ARRANGEMENT OF SECTIONS

SECTION

PART I
PRELIMINARY

PART II
LICENCES FOR TIME-SHARING

PART III
PURCHASER'S RIGHTS

PART IV
MANAGEMENT

PART V
INSURANCE, FUNDS, TAX AND RECORDS

PART VI
INSPECTION

PART VII
PROHIBITIONS AND PENALTIES

PART VIII
MISCELLANEOUS

FIRST SCHEDULE - Matters which shall be Included in Every Purchaser's Contract.

SECOND SCHEDULE - Matters in respect of which Every Developing Owner, Marketing Agent or Managing Agent of a Time-Sharing Project Must Satisfy the Board.

THIRD SCHEDULE - Matters which Every Developing Owner or his Marketing Agent must Include in his Public Offering Statement.

CHAPTER 141

THE BAHAMAS VACATION PLAN AND TIME-SHARING

[Assent 3rd November, 1999]
[Commencement 12th January, 2000]

"Board" means the Investments Board referred to in the International Persons Landholding Act, 1993, and includes any Minister authorised by the Board to carry out on its behalf any function conferred on the Board by this Act;

"Chief Medical Officer" has the meaning assigned to that expression in the Health Services Act;

"completion" means that point in time when the conditions precedent to the time-sharing purchaser's right to use and enjoy the accommodations and facilities of a time-sharing project have been satisfied and which may be simultaneous with or subsequent to the execution of the time-sharing contract;

"developing" means with reference to a time-sharing project the doing of any act pertaining to the construction or operation of a building for the purpose of such project and "development" shall be construed accordingly;

"developing contractor" means a person undertaking on behalf of a developing owner the duties, responsibilities and obligations of the construction and equipping, or the supervision of the construction or equipping, of a time-sharing project but does not include its developing owner;

"developing owner" means in the case of any given real property a person who holds an estate in fee simple or a leasehold estate for a term of forty years or such number of years, being not less than five years more than those constituting the time-sharing interests, whichever is the greater term, in the real property and who is in the business of creating and selling his own time-sharing interests in a time-sharing project but does not include a developing contractor or a marketing agent;

"Director of Fire Services" has the meaning assigned to that expression in the Fire Services Act;

"Director of Physical Planning" means the officer of that name referred to in section 5 of the Town Planning Act;

"escrow fund" means that fund required by and described in section 31;

"exchange programme" means any method, arrangement or procedure for the voluntary exchange of the right to use accommodations and facilities (whether at a time-sharing project or otherwise) between a purchaser and another person but does not include the assignment of a right to use and occupy accommodations and facilities to purchasers within a particular time-sharing plan (such as, but not limited to, a floating use of multi-site time-sharing plan);

"licence" means a licence granted under this Act to develop, market or manage a time-sharing project, as the case may be;

"licensee" means a person to whom a licence has been granted under section 3;

"managing agent" means a person undertaking the duties, responsibilities and obligations of the management of a time-sharing project;

"Minister" means the Minister responsible for the Investments Board;

"off-site sale" means any sale and purchase of a time-sharing interest not otherwise deemed an on-site sale;

"on-site sale" means the consummation of a sale and purchase of a time-sharing interest occurring within the jurisdictional limits of The Bahamas, with the execution by the purchaser of documents in connection therewith taking place in The Bahamas;

"purchaser" means a person who has given valuable consideration or is liable therefor in exchange for the acquisition of a time-sharing interest;

"regulations" means regulations made under section 54;

"seller" means any developer or any other person, or any agent or employee thereof, who advertises, markets or offers time-sharing interests in the ordinary course of business;

"sinking fund" means that fund required by and described in section 32;

"time-share period" means the period or periods of time whether pre-established at the time of completion or determined subsequent thereto pursuant to a reservation system, when a purchaser of a time-share plan is afforded the right to use and occupy the accommodations or facilities, or both, of a time-sharing project;

