44-3-160.
This article shall be known and may be cited as the 'Georgia Time-Share Act.'
44-3-161.
The purposes of this article are to:
(1) Give statutory recognition to real property timesharing in this state;
(2) Regulate developers of time-share estate and time-share use projects located in this
state and outside this state when offered for sale in this state;
(3) Require that developers of time-share projects:
(A) Make certain disclosures to purchasers and prospective purchasers through the use
of a public offering statement;
(B) Deposit trust funds with an escrow agent;
(C) Utilize only licensed real estate brokers as sales agents if required by Chapter 40
of Title 43; and
(D) Comply with promotional advertising standards;
(4) Establish operating standards for time-share project managing agents and exchange
programs operating in this state; and
(5) Provide for sanctions for violations of any provisions of this article which will
permit:
(A) Courts of competent jurisdiction to impose fines or imprisonment for
misdemeanors and felonies; and
(B) A claim for appropriate relief by any person adversely affected.
44-3-162.
As used in this article, the term:
(1) 'Agent' means a person authorized by the developer to act for such developer in
offering to the public or managing time-share intervals including but not limited to
employees or independent contractors of the developer, managing agents, sales agents,
and escrow agents.
(2) 'Conspicuous statement' means a statement in boldface and conspicuous type of at
least ten points, such statements always being larger than all other statements, except for
other conspicuous statements, in the body of the document in which they are required.
(3) 'Developer' means, in the case of any given property, any person or entity which is
in the business of creating or which is in the business of selling its own time-share
intervals in any time-share program. This definition shall not mean a person acting solely
as a sales agent.
(4) 'Developer control period' means the period of time during which the developer or
managing agent selected by the developer may manage the time-share program and the
units in the time-share program.
(5) 'Development,' 'project,' or 'property' means all of the real property subject to a
project instrument and which contains more than one unit.
(6) 'Escrow agent' means a licensed real estate broker, an attorney who is a member of
the State Bar of Georgia, a title company, or a banking institution or savings and loan
company having trust powers and located in this state who is entrusted with the deposit
of trust funds with instructions to carry out the provisions of an agreement or contract.
(7) 'Exchange company' means any person owning or operating an exchange program.
(8) 'Exchange program' means any arrangement whereby owners may exchange
occupancy rights with persons owning other time-share intervals or units or other rights
of possession; provided, however, that an exchange program shall not exist if all of the
occupancy rights which may be exchanged are in the same time-share property.
(9) 'Managing agent' means a person who undertakes the duties, responsibilities, and
obligations of the management of a time-share program.
(10) 'Multilocation developer' means a developer creating or selling its own time-share
intervals in a multilocation plan.
(11) 'Multilocation plan' means a time-share plan respecting more than one time-share
property pursuant to which owners may or may not obtain use rights in a specific
time-share property and may, by reservation or other similar procedure, become entitled
to occupy time-share units in more than one time-share property.
(12) 'Offering' means any offer to sell, solicitation, inducement, or advertisement
whether by radio, television, newspaper, magazine, or mail whereby a person is given an
opportunity to acquire a time-share interval.
(13) 'Person' means one or more natural persons, corporations, partnerships, associations,
trusts, other entities, or any combination thereof.
(14) 'Project' means development.
(15) 'Project instrument' means one or more recordable documents applicable to the
whole project by whatever name denominated, containing restrictions or covenants
regulating the use, occupancy, or disposition of an entire project including any
amendments to the document excluding any law, ordinance, or governmental regulation.
(16) 'Property' means development.
(17) 'Public offering statement' means a written statement given to prospective
purchasers by the developer or the developer's agent disclosing such information about
the time-share project as required by this article.
(18) 'Purchaser' means any person other than a developer or lender who acquires an
interest in a time-share interval.
(19) 'Sales agent' means a person who for another, for a fee, commission, or any other
valuable consideration or with the intent or expectation of receiving the same from
another, negotiates or attempts to negotiate the sale or lease of a time-share interval in a
time-share program.
(20) 'Sales agreement' means that contract, agreement, lease, or other written instrument
by which a purchaser contracts to acquire or acquires, in the event there is no contract to
acquire, an interest in a time-share interval.
(21) 'Time-share estate' means an ownership or leasehold interest in real property divided
into measurable chronological periods.
(22) 'Time-share instrument' means any document, by whatever name denominated,
creating or regulating time-share programs excluding any law, ordinance, or
governmental regulation.
(23) 'Time-share interval' means a time-share estate or a time-share use.
(24) 'Time-share program' means any arrangement for time-share intervals in a
time-share project whereby the use, occupancy, or possession of real property has been
made subject to either a time-share estate or time-share use whereby such use, occupancy,
or possession circulates among purchasers of the time-share intervals according to a fixed
or floating time schedule on a periodic basis occurring annually over any period of time
in excess of one year in duration.
(25) 'Time-share project' means any real property that is subject to a time-share program.
(26) 'Time-share use' means any contractual right of exclusive occupancy which does not
fall within the definition of a time-share estate including, without limitation, a vacation
license, prepaid hotel reservation, club membership, limited partnership, or vacation
bond.
(27) 'Unit' means the real property or real property improvement in a project which is
divided into time-share intervals.
44-3-163.
(a) A time-share estate is an estate in real property and has the character and incidents of
an estate in fee simple at common law or estate for years, if a leasehold, except as expressly
modified by this article. This subsection shall supersede any contrary rule at common law.
(b) A document transferring or encumbering a time-share estate in real property shall not
be rejected for recordation because of the nature or duration of that estate or interest,
provided there is compliance with all requirements necessary to make an instrument
recordable.
(c) For purposes of title, each time-share estate constitutes a separate estate or interest in
property.
(d) For purposes of local real property taxation, each time-share unit, other than a unit
operated for time-share use, shall be valued in the same manner as if such unit were owned
by a single taxpayer. The total cumulative purchase price paid by the time-share owners
for a unit shall not be utilized by the commissioner of revenue or other local assessing
officers as a factor in determining the assessed value of such unit. A unit operated as a
time-share use, however, may be assessed the same as other income-producing and
investment property. Tax records in a time-share unit shall be in the name of the association
or the managing agent.
44-3-164.
No zoning, subdivision, or building code or other real estate use ordinance or regulation
shall prohibit the time-share interval form of ownership or use or impose any requirement
upon the time-share project which it does not impose upon a physically identical
improvement or development under a different form of ownership. No subdivision law,
ordinance, or regulation shall apply to any division of an improvement or unit into a
time-share project or time-share intervals.
44-3-165.
(a) A time-share program may be created in any unit, unless expressly prohibited by the
project instruments.
(b) No action for partition of a unit may be maintained except as permitted by the
time-share instrument.
44-3-166.
