§514E-9 - Disclosure statement.

     §514E-9  Disclosure statement.  (a)  Any offering of a time sharing plan to the public shall disclose:

     (1)  The name and address of the developer and of the time share units;

     (2)  The name and address of the plan manager, if any, and a description of the plan manager's responsibilities and authority;

     (3)  A description of the time share units, including the developer's schedule for completion of all buildings, units and amenities and dates of availability;

     (4)  If the time share plan is located in a condominium property regime, a description of the project and any pertinent provisions of the project instruments;

     (5)  Any restraints on the transfer of the buyer's time share interest in the time share units or plan;

     (6)  Whether the time share plan is a time share ownership plan or a time share use plan, along with a description of the rights and responsibilities under said plan;

     (7)  A statement that there is a seven-calendar-day period of mutual rescission;

     (8)  A statement that pursuant to section 514E-11.3, every sale or transfer, made in violation of this chapter is voidable at the election of the purchaser;

     (9)  Notice of any liens, title defects or encumbrances on or affecting the title to the units or plan;

    (10)  Notice of any pending or anticipated suits that are material to the time share units or plan, of which the developer has, or should have, knowledge;

    (11)  The total financial obligation of the purchaser, which shall include the initial price and any additional charges to which the purchaser may be subject;

    (12)  An estimate of the dues, maintenance fees, real property taxes, and similar periodic expenses, and the method or formula by which they are derived and apportioned; and

    (13)  Other disclosures required by the director, as provided by rules adopted pursuant to chapter 91.

     (b)  The requirements of this section shall not apply to the following transactions:

     (1)  Any transaction pursuant to order of any court;

     (2)  Any disposition by a government or governmental agency;

     (3)  Normal hotel operations; or

     (4)  Any gratuitous transfer.

     (c)  A developer or sales agent shall promptly amend or supplement the disclosure statement to report any material change in the information required by this section. [L 1980, c 186, pt of §1; am L 1981, c 81, §4; am L 1985, c 114, §3; gen ch 1985; am L 1988, c 65, §2]