"time-share plan" means any arrangement, plan, scheme or device (other than an exchange programme) whereby a purchaser receives, directly or indirectly, a right to use and occupy accommodations and any related facilities for a period of time less than six months on a recurring basis over a period of at least three years but not necessarily for consecutive years;

"time-sharing interest" means the right to use and occupy a unit, which may be coupled with the right to use other facilities or other rights and privileges, pursuant to a time-sharing plan;

"time-sharing project" means any premises or complex of premises (whether contiguous or not) and the grounds appurtenant thereto that are subject to or included within a time-share plan;

"trust fund" means that fund required by and described in section 33;

"unit" means that part of the accommodations and facilities of a time-sharing project intended for the habitation of a purchaser during his time-share period;

"year" means any period of twelve consecutive months.

for the purpose of such building being used in the operation of a time-sharing project except under and in accordance with the terms of a developing owner's licence granted for that purpose by the Board:

Provided that where a developing owner's licence has been granted in accordance with this subsection, the person so licensed may appoint a developing contractor to perform on his behalf functions in relation to the time-sharing project under and in accordance with the terms of that licence.

(2) A person shall not engage in the advertising, marketing, offering for sale or in the management of a time-sharing project except under and in accordance with the terms of a marketing agent's licence or managing agent's licence, as the case may be, granted for that purpose by the Board.

(3) The Board may grant a licence under this section subject to such terms and conditions as may be specified therein or as may be prescribed.

(2) The developing owner shall furnish the Minister with a bond in a form to be approved by the Comptroller of Customs with such sureties (if any) as may be required by the Minister of Finance in double the amount of any customs duties which would ordinarily attach on importation thereof for the payment of such customs duties on a date to be fixed by the Minister of Finance, such bond being conditioned to become null and void if, on or before the date specified in such bond, such materials are applied only for the purpose specified in such Agreement:

Provided that the Minister of Finance may accept in lieu of a bond an alternative assurance, in such amount and form as the Minister of Finance may require, including a letter of credit or a company guaranty issued by the developing owner (or its parent company) provided he is satisfied that the issuer of the guaranty has a net worth in excess of twenty-five thousand dollars and is otherwise financially capable of paying upon the said guaranty.

(3) Every agreement under this section shall contain mutual covenants on the part of the Minister and the developing owner providing for the following matters, namely-

(4) For the purposes of this section "materials" means plumbing, electrical, mechanical and construction materials of all kinds necessary for the initial construction, furnishing and equipping of a new building so that the building is complete and ready for occupancy but does not include stoves, refrigerators, kitchen appliances or such other items as may be prescribed by the Minister.

(5) The exemption mentioned in subsection (1) shall apply-

(6) With respect to any time-sharing project that is part of a particular resort complex that includes a hotel, the Minister may also determine that the exemption set forth in subsection (1) shall also apply to those portions of the said complex that comprise a hotel and its appurtenant facilities, in which case such exemption shall apply to the said hotel in lieu of the exemption from customs duties set forth in the Hotels Encouragement Act.

(7) The developing owner of an existing time-sharing project desiring to rehabilitate or extend the same may submit to the Minister in writing for approval full particulars of such proposed rehabilitation or extension together with an estimate of the cost thereof, and shall supply to the Minister such other information as the Minister may require and on approval the provisions of subsections (1) to (6) shall apply mutatis mutandis to such rehabilitation or extension:

Provided that the exemption of the developing owner from the payment of customs duties in respect of materials necessary for the rehabilitation or extension of an existing time-sharing project shall be for a period of eighteen months from the commencement of this subsection.

(8) Where materials are purchased in The Bahamas for the construction, equipping, furnishing and completing of a time-sharing project or the rehabilitation or extension of a time-sharing project referred to in subsection (7), the customs duties paid on those goods shall be refunded by the Controller of Customs.

(2) The Board shall not grant a licence for the operation of a time-sharing project whereby any legal or equitable interest other than a time-sharing interest may be conferred upon the purchasers of those rights unless the Board otherwise sees fit, having regard to the fact that the right to use and occupy the accommodations and facilities of a time-sharing project is the principal benefit being conferred by the developing owner.