(a) Project instruments and time-share instruments creating time-share estates located in
the State of Georgia shall be recorded in the superior court of the county in which the
project is located and shall contain the following:
(1) The name of the county in which the property is situated;
(2) The legal description, street address, or other description sufficient to identify the
property;
(3) Identification of time periods by letter, name, number, or combination thereof;
(4) Identification of time-share estates and, where applicable, the method whereby
additional time-share estates may be created;
(5) The formula, fraction, or percentage of the common expenses and any voting rights
assigned to each time-share estate and, where applicable, to each unit in a project that is
not subject to the time-share program;
(6) Any restrictions on the use, occupancy, alteration, or alienation of time-share
intervals; and
(7) The ownership interest, if any, in personal property and provisions for care and
replacement.
(b) For time-share projects located outside the State of Georgia, project instruments
therefor shall be recorded as required by the law of the jurisdiction in which such
time-share project is located.
44-3-167.
The time-share instruments for a time-share estate program shall prescribe reasonable
arrangements for management and operation of the time-share program and for the
maintenance, repair, and furnishing of units, which shall include the following:
(1) Creation of an association organization of time-share estate owners;
(2) Adoption of bylaws for organizing and operating the association organization;
(3) Payment of costs and expenses of operating the time-share program and of owning
and maintaining the units;
(4) Employment and termination of employment of the managing agent for the
association organization;
(5) Preparation and dissemination to owners of an annual budget and of operating
statements and other financial information including, but not limited to, the current status
of payments under any security deed, contracts for improvements, or other encumbrances
concerning the time-share program;
(6) Adoption of standards and rules of conduct for the use and occupancy of units by
owners;
(7) Collection of assessments from owners to defray the expenses of management of the
time-share program and maintenance of the units;
(8) Comprehensive general liability insurance for death, bodily injury, and property
damage arising out of or in connection with the use of units by owners, their guests, and
others and extended coverage casualty insurance;
(9) Methods for providing compensating use periods or monetary compensation to an
owner if a unit cannot be made available for the period to which the owner is entitled by
schedule or by confirmed reservation;
(10) Procedures for imposing a monetary penalty or suspension of an owner's rights and
privileges in the time-share program for failure of the owner to comply with provisions
of the time-share instruments or the rules of the association organization with respect to
the use of the units. Under these procedures, an owner must be given notice and the
opportunity to refute or explain the charges against him or her in person or in writing to
the governing body of the association organization before a decision to impose discipline
is rendered;
(11) Employment of attorneys, accountants, and other professional persons as necessary
to assist in the management of the time-share program and the units; and
(12) Procedures for the developer to obtain the consent of a majority of the existing
owners of the time-share estates before encumbering the time-share project for the
purpose of making additional improvements to the project.
44-3-168.
(a) The time-share instruments for a time-share estate program may provide for a
developer control period.
(b) If the time-share instruments for a time-share estate program provide for the
establishment of a developer control period, they shall include provisions for the following:
(1) Termination of the developer control period by action of the association;
(2) Termination of contracts for goods and services for the time-share program or for
units in the time-share program entered into during the developer control period; and
(3) A regular accounting by the developer to the association as to all matters that
significantly affect the interests of owners in the time-share program including, but not
limited to, the current status of payments under any security deed, contracts for
improvements, or other encumbrances.
44-3-169.
Project instruments and time-share instruments creating time-share uses shall contain the
following:
(1) Identification by name of the time-share project and street address where the
time-share project is situated;
(2) Identification of the time periods, type of units, and the units that are in the
time-share program and the length of time that the units are committed to the time-share
program; and
(3) In case of a time-share project, identification of which units are in the time-share
program and the method whereby any other units may be added, deleted, or substituted.
44-3-170.
The time-share instruments for a time-share use program shall prescribe reasonable
arrangements for management and operation of the time-share program and for the
maintenance, repair, and furnishing of units which shall include the following:
(1) Standards and procedures for upkeep, repairs, and interior furnishing of units;
(2) Adoption of standards and rules of conduct governing the use and occupancy of units
by owners;
(3) Payment of the costs and expenses of operating the time-share program and owning
and maintaining the units;
(4) Selection of a managing agent to act on behalf of the developer;
(5) Preparation and dissemination to owners of an annual budget and of operating
statements and other financial information concerning the time-share program;
(6) Procedures for establishing the rights of owners to the use of units by prearrangement
or under a first reserved, first served priority system;
(7) Organization of a management advisory board or board of directors consisting of
time-share use owners including an enumeration of rights and responsibilities of the
board;
(8) Procedures for imposing and collecting assessments or use fees from time-share use
owners as necessary to defray costs of management of the time-share program and in
providing materials and services to the units;
(9) Comprehensive general liability insurance for death, bodily injury, and property
damage arising out of or in connection with the use of units by time-share use owners,
their guests, and others and extended coverage casualty insurance;
(10) Methods for providing compensation use periods or monetary compensation to an
owner if a unit cannot be made available for the period to which the owner is entitled by
schedule or by a confirmed reservation;
(11) Procedures for imposing a monetary penalty or suspension of an owner's rights and
privileges in the time-share program for failure of the owner to comply with the
provisions of the time-share instruments or the rules established by the developer with
respect to the use of the units. The owner shall be given notice and the opportunity to
refute or explain the charges in person or in writing to the management advisory board
before a decision to impose discipline is rendered;
(12) Annual dissemination to all time-share use owners by the developer or by the
managing agent of a list of the names and mailing addresses of all current time-share use
owners in the time-share program;
(13) Procedures for the developer to obtain the consent of a majority of the existing
owners of the time-share uses before encumbering the time-share project for the purpose
of making additional improvements to the project; and
(14) A definition of what shall constitute the facilities being available for use.
44-3-171.
In the event that:
(1) Time-share intervals in a time-share program have been sold in this state to a resident
of this state prior to July 1, 1983;
(2) The time-share instruments and project instruments creating such program do not
provide for or contain the provisions required by Code Sections 44-3-166 through
44-3-170; and
(3) The developer does not control a sufficient number of votes in the time-share
program to amend the time-share instruments and project instruments to provide for the
inclusion of the provisions required by Code Sections 44-3-166 through 44-3-170 without
the vote of any other time-share interval owners,
then the developer shall include in the public offering statement a listing of those
provisions required by Code Sections 44-3-166 through 44-3-170 but not included in the
instruments.
44-3-172.
(a) A public offering statement must be provided to each purchaser of a time-share
interval. Prospective purchasers receiving a copy of the public offering statement shall sign
a statement acknowledging receipt of the public offering statement and such receipt shall
be kept at the principal office of the developer for three years from the date of receipt.
