Definition of terms.

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37-26-1. Definition of terms.

Terms used throughout this chapter unless the context plainly requires otherwise shall mean:

(1)"Buying club," any corporation, partnership, unincorporated association, or other business enterprise organized with the primary purpose of providing benefits to members from the cooperative purchase of services or merchandise;

(2)"Club," any buying club;

(3)"Contract," any written agreement by which one becomes a member of a club;

(4)"Member," any status by which any natural person is entitled to any of the benefits of a club;

(5)"Prepayment," any payment greater than twenty-five dollars for service, merchandise or membership made before the service is rendered. Money received by a club from a financial institution upon assignment of a contract shall be considered prepayment when and to the extent the member is required to make prepayments to the financial institution pursuant to the contract.

Source: SL 1975, ch 246, §1.


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