Sections 37 and 242 shall not apply to making a gaming machine available for use in accordance with a club machine permit.
A club machine permit is a permit issued by a licensing authority authorising up to three gaming machines, each of which must be of Category B, C or D, to be made available for use—
on premises on which a members' club, a commercial club or a miners' welfare institute operates, and
in the course of the activities of the club or institute.
A club machine permit held by a members' club or a miners' welfare institute shall, by virtue of this subsection, be subject to the condition that each person to whom a machine is made available for use in reliance on the permit—
is a member of the club or institute who applied for membership, was nominated for membership or became a member, at least 48 hours before he uses the machine, or
is a guest of a member of the club or institute who would be entitled to use the machine by virtue of paragraph (a).
A club machine permit shall, by virtue of this subsection, be subject to the conditions—
that no child or young person use a Category B or C gaming machine on the club's or institute's premises, and
that the holder comply with any relevant provision of a code of practice under section 24 about the location and operation of a gaming machine.
For the purposes of subsection (3)(b) a person shall not be treated as the guest of a member if the member extends an invitation—
having had no previous acquaintance with the person, and
for the purpose only of enabling the person to take advantage of facilities for gaming.