S 3306 New Jersey Senate · 2026-2027 Regular Session

Requires notification to members of health club if club is to be sold and health club services contract assigned to new owner.

This bill requires health clubs in New Jersey to provide written contracts that clearly state the total payment obligation upfront and disclose any security (like bonds or deposits) held to protect members. It limits health club service contracts to a maximum of three years and gives buyers a three-day window to cancel contracts without penalty by phone, mail, or online. If canceled within this period, members must receive a full refund within 30 days. The bill also mandates that contracts include specific cancellation notices in bold type, detailing how to cancel and the refund timeline.
Bill status signed all 5 stages cleared
Introduction
Feb 2026
Committee Review
Mar 2026
Senate Passage
May 2026
General Assembly Passage
May 2026
Signed into Law
Jun 2026
Introduced Feb 2, 2026 Signed Jun 30, 2026
Maddy AI version diff · 1 comparison

What changed between versions

Introduced Reprint · 5 edits
MODERATE
The Assembly Consumer Affairs Committee substantially reworked the ownership transfer provision (subsection k) of this health club contract bill. The original single consent requirement was replaced with a three-part framework that distinguishes between ownership changes that keep services and prices the same versus those that decrease services or increase rates, adds a 60-day advance notice requirement, creates a 26-day post-transfer cancellation window for members, and mandates physical posting of notice at the facility.
Scope change
The bill's scope remains the same (health club services contracts entered into on or after the effective date), but the applicability of the ownership transfer rules is now differentiated based on whether the new ownership results in decreased services or increased membership rates, creating two distinct regulatory tracks.
REQUIREMENT

The ownership transfer consent mechanism was restructured from a single opt-in consent rule into two scenarios: (1) if services and prices remain unchanged, the contract is assigned by default unless the buyer actively denies it, with a 26-day post-transfer window to nullify; (2) if services decrease or prices increase, the contract is only assigned if the buyer affirmatively consents within 30 days of transfer, otherwise it is deemed cancelled.

A new requirement mandates that the facility notify buyers at least 60 days in advance of an ownership change (previously no specific advance notice period was required).

A new physical posting requirement obligates the owner to post a notice in a prominent location at the facility at least 15 days before the transfer and for 26 days after, including the new business name, date of change, and the buyer's right to decline assignment.

A refund requirement was added: if any charges were made against a buyer's account during the 26-day post-transfer period (including after the buyer requested nullification), the facility must issue a refund within 10 business days.

TECHNICAL

The bill's STATEMENT section (a summary paragraph explaining the bill's purpose) was removed in the reprint version.

Floor votes

How they voted

This bill passed the Senate by voice vote (no roll call recorded).
Full legislative history

Actions timeline

Total actions
11
Key actions
3
Committee
2
May 28, 2026
Upper · Passed
Passed Senate (Passed Both Houses) (36-0)
upper
May 18, 2026
Lower · Passed
Passed by the Assembly (65-10-0)
lower
Mar 19, 2026
Committee
Reported out of Asm. Comm. with Amendments, and Referred to Assembly Commerce and Economic Development Committee
lower
Feb 24, 2026
Committee
Received in the Assembly, Referred to Assembly Consumer Affairs Committee
lower
Feb 24, 2026
Upper · Passed
Passed by the Senate (38-0)
upper
Feb 2, 2026
Introduced
Introduced in the Senate, Referred to Senate Commerce Committee
upper
3 primary · 1 co-sponsor

Sponsors