Tex. Occ. Code Section 702.003
Definitions


In this chapter:

(1)

“Closed” means a condition in which:

(A)

the facilities of a health spa are no longer available to the health spa’s members and equivalent facilities located not more than 10 miles from the health spa have not been made available to the members;

(B)

a certificate holder sells a registered location and the security filed or posted by the certificate holder under Subchapter D is:
(i)
canceled;
(ii)
withdrawn; or
(iii)
otherwise unavailable to the members of the health spa; or

(C)

a certificate holder sells a registered location and the buyer does not adopt or honor the contracts of existing members of the health spa.

(2)

“Contract” means an agreement between a seller and purchaser by which the purchaser becomes a member of a health spa.

(3)

“Facilities” means the equipment, physical structures, improvements, including improvements to leasehold premises, and other tangible property, including saunas, whirlpool baths, gymnasiums, running tracks, swimming pools, shower areas, racquetball courts, martial arts equipment, and exercise equipment, that are located at a health spa and used to conduct the business of the health spa.

(4)

“Health spa” means a business that offers for sale, or sells, memberships that provide the members instruction in or the use of facilities for a physical exercise program. The term does not include:

(A)

an organization that is tax exempt under Section 501 et seq., Internal Revenue Code (26 U.S.C. Section 501 et seq.);

(B)

a private club owned and operated by its members;

(C)

an entity operated exclusively to:
(i)
teach dance or aerobic exercise; or
(ii)
provide physical rehabilitation activity related to an individual’s injury or disease;

(D)

a person engaged in an activity authorized under a license issued by the state;

(E)

an activity conducted or sanctioned by a school under the Education Code; or

(F)

a hospital or clinic owned or operated by an agency of the state or federal government or by a political subdivision of this state.

(5)

“Location” means the physical site of the facilities of a health spa.

(6)

“Member” means a person who is entitled to the benefits of membership in a health spa.

(7)

“Membership” means the status of a person under a contract that entitles the person to use a health spa’s services or facilities.

(8)

“Obligor” means a person, other than a surety, who is obligated to perform if a certificate holder defaults.

(9)

“Open” means the date each service of a health spa that was advertised before the opening, or promised to be made available, are available for use by its members.

(10)

“Prepayment” means consideration paid by a purchaser for membership in a health spa before the date the health spa opens.

(11)

“Purchaser” means a person who purchases, or applies to purchase, the right to use a health spa’s services or facilities.

(12)

“Registered location” means a health spa location for which a health spa operator’s certificate of registration is issued under this chapter.

(13)

“Seller” means a person who:

(A)

owns or operates a health spa; or

(B)

offers for sale, or sells, the right to use a health spa’s services or facilities.

(14)

“Services” means the programs, plans, guidance, or instruction that a health spa provides for its members. The term includes diet planning, exercise instruction and programs, and instructional classes.
Acts 1999, 76th Leg., ch. 388, Sec. 1, eff. Sept. 1, 1999.
Amended by:
Acts 2011, 82nd Leg., R.S., Ch. 887 (S.B. 335), Sec. 1, eff. September 1, 2011.

Source: Section 702.003 — Definitions, https://statutes.­capitol.­texas.­gov/Docs/OC/htm/OC.­702.­htm#702.­003 (accessed May 18, 2024).

702.001
Short Title
702.002
Purpose and Construction
702.003
Definitions
702.051
Administrative and Rulemaking Authority
702.052
Rules Relating to Security Claims and Proceeds
702.053
Registration and Renewal Fees
702.101
Certificate of Registration Required
702.102
Application Requirements
702.103
Certificate of Registration Nontransferable
702.104
Term
702.105
Certificate Posting
702.106
Change of Information
702.107
Sales Tax Permit
702.151
Security Required
702.152
Surety Bond Requirements
702.153
Requirements for Security Other than Surety Bond
702.154
Beneficiary of Security
702.155
Duration of Security
702.156
Notice of Cancellation of Security
702.157
Limit on Liability of Surety or Obligor
702.158
Review of Security Amount
702.201
Application for Exemption
702.202
Qualifications for Exemption
702.205
Issuance of Exemption
702.206
Nontransferability of Exemption
702.207
Denial and Revocation of Exemption
702.251
Filing of Security Claim
702.252
Computation of Claim
702.253
Adjudication on Pro Rata Basis
702.254
Claim Barred
702.301
General Requirements
702.302
Disclosure Requirements
702.303
Contract Term
702.304
Cancellation and Refund Notice
702.305
Prepayment Refund Notice
702.306
Finance Charge Notice
702.307
Cancellation of Contract for Full Refund
702.308
Cancellation of Contract for Partial Refund
702.309
Proof of Payment
702.310
Effect of Contract on Third-party Rights
702.311
Void Contract
702.351
Membership Prepayment
702.352
Escrow Deposit Required
702.353
Exemption from Escrow Requirement
702.354
Duty of Financial Institution
702.355
Refund of Escrowed Prepayment
702.356
Withdrawal of Escrow Funds
702.401
Waiver Prohibited
702.402
Prohibited Acts
702.403
Application of Deceptive Trade Practices Act
702.404
Information Required in Advertisement
702.451
Disciplinary Actions
702.452
Notice Requirement Before Health Spa Closing
702.501
Filing of Suit
702.502
Statute of Limitations
702.503
Recovery
702.504
Temporary Closing
702.551
Investigative and Enforcement Authority
702.552
Suit for Enforcement
702.553
Amount of Civil Penalty
702.554
Violation of Injunction
702.555
Deposit in County Fund
702.556
Criminal Offense: Violation of Chapter
702.557
Criminal Offense: Interference with Investigation
702.558
Criminal Offense: Noncompliance with Subpoena or Investigative Demand

Accessed:
May 18, 2024

§ 702.003’s source at texas​.gov