Section § 1812.50

Explanation

This law section explains that many dance studios have been using unfair and deceptive practices in their contracts, causing financial problems for people. Because the current laws aren't enough to solve these issues, new rules are necessary to protect people. The goal is to stop false advertising and unfair contract terms, while promoting fair competition and honest business practices in the dance studio industry.

(a)CA Civil Law Code § 1812.50(a) The Legislature finds that there exists in connection with a substantial number of contracts for dance studio lessons and other services, sales practices, and business and financing methods which have worked a fraud, deceit, imposition, and financial hardship upon the people of this state; that existing legal remedies are inadequate to correct these abuses; that the dance studio industry has a significant impact upon the economy and well-being of this state and its local communities; and that the provisions of this title relating to these contracts are necessary for the public welfare.
(b)CA Civil Law Code § 1812.50(b) The Legislature declares that the purpose of this title is to safeguard the public against fraud, deceit, imposition, and financial hardship, and to foster and encourage competition, fair dealing, and prosperity in the field of dance studio lessons and other services by prohibiting or restricting false or misleading advertising, onerous contract terms, harmful financial practices, and other unfair, dishonest, deceptive, destructive, unscrupulous, fraudulent, and discriminatory practices by which the public has been injured in connection with contracts for dance studio lessons and other services.

Section § 1812.51

Explanation

This law section defines what a 'contract for dance studio lessons and other services' includes. It covers contracts for dance lessons, whether they are one-on-one or in group settings. However, it does not apply to contracts for professional services by licensed individuals or lessons at schools operating under the Education Code.

As used in this title, “contract for dance studio lessons and other services” means a contract for instruction in ballroom or other types of dancing, and includes lessons and other services, whether given to students individually or in groups. This title does not include contracts for professional services rendered or furnished by a person licensed under Division 2 (commencing with Section 500) of the Business and Professions Code, or contracts for instruction at schools operating pursuant to the Education Code.

Section § 1812.52

Explanation

Any agreement you make with a dance studio for lessons or services needs to be in writing, and you must be given a copy of this contract right when you sign it.

Every contract for dance studio lessons and other services shall be in writing and shall be subject to this title. A copy of the written contract shall be given to the customer at the time he or she signs the contract.

Section § 1812.53

Explanation

This law section limits dance studio contracts so buyers can't be required to pay or finance them for more than one year, but they can receive lessons and services for up to seven years. Additionally, if a buyer has multiple contracts with the same studio that overlap, they're treated as one single contract.

(a)CA Civil Law Code § 1812.53(a) No contract for dance studio lessons and other services shall require payments or financing by the buyer over a period in excess of one year from the date the contract is entered into, nor shall the term of any contract be measured by the life of the buyer. However, the lessons and other services to be rendered to the buyer under the contract may extend over a period not to exceed seven years from the date the contract is entered into.
(b)CA Civil Law Code § 1812.53(b) All contracts for dance studio lessons and other services that may be in effect between the same seller and the same buyer, the terms of which overlap for any period, shall be considered as one contract for the purposes of this title.

Section § 1812.54

Explanation

If you're signing up for dance lessons, this law requires that your classes start within six months of signing the contract. You can cancel anytime by sending a written notice, and you'll get a refund within ten days. The refund is calculated based on how many lessons you didn't take. You won't be charged a cancellation fee. The contract must clearly show the cost per hour for each type of lesson, and if there are different rates, those need to be separated out. Also, if the dance studio is bonded—a kind of insurance—it must say so in the contract and tell you how to get more info about the bond from the state.

