Requirements for sales agreements

(1) Prior to the execution of a sales agreement, the developer shall, (a) deliver to the purchaser copies of all the timeshare documents, including the proposed sales agreement and the form of notice referred to in section 20(3) of this Act; and (b) notify the purchaser of the name, address and other contact details of the escrow agent, including the escrow instructions, if not included in the proposed sales agreement. (2) After the execution of the sales agreement, the developer shall deliver to the purchaser a copy of the signed (3) The sales agreement referred to in this section shall contain the following minimum information, (a) in respect of a sales agreement referred to in subsection (2) of this section, the date the sales agreement was executed; 22 (b) the name and address of the developer and the developer’s sales agent; (c) details of the timeshare plan; (d) the purchase price and any other fees payable by the purchaser under the sales agreement, including where applicable financing costs, closing costs, maintenance fees for the time- share unit, the timeshare accommodation, the common property and the timeshare property; (e) details and amounts of any recurring charges payable by the purchaser; (f) details of the nature and duration of the timeshare rights being sold, disposed, or leased to or acquired by the purchaser; (g) if the timeshare accommodation is not yet fully completed, the estimated date of completion: (h) the applicable cancellation rights of the purchaser and the procedure for such cancellation; and (i) the matters specified in the Second Schedule. (4) At the time any consideration passes from the purchaser to the developer under a sales agreement referred to in subsection (2) of this section, the developer shall submit to the Registrar in electronic form, (a) a copy of the executed sales agreement; (b) details of all the financial obligations of the under the sales 23 including any consideration and amounts payable by the purchaser; (c) a copy of the rules and regulations regarding the use and occupation of the timeshare unit; (d) any relating to the maintenance obligations of the purchaser in respect of the timeshare unit, timeshare property, timeshare accommodation and recreational facilities; and (e) the name and address of the escrow agent, and details of the escrow instructions. (5) A developer may designate a sales agent in writing to perform his functions under this section. (6) It shall be unlawful for a developer to prepare or enter into sales agreements in the form of title deeds in respect of a timeshare unit or lime share accommodation, and all sales agreements shall only be valid if they comply with the requirements of this section. (7) A developer who contravenes subsection (6) of this section, commits an offence, and is liable on summary conviction to a fine of two thousand dollars. (8) The purchase price for timeshare rights paid by a purchaser under a sales agreement, and any other monies, charges or fees paid by a purchaser under this Act, shall not be liable to general sales tax, or any other tax or impost, other than the occupancy tax provided in this Act.