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Texas Health Spa Surety Bonds

What is a Texas Health Spa or Club Bond?

The Health Spa Surety Bond is required by the Texas Secretary of State. This bond serves as the security required by Section 702.151, Occupations Code, and permits the secretary of state to issue a health spa operator’s certificate of registration to principal. The surety bond obligation includes the faithful execution of the duties and responsibilities under the Health Spa Act, Texas Occupations Code, Chapter 702 and all applicable rules and regulations of the secretary of state adopted to carry out the provisions of the Act.

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Why is a Texas Health Spa Bond Required?

The surety bond is for the benefit of the state and each member of the health spa who has been damaged financially as a result of the closing of the health spa. Financial loss is limited to any unused or unearned portion of such member’s dues or fees. The aggregate liability to the surety company may not exceed the amount of the bond regardless of the number of years the bond continues in force. The bond is continuous until cancelled by the surety company with 60 days written notice to the secretary of state.

Health Spa Bonds And Getting Your Texas Business License/Registration

A health spa operator's certificate of registration is required by the Secretary of State before operating a health spa or offering for sale, or selling a membership in a health spa. The health spa operator’s certificate of registration is needed for each health spa location. A surety bond or security deposit must also be furnished with the Texas Secretary of State for each location unless the health spa qualifies for an exemption as determined by the Secretary of State. The surety bond is held for the benefit of members of the health spa who are harmed financially due to the closing of the health spa.

Additional Texas Health Spa Bond Resources & Links

Texas Secretary of State Registered Health Spas