(a) General Unlawful Representations. It shall be unlawful for any developer or agent selling or offering to sell any condominium unit in any condominium development to:
(1) Employ any device, scheme or artifice to defraud; or
(2) Obtain money or property by means of any untrue statement of a material fact or by an omission to state a material fact or necessary in order to make the statements not misleading or by any pictorial representations which are false; or
(3) Engage in any transaction, practice or course of business which operates or would operate as a fraud or deceit upon a purchaser; or
(4) Make or cause to be made in any document required by this chapter any statement or representation that is knowingly false or misleading; or
(5) Make or cause to be made to any purchaser any oral representation which differs from the statements made in any document required by this chapter.
(b) Specific Unlawful Representations. It shall be unlawful for any developer or agent in selling or offering to