(1) The public offering statement must contain or fully and accurately disclose the
following information:
(A) The name of the developer, the principal address of the developer, the address of
the time-share intervals offered in the statement, and a description of the developer's
ownership interest in the time-share project;
(B) The nature of the interest in the time-share interval being offered whether it
involves real property ownership, leasehold interest, right to use or occupy the facility,
or some other interest being offered;
(C) A general description of the units including, without limitation, the developer's
contemplated schedule of commencement and completion of all buildings, units, and
amenities or, if completed, a statement that they have been completed;
(D) As to all units offered by the developer in the same time-share project:
(i) The types and number of units;
(ii) Identification of units that are subject to time-share intervals; and
(iii) The estimated number of units that may become subject to time-share intervals;
(E) A brief description of the project;
(F) Any current budget or a projected budget for the time-share intervals for one year
after the date of the first transfer to a purchaser. The budget must include, without
limitation:
(i) A statement of the amount or a statement that there is no amount included in the
budget as a reserve for repairs and replacement;
(ii) The projected common expense liability, if any, by category of the expenditures
for the time-share intervals;
(iii) The projected common expense liability for all time-share intervals; and
(iv) A statement of any services not reflected in the budget that the developer
provides or expenses that he or she pays;
(G) Any initial or special fee for the use of the unit or amenities due from the purchaser
at closing together with a description of the purpose and method of calculating the fee;
(H) A description of any liens, defects, or encumbrances on or affecting the title to the
time-share intervals;
(I) A description of any financing offered by the developer;
(J) A statement of any pending actions material to the time-share intervals of which a
developer has actual knowledge;
(K) Any restraints on alienation of any number or portion of any time-share intervals;
(L) A description of the insurance coverage or a statement that there is no insurance
coverage provided for the benefit of time-share interval owners including specific
statements on the amount of comprehensive general liability insurance and extended
coverage casualty insurance;
(M) Any current or expected fees or charges to be paid by time-share interval owners
for the use of any facilities related to the property;
(N) Whether financial arrangements have been provided for and with whom financial
arrangements have been made for the completion of all promised or proposed
improvements and the proposed date of completion;
(O) The extent to which a time-share unit may become subject to a tax or other lien
arising out of claims against other owners of the same unit;
(P) A conspicuous statement on the cover page as follows:
'YOU MAY CANCEL WITHOUT PENALTY OR OBLIGATION ANY SALES
AGREEMENT WHICH YOU HAVE SIGNED FOR THE PURCHASE OR LEASE
OF A TIME-SHARE INTERVAL WITHIN SEVEN DAYS, SUNDAYS AND
HOLIDAYS EXCEPTED, AFTER SIGNING ANY SALES AGREEMENT AND
RECEIVE A REFUND. IF THIS PUBLIC OFFERING STATEMENT WAS NOT
GIVEN TO YOU BEFORE YOU SIGNED ANY SALES AGREEMENT, YOU
MAY CANCEL THE SALES AGREEMENT WITHIN SEVEN DAYS, SUNDAYS
AND HOLIDAYS EXCEPTED, AFTER YOUR RECEIPT OF THIS PUBLIC
OFFERING STATEMENT AND RECEIVE A REFUND. YOU MAY NOT GIVE
UP OR WAIVE THIS RIGHT TO CANCEL. IF YOU DECIDE TO CANCEL A
SALES AGREEMENT, YOU MUST NOTIFY THE DEVELOPER IN WRITING
WITHIN THE CANCELLATION PERIOD OF YOUR INTENT TO CANCEL BY
SENDING NOTICE BY CERTIFIED MAIL OR STATUTORY OVERNIGHT
DELIVERY, RETURN RECEIPT REQUESTED, TO (insert the name and address
of the developer or the developer's agent). YOUR NOTICE WILL BE EFFECTIVE
ON THE DATE YOU MAIL IT.';
(Q) When a time-share use is offered, a conspicuous statement as follows:
'YOU MAY CANCEL ANY SALES AGREEMENT WHICH YOU HAVE SIGNED
FOR THE PURCHASE OF A TIME-SHARE USE AT ANY TIME THE FACILITY
IS NOT MADE AVAILABLE FOR USE ACCORDING TO AGREED UPON
TERMS. YOU MAY NOT GIVE UP OR WAIVE THIS RIGHT TO CANCEL.';
(R) A schedule for refunding any funds due the purchaser if the time-share project is
not completed or if the purchaser exercises cancellation rights;
(S) The name and address of the escrow agent;
(T) A conspicuous statement as follows:
'ANY QUESTIONS ABOUT THE LEGAL ASPECTS OF THE PURCHASE OR
LEASE OF A TIME-SHARE INTERVAL SHOULD BE REFERRED TO AN
ATTORNEY.';
(U) A conspicuous statement on the cover page as follows:
'PURCHASER SHOULD READ THIS DOCUMENT BEFORE SIGNING
ANYTHING.';
(V)(i) Except as otherwise provided in division (ii) of this subparagraph, a
conspicuous statement as follows:
'THIS IS A REAL PROPERTY TRANSACTION. YOU OR YOUR ATTORNEY
SHOULD REVIEW THE DOCUMENTS RELATING TO THIS TRANSACTION
ON FILE IN THE SUPERIOR COURT OF THE COUNTY WHEREIN THE
PROPERTY IS LOCATED.'
(ii) If the time-share project is located outside this state, then the conspicuous
statement must read as follows:
'THIS IS A REAL PROPERTY TRANSACTION. YOU OR YOUR ATTORNEY
SHOULD REVIEW THE DOCUMENTS RELATING TO THIS TRANSACTION
ON FILE IN THE APPROPRIATE LAND RECORDS OF THE JURISDICTION
IN WHICH THE PROPERTY IS LOCATED.'; and
(W) A description of the exact procedure that will be used by the developer for closing
sales of time-share intervals including, but not limited to, the procedures for conveying
title to the time-share intervals, the procedures for delivery and recording of deeds, and
the procedures for disbursing funds held by the escrow agent.
