The state of Tennessee enacted a new health club law referred to as SB 3752. The new law requires health clubs to obtain a surety bond in the amount of $25,000 with the Department of Commerce and Insurance. SB 3752 states that if the clubs financial condition does not allow it to cover its financial responsibilities, the bond can be increased up to $200,000. The new law also allows the health clubs to sell memberships before they open; buyers have the right to make direct claims on the bond if the club does not open. This is one of two bills enacted in Tennessee for health clubs.
Tennessee Health Club Bond
Discuss: Comments (2)
Category: Commercial Bonds, Surety News
Tags: bond requirements, health club, health club bond, legislation, surety bond, tennessee, tn
Can you run a Health Club without this bond? Or do you have to shut down
Comment by Kacky — July 26, 2010 @ 8:36 pm
It appears it is required. I would check with the state to find out. You wouldn't want to get shut down for not having one.
You can apply online at: http://www.jwsuretybonds.com/protools.htm
Comment by Michael Weisbrot — July 26, 2010 @ 8:42 pm