County of Los Angeles Department of Consumer Affairs New Consumer Laws 2007

Time Shares: Greater Protections For Buyers

B&P Code Sections 11211.5, 11226, 11238, 11240, 11241, 11242, 11267 and 11275, 11216.1, 11242.1, 11265.1

Current law requires time-share developers to disclose certain information to time share buyers. Time-share plans offered for sale in California, or created and existing in California, must also pay certain fees, register, and provide certain notices and disclosures for all oral and written communication.

This new law requires more stringent certifications on proposed time-share budgets, specifies reserve requirements related to unsold inventory, and gives an association greater power to collect delinquent assessments in a time-share facility.

Under this new law anyone offering to sell or lease time shares must make certain information available to buyers prior to signing any contract, and must provide a copy of that information prior to any transfer of interest. This information includes:

• The CCRs for the time-share plan; articles of incorporation (or association) and bylaws of the time-share association;
• The current budget and financial statement for the time-share plan.
• When regular and special assessments become delinquent;
• The costs that may be charged when delinquent;
• How notices are to be provided for increases in regular and special assessments; and
• Any other rights and responsibility for owners.

For more information:
County of Los Angeles Department of Consumer Affairs
B-96 Kenneth Hahn Hall of Administration
500 W. Temple Street * Los Angeles, CA 90012-2706
Telephone (800) 593-8222 (within the County) * (213) 974-1452
web site: dca.lacounty.gov