Title 28, Property

§514B-72 Condominium education trust fund; payments by associations and developers. (a) [Repeal and reenactment on June 30, 2023, by L 2018, c 196, §9, as shown in the main volume, deleted by L 2020, c 57, §2.] Each project or association with more than five units shall pay to th…

§514B-73 Condominium education trust fund; management. (a) The sums received by the commission for deposit in the condominium education trust fund pursuant to section 514B-72 shall be held by the commission in trust for carrying out the purpose of the fund. (b) The commission and…

[§514B-8] Severability. If any provision of this chapter or the application thereof to any person or circumstances is held invalid, the invalidity does not affect other provisions or applications of this chapter which can be given effect without the invalid provisions or applicat…

PART V. PROTECTION OF CONDOMINIUM PURCHASERS A. General Provisions [§514B-81] Applicability; exceptions. (a) This part applies to all units subject to this chapter, except as provided in subsection (b). (b) No developer's public report shall be required in the case of:

[§514B-82] Sale of units. Except as provided in section 514B‑85, no sale or offer of sale of units in a project by a developer shall be made prior to the registration of the project by the developer with the commission, the issuance of an effective date for the developer's public…

§514B-83 Developer's public report. (a) A developer's public report shall contain: (b) A developer shall promptly amend the developer's public report to report any pertinent or material change or both in the information required by this section. [L 2005, c 93, pt of §4; am L 2014…

§514B-84 Developer's public report; special types of condominiums. (a) In addition to the information required by section 514B‑83, the developer's public report for a project containing any existing structures being converted to condominium status shall contain: (b) In addition t…

[§514B-85] Preregistration solicitation. (a) Prior to the registration of the project by the developer with the commission, the issuance of an effective date for the developer's public report by the commission, and the delivery of the developer's public report to prospective purc…

§514B-86 Requirements for binding sales contracts; purchaser's right to cancel. (a) No sales contract for the purchase of a unit from a developer shall be binding on the developer, prospective purchaser, or purchaser until: (b) Purchasers may cancel a sales contract at any time u…

[§514B-87] Rescission after sales contract becomes binding. (a) Purchasers shall have a thirty-day right to rescind a binding sales contract for the purchase of a unit from a developer if there is a material change in the project. This rescission right shall not apply, however, i…

§514B-88 Delivery. In this part, delivery shall be made by:

[§514B-89] Sales contracts before completion of construction. If a sales contract for a unit is signed before the completion of construction or, in the case of a conversion, the completion of any repairs required to comply with section 514B‑5, the sales contract shall contain an …

[§514B-9] Obligation of good faith. Every contract or duty governed by this chapter imposes an obligation of good faith in its performance or enforcement. [L 2004, c 164, pt of §2; am L 2005, c 93, §7]

[§514B-90] Refunds upon cancellation or termination. Upon any cancellation under section 514B‑86 or 514B‑89, the purchaser shall be entitled to a prompt and full refund of all moneys paid, less any escrow cancellation fee and other costs associated with the purchase, up to a maxi…

§514B-91 Escrow of deposits. All moneys paid by purchasers shall be deposited in trust under a written escrow agreement with an escrow depository licensed pursuant to chapter 449. An escrow depository shall not disburse purchaser deposits to or on behalf of the developer prior to…

[§514B-92] Use of purchaser deposits to pay project costs. (a) Subject to the conditions set forth in subsection (b), purchaser deposits that are held in escrow pursuant to a binding sales contract may be disbursed before closing to pay for project construction costs, including, …

[§514B-93] Early conveyance to pay project costs. (a) Subject to the conditions set forth in subsection (b), if units are conveyed or leased before the completion of construction of the building or buildings for the purpose of financing the construction, all moneys from the sale …

[§514B-94] Misleading statements and omissions; remedies. (a) No person may: (b) Every sale made in violation of this section shall be voidable at the election of the purchaser; and the person making the sale and every director, officer, or agent of or for the seller, if the dire…

B. Sales to Owner-Occupants [§514B-95] Definitions. As used in this subpart: "Chronological system" means a system in which the residential units designated for sale to prospective owner-occupants are offered for sale to prospective owner-occupants in the chronological order in w…

[§514B-95.5] Announcement or advertisement; publication. At least once in each of two successive weeks, and at any time following the issuance of an effective date of the first developer's public report for the condominium project, the developer shall cause to be published in at …

[§514B-96] Designation of residential units. (a) The developer of any project containing residential units shall designate at least fifty per cent of the units for sale to prospective owner-occupants pursuant to section 514B‑98. The designation shall be set forth either in the de…

[§514B-96.5] Unit selection; requirements. (a) When the chronological system is used, the developer or the developer's real estate broker, as the case may be, shall offer the residential units that have been designated pursuant to section 514B‑96 as follows: (b) When the public l…

[§514B-97] Affidavit. (a) The owner-occupant affidavit required by section 514B‑96.5 shall expire after three hundred sixty-five consecutive days have elapsed after the recordation of the instrument conveying the unit to the affiant. The affidavit shall expire prior to this perio…

[§514B-97.5] Prohibitions. (a) No person who has executed an owner-occupant affidavit shall sell or offer to sell, lease or offer to lease, rent or offer to rent, assign or offer to assign, or convey the unit until at least three hundred sixty-five consecutive days have elapsed s…

§514B-98 Sale of residential units; developer requirements. (a) The developer may go to sale using either a chronological system or a lottery system at any time after issuance of an effective date for a developer's public report. (b) For a thirty-day period following the initial …

[§514B-98.5] Enforcement. (a) Whenever the commission finds based upon satisfactory evidence that any person is violating or has violated any provision of this subpart or rules of the commission adopted pursuant thereto, the commission may conduct an investigation on the matter a…

[§514B-99] Penalties. (a) Any person who executes an affidavit required by this subpart and who violates or fails to comply with any of the provisions of this subpart or any rule adopted by the commission pursuant thereto, shall be subject to a civil penalty of up to $10,000; or …

[§514B-99.3] False statement. It shall be unlawful for any person to make a false statement in the affidavit required by this subpart or for any person to file with the commission any notice, statement, or other document required under this subpart or any rule adopted by the comm…

§514B-99.5 Inapplicability of laws. (a) This subpart shall not apply to: (b) A developer of a project specified in subsection (a)(1) who elects to be subject to this subpart, or of a project developed pursuant to an affordable housing requirement established by a state or county …