The Florida Senate

721.06  Contracts for purchase of timeshare interests.--

(1)  Each seller shall utilize and furnish each purchaser a fully completed and executed copy of a contract pertaining to the sale, which contract shall include the following information:

(a)  The actual date the contract is executed by each party.

(b)  The names and addresses of the developer and the timeshare plan.

(c)  The initial purchase price and any additional charges to which the purchaser may be subject in connection with the purchase of the timeshare interest, such as financing, or which will be collected from the purchaser on or before closing, such as the current year's annual assessment for common expenses.

(d)  Any annually recurring use charge and the next year's estimated annual assessment for common expenses and for ad valorem taxes or, if an estimate for next year's assessment is unavailable, the current year's actual annual assessment for common expenses and for ad valorem taxes.

(e)  The estimated date of completion of construction of each accommodation or facility promised to be completed which is not completed at the time the contract is executed and the estimated date of closing.

(f)  A brief description of the nature and duration of the timeshare interest being sold, including whether any interest in real property is being conveyed and the specific number of years constituting the term of the timeshare plan.

(g)  Immediately prior to the space reserved in the contract for the signature of the purchaser, in conspicuous type, substantially the following statements:

You may cancel this contract without any penalty or obligation within 10 calendar days after the date you sign this contract.

If you decide to cancel this contract, you must notify the seller in writing of your intent to cancel. Your notice of cancellation shall be effective upon the date sent and shall be sent to  (Name of Seller)  at  (Address of Seller) . Any attempt to obtain a waiver of your cancellation right is void and of no effect. While you may execute all closing documents in advance, the closing, as evidenced by delivery of the deed or other document, before expiration of your 10-day cancellation period, is prohibited.

(h)  If a timeshare estate is being conveyed, the following statement in conspicuous type:

For the purpose of ad valorem assessment, taxation and special assessments, the managing entity will be considered the taxpayer as your agent pursuant to section 192.037, Florida Statutes.

(i)  A statement that, in the event the purchaser cancels the contract during a 10-day cancellation period, the developer will refund to the purchaser the total amount of all payments made by the purchaser under the contract, reduced by the proportion of any contract benefits the purchaser has actually received under the contract prior to the effective date of the cancellation. The statement shall further provide that the refund will be made within 20 days after receipt of notice of cancellation or within 5 days after receipt of funds from the purchaser's cleared check, whichever is later. A seller and a purchaser shall agree in writing on a specific value for each contract benefit received by the purchaser for purposes of this paragraph. The term "contract benefit" shall not include purchaser public offering statements or other documentation or materials that must be furnished to a purchaser pursuant to statute or rule.

(j)  If the timeshare interest is being sold pursuant to an agreement for deed, a statement that the signing of the agreement for deed does not entitle the purchaser to receive a deed until all payments under the agreement have been made.

(k)  Unless the developer is at the time of offering the plan the owner in fee simple absolute of the accommodations and facilities of the timeshare plan, free and clear of all liens and encumbrances, a statement that the developer is not the sole owner of the underlying fee of such accommodations or facilities without liens or encumbrances, which statement shall include:

1.  The names and addresses of all persons or entities having an ownership interest or other interest in the accommodations or facilities; and

2.  The actual interest of the developer in the accommodations or facilities. As an alternative to including the statement in the purchase contract, a seller may include a reference in the purchase contract to the location in the purchaser public offering statement text of such information.

(l)  If the purchaser will receive an interest in a multisite timeshare plan pursuant to part II, a statement shall be provided in conspicuous type in substantially the following form:

The developer is required to provide the managing entity of the multisite timeshare plan with a copy of the approved public offering statement text and exhibits filed with the division and any approved amendments thereto, and any other component site documents as described in section 721.07 or section 721.55, Florida Statutes, that are not required to be filed with the division, to be maintained by the managing entity for inspection as part of the books and records of the plan.

(m)  The following statement in conspicuous type:

Any resale of this timeshare interest must be accompanied by certain disclosures in accordance with section 721.065, Florida Statutes.

(n)  A description of any rights reserved by the developer to alter or modify the offering prior to closing.

(2)  An agreement for deed shall be recorded by the developer within 30 days after the day it is executed by the purchaser. The developer shall pay all recording costs associated therewith.

(3)  The escrow agent shall provide the developer with a receipt for all purchaser funds or other property received by the escrow agent from a seller.

History.--s. 1, ch. 81-172; s. 61, ch. 82-226; s. 5, ch. 83-264; s. 3, ch. 93-58; s. 3, ch. 95-274; s. 3, ch. 98-36; s. 10, ch. 2000-302.