707.41 Time-share disclosure statement.
707.41
707.41 Time-share disclosure statement.707.41(1)
(1) Preparation of statement.707.41(1)(a)
(a) Except as provided in par. (b), a developer, before offering an interest in a time-share unit, shall prepare a time-share disclosure statement conforming to the requirements of this section and, if applicable, ss. 707.42 to 707.45.707.41(1)(b)
(b) A developer may transfer responsibility for preparation of all or a part of the time-share disclosure statement to a successor developer or to a person in the business of selling real estate who intends to offer time shares in the time-share property for the person's own account. The developer shall provide the transferee with any information necessary to enable the transferee to fulfill the requirements of this section.707.41(2)
(2) Delivery of statement; single statement.707.41(2)(a)
(a) A developer or other person in the business of selling real estate who offers a time share for the person's own account to a purchaser shall deliver a time-share disclosure statement to a prospective purchaser in the manner prescribed in s. 707.47 (1).707.41(2)(b)
(b) If a time-share property is part of any other real estate venture in connection with the sale of which the delivery of a disclosure statement is required under the laws of this state, a single disclosure statement conforming to the requirements of this section and, if applicable, ss. 707.42 to 707.45, as those requirements relate to all real estate ventures in which the time-share property is located, and to any other requirements imposed under the laws of this state, may be prepared and delivered in lieu of providing 2 or more disclosure statements.707.41(3)
(3) Liability for statement. The person who prepared all or a part of the time-share disclosure statement is liable under ss. 707.47 and 707.57 for any false or misleading statement set forth in, or any omission of material fact from, that portion of the time-share disclosure statement which the person prepared.707.41(4)
(4) Contents of statement. A time-share disclosure statement shall contain or fully and accurately disclose all of the following:707.41(4)(a)
(a) A cover sheet bearing the title "Time-Share Disclosure Statement" and the name and principal business address of the developer and the developer's agent, if any, the name and location of the time-share property and the following 3 statements in boldface type or capital letters no smaller than the largest type on the page:707.41(4)(a)1.
1. THESE ARE THE LEGAL DOCUMENTS COVERING YOUR RIGHTS AND RESPONSIBILITIES AS A TIME-SHARE OWNER. IF YOU DO NOT UNDERSTAND ANY PROVISIONS CONTAINED IN THEM, YOU SHOULD OBTAIN PROFESSIONAL ADVICE.707.41(4)(a)2.
2. THESE DISCLOSURE MATERIALS GIVEN TO YOU AS REQUIRED BY LAW MAY BE RELIED UPON AS CORRECT AND BINDING. ORAL STATEMENTS MAY NOT BE LEGALLY BINDING.707.41(4)(a)3.
3. YOU MAY CANCEL IN WRITING ANY CONTRACT FOR THE PURCHASE OF A TIME SHARE, WITHOUT ANY PENALTY OR OBLIGATION, WITHIN 5 BUSINESS DAYS FROM THE DATE YOU SIGN THE CONTRACT OR UNTIL 5 BUSINESS DAYS AFTER YOU RECEIVE THE TIME-SHARE DISCLOSURE STATEMENT, WHICHEVER IS LATER. IF YOU SO CANCEL THE CONTRACT, YOU ARE ENTITLED TO RECEIVE A FULL REFUND OF ANY DEPOSITS MADE, EXCEPT, IF YOU HAVE USED OR OCCUPIED THE TIME-SHARE PROPERTY FOR MORE THAN 12 HOURS, THE MANAGING ENTITY OR CAMPGROUND OPERATOR MAY SUBTRACT FROM DEPOSITS MADE A REASONABLE CHARGE TO COVER THE LENGTH OF STAY PLUS THE COST FOR DAMAGES TO THE TIME-SHARE PROPERTY DIRECTLY ATTRIBUTABLE TO YOU OR ANY MEMBER OF YOUR PARTY.707.41(4)(b)
(b) A general description of the time-share property and the time-share units, including the number of units in the time-share property and in any project of which it is a part, and the schedule of commencement and completion of all promised improvements as described in the time-share instrument, promotional materials, advertising and the time-share disclosure statements.707.41(4)(c)
(c) As to all units owned or offered by the developer in the same project, all of the following:707.41(4)(c)1.