(2) If the owners of time-share intervals are offered an opportunity to become members
of or to participate in any program for the exchange of occupancy rights among
themselves or with the owners of time-share intervals of other time-share projects, or
both, the public offering statement or a supplement delivered therewith must fully and
accurately disclose the following information:
(A) The name and address of the exchange company;
(B) The names of all officers, directors, and shareholders owning 5 percent or more of
the outstanding stock of the exchange company;
(C) Whether the exchange company or any of its officers or directors has any legal or
beneficial interest in any developer or managing agent for any time-share project
participating in the exchange program and, if so, the name and location of the
time-share project and the nature of the interest;
(D) Unless the exchange company is also the developer or an affiliate, a statement that
the purchaser's contract with the exchange company is a contract separate and distinct
from the sales agreement;
(E) Whether the purchaser's participation in the exchange program is dependent upon
the continued affiliation of the time-share project with the exchange program;
(F) Whether the purchaser's membership or participation, or both, in the exchange
program is voluntary or mandatory;
(G) A complete and accurate description of the terms and conditions of the purchaser's
contractual relationship with the exchange company and the procedure by which
changes thereto may be made;
(H) A complete and accurate description of the procedure to qualify for and effectuate
exchanges;
(I) A complete and accurate description of all limitations, restrictions, or priorities
employed in the operation of the exchange program, including, but not limited to,
limitations on exchanges based on seasonableness, unit size, or levels of occupancy,
expressed in a conspicuous statement, and, in the event that such limitations,
restrictions, or priorities are not uniformly applied by the exchange program, a clear
description of the manner in which they are applied;
(J) Whether exchanges are arranged on a space-available basis and whether any
guarantees of fulfillment of specific requests for exchanges are made by the exchange
program;
(K) Whether and under what circumstances an owner, in dealing with the exchange
company, may lose the use and occupancy of such owner's time-share interval in any
properly applied for exchange without such owner being provided with substitute
accommodations by the exchange company;
(L) The fees or range of fees for participation by owners in the exchange program, a
statement whether any such fees may be altered by the exchange company, and the
circumstances under which alterations may be made;
(M) The name and address of the site of each time-share property, accommodation, or
facility which is participating in the exchange program;
(N) The number of units in each property participating in the exchange program which
are available for occupancy and which qualify for participation in the exchange
program, expressed within the following numerical groupings: 1-5, 6-10, 11-20, 21-50,
and 51 and over;
(O) The number of owners with respect to each time-share project or other property
which are eligible to participate in the exchange program expressed within the
following numerical groupings: 1-100, 101-249, 250-499, 500-999, and 1,000 and over,
and a statement of the criteria used to determine those owners who are currently eligible
to participate in the exchange program;
(P) The disposition made by the exchange company of time-share intervals deposited
with the exchange program by owners eligible to participate in the exchange program
and not used by the exchange company in effecting exchanges;
(Q) The following information, which, except as provided in subparagraph (S) of this
paragraph, shall be independently audited by a certified public accountant or
accounting firm in accordance with the standards of the Accounting Standards Board
of the American Institute of Certified Public Accountants and included in the public
offering statement for each year no later than July 1 of the succeeding year, beginning
no later than July 1, 1983:
(i) The number of owners eligible to participate in the exchange program. Such
number shall disclose the relationship between the exchange company and owners as
being either fee-paying or gratuitous in nature;
(ii) The number of time-share properties, accommodations, or facilities eligible to
participate in the exchange program categorized by those having a contractual
relationship between the developer or the association and the exchange company and
those having solely a contractual relationship between the exchange company and
owners directly;
(iii) The percentage of confirmed exchanges, which shall be the number of exchanges
confirmed by the exchange company divided by the number of exchanges properly
applied for, together with a complete and accurate statement of the criteria used to
determine whether an exchange request was properly applied for;
(iv) The number of time-share intervals for which the exchange company has an
outstanding obligation to provide an exchange to an owner who relinquished a
time-share interval during the year in exchange for a time-share interval in any future
year; and
(v) The number of exchanges confirmed by the exchange company during the year;
(R) A conspicuous statement to the effect that the percentage described in division (iii)
of subparagraph (Q) of this paragraph is a summary of the exchange requests entered
with the exchange company in the period reported and that the percentage does not
indicate a purchaser's or owner's probabilities of being confirmed to any specific
choice or range of choices, since availability at individual locations may vary; and
(S) The information required by this paragraph shall be accurate as of a date which is
not more than 30 days prior to the date on which the information is delivered to the
purchaser, except that the information required by subparagraphs (B), (C), (M), (N),
(O), and (Q) of this paragraph shall be provided as of December 31 of the year
preceding the year in which the information is delivered, except for information
delivered within the first 180 days of any calendar year which shall be provided as of
December 31 of the year preceding the year in which the information is delivered. All
references in this Code section to the word 'year' shall mean calendar year;
(3) A multilocation developer shall include in the public offering statement or a
supplement delivered therewith the following information:
(A) A complete and accurate description of the procedure to qualify for and effectuate
use rights in time-share units in the multilocation plan;
(B) A complete and accurate description of all limitations, restrictions, or priorities
employed in the operation of the multilocation plan, including, but not limited to, a
conspicuous statement of limitations on reservations, use or entitlement rights based on
seasonableness, unit size, levels of occupancy or class of owner, and, in the event that
such limitations, restrictions, or priorities are not uniformly applied by the multilocation
plan, a clear description of the manner in which they are applied;
(C) Whether use is arranged on a space-available basis and whether any guarantees of
fulfillment of specific requests for use are made by the multilocation developer;
(D) The name and address of the site of each time-share property included in the
multilocation plan;
(E) The number of time-share units in each time-share property which are available for
occupancy and, with respect to each such time-share unit, the interest, such as fee
ownership, leasehold, or option to purchase, which the multilocation developer has
therein; a statement of all relevant terms of the multilocation developer's interest if such
interest is less than fee ownership; and whether the time-share unit may be withdrawn
from the multilocation plan;
(F) The following information, which, except as provided in subparagraph (H) of this
paragraph, shall be independently audited by a certified public accountant or
accounting firm in accordance with the standards of the Accounting Standards Board
of the American Institute of Certified Public Accountants and included in the public
offering statement for each year on or before July 1 of the succeeding year beginning
no later than July 1, 1983:
(i) The number of owners in the multilocation plan;
(ii) For each time-share property in the multilocation plan, the number of properly
made requests for use of time-share units in such time-share property; and
(iii) For each time-share property, the percentage of owners who properly requested
use of a time-share unit in such time-share property who received the right to use a
time-share unit in such time-share property;
(G) A conspicuous statement to the effect that the percentages described in
subparagraph (F) of this paragraph do not indicate a purchaser's or owner's
probabilities of being able to use any time-share unit since availability at individual
locations may vary; and
(H) The information required by this paragraph shall be provided as of a date which
is no more than 30 days prior to the date on which the information is delivered to the
purchaser, except that the information required by subparagraphs (D), (E), and (F) of
this paragraph shall be provided as of December 31 of the year preceding the year in
which the information is delivered, except for information delivered within the first 180
days of any calendar year which shall be provided as of December 31 of the year
preceding the year in which the information is delivered.
(b) In the event an exchange company offers an exchange program directly to the
purchaser or owner, the exchange company shall deliver to each purchaser or owner, prior
to the execution of any contract between the purchaser or owner and the company offering
the exchange program, the information set forth in paragraph (2) of subsection (a) of this
Code section. The requirements of paragraph (2) of subsection (a) of this Code section shall
not apply to any renewal of a contract between an owner and an exchange company.
(c) Each exchange company offering an exchange program to purchasers in this state must
include the statement set forth in subparagraph (a)(2)(R) of this Code section on all
promotional brochures, pamphlets, advertisements, or other materials disseminated by the
exchange company which also contain the percentage of confirmed exchanges described
in division (a)(2)(Q)(iii) of this Code section.
44-3-173.
