2000 Minnesota Statutes

     325G.50 Membership travel contracts; cancellation. 

    Subdivision 1.    Definitions.  For purposes of 
 subdivision 2, the following terms have the meanings given them: 

    (a) "Membership travel contract" means an agreement offered 
 or sold in this state evidencing a buyer's right to make travel 
 arrangements from or through a membership travel operator and 
 includes a membership that provides for this use. 

    (b) "Membership travel operator" means a person offering or 
 selling membership travel contracts paid for by a fee or 
 periodic payments. 

    (c) "Travel arrangements" means travel reservations or 
 accommodations, tickets for domestic or foreign travel by air, 
 rail, ship, bus, or other medium of transportation, or hotel or 
 other lodging accommodations for members. 

    Subd. 2.    Buyer's right to cancel.  In addition to 
 other rights the buyer may have, the buyer may cancel a 
 membership travel contract until midnight of the third business 
 day after the day on which the contract was signed by the buyer. 

    To be effective, a notice of cancellation must be given by 
 the buyer in writing to the membership travel operator at the 
 operator's address.  This address must be included in the 
 membership travel contract.  The notice, if given by mail, is 
 effective upon deposit in a mailbox, properly addressed to the 
 operator and postage prepaid.  The notice is sufficient if it 
 shows, by any form of written expression, the buyer's intention 
 not to be bound by the membership travel contract. 

    Cancellation is without liability on the part of the buyer 
 and the buyer is entitled to a refund, within ten days after 
 notice of cancellation is given, of the entire consideration 
 paid for the contract.  Rights of cancellation may not be waived 
 or otherwise surrendered. 

    Subd. 3.    Notice to members.  A copy of the contract 
 must be delivered to the buyer at the time the contract is 
 signed.  The contract must be in writing, must be signed by the 
 buyer, must designate the date on which the buyer signed the 
 contract, and must state, clearly and conspicuously, in boldface 
 type of a minimum size of 14 points, the following: 

                    "MEMBERS' RIGHT TO CANCEL 

    If you wish to cancel this contract, you may cancel by 
 delivering or mailing a written notice to the membership travel 
 operator.  The notice must say that you do not wish to be bound 
 by the contract and must be delivered or mailed before midnight 
 of the third business day after you sign this contract.  The 
 notice must be delivered or mailed to:  (Insert name and mailing 
 address of membership travel operator).  If you cancel, the 
 membership travel operator will return, within ten days of the 
 date on which you give notice of cancellation, any payments you 
 have made." 

    Subd. 4.    Cancellation at any time.  A contract which 
 does not contain the notice specified in subdivision 3 may be 
 canceled by the buyer at any time by giving notice of 
 cancellation by any means. 

    HIST: 1990 c 411 s 1