from the date the | ||||||
9 | parties enter into
the contract; provided that the customer may | ||||||
10 | be given an option to renew
the contract for consecutive | ||||||
11 | periods of not more than one year each for
a reasonable | ||||||
12 | consideration not less than 10% of the cash price of the | ||||||
13 | original
membership .
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14 | (d) No contract for physical fitness services shall require | ||||||
15 | or entail
the execution of any note by the customer which, when | ||||||
16 | separately negotiated,
will cut off as to third parties
any | ||||||
17 | right of action or defense which the customer may have against | ||||||
18 | the physical
fitness center. No right of action or defense | ||||||
19 | arising out of a contract
for physical fitness services which | ||||||
20 | the customer has against the center
shall be cut off by | ||||||
21 | assignment of the contract whether or not the assignee
acquires | ||||||
22 | the contract
in good faith and for value. Such an assignee is | ||||||
23 | not a holder in due course.
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24 | (Source: P.A. 94-663, eff. 1-1-06; 94-687, eff. 11-3-05.)
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25 | Section 99. Effective date. This Act takes effect June 1, |
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1 | 2018.".
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