Managing entities

(1) Before the first sale of any timeshare rights in a timeshare accommodation, the developer shall create or appoint a managing entity, which shall be either the developer, a separate manager, a management firm, or a combination thereof. (2) A developer shal1 be considered as the managing entity of any timeshare accommodation unless and until such developer has notified the Registrar in writing that a different person will serve as the managing entity, which person has acknowledged in writing to the Registrar that he has accepted the functions, duties and obligations of a managing entity, and in the event such other person subsequently resigns or otherwise ceases to perform the functions and discharge the duties of the managing entity, the developer shall forthwith give written notice to the Registrar, and shall be considered for all purposes as the managing entity until the developer creates or appoints another managing entity. (3) Not withstanding the appointment of a managing entity, the developer shall continue to be jointly and severally responsible for the functions, duties and obligations of the managing entity under this Act and under any sales agreement with the purchaser. (4) The duties of the managing entity shall include, but shall not be limited to, (a) the management and maintenance of the timeshare property, accommodation, units, common areas, and common property; (b) collection of all assessments for common expenses from purchasers; 29 (c) providing in each year to all purchasers an itemized annual budget which shall include all estimated expenses; and the budget shall be in such form as may be required by the Board; (d) maintaining books and records concerning the timeshare units so that all such books and records are reasonably available for inspection by any purchaser or the authorized agent of such purchaser and, (i) all common assessments and expenses of the timeshare units shall be maintained in accordance with international accounting standards; (ii) all purchasers shall be notified of the location of the books and records and the name and address of the custodian in the copy of the annual budget provided to them under paragraph (c); (e) scheduling occupancy of the timeshare units, when purchasers are not already entitled to use specific timeshare periods, so that all purchasers will be provided the use and possession of the common property and recreational facilities at the property with respect to which they have purchased; (f) maintaining a complete list of all purchasers and their addresses, and providing such list to the Board upon request by the Registrar; (g) arranging an annual audit of the timeshare accommodation’s books of account by an in- dependent auditor, and submitting the auditor’s report thereon to the developer and the Registrar; (h) enforcing any restrictive covenants, rules, and regulations applicable to the timeshare property, accommodation, units, common property and common areas; (i) organizing and holding periodic meetings with purchasers to hear their views on the management of the (j) operating and making reservations relating to occupancy periods for purchasers in the timeshare units; and (k) discharging such other duties as may be provided in the management agreement. (5) The duties of a managing entity in subsection (3) of this section, shall be set out in a management agreement to be executed by or on behalf of the developer and the managing entity, which shall be furnished to the Registrar upon request.