HB12-1116

HB12-1116 - Deceptive Practices Resale Time Share Transactions

Postponed Indefinitely
Concerning Deceptive Trade Practices Related To Time Share Resale Transactions.

The bill amends provisions of the "Colorado Consumer Protection Act" relating to time share transactions and, in particular, transactions involving resale time shares. Section 3 of the bill requires entities that provide time share resale services to disclose the following information to the owner of the resale time share, and makes failure to disclose the information a deceptive trade practice:

  • Contact information for the time share resale entity and any agent or third-party service provider who will perform any time share resale services for the entity;
  • A legal description of the resale time share;
  • A description of the method or documentation by which the transfer of the resale time share will be completed;
  • If the owner of the resale time share will retain any interest in the resale time share, a description of the interests retained by the owner of the resale time share;
  • A listing of any fees, costs, or other consideration that the owner of the resale time share must pay or reimburse for performance of the time share resale service;
  • A statement that the time share resale entity and its affiliates and agents will not collect from the owner of the resale time share any fees, costs, or other consideration until the entity provides the owner a copy of the recorded deed clearly demonstrating the transfer of the resale time share and a written acknowledgment from the association of time share owners or other responsible person that the time share resale entity has complied with the association's policies governing the transfer of resale time shares, if any;
  • The date by which all acts sufficient to transfer the resale time share in accordance with the time share resale transfer agreement are estimated to be completed, which should be within 180 days after entering the agreement;
  • A statement as to whether any person, including the owner of the resale time share, may occupy, rent, exchange, or otherwise exercise any form of use of the resale time share during the term of the time share resale transfer agreement;
  • The name of any person, other than the owner of the resale time share, who will receive any rents, profits, or other consideration or thing of value, if any, generated from the transfer of the applicable resale time share or the use of the applicable resale time share during the term of the time share resale transfer agreement;
  • A statement detailing the owner's responsibilities in the event the entity does not transfer ownership of the resale time share within 180 days after entering the agreement;
  • A statement that the time share resale entity will notify the specified persons or entities, in writing, when ownership of the resale time share is transferred.

Section 2 of the bill defines the following activities as deceptive trade practices in the advertisement or sale of a time share or the provision of a resale time share service:

  • Making false or misleading statements in connection with a time share resale service;
  • Making false or misleading statements concerning the method or source from which the name, address, telephone number, or other contact information of the owner was obtained;
  • Making false or misleading statements concerning the identity of the time share resale service entity or that entity's affiliates or the terms and conditions upon which the time share or the time share resale services are offered.

Section 1 defines the following terms: "Resale time share", "time share resale entity", "time share resale service", and "time share resale transfer agreement".

Senate Committees

Latest update: March 21, 2012
03/21/2012 Senate Committee on Judiciary Postpone Indefinitely
03/15/2012 Introduced In Senate - Assigned to Judiciary
03/12/2012 House Third Reading Passed
03/09/2012 House Second Reading Passed with Amendments
02/24/2012 House Second Reading Laid Over Daily
02/21/2012 House Committee on Economic and Business Development Refer Amended to House Committee of the Whole
02/09/2012 House Committee on Economic and Business Development Witness Testimony and/or Committee Discussion Only
01/20/2012 Introduced In House - Assigned to Economic and Business Development