(a)CA Civil Law Code § 1812.54(a) Every contract for dance studio lessons and other services shall provide that performance of the agreed-upon lessons will begin within six months from the date the contract is entered into.
(b)CA Civil Law Code § 1812.54(b) A contract for dance studio lessons and other services may be canceled by the student at any time provided he or she gives written notice to the dance studio at the address specified in the contract. When a contract for dance studio lessons and other services is canceled the dance studio shall calculate the refund on the contract, if any, on a pro rata basis. The dance studio shall refund any moneys owed to the student within 10 days of receiving the cancellation notice, unless the student owes the dance studio money for studio lessons or other services received prior to the cancellation, in which case any moneys owed the dance studio shall be deducted by the dance studio from the refund owed to the student and the balance, if any, shall be refunded as specified above. A dance studio shall not charge a cancellation fee, or other fee, for cancellation of the contract by the student.
(c)CA Civil Law Code § 1812.54(c) Every contract for dance studio lessons and other services shall contain a written statement of the hourly rate charged for each type of lesson for which the student has contracted. If the contract includes dance studio lessons that are sold at different per-hour rates, the contract shall contain separate hourly rates for each different type of lesson sold. All other services for which the student has contracted that are not capable of a per-hour charge shall be set forth in writing in specific terms. The statement shall be contained in the dance studio contract before the contract is signed by the buyer.
(d)CA Civil Law Code § 1812.54(d) Every dance studio subject to Sections 1812.64 and 1812.65 shall include in every contract for dance studio lessons or other services a statement that the studio is bonded and that information concerning the bond may be obtained by writing to the office of the Secretary of State.

Section § 1812.55

Explanation

This law says that dance studios can't make you sign any kind of payment agreement that would stop you from being able to take legal action against them if there are problems. In short, they can't make you sign notes that would hurt your rights if someone else gets involved in the payment process.

No contract for dance studio lessons and other services shall require or entail the execution of any note or series of notes by the buyer which, when separately negotiated, will cut off as to third parties any right of action or defense which the buyer may have against the seller.

Section § 1812.56

Explanation

This law says that if you have a contract with a dance studio and someone else takes over the contract, your rights to make claims or defenses against the seller will not be lost unless certain steps are followed. Specifically, the new contract holder (assignee) must send you a written notice about the contract assignment. You then have 30 days to inform them in writing if you have any claims or defenses. The notice must include details like your name, the seller's name, a description of the services, the remaining balance, and payment terms.

No right of action or defense arising out of a contract for dance studio lessons and other services which the buyer has against the seller, and which would be cut off by assignment, shall be cut off by assignment of the contract to any third party whether or not he or she acquires the contract in good faith and for value unless the assignee gives notice of the assignment to the buyer as provided in this section and, within 30 days of the mailing of notice, receives no written notice of the facts giving rise to the claim or defense of the buyer. A notice of assignment shall be in writing addressed to the buyer at the address shown on the contract and shall identify the contract and inform the buyer that he or she shall, within 30 days of the date of mailing of the notice, notify the assignee in writing of any facts giving rise to a claim or defense which he or she may have. The notice of assignment shall state the name of the seller and buyer, a description of the lessons and other services, the contract balance, and the number and amount of the installments.

Section § 1812.57

Explanation

If you've signed up for dance lessons and can't attend due to death or disability, you or your family don't have to pay for unused lessons. You'll get a refund for any prepaid lessons you couldn't take. Even if you're paying in installments, you're entitled to a refund for lessons not received. The refund on any finance charges follows a specific calculation method called the 'Rule of 78'.

(a)CA Civil Law Code § 1812.57(a) Every contract for dance studio lessons and other services shall contain a clause providing that if, by reason of death or disability, the person agreeing to receive lessons and other services is unable to receive all lessons and other services for which he or she has contracted, the person and his or her estate shall be relieved from the obligation of making payment for lessons and other services other than those received prior to death or the onset of disability, and that if the buyer has prepaid any sum for lessons and other services so much of that sum as is allocable to lessons and other services he or she has not taken shall be promptly refunded to the buyer or his or her representative.
(b)CA Civil Law Code § 1812.57(b) Notwithstanding the provisions of any contract to the contrary, whenever the contract price is payable in installments and the buyer is relieved from making further payments or entitled to a refund under this section, the buyer shall be entitled to receive a refund or refund credit of so much of the cash price as is allocable to the lessons or other services not actually received by the buyer. The refund of the finance charge shall be computed according to the “sum of the balances method,” also known as the “Rule of 78”.

