(1) fail to refund payments made by the purchaser pursuant to the contract and return a negotiable instrument, other than a check, executed by the purchaser in connection with the contract or services within twenty days after receipt of notice of cancellation made pursuant to Section 27-32-40, if the purchaser has not received benefits pursuant to the contract;
Terms Used In This Law
- 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.
- trust account: A general term that covers all types of accounts in a trust department, such as estates, guardianships, and agencies. Source: OCC
(2) if the purchaser has received benefits pursuant to the contract, fail to refund within thirty days after receipt of notification of cancellation made pursuant to Section 27-32-40 or 27-32-50 payments made by the purchaser to the seller which exceed a pro rata portion of the total price, taking into consideration the cost and use of the time share facilities at an average rental rate, representing the proportion of contract benefits actually received by the purchaser during the time preceding cancellation;
(3) fail to place in a real estate broker’s trust account, or another escrow arrangement approved by the commission, one hundred percent of the funds received from the purchasers of the plans, which trust account must provide that:
(a) its purpose is to protect the purchaser’s right to refund during the five-day right to cancellation period as provided in Section 27-32-40 or 27-32-50; and
(b) funds may be withdrawn by the seller pursuant to Section 27-32-90.