552A.1 Definitions. As used in this chapter, unless the context otherwise requires: 1. “Buying club” means a corporation, partnership, unincorporated association, or other business enterprise which sells or offers for sale to the public generally memberships or certificates of membership. 2. “Contract” means the agreement by which a person acquires a membership in a buying […]
552A.2 Exemptions. This chapter does not apply to any of the following: 1. Building and loan associations, state or national banks, insurance companies and associations, and mutual or cooperative telephone companies organized under chapter 491 which have been determined to be exempt from taxation under section 501(c)(12) of the Internal Revenue Code. 2. Corporations and […]
552A.3 Right of cancellation — requirement of writing — internet sales. The requirements of sections 555A.1 through 555A.5, relating to door-to-door sales, shall apply to sales of buying club memberships, irrespective of the place or manner of sale or the purpose for which they are purchased, except that in connection with the sale of a […]
552A.4 Limitation on membership period. A contract shall not be valid for a term longer than eighteen months from the date on which the contract is signed. However, a buying club may allow a member to convert the contract into a contract for a period longer than eighteen months after the member has been a […]
552A.5 Remedies. 1. A violation of this chapter is a violation of section 714.16, subsection 2, paragraph “a”. 2. The rights, obligations, and remedies provided in this chapter shall be in addition to any other rights, obligations, or remedies provided by law or in equity. 3. In addition to the remedies otherwise provided by law, […]
