Sec. 702.202.  QUALIFICATIONS FOR EXEMPTION.  A certificate holder may apply for an exemption under Section 702.201 if:
(1)  the certificate holder does not require, or solicit or offer a plan or program that requires, a health spa consumer to:
(A)  execute a membership contract for a term that exceeds 31 days;
(B)  execute a note or retail installment contract;
(C)  authorize a draw or other recurring debit on a financial institution in favor of the certificate holder or the certificate holder's assignee;
(D)  pay an initiation fee or other fee, not including monthly dues; or
(E)  prepay for a term that exceeds 31 days; or
(2)  the certificate holder submits a sworn statement every three years with the secretary of state stating that the certificate holder:
(A)  has assets based on net book value that exceed $50,000 per registered location; 
(B)  has operated under substantially the same ownership or management for at least five years; and
(C)  has not been the subject of a complaint relating to the closing of a health spa owned by the certificate holder or the failure of a health spa owned by the certificate holder to open that has been initiated or filed by a member of the health spa with a governmental authority in this state.
Acts 1999, 76th Leg., ch. 388, Sec. 1, eff. Sept. 1, 1999.
Amended by: 
Acts 2005, 79th Leg., Ch. 908 (H.B. 135), Sec. 4, eff. September 1, 2005.