Utah Code 57-23-6. Disclosure required

(1)

An individual may not offer, sell, or otherwise dispose of a cooperative interest in this state without making oral and written disclosure to the prospective purchaser regarding:

Need help reviewing a real estate contract?
Have it reviewed by a lawyer, get answers to your questions and move forward with confidence.
Connect with a lawyer now

Terms Used In Utah Code 57-23-6

Contract: A legal written agreement that becomes binding when signed.
Cooperative: means a form of coownership of real estate in which:

(a)	the fee interest in the real estate is held by a corporation, partnership, trust, or other legal entity;

(b)	an individual's interest in the cooperative is evidenced in a form such as stock, participation shares, membership certificates, or similar instrument; and

(c)

the participating individual's right of occupancy is demonstrated by a proprietary lease or similar instrument. See Utah Code 57-23-2

Lease: A contract transferring the use of property or occupancy of land, space, structures, or equipment in consideration of a payment (e.g., rent). ^{Source: OCC}

Property: includes both real and personal property. See Utah Code 68-3-12.5

State: when applied to the different parts of the United States, includes a state, district, or territory of the United States. See Utah Code 68-3-12.5

(a)

the actual property interest being sold;

(b)	the actual right of occupancy associated with that property interest;

(c)	any encumbrance to which the property interest is subject; and

(d)	the terms of any financing, refinancing, prior sale, resale, or loan assumption to which the property interest is subject.

(2)	The disclosure required under Subsection (1) must be made prior to signing the purchase contract, the proprietary lease, or similar documents intended by the parties to complete the sale or disposal of the cooperative interest.

Amended by Chapter 169, 1992 General Session

Previous section

Next section

Chapter 23 Contents