(a) An exchange company whose exchange program is offered to purchasers in connection
with the offer or disposition of time-share intervals in this state shall, on or before July 1
of each year, file with the secretary of the association for the time-share program in which
the time-share intervals are offered or disposed, the information required by paragraph (2)
of subsection (a) of Code Section 44-3-172 with respect to the preceding year. If any of the
information supplied fails to meet the requirements of this Code section, the district
attorney or Attorney General may undertake enforcement action against the exchange
company in accordance with the provisions of this article in either the superior court of the
county wherein the time-share accommodations or facilities are located or in the Superior
Court of Fulton County. No developer shall have any liability arising out of the use,
delivery, or publication by the developer of any information provided to it by the exchange
company pursuant to this Code section. Except as provided in this Code section, no
exchange company shall have any liability with respect to (1) any representation made by
the developer relating to the exchange program or exchange company, or (2) the use,
delivery, or publication by the developer of any information relating to the exchange
program or exchange company. An exchange company shall only be liable for written
information provided to the developer by the exchange company. The failure of the
exchange company to observe the requirements of this Code section, or the use by it of any
unfair or deceptive act or practice in connection with the operation of the exchange
program, shall be a violation of this article.
(b) A multilocation developer which offers or disposes of time-share intervals in this state
shall, on or before July 1 of each year, file with the secretary of the association for the
time-share program the information required by paragraph (3) of subsection (a) of Code
Section 44-3-172 with respect to the preceding year. If at any time any of the information
supplied fails to meet the requirements of this Code section, the district attorney or
Attorney General may undertake enforcement action against the multilocation developer
in accordance with the provisions of this article in either the superior court of the county
wherein the time-share accommodations or facilities are located or in the Superior Court
of Fulton County. The failure of a multilocation developer to observe the requirements of
this Code section, or the use by it of any unfair or deceptive act or practice in connection
with the operation of the exchange program, shall be a violation of this article.
44-3-174.
(a) Before transfer of a time-share interval and no later than the date of any sales
agreement, the developer shall provide the intended transferee with a copy of the public
offering statement and any amendments and supplements thereto. The sales agreement is
voidable by the purchaser for seven days, Sundays and holidays excepted, after receipt of
the public offering statement or for seven days, Sundays and holidays excepted, after
signing any sales agreement, whichever is later. Cancellation is without penalty or
obligation, and all payments made by the purchaser before cancellation must be refunded
within 30 days after receipt of the notice of cancellation.
(b) In addition to the rights of the developer provided in the sales agreement, up to seven
days, Sundays and holidays excepted, after the signing of any sales agreement, the
developer may cancel the sales agreement without penalty or obligation to either party. The
developer shall return all payments made by the purchaser within 30 days after canceling
the agreement and the purchaser shall return all materials received in good condition,
reasonable wear and tear excepted.
(c) If a time-share use is being conveyed, a purchaser shall have the right to cancel the
transaction at any time after the facilities are no longer available for use.
(d) The rights of cancellation provided for in subsections (a), (b), and (c) of this Code
section shall not be waivable by any purchaser.
(e) Any sales agreement must contain a conspicuous statement as follows:
'YOU MAY CANCEL WITHOUT PENALTY OR OBLIGATION THIS SALES
AGREEMENT FOR THE PURCHASE OR LEASE OF A TIME-SHARE INTERVAL
WITHIN SEVEN DAYS, SUNDAYS AND HOLIDAYS EXCEPTED, AFTER
SIGNING AND RECEIVE A REFUND OF ANY FUNDS PAID. IF YOU DID NOT
RECEIVE A PUBLIC OFFERING STATEMENT PRIOR TO SIGNING THIS SALES
AGREEMENT, YOU MAY CANCEL THIS SALES AGREEMENT WITHIN SEVEN
DAYS, SUNDAYS AND HOLIDAYS EXCEPTED, AFTER RECEIPT OF A PUBLIC
OFFERING STATEMENT. YOU MAY NOT GIVE UP OR WAIVE THIS RIGHT TO
CANCEL. IF YOU DECIDE TO CANCEL, YOU MUST NOTIFY THE DEVELOPER
IN WRITING WITHIN THE CANCELLATION PERIOD OF YOUR INTENT TO
CANCEL BY SENDING NOTICE BY CERTIFIED MAIL OR STATUTORY
OVERNIGHT DELIVERY, RETURN RECEIPT REQUESTED, TO (insert the name
and address of the developer or the developer's agent). YOUR NOTICE WILL BE
EFFECTIVE UPON THE DATE YOU SEND IT.'
(f) Prospective purchasers receiving a copy of the public offering statement shall sign a
conspicuous statement acknowledging receipt of the public offering statement which shall
be kept at the principal office of the developer for a period of three years from the date of
receipt. Said statement shall read as follows:
'I HEREBY ACKNOWLEDGE THAT I HAVE RECEIVED THE PUBLIC OFFERING
STATEMENT OF (insert name of project) ON (insert date) AND I UNDERSTAND
THAT MY RIGHT TO CANCEL ANY SALES AGREEMENT TO PURCHASE A
TIME-SHARE INTERVAL EXPIRES ON (insert date), WHICH IS SEVEN DAYS,
SUNDAYS AND HOLIDAYS EXCEPTED, AFTER SIGNING ANY SALES
AGREEMENT OR SEVEN DAYS, SUNDAYS AND HOLIDAYS EXCEPTED,
AFTER RECEIPT OF THE PUBLIC OFFERING STATEMENT, WHICHEVER IS
LATER.'
44-3-175.
(a) A developer of a time-share program shall:
(1) Deposit with an escrow agent 100 percent of all funds which are received during the
seven-day cancellation period provided for in this article. The deposit of such funds shall
be evidenced by an executed escrow agreement between the escrow agent and the
developer, the provisions of which shall include:
(A) That its purpose is to protect the purchaser's right to a refund if he or she cancels
the sales agreement for a time-share interval within a seven-day cancellation period;
(B) That funds may be disbursed to the developer by the escrow agent from the escrow
account only after expiration of the purchaser's seven-day cancellation period and in
accordance with the sales agreement; and
(C) That the escrow agent may release funds to the developer from the escrow account
only after receipt of a sworn statement from the developer that no cancellation notice
was received before expiration of the seven-day period;
(2) Deposit with an escrow agent after the seven-day cancellation period 100 percent of
all funds which are received from purchasers of time-share uses. The deposit of such
funds shall be evidenced by an executed escrow agreement between the escrow agent and
the developer, the provisions of which shall include:
(A) That its purpose is to protect the purchaser's right to a refund, at any time the
accommodations or facilities are no longer available as provided in the sales agreement
entered into by the developer and the purchaser in an amount provided for in
subparagraph (B) of this paragraph;
(B) That funds may be disbursed to the developer by the escrow agent from the escrow
account periodically in the ratio of the amount of time the purchaser has already used
or had the right to use the accommodations or facilities of the time-share use at the time
of the disbursement in relation to the total time sold to the purchaser; and
(C) That the escrow agent may release funds to the developer from the escrow account
only after receipt of a statement signed by the purchaser indicating that such purchaser
has used or has had the right to use a specific number of days out of the total time
period purchased. If a purchaser refuses to sign such a statement when tendered, the
developer may submit a sworn statement to the escrow agent that the purchaser used
or had the right to use a specific number of days, but that the purchaser refused to sign
a statement to that effect;
(3) Place 100 percent of all funds received from purchasers of such time-share intervals,
after the seven-day cancellation periods have ended, in an escrow account when interests
in real property are being sold, according to a sales agreement which will transfer title to
the purchasers. The establishment of such an escrow account shall be evidenced by an
executed escrow agreement between the escrow agent and the developer, the provisions
of which shall include:
(A) That its purpose is to protect all deposits and payments made by a purchaser
toward the purchase price until the deed is delivered to the purchaser, whether
physically or by recording the same, or until the purchaser and developer enter into a
sales agreement which will transfer title to the purchaser; and
(B) That funds may be disbursed to the developer by the escrow agent from the escrow
account only after title has been delivered to the purchaser physically or delivered for
recording to the clerk of the superior court in the county where the real property
underlying the time-share project is located or at such other time as may be agreed upon
in writing by the purchaser and developer. However, in the case of a time-share estate
sold by agreement for deed, funds may only be disbursed to the developer after
recording of the agreement for deed and, if necessary, a notice to creditors with secured
interests in the property underlying the time-share project and, if the property is
encumbered by a deed to secure debt or mortgage instrument, a nondisturbance
instrument has been recorded in the public records of the county or counties in which
the time-share is located; or alternatively, after the developer records a notice to the
aforesaid creditors and obtains a release of lien for a time-share interval, funds may be
disbursed pertaining to that time-share interval; and
(4) Place any funds escrowed pursuant to this Code section with an escrow agent who
shall be one of the following: an attorney in this state, a bank or savings and loan
company having trust powers in this state, a title company in this state, or a real estate
broker in this state. In lieu of the foregoing, the funds may be escrowed in an account
required by the jurisdiction in which the sale of the time-share took place. The developer
must notify the purchaser of the name and address of the escrow agent or the name,
address, and account number of the bank or savings and loan company where the
developer maintains the funds. Maintenance of trust funds and disbursements by an
escrow agent in another state must be in accordance with the provisions of this article.
