407.339.  Bond, filed with attorney general, amount, exceptions — separate locations, bond required for each — claims against, cancellation of, when. — 1.  Before entering into any nonprepayment health spa contract, every health spa except any health spa which has been engaged in such business in any county of the first or second class or in any city not located within a county for at least three years prior to August 13, 1988, and except in any county of the third or fourth class for at least one year prior to August 13, 1988, shall file and maintain with the office of the attorney general, in form and substance satisfactory to him, a bond with corporate surety, from a company authorized to transact business in this state or a letter of credit from a bank insured by the Federal Deposit Insurance Corporation in the amounts indicated below:

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The number of unexpired contracts exceeding three months shall be separately calculated for each location where health spa services are offered.  Any health spa subject to the requirements of this section shall be exempt from its provisions after such health spa has been engaged in business for three years.

  2.  Each separate location where health spas services are offered shall be considered a separate health spa and shall file a separate bond or letter of credit with respect thereto, even though the separate locations are owned or operated by the same owner; but, no owner shall be required to file with the office of the attorney general bonds or letters of credit in excess of seventy-five thousand dollars.  If the seventy-five thousand dollar limit is applicable, then the bonds or letters of credit filed by such owner shall apply to all health spas owned or operated by the same owner.

  3.  A health spa which has not filed a bond or letter of credit may nevertheless sell health spa contracts of up to thirty-six months' duration so long as the amount of payment actually charged, due or received each month by the health spa or any holder of its health spa contracts does not exceed the monthly fee calculated pursuant to the definition thereof in section 407.325.

  4.  The bond required by subsection 1 of this section shall be renewed annually.  No bond required of any health spa under the provisions of sections 407.325 to 407.340 shall be cancelled by either party without thirty days written notice prior to the intended cancellation date.  All claims against the holder of the bond must be made within ninety days after the expiration or cancellation of the bond.