Section § 1812.58

Explanation

This law means that even if a contract complies with this specific set of rules, it still has to follow all other relevant laws. It doesn't get a free pass from any other legal obligations.

The provisions of this title are not exclusive and do not relieve the parties or the contracts subject thereto from compliance with all other applicable provisions of law.

Section § 1812.59

Explanation

If a contract for dance studio lessons and services doesn't follow the rules set out in the law, it's considered invalid and can't be enforced because it goes against what is deemed good for society.

Any contract for dance studio lessons and other services which does not comply with the applicable provisions of this title shall be void and unenforceable as contrary to public policy.

Section § 1812.60

Explanation

If you sign up for dance lessons or services based on false or misleading information from the seller, the contract isn't valid and can't be enforced.

Any contract for dance studio lessons and other services entered into in reliance upon any willful and false, fraudulent, or misleading information, representation, notice, or advertisement of the seller shall be void and unenforceable.

Section § 1812.61

Explanation

This law means that if a buyer agrees to give up their rights under this title, that agreement won't count and can't be enforced because it's against public policy.

Any waiver of the buyer of the provisions of this title shall be deemed contrary to public policy and shall be void and unenforceable.

Section § 1812.62

Explanation

If a buyer is harmed because someone violated this law, they can sue for damages. If they win, they could get three times the actual damages plus attorney fees. A seller or holder can avoid penalties for not following the rules if they fix the problem within 30 days of the contract, as long as it doesn't increase the payment terms unless the buyer agrees in writing. The term 'holder' refers to the seller who owns the contract or any agency that buys the contract.

(a)CA Civil Law Code § 1812.62(a) Any buyer injured by a violation of this title may bring an action for the recovery of damages. Judgment may be entered for three times the amount at which the actual damages are assessed plus reasonable attorney fees.
(b)CA Civil Law Code § 1812.62(b) Notwithstanding the provisions of this title, any failure to comply with any provision of this title may be corrected within 30 days after the execution of the contract by the buyer, and, if so corrected, neither the seller nor the holder shall be subject to any penalty under this title, provided that any correction which increases any monthly payment, the number of payments, or the total amount due, must be concurred in, in writing, by the buyer. “Holder” includes the seller who acquires the contract, or, if the contract is purchased by a financing agency or other assignee, the financing agency or other assignee.

Section § 1812.63

Explanation

If someone breaks the rules about dance studio contracts, it's considered a misdemeanor, which is a type of crime. The state's superior courts can stop these violations using special court orders. It's mainly up to the Attorney General, district attorneys, and city attorneys to go after these violations by either charging the person with a misdemeanor or using court orders, or both. However, this doesn't stop others from enforcing legal rights they have under this law or others.

Any person who violates any provision of this title relating to dance studio contracts is guilty of a misdemeanor. Any superior court of this state has jurisdiction in equity to restrain and enjoin the violation of any of the provisions of this title relating to dance studio contracts.
The duty to institute actions for violation of those provisions of this title, including equity proceedings to restrain and enjoin violations, is hereby vested in the Attorney General, district attorneys, and city attorneys. The Attorney General, any district attorney, or any city attorney may prosecute misdemeanor actions or institute equity proceedings, or both.
This section shall not be deemed to prohibit the enforcement by any person of any right provided by this or any other law.

Section § 1812.64

Explanation

If you own a dance studio in this state, you must have a bond from a surety company, at least $25,000 or 25% of last year's gross income, whichever is higher. You need to file this bond with the Secretary of State, along with a signed declaration stating your studio's income. This info isn't public. If there's a change in studio ownership, the new owner must inform the Secretary of State and show compliance with bond regulations.