The escrow agreement shall authorize the purchaser or the purchaser's representative to
examine said trust account.
(b) An escrow agent holding funds escrowed pursuant to this Code section may invest such
escrowed funds in securities of the United States government, or any agency thereof, or in
savings or time deposits in institutions insured by an agency of the United States
government. The right to receive the interest generated by any such investments shall be
as specified by a written agreement between the developer and the purchaser.
(c) Each escrow agent shall maintain separate books and records for each time-share
project and shall maintain such books and records according to generally accepted
accounting principles.
44-3-176.
(a) If a developer enters into a sales agreement to sell a time-share interval and the
construction, furnishing, and landscaping of the time-share project have not been
substantially completed in accordance with the representations made by the developer in
the disclosures required by this article, the developer shall deposit with an escrow agent all
payments received by the developer from the purchaser towards the sales price until the
project is substantially complete. Funds shall be released from escrow as follows:
(1) If a purchaser properly terminates the sales agreement pursuant to its terms or
pursuant to this article, the funds shall be paid to the purchaser together with any interest
earned;
(2) If the purchaser defaults in the performance of such purchaser's obligations under the
sales agreement, the funds shall be paid to the developer together with any interest
earned; or
(3) If the funds of a purchaser have not been previously disbursed in accordance with the
provisions of this subsection, they may be disbursed to the developer in accordance with
this article by the escrow agent upon substantial completion of the time-share project.
(b) In lieu of any escrows required by subsection (a) of this Code section, the purchasers
shall have the discretion to accept in writing other financial assurances including, but not
limited to, a performance bond or an irrevocable letter of credit in an amount equal to the
cost to complete the time-share project.
(c) For the purpose of this Code section, 'substantially completed' means that all amenities,
furnishings, appliances, and structural components and mechanical systems of buildings
are completed and provided as represented in the public offering statement and that the
premises are ready for occupancy.
44-3-177.
(a) Any time-share program registered under this article in which a public offering
statement has been prepared shall not require registration under any of the following:
(1) Article 1 of this chapter;
(2) Chapter 5 of Title 10; or
(3) Any other state law which requires the preparation of a public offering statement or
substantially similar document for distribution to purchasers.
(b) Any time-share program registered under this article that fails to restrict the price at
which an owner may sell or exchange such owner's time-share interval shall not by virtue
of such failure cause the time-share interval to become a security under Chapter 5 of Title
10; nor shall an exchange program offering such a time-share interval for exchange be
construed to be offering a security under Chapter 5 of Title 10.
44-3-178.
(a) In lieu of the public offering statement required by this article, the developer may give
prospective purchasers a public offering statement or similar disclosure document which
meets the requirements of the Federal Securities and Exchange Act of 1933 or, if the
time-share project is located in another state, a public offering statement or similar
disclosure document which that state may require to be prepared and provided to
purchasers.
(b) A public offering statement need not be prepared or delivered in the case of:
(1) A transfer of a time-share interval by any time-share interval owner or user other than
the developer or such developer's agent;
(2) A disposition pursuant to court order;
(3) A disposition by a government or governmental agency;
(4) A disposition by foreclosure or deed in lieu of foreclosure;
(5) A disposition of a time-share interval in a time-share project situated wholly outside
this state, provided that all solicitations and negotiations took place wholly outside this
state and the sales agreement was executed wholly outside this state;
(6) A gratuitous transfer of a time-share interval; or
(7) Group reservations made for 15 or more people as a single transaction between a
hotel and travel agent or travel groups for hotel accommodations when deposits are made
and held for more than three years in advance.
44-3-179.
The developer shall immediately amend or supplement the public offering statement to
report any material change in the information required by Code Section 44-3-172. As to
any exchange program, the developer shall use the current written materials that are
supplied to it for distribution to the time-share interval owners as it is received.
44-3-180.
(a) Unless the purchaser expressly agrees in the sales agreement to accept such purchaser's
interest subject to a lien or by assuming a lien prior to transferring a time-share interval
other than by deed in lieu of foreclosure, the developer shall record or furnish to the
purchaser releases of all liens affecting that time-share interval or shall provide a surety
bond or insurance against the lien, as provided for liens on real estate in this state. In lieu
of the foregoing, a lienholder may agree to repurchase in the amount agreed to by the
parties but in no event less than the amount actually paid by the purchaser a purchaser's
time-share interval in the event the lienholder comes into possession of the time-share
project; or the lienholder may agree to allow the continued right of quiet enjoyment to the
purchaser.
(b) Unless a time-share interval owner or such owner's predecessor in title agrees
otherwise with the lienor, if a lien other than an underlying mortgage or security deed
becomes effective against more than one time-share interval in a time-share project, any
time-share interval owner is entitled to a release of such owner's time-share interval from
the lien upon payment of the amount of the lien attributable to such owner's time-share
interval. The amount of the payment must be proportionate to the ratio that the time-share
interval owner's liability bears to the liabilities of all time-share interval owners whose
interests are subject to the lien. Upon receipt of payment, the lienholder shall promptly
deliver to the time-share interval owner a release of the lien covering that time-share
interval. After payment, the managing entity may not assess or have a lien against that
time-share interval for any portion of the expenses incurred in connection with that lien.
