Purchaser's Right to Cancel

Purchaser’s Right to Cancel. (a) Unless delivery of a public offering statement is not required under 2 CMC § 6401(b), a declarant shall provide a purchaser of a unit with a copy of the public offering statement and all amendments thereto before conveyance of that unit, and not later than the date of any contract of sale. Unless a purchaser is given the public offering statement more than 15 days before execution of a contract for the purchase of a unit, the purchaser, before conveyance, may cancel the contract within 15 days after first receiving the public offering statement. (b) If a purchaser elects to cancel a contract pursuant to subsection (a) of this section, the purchaser may do so by hand-delivering notice thereof to the declarant or by mailing notice thereof by prepaid United States mail to the declarant or to the declarant’s agent for service of process. Cancellation is without penalty, and all payments made by the purchaser before cancellation shall be refunded promptly. (c) If a declarant fails to provide a purchaser to whom a unit is conveyed with a public offering statement and all amendments thereto as required by subsection (a) of this section, the purchaser, in addition to any rights to damages or other relief, is entitled to receive from the declarant an amount equal to one percent of the sales price of the unit. Source: PL 3-86, § 4-106.