(3) The Board, unless it otherwise sees fit, shall not grant a licence for the operation of a time-sharing project until the time-sharing contract to be executed by the purchasers of the rights to occupy and use the facilities of the project has been submitted to and approved by the Board; and no material variation thereof shall be subsequently made without the written approval of the Board.

(2) Before transferring any licence under subsection (1), the Board shall, where practicable, give to the licensee or to his personal representatives a reasonable opportunity to make any representations that either may wish to make in relation to any such application, and shall take into account any representations so made by either of them or on his behalf.

(2) Where the Board decides to grant, or approve the transfer of a licence, there shall be paid to the Treasurer before the licence is issued or transferred, the prescribed fee.

(3) All fees paid to the Treasurer under subsection (2) shall be paid by the Treasurer into the Consolidated Fund.

as may be appropriate to the particular licence;

Provided that the Board shall not of its own motion vary any of the specified terms without first giving to the licensee no less than seven days notice delivered to the time-sharing project site of the intention to make such variation and shall take into account any representations made by or on behalf of the licensee.

(2) Where the Board suspends a licence the licence shall, during the period of suspension, be of no effect.

(3) The Board may also revoke a licence if it is satisfied that the premises to which the licence relates have ceased to be operated as a time-sharing project.

(2) If a developing owner fails to comply with the requirements of the notice under subsection (1), any interested party may make application to the Supreme Court for an order appointing an interim or other managing agent who shall continue in that office until the Board grants a licence to another managing agent; and all expenses incurred in connection with the appointment of an interim or successor managing agent shall be payable out of moneys standing to the credit of the trust fund as well as out of the moneys provided by the time-sharing purchasers for the operation and management of the time-sharing project.

(3) A developing owner who fails to comply with the requirements of a notice under subsection (1) is guilty of an offence and shall be liable on summary conviction to a fine of five thousand dollars, and in addition, to a fine of one thousand dollars, for each day during which such offence continues, or to imprisonment for one year or to both such fine and imprisonment.

and there is no managing agent to manage the time-sharing project, any interested party may make application to the Supreme Court for an order appointing an interim managing agent for a period not exceeding three years for the orderly continuation of the time-sharing project and all expenses incurred in connection with the appointment of an interim managing agent shall be payable out of the trust fund as well as out of any moneys provided by the purchasers for the operation and maintenance of the time-sharing project.

(2) A licensee who fails to comply with a notice under subsection (1) is guilty of an offence and shall be liable on summary conviction to a fine of five hundred dollars or to imprisonment for three months or to both such fine and imprisonment.

(2) On an application under subsection (1), the Registrar shall, upon receipt of a duly executed contract, specify the names of time-sharing purchasers of time-sharing interests, enter upon payment of the prescribed fee such particulars as may be prescribed in a register to be maintained by the Registrar to be called the "Register".

(3) The Register shall. be open to inspection by any member of the public at all reasonable times upon payment of such fee as may be prescribed.

(4) The Registrar shall, on the application of a time-sharing purchaser, developing owner or managing agent, make such alterations to the particulars in the Register as appear necessary to the Registrar by virtue of the application.

(5) A developing owner shall provide a purchaser with a written certificate or other evidence of such purchaser's time-sharing interest within sixty days after execution, and the form of such certificate or other document shall be to the satisfaction of the Board.

(6) A developing owner or managing agent who contravenes the provisions of subsection (1) or (2) is guilty of an offence and shall be liable on summary conviction to a fine of five thousand dollars or to imprisonment for one year or to both such fine and imprisonment.

(7) The Registrar in this Act means a Registrar of Vacation Plans and Time-Sharing who is to be an officer of the Ministry responsible for vacation plans and time-sharing designated as such.

(2) A charge upon the time-sharing project arising under subsection (1) shall prevail against any subsequent purchaser of the same whether or not he purchased in good faith, for value, and without actual notice of such charge.