Every dance studio shall maintain a bond issued by a surety company admitted to do business in this state. The principal sum of the bond shall be 25 percent of the dance studio’s gross income from the studio business in this state during the studio’s last fiscal year, except that the principal sum of the bond shall not be less than twenty-five thousand dollars ($25,000) in the first or any subsequent year of operation.
A copy of the bond shall be filed with the Secretary of State, together with a declaration under penalty of perjury signed by the owner of the studio stating the dance studio’s gross income from the dance studio business in this state during the last fiscal year. The information contained in the declaration shall not be subject to public inspection. If the person in whose name the bond is issued severs his or her relationship with the bonded dance studio, the new owner shall, as a condition of doing business, notify the Secretary of State of the change of ownership and of proof of compliance with Sections 1812.64 and 1812.65.

Section § 1812.65

Explanation

This law requires dance studios in California to have a bond that protects customers. If the studio is dishonest, commits fraud, or doesn't fulfill the contract for dance lessons or related services, this bond ensures customers can be compensated for their losses.

The bond required by Section 1812.64 shall be in favor of the State of California for the benefit of any person who, after entering into a contract for dance studio lessons and other services with the dance studio, is damaged by fraud or dishonesty or failure to provide the services of the studio in performance of the contract.

Section § 1812.67

Explanation

This law section explains when certain rules don't apply to dance studios. If a dance studio asks for less than $50 upfront from each student, and only once every 30 days, they are exempt from these rules. Additionally, studios teaching ballet, modern, jazz, or tap to those under 21 are exempt if the total cost is less than $500, all lessons occur within four months, and the student can cancel within three days for a refund. Also, organizations with a 501(c)(3) tax-exempt status and receiving grants from the California Arts Council are exempt from these rules.

(a)CA Civil Law Code § 1812.67(a) Sections 1812.64 and 1812.65 do not apply to any dance studio which requires or receives less than fifty dollars ($50) in advance payments from or on behalf of each student for dance studio lessons or other services which are to be rendered by the studio in the future and such advance payments are not required or received by the studio from each student more frequently than once every 30 days.
(b)CA Civil Law Code § 1812.67(b) Sections 1812.53, 1812.54, 1812.64, and 1812.65 do not apply to a dance studio which only offers instruction in ballet, modern, jazz, tap dance, or any combination thereof, to persons under 21 years of age pursuant to a contract for dance studio lessons that provides all of the following: (1) a total payment of less than five hundred dollars ($500), (2) that all agreed-upon lessons will be offered within four months from the date the contract is entered, and (3) that the contract may be canceled and all money paid for instruction not yet received will be refunded within 10 days of cancellation, if the dance student cancels within three days after receiving the first lesson, or if the dance student cancels at any time after moving his or her residence to a location more than 15 miles from the location of the dance studio.
(c)CA Civil Law Code § 1812.67(c) Sections 1812.53, 1812.54, 1812.64, and 1812.65 do not apply to any organization that has qualified for a tax exemption under Section 501(c)(3) of the Internal Revenue Code and which receives a direct grant of funds from the California Arts Council.

Section § 1812.68

Explanation

If any part of this law is found to be unconstitutional or invalid for a specific situation or person, it doesn't mean the entire law is invalid. The rest of the law still stands and can be applied to other situations and people.

If any provision of this title or the application thereof to any person or circumstances is held unconstitutional, the remainder of the title and the application of such provision to other persons and circumstances shall not be affected thereby.

Section § 1812.69

Explanation

The Secretary of State is in charge of making sure all the rules about filing and maintaining bonds are followed. They will also charge a fee for filing these bonds, but this fee can't be more than the actual cost of doing the filing.

(a)CA Civil Law Code § 1812.69(a) The Secretary of State shall enforce the provisions of this title that govern the filing and maintenance of bonds.
(b)CA Civil Law Code § 1812.69(b) The Secretary of State shall charge a filing fee not to exceed the cost of filing the bond.