Rhode Island General Laws 34-41-4.08. Deposits
Any deposit made in connection with the purchase or reservation in this state of a time share from a person required to deliver a public offering statement pursuant to § 34-41-4.02(c) must be placed in escrow, either in this state or in the state where the time-share project is located, in an account designated solely for that purpose, by a licensed title insurance company, an attorney, a licensed real estate broker, an independent bonded escrow company, or any institution whose accounts are insured until:
(1) Delivered to the developer at the time of any final transfer or conveyance of a time-share interest,
(2) Delivered to the developer because of the purchaser’s default under a contract to purchase the time share,
(3) Refunded to the purchaser,
(4) Delivered to the developer in accordance with § 34-41-5.03(c)(5), or
(5) Delivered to the developer of substantially completed units as defined in § 34-41-5.03(a), after the expiration of the time for rescission or any later date specified in the contract to purchase the time share.
History of Section.
P.L. 1984, ch. 141, § 2; P.L. 1989, ch. 542, § 86.
Terms Used In Rhode Island General Laws 34-41-4.08
- Contract: A legal written agreement that becomes binding when signed.
- Escrow: Money given to a third party to be held for payment until certain conditions are met.
- person: may be construed to extend to and include co-partnerships and bodies corporate and politic. See Rhode Island General Laws 43-3-6
- real estate: may be construed to include lands, tenements, and hereditaments and rights thereto and interests therein. See Rhode Island General Laws 43-3-10
- Rescission: The cancellation of budget authority previously provided by Congress. The Impoundment Control Act of 1974 specifies that the President may propose to Congress that funds be rescinded. If both Houses have not approved a rescission proposal (by passing legislation) within 45 days of continuous session, any funds being withheld must be made available for obligation.