(2) A developing owner or managing agent who contravenes the provisions of subsection (1) is guilty of an offence and shall be liable on summary conviction to a find of five thousand dollars or to imprisonment for one year or to both such fine and imprisonment.

(2) Nothing in this Act is intended to prohibit the foreclosure, exercise of power of sale or pursuit of other right or remedy pursuant to any law relating to-

(2) A developing owner shall be considered the managing agent of the time-share plan unless and until such developing owner clearly provides in the Public Offering Statement described in section 51 that a different party will serve as managing agent, which party has acknowledge in writing that it has accepted the duties and obligations of serving as managing agent; in the event such other party subsequently resigns or otherwise ceases to perform its duties as managing agent, any developing owner shall again be considered the managing agent until the developing owner arranges for a new managing agent pursuant to this subsection.

(3) Notwithstanding the appointment of a managing agent, the developing owner shall continue to be jointly and severally responsible for the obligations of the managing agent under this Act and under any contract with a purchaser unless and until-

(2) Any denial of use shall also extend to those parties claiming under any such delinquent purchaser.

(3) For purposes of this section, a purchaser shall be considered delinquent in the payment of a given assessment only upon the expiration of sixty days after the date the assessment is billed to the purchaser or upon the expiration of sixty days after the date the assessment is declared to be due, whichever is later.

(2) The developing owner shall keep all the property of the time-sharing project of an insurable nature insured against loss or damage in an amount not less than the replacement cost of such property

(3) A developing owner may delegate or assign to a managing agent responsibility for compliance with the requirements of subsections (1) and (2), but the developing owner shall remain jointly and severally responsible for such compliance until the developing owner is no longer involved with the time-sharing project as contemplated in section 26.

(4) A developing owner or managing agent, as the case may be, who contravenes any of the provisions of this section is guilty of an offence and shall be liable on summary conviction to a fine of ten thousand dollars or to imprisonment for two years or to both such fine and imprisonment.

Provided that if sale of a time-sharing interest is an off-site sale and the jurisdiction where such sale occurs does not have contemporaneous to such sale comparable statutory time-sharing escrow requirements to those provided herein, then in such event the proceeds of such off-site sale shall be paid immediately upon receipt into the aforesaid escrow fund and kept there until disbursed as hereinafter provided.

(2) The following disbursements from the escrow fund shall be made by the escrow agent upon receipt of a developing owner's sworn affidavit averring the applicable circumstances as hereinafter described-

(3) The escrow agent shall, after making the disbursements authorised under subsection (2) and if the amount standing to the credit of the sinking fund is not less than five per centum of the total construction cost incurred to that time on the time-sharing project, transfer to the trust fund established under section 33 the balance of the amount in the escrow fund; otherwise after making such disbursements the transfer of such balance shall be made to the sinking fund until the minimum requirement thereof is satisfied.

(4) Where a payment is to be made under subsection (3) into the trust fund, that payment may, at the request of the developing owner be made to him instead if the escrow agent receives a sworn affidavit from the developing owner averring that-

(5) A developing owner who contravenes the provisions of subsection (1) or (2)(d) or who makes a false affidavit under subsection (2) or (4), or an escrow agent who contravenes the provisions of subsection (2) or (3) is guilty of an offence and shall be liable on summary conviction to a fine of ten thousand dollars or to imprisonment for two years or to both such fine and imprisonment.

(6) The foregoing notwithstanding, upon application the Board may consider and accept in lieu of the establishment of an escrow account as provided in this section an alternative assurance in such amount and form as the Board may accept, including a surety bond, letter of credit or a company guaranty issued by the developing owner (or its parent company), provided the Board is satisfied that the developing owner (or its parent company) has a net worth in excess of twenty-five million dollars and is otherwise financially sound.

Provided that, where the sum standing to the credit of the sinking fund is not less than a sum equal to five per centum of the total construction cost of the time-sharing project, the developing owner may cease to make disbursements into the fund.

