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PRESS RELEASE FOR IMMEDIATE
Contact: Paul Kane, Chief Special Investigator
Consumer Protection Unit
Phone: (302) 577-8509
Date: March 18, 2005
ATTORNEY GENERAL DISTRIBUTES RESTITUTION CHECKS TO INCHES-A-WEIGH HEALTH SPA MEMBERS
(Wilmington, DE): Attorney General Jane Brady today announced that, the Consumer Protection Unit recently distributed over $7,000.00 in restitution checks to customers of the Inches-A-Weigh Health Spa, formerly located in Suburban Plaza, Newark. In July, 2003, Inches-A-Weigh closed its doors after giving notice to their clients, who had prepaid contracts, to contact the Attorney General's Office. Twenty-four claims for restitution were filed. Customers received restitution from the Health Spa Guaranty Fund.
Under Delaware law, health spas operating in the State of Delaware who base their memberships on contracts of three months or longer, are required to register annually with the Consumer Protection Unit. Annual registration fees are placed into the "Health Spa Guaranty Fund," which is available to pay restitution to consumers for the unused portion of their prepaid contracts whenever a health spa shuts down and fails to reimburse its customers.
"I am pleased we were able to provide restitution to these victims. We want everyone who might find themselves in this situation to be aware there is help available", said Attorney General Brady.
Under Delaware law, consumers have six months to file reimbursement claims for the unused portion of their health spa memberships whenever a health spa closes and does not provide an alternative facility to consumers within 15 miles of the closed location.
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