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North Carolina Health Club / Prepaid Entertainment Bond


What is a North Carolina Health Club / Prepaid Entertainment Bond?

A Health Club or Prepaid Entertainment Surety Bond is required in the State of North Carolina for those having sold or is desirous of selling certain prepaid entertainment contracts as defined in N.C.G.S. ยง 66-118(3). The surety bond guarantees that the bonded principal and all agents and employees honestly perform the obligations pursuant to the provisions of Chapter 66, Article 21 of the North Carolina General Statutes and all amendments to Chapter 66, Article 21. The bond protects buyers of health club or other prepaid entertainment contract services who sustain losses or damages as a result of the closing of a facility or bankruptcy of the seller. In this case, the damaged party may bring an action against the surety company to recover financial damages.

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Health Club / Prepaid Entertainment Bond

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