(2) The sum standing to the credit of the sinking fund shall be applied in payment of any repairs, alterations or replacements necessary to the premises of the completed time-sharing project by reason of defects in materials or workmanship.

(3) Any sum paid to the sinking fund may, unless applied in payment to the purposes for which the sinking fund is established, be repaid to the developing owner anytime after three years from when construction of the time-sharing project is completed, and the sinking fund shall be held by the developing owner during such period on trust for the benefit of all purchasers for such purposes.

(4) The Advisory membership structure of any time-share owners' association described in the Second Schedule shall be entitled to use the funds held in the sinking fund, if any, for the purposes for which they are intended upon the failure of the developing owner so to do, and in that regard the developing owner shall at the request of the advisory body lay over with the financial institution at which the sinking fund is kept the signatures of two persons approved by that body as being authorised to make any necessary withdrawals.

(5) A developing owner who contravenes the provisions of this section is guilty of an offence and shall be liable on summary conviction to a fine of five thousand dollars or to imprisonment for one year or to both such fine and imprisonment.

(6) The foregoing notwithstanding, upon application the Board may consider and accept in lieu of the establishment of a sinking fund account as provided in this section an alternative assurance in such amount and form as the Board may accept, including a surety bond, letter of credit or a company guaranty issued by the developing owner (or its parent company), provided the Board is satisfied that the developing owner (or its parent company) has a net worth in excess of twenty-five million dollars and is otherwise financially sound.

(2) Disbursements from the trust fund shall be made by the trustee-

provided there are moneys standing to the credit of the fund.

(3) A developing owner shall not be entitled to use the funds held in the sinking fund or the trust fund as collateral security in support of any loan or other financial obligation incurred by him.

(4) Notwithstanding anything in this section contained, where a developing owner fails to complete the time-sharing project in accordance with the terms and conditions of his licence or is adjudged a bankrupt by a court of competent jurisdiction and his licence is revoked, any interested party may make application to the Supreme Court for an order enabling that person to complete the time-sharing project by using the funds in the trust fund, if any, or for the disbursement of such funds to the purchasers on a pro rata basis.

(5) Where such an order has been made by the Supreme Court, moneys standing to the credit of the trust fund shall, notwithstanding anything to the contrary in any other law, be first applied for the purposes specified in that order.

(6) Any interest accruing on sums held in the trust fund shall be for the account of the developing owner.

(7) A developing owner who contravenes the provisions of subsection (1) or (3) or a trustee who contravenes the provisions of subsection (2) is guilty of an offence and shall be liable on summary conviction to a fine of five thousand dollars or to imprisonment for one year or to both such fine and imprisonment.

(2) If the managing agent or developing owner, or other person acting on behalf of such agent or owner-

that managing agent or developing owner or other person is guilty of an offence and shall be liable on summary conviction to a fine of five thousand dollars or to imprisonment for one year or to both such fine and imprisonment.

(2) Subject to subsection (3) the occupancy tax shall in respect of each such occupant be six per centum of his total room rate for the period during which such guest is provided with sleeping accommodation at such time-share property.

(3) Notwithstanding subsection (2), the Minister may, by order increase or reduce the rate of the occupancy tax from a date to be specified in the order.

(4) The provisions of sections 31 and 32 of the Interpretation Act shall not apply in relation to any order made by the Minister under subsection (3) but instead every such order shall be subject to affirmative resolution of both Houses of Parliament.

(5) In subsection (4) the expression "subject to the affirmative resolution of both Houses of Parliament", in relation to an order, means that the order is not to come into operation unless and until approved by a resolution of each of these Houses; and on and after the date specified in the order as so approved the alteration of the rate of tax specified in the order shall respectively have effect.

(2) Before an inspection is carried out under the authority of section 38 or of subsection (1) hereof, the licensee of the premises to be inspected, or some agent or servant of the licensee, shall be given notice of the intention to carry out the inspection as may, in the circumstances of the case and having regard to the objects of the inspection, be reasonable; and the licensee or, as the case may be, his agent or servant shall be given an opportunity to be present or have some person selected by him to be present at the inspection.