44-3-181.
The developer shall not sell, lease, assign, or otherwise transfer the entire interest of the
developer, other than as a transfer of a time-share interval in the normal course of
marketing, in the time-share program or the accommodations or facilities to a third party
when such a sale, lease, assignment, or other transfer substantially affects the rights of
other owners of the time-share units, unless:
(1) The third party agrees in writing to honor fully the rights of purchasers of the
time-share intervals to occupy and use the accommodations or facilities or agrees in
writing to purchase the interval in an amount equal to the amount actually paid by the
purchaser toward the purchase price of the time-share interval;
(2) The third party agrees in writing to honor fully the rights of purchasers of the
time-share intervals to cancel their sales agreement and receive any refunds due;
(3) The third party agrees in writing to comply with the provisions of this article for as
long as the third party continues to sell the time-share project or for as long as purchasers
of the time-share project are entitled to occupy the accommodations or use the facilities,
whichever is longer in time; and
(4) Written notice is given to the association and notice shall be sent by certified mail
or statutory overnight delivery within 30 days of the sale, lease, assignment, or other
transfer.
44-3-182.
The person or entity responsible for making or collecting common expense assessments or
maintenance assessments shall keep detailed financial records and shall keep said funds in
a designated trust account. All financial and other records shall be made reasonably
available for examination by any time-share interval owner in the program, by the
time-share program's association, or by the authorized agent of such owner or association
upon reasonable request.
(1) The developer of a time-share program shall maintain the following records for a
period of three years. Said records shall be made available for inspection by any
time-share interval owner in the program, by the time-share program's association, or by
the authorized agent of such owner or association upon reasonable request:
(A) A copy of the escrow agreement for each time-share interval sold or, if alternative
arrangements are made, a copy of the documents relating to those arrangements;
(B) Copies of lien releases, surety bonds, or other financial assurances executed by the
developer to protect purchasers against any claims against the time-share program;
(C) Copies of management agreements entered into with managing agents for the
management of the time-share program;
(D) Copies of agreements entered into with exchange programs for the inclusion of the
time-share project in the exchange program's available facilities; and
(E) For multilocation developers, copies of certified public accountants' reports
required by subparagraph (a)(3)(F) of Code Section 44-3-172.
(2) The managing agent of a time-share program shall maintain the following records for
a period of three years. Said records shall be made available for inspection by any
time-share interval owner in the program, by the time-share program's association, or by
the authorized agent of such owner or association upon reasonable request:
(A) Copies of management agreements entered into with developers for the
management of time-share programs; and
(B) Copies of budgets and statements sent to developers and time-share interval
owners accounting for common expense and maintenance assessments.
(3) Exchange programs shall maintain the following records for a period of three years.
Said records shall be made available for inspection by any time-share interval owner in
the program, by the time-share program's association, or by the authorized agent of such
owner or association upon reasonable request:
(A) Copies of agreements with developers for the inclusion of their projects in the
exchange program's available facilities;
(B) Copies of agreements with time-share interval owners for their membership in the
exchange program; and
(C) Copies of certified public accountants' reports as required by subparagraph
(a)(2)(Q) of Code Section 44-3-172.
44-3-183.
If a developer or any other person subject to this article violates any provision of this article
or any provision of the project instruments, any person or class of persons adversely
affected by the violation has a claim for appropriate relief. Punitive damages may be
awarded for a willful violation of this article. The court may also award reasonable
attorney's fees.
44-3-184.
A judicial proceeding where the accuracy of the public offering statement or validity of any
sales agreement is an issue and a rescission of the sales agreement is sought or damages are
sought must be commenced within one year after the date upon which the last of the events
described in paragraphs (1) through (3) of this Code section shall occur:
(1) The closing of the transaction;
(2) The first issuance by the applicable governmental authority of a certificate of
occupancy or other evidence of sufficient completion of construction of the building
containing the unit to allow lawful occupancy of the unit. In counties or municipalities
in which certificates of occupancy or other evidence of completion sufficient to allow
lawful occupancy are not customarily issued, for the purpose of this Code section,
evidence of lawful occupancy shall be deemed to have been given or issued upon the date
that such lawful occupancy of the unit may first be allowed under prevailing applicable
laws, ordinances, or statutes; or
(3) The completion of the common elements and any recreational facilities, whether or
not the same are common elements, which the seller is obligated to complete or to
provide under the terms of the written contract for the sale of the unit.
44-3-185.
(a) It shall be unlawful for any person, directly or indirectly, to sell or offer for sale
time-share intervals in this state by authorizing, using, directing, or aiding in the
dissemination, publication, distribution, or circulation of any statement, advertisement,
radio broadcast, or telecast concerning the time-share project in which the time-share
intervals are offered, which contains any statement or sketch which is false or misleading
or contains any representation or pictorial representation of proposed improvements or
nonexistent scenes without clearly indicating that the improvements are proposed and the
scenes do not exist.
(b) Nothing in this Code section shall be construed to hold the publisher or employee of
any newspaper, or any job printer, or any broadcaster or telecaster, or any magazine
publisher, or any of the employees thereof, liable for any publication referred to in
subsection (a) of this Code section unless the publisher, employee, or printer has actual
knowledge of the falsity thereof or has an interest either as an owner or agent in the
time-share project so advertised.
44-3-186.
No advertising for the sale or offer for sale of time-share intervals shall:
(1) Contain any representation as to the availability of a resale program or rental program
offered by or on behalf of the developer or its affiliate unless the resale program or rental
program has been made a part of the offering;
(2) Contain an offer or inducement to purchase which purports to be limited as to
quantity or restricted as to time unless the numerical quantity or time applicable to the
offer or inducement is clearly and conspicuously disclosed;
(3) Contain statements concerning the availability of time-share intervals at a particular
minimum price if the number of time-share intervals available at that price comprises less
than 10 percent of the unsold inventory of the developer, unless the number of time-share
intervals then for sale at the minimum price is set forth in the advertisement;
(4) Contain any statement that the time-share interval being offered for sale can be
further divided unless a full disclosure is included as the legal requirements for further
division of the time-share interval;
(5) Contain any asterisk or other reference symbol as a means of contradicting or
changing the ordinary meaning of any previously made statement in the advertisement
in such a manner as to mislead the public;
(6) Misrepresent the size, nature, extent, qualities, or characteristics of the
accommodations or facilities which comprise the time-share project;
(7) Misrepresent the nature or extent of any services incident to the time-share project;
(8) Misrepresent or imply that a facility or service is available for the exclusive use of
purchasers or owners if a public right of access or of use of the facility or service exists;
(9) Make any misleading or deceptive representation with respect to the registration of
the time-share project, the sales agreement, the purchaser's rights, privileges, benefits,
or obligations under the sales agreement or this article;
(10) Misrepresent the conditions under which a purchaser or owner may participate in
an exchange program;
(11) Purport to have resulted through a referral unless the name of the person making the
referral can be produced upon demand of any prospective purchaser or the time-share
program's association;
(12) Describe any proposed or uncompleted private facilities over which the developer
has no control or documented right of use unless the estimated date of completion is set
forth and evidence can be produced upon the demand of any prospective purchaser or the
time-share program's association that the completion and operation of the facilities are
reasonably assured within the time represented in the advertisement or that no assurances
of completion are provided;
(13) Contain any statement that the developer plans to affiliate with an exchange
program;
(14) Represent that any federal, state, county, or municipal agency, board, or
commission has recommended the time-share project or any of its documents; or
(15) Contain any statement guaranteeing or offering to guarantee the sale or resale of any
time-share interval.