1. The types and number of units.707.41(4)(c)2.
2. Identification of units that are time-share units.707.41(4)(c)3.
3. The types and durations of the time shares.707.41(4)(c)4.
4. The maximum number of units that may become part of the time-share property.707.41(4)(c)5.
5. A statement of the maximum number of time shares that may be created or a statement that there is no maximum.707.41(4)(d)
(d) Copies and a brief narrative description of the significant features of the time-share instrument and any documents, other than plats and plans, referred to in the time-share instrument, copies of any contracts or leases to be signed by the purchaser at closing, and a brief narrative description of any contracts or leases that may be canceled by the association under s. 707.32.707.41(4)(e)
(e) The identity of the managing entity and the manner, if any, by which the developer may change the managing entity or its control.707.41(4)(f)
(f) A current balance sheet and budget for the association, if there is an association, either within or as an exhibit to the time-share disclosure statement. During the 12 months after the date of the first transfer to a purchaser the budget may be a projected budget. The budget shall include all of the following:707.41(4)(f)1.
1. A statement of who prepared the budget and the budgetary assumptions concerning occupancy and inflation factors.707.41(4)(f)2.
2. A statement of the amount, or a statement that there is no amount, included in the budget as a reserve for repairs and replacement.707.41(4)(f)3.
3. A statement of any other reserves.707.41(4)(f)4.
4. The projected time-share expenses by category of expenditure, for the time-share units.707.41(4)(f)5.
5. The projected time-share liability for each time share.707.41(4)(g)
(g) A description of the nature and purposes of all charges, dues, maintenance fees and other expenses that may be assessed, the current amounts assessed and the method and formula for changes.707.41(4)(h)
(h) Any services provided by the developer or expenses paid by the developer which the developer expects may become a time-share expense, and the projected time-share liability attributable to each of those services or expenses for each time share.707.41(4)(i)
(i) Any initial or special fee due from the purchaser at closing and a description of the purpose of, and method of calculating, the fee.707.41(4)(j)
(j) A statement of the effect on the time-share owners of liens, defects or encumbrances on, or affecting the title to, the time-share units.707.41(4)(k)
(k) A description of any financing offered by the developer.707.41(4)(L)
(L) The terms and significant limitations of any warranties provided by the developer, including statutory warranties and limitations on the enforcement of the warranties or on damages.707.41(4)(m)
(m) If of significance to the time-share units, a statement of any unsatisfied judgments against the managing entity or the developer, the status of any pending suits involving the sale or management of real estate to which the managing entity or the developer or an affiliate of the developer is a defending party, and the status of any pending suits of which the developer has actual knowledge.707.41(4)(n)
(n) A statement that an amount equal to 50% of the deposits, as defined in s. 707.49 (1) (b), made in connection with the purchase of a time share will be held in an escrow account, except as provided in s. 707.49 (4), until all of the events listed in s. 707.49 (3) (b) 3. have occurred or any later time specified in the contract to purchase the time share, and that the full amount of the deposit, minus any amount that may be withheld under s. 707.47 (6) (b), will be returned to the purchaser if the purchaser cancels the contract under s. 707.47.707.41(4)(o)
(o) Any restraints on transfer of time shares or portions of time shares.707.41(4)(p)
(p) A description of the insurance coverage provided for the benefit of time-share owners in accordance with s. 707.35.707.41(4)(q)
(q) Any current or expected fees or charges to be paid by time-share owners for the use of any facilities related to the project.707.41(4)(r)
(r) The extent to which financial arrangements have been provided for completion of all promised improvements as described in the time-share instrument, promotional materials, advertising and the time-share disclosure statements.707.41(4)(s)
(s) The extent to which a time-share unit may become subject to a tax or other lien arising out of claims against other time-share owners of the same time-share unit.707.41(4)(t)
(t) A description of the rights and remedies provided in the time-share instrument to a time-share owner who is prevented from enjoying exclusive occupancy of a time-share unit by others, or a statement that there are none provided in the time-share instrument.707.41(4)(u)
(u) All unusual and material circumstances, features and characteristics of the project.707.41 - ANNOT.
History: 1987 a. 399.