(3) If any person authorised under the provisions of section 38 or of subsection (1) hereof has reason to believe that a contravention of any provision of law is being committed on a time-sharing project and that the contravention is of such a nature that there is a likelihood of danger therefrom to the safety or health of persons therein if such contravention is not promptly remedied, then that person may give such directions to the person for the time being in charge of the premises as will, in his opinion, prevent or minimize such danger, and may require such persons or classes of persons as he may specify, to vacate the premises or such part of the premises as he may specify until such danger is in his opinion prevented or minimized and may, if such directions or requirements are not carried out, call to his assistance such persons as he may think fit for the purpose of enforcing compliance therewith or carrying out such works of an emergency nature as he may think necessary.

(4) Any person giving directions or making requirements under the authority of subsection (3) shall forthwith report the action he has taken to the Board.

(5) In this section "licensee" means the developing owner or the managing agent.

(2) Any person who commits a prohibited transaction is guilty of an offence and shall be liable on summary conviction to a fine of ten thousand dollars or to imprisonment for two years or to both such fine and imprisonment.

(2) Any person who, in the course of developing, managing, advertising, marketing or selling a time-sharing project-

is guilty of an offence and shall be liable on summary conviction to a fine of five thousand dollars or to imprisonment for one year or to both such fine and imprisonment.

(3) For the purposes of subsection (2)-

(4) The Board may, after giving the licensee an opportunity to be heard, suspend or revoke his licence where the licensee is convicted of an offence under this section.

(2) If the person convicted of an offence under subsection (1) is the developing owner or the director of a company that is the developing owner such agreement may be cancelled by the Minister in which case all customs duties from the payment of which the developing owner has been exempted pursuant to the provisions of an agreement made under the authority of this Act may be recovered from the developing owner as liquidated damages.

(2) Any licensee who develops, markets or manages a time-sharing project otherwise than in accordance with the terms and conditions of the licence that has been granted to him is guilty of an offence and shall be liable on summary conviction to a fine of one thousand dollars and, in addition, to a fine of five hundred dollars for each day during which such offence continues or to imprisonment for a term of six months or to both such fine and imprisonment.

(3) Any person to whom a licence has been granted who subsequently makes any material variation in a contract referred to in subsection (3) of section 5 without the written approval of the Board, is guilty of an offence and shall be liable on summary conviction to a fine of five thousand dollars for each contract so varied and executed by a time-sharing purchaser.

(4) Where an offence against this Act is committed by a body corporate, every person who at the time of the commission of the offence was a director, manager or officer or any person purporting to act in any such capacity, is guilty of the like offence and liable to be punished accordingly unless he proves that the act or omission constituting the offence took place without his knowledge or consent or that he exercised all due diligence to prevent the commission of the offence.

(2) Proceedings in respect of a summary offence under this Act or the regulations may be commenced at any time within two years from the time the offence is committed.

(2) Any failure of a developing owner, marketing agent or managing agent of a time-sharing project to satisfy the Board with respect to any of the matters set out in the Second Schedule shall be deemed to be a breach of the conditions of the licence and the Board may, if it considers the breach to be of a grave nature, and subject to subsection (3) suspend or revoke the licence.

(3) Before suspending or revoking the licence under subsection (2) the board shall serve upon the licensee by delivering to the project site a notice specifying the alleged contravention and requiring the licensee to comply or ensure compliance therewith to the satisfaction of the Board within such period as the Board may specify in the notice being not less than seven days from the date of delivery, and, if at the expiry of such period the licensee fails to comply or ensure compliance to the satisfaction of the Board, the Board may suspend or revoke the licence.

(4) Where the Board suspends or revokes the licence in accordance with subsection (3), it shall serve on the licensee a notice of the suspension or revocation and no licence shall during the period of suspension, be of any effect.

