California Codes, Civil Code - CIV, Division 3 — Obligations, Part 4 — Obligations Arising from Particular Transactions, Title 2.6 — Contracts for Discount Buying Services, Section 1812.121

(a) If a discount buying organization removes its place of business or, if it conducts business at more than one location, that place of business which is geographically closest to the buyer’s residence indicated on the face of the contract, more than 20 miles farther from the buyer’s residence than it was at the time the contract for discount buying services was entered into, the organization shall offer rescission and a pro rata refund to each buyer affected, based upon the amount of time for which the buyer has been a member of the organization.

(b) If a discount buying organization discontinues providing any category of goods or services disclosed in compliance with Section 1812.106 or otherwise represented to the buyer to be available at or before the buyer’s signing of the contract for discount buying services, the organization shall offer rescission and a pro rata refund based upon the amount of time for which the buyer has been a member of the organization, to each buyer who was informed of the availability of the category of goods or services to be discontinued and signed a contract for discount buying services within the six months immediately preceding the discontinuance of said category of goods or services.

Notes

Requires a discount buying organization to offer rescission and a prorated refund when its nearest location moves more than 20 miles farther from the buyer than when the contract began. The same remedy applies to buyers who contracted within the preceding six months for a represented category of goods or services that the organization later discontinues.

Use as reference

Lexinter.net | California Code, Civil Code - CIV § 1812.121 | https://laws.lexinter.net/codes/california/civil-code/division-3/part-4/title-2-6/section-1812-121

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