44-3-187.
Any person who offers a gift, prize, award, or other item, or any other promotional contest
or giveaway in connection with the sale or offer to sell of time-share intervals under this
article must comply with all of the provisions of paragraph (16) of subsection (b) of Code
Section 10-1-393, relating to promotional contests and giveaways in general.
44-3-188.
In the developer's financing of a time-share program, the developer shall retain financial
records of the schedule of payments required to be made and the payments made to any
person or entity which is the holder of an underlying blanket mortgage, deed of trust,
contract of sale, or other lien or encumbrance which is not subordinated to the time-share
program and shall make the same available upon reasonable request to owners of
time-share intervals in the time-share program and the time-share program's association.
The time-share program's association, in its discretion, may require the developer to submit
periodic, written reports from the mortgagee, lienholder, or other creditor of the status of
payments made on any underlying blanket mortgage, deed of trust, contract of sale, or other
lien or encumbrance which is not subordinated in the time-share program. Any transfer of
the developer's interest in the time-share program to any third person shall be subject to the
obligations of the developer.
44-3-189.
The developer whose project is subject to an underlying blanket lien or encumbrance shall
protect nondefaulting purchasers from foreclosure by the lienholder by obtaining from the
lienholder a nondisturbance clause, subordination agreements, partial release of the lien as
the time-share intervals are sold, or an agreement in writing that the lienholder will
purchase nondefaulting purchasers' intervals in an amount equal to the amount agreed to
by the parties but in no event less than the amount actually paid by the purchaser toward
the purchase price of the time-share interval.
44-3-190.
(a) It shall be unlawful for any person to engage in the business of, act in the capacity of,
advertise, or assume to act as a sales agent or managing agent within this state without first
obtaining a license to act as a real estate broker if required by Chapter 40 of Title 43.
(b) Prior to the closing of a resale of a time-share interval owned by a person other than
the developer of the time-share program, no person may charge or collect any
compensation for real estate brokerage services from the person reselling the time-share
interval; provided, however, that such person providing real estate brokerage services may
charge an advertising fee if:
(1) Such person can document that said advertising fee was paid to a firm which
regularly provides advertising services to promote the sale of real property and with
which such person providing real estate brokerage services has no personal, familial, or
business relationship; and
(2) The party reselling the time-share interval signs an agreement authorizing the
advertising fee and such agreement identifies the party to whom the advertising fee will
be paid.
If the person offering real estate brokering services on the resale of a time-share interval
also offers a guaranteed sale of the interval, such person may not charge or collect any
compensation for any purpose prior to the closing of the resale of the time-share interval.
44-3-191.
(a) Time-share projects located outside this state and offered for sale in this state must
comply with such time-share regulations as exist in the situs state unless the provisions of
this article are more restrictive, and then the provisions of this article shall be equally
applicable. A time-share project located outside this state may supplement its disclosure
materials in that situs state with an added disclosure addendum to be applicable to sales
occurring in this state, which disclosure addendum incorporates the law of this state if more
restrictive.
(b) Managing agents and exchange programs located outside this state and operating in this
state must comply with all of the provisions of this article.
44-3-192.
Compliance with this article shall not be required in the case of:
(1) Any transfer of a time-share interval by any time-share interval owner other than the
developer or such developer's agent;
(2) Any disposition pursuant to court order;
(3) A disposition by a government or governmental agency;
(4) A disposition by foreclosure or deed in lieu of foreclosure;
(5) A disposition of a time-share interval in a time-share project situated wholly outside
this state, provided that all solicitations and negotiations took place wholly outside this
state and the sales agreement was executed wholly outside this state;
(6) A gratuitous transfer of a time-share interval; or
(7) Group reservations made for 15 or more people as a single transaction between a
hotel and travel agent or travel groups for hotel accommodations when deposits are made
and held for more than three years in advance.
44-3-193.
(a) A developer must alter or supplement the form of or information contained in the
public offering statement to assure that the public offering statement adequately and
accurately discloses to prospective purchasers the material required to be disclosed by this
article.
(b) The public offering statement shall not be used for any promotional purposes unless
it is used in its entirety. No person shall advertise or represent that any federal, state,
county, or municipal agency, board, or commission has approved or recommended the
time-share program, its disclosure statement, or any of its documents.
44-3-194.
Any developer or its agents shall keep among its business records and make reasonably
available for examination to the purchaser or the time-share program's association or its
authorized agent the following:
(1) A copy of each item required by this article;
(2) A copy of the sales agreement from each sale of a time-share interval in the
time-share project, which sales agreement shall be retained for a period of at least three
years after parties to the sale have completely performed all of their obligations
thereunder; and
(3) A list of all employees or independent contractors, including their last known mailing
address, which list shall include all current and previous employees or independent
contractors whose employment or contract has been terminated within the preceding three
years.
44-3-195.
(a) Except that violations of Code Section 44-3-188 shall be subject only to the remedies
available under paragraph (16) of subsection (b) of Code Section 10-1-393, any person who
shall willfully and intentionally violate any provision of this article shall be guilty of a
misdemeanor except in the case the violation causes loss in excess of $5,000.00, then said
person shall be guilty of a felony and, upon conviction thereof, shall be punished by a fine
not to exceed $5,000.00 or by imprisonment for not less than one nor more than three
years. Each violation of this article shall constitute a separate offense.
(b) Whenever it appears to the district attorney or the Attorney General, either upon
complaint or otherwise, that any person has engaged in, is engaging in, or is about to
engage in any act, practice, or transaction which is prohibited by this article, the district
attorney or Attorney General or both may in his or her discretion apply to any court of
competent jurisdiction in this state, including the Superior Court of Fulton County, for an
injunction restraining such person and that person's agents, employees, partners, officers,
and directors from continuing such act, practice, or transaction or doing any acts in
furtherance thereof and for the appointment of a receiver or an auditor and such other and
further relief as the facts may warrant.
(c) Any person who violates this article shall be liable in damages to any person or class
of persons injured thereby. Punitive damages may be awarded for a willful violation of this
article. The court may also award reasonable attorney's fees.
44-3-196.
The provisions of this article shall apply to any time-share program located in this state or
outside this state when offered for sale in this state created or commenced after July 1,
1983, and 180 days after July 1, 1983, as to any time-share program heretofore created or
commenced.
44-3-197 through 44-3-205.
Repealed.