Provided that if the developing owner distributes to an off-site time-sharing purchaser a Public Offering Statement (howsoever denominated) which contains in the opinion of the Board substantially all of the information required by that Schedule, then such Public Offering Statement distributed in conjunction with the said off-site sale shall be deemed in conformity with this section and that Schedule.

(2) The Public Offering Statement shall be delivered by the developing owner to the on-site time-sharing purchaser before execution of his contract of purchase.

(3) Any developing owner who contravenes the provisions of this section is guilty of an offence and shall be liable on summary conviction to a fine of five thousand dollars or to imprisonment for one year or to both such fine and imprisonment.

(2) An exemption may be granted for such period as the Board sees fit and may be extended from time to time.

(3) An exemption shall not have any effect unless particulars thereof have been endorsed on the licence.

(4) An exemption may be revoked in whole or in part at any time by the Board and such revocation shall be endorsed on the licence:

Provided that before effecting any such revocation, the Board shall give to the licensee by delivery to the time-sharing project site written notice of its intention to revoke the exemption unless the licensee shows good cause to the satisfaction of the Board within seven days from the date of delivery as to why the revocation should not be made and the Board shall thereafter take into account any representations made by or on behalf of the licensee.

the Board may, upon application, grant the developing owner, managing agent or marketing agent of any such time-sharing project a complete or partial exemption from the requirements of this Act if the Board-

(2) The Minister may make the regulations setting out the items eligible to receive concessions under the Act.

(3) The developing owner of any time-sharing project granted concessions under this Act may be required to provide evidence that they attempted to obtain the materials locally or attempted to obtain locally produced materials at comparable quality, price and quantity.

(2) Notwithstanding anything to the contrary in subsection (1), the reference to twenty-one years in subsection (1) of section 9 of the International Persons Landholding Act, 1993 shall, in its application to a time-sharing project to which a developing owner's licence applies, be construed and have effect as a reference to forty years.

MATTERS WHICH SHALL BE INCLUDED IN EVERY PURCHASER'S CONTRACT

Each seller shall utilize and furnish each purchaser with a fully completed and executed copy of a contract pertaining to the sale which shall include the following information-

"YOU MAY CANCEL THIS CONTRACT WITHOUT ANY PENALTY OR OBLIGATION WITHIN SEVEN DAYS FROM THE DATE YOU SIGN THIS CONTRACT, AND UNTIL SEVEN DAYS AFTER YOU RECEIVE THE PUBLIC OFFERING STATEMENT, WHICHEVER IS LATER. IF YOU DECIDE TO CANCEL THIS CONTRACT, YOU MUST NOTIFY THE DEVELOPING OWNER IDENTIFIED IN THIS CONTRACT IN WRITING OF YOUR INTENT TO CANCEL. YOUR NOTICE OF CANCELLATION SHALL BE EFFECTIVE UPON THE DATE SENT AND SHALL BE SENT TO (NAME OF DEVELOPING OWNER) AT (ADDRESS OF DEVELOPING OWNER). ANY ATTEMPT TO OBTAIN A WAIVER OF YOUR CANCELLATION RIGHT IS UNLAWFUL. WHILE YOU MAY EXECUTE ALL COMPLETION DOCUMENTS IN ADVANCE, THE COMPLETION, AS EVIDENCED BY DELIVERY OF YOUR OWNERSHIP CERTIFICATE OR OTHER DOCUMENT, BEFORE EXPIRATION OF YOUR SEVEN DAY CANCELLATION PERIOD, IS PROHIBITED.";

MATTERS IN RESPECT OF WHICH EVERY DEVELOPING OWNER, MARKETING AGENT
OR MANAGING AGENT OF A TIME-SHARING PROJECT MUST SATISFY THE BOARD

Every developing owner, marketing agent or managing agent shall, whenever required to do so by the Board and not otherwise exempted by it, satisfy the Board that the time-sharing project in relation to which he has been granted a licence has-