SB0314eng 104TH GENERAL ASSEMBLY

SB0314 Engrossed LRB104 08230 SPS 18280 b

AN ACT concerning business.

Be it enacted by the People of the State of Illinois, represented in the General Assembly:

Section 5. The Physical Fitness Services Act is amended by adding Section 7.5 as follows:

(815 ILCS 645/7.5 new)

Sec. 7.5. Contract requirements; lifetime memberships.

(a) As used in this Section, "lifetime membership" means a membership advertised or represented by a physical fitness center as a membership to that physical fitness center that lasts for the duration of the life of the customer unless cancelled by the customer.

(b) A physical fitness center that offers a lifetime membership that includes provisions in the membership contract that allow for increases in costs or fees or reductions in benefits shall disclose those provisions clearly and conspicuously in a bold, clearly readable font that is consistent with the typeface used in the contract.

(c) If a physical fitness center that offers a lifetime membership fails to clearly and conspicuously disclose that the lifetime membership's costs or fees could increase or the lifetime membership's benefits could be reduced, as described in subsection (b), either during the contract's initial term of services or with respect to any automatic renewal of the contract, then the physical fitness center must honor the original terms of the membership for the duration of the life of the customer and shall not increase any costs or fees or reduce any benefits provided for in the original lifetime membership unless: (i) the physical fitness center is sold to a person or entity that is not affiliated with or controlled by the original person or entity who operated the physical fitness center that entered into the lifetime membership contract with the customer; or (ii) the customer voluntarily agrees in writing to change the terms of the lifetime membership.

(d) A physical fitness center shall provide a copy of the lifetime membership contract to the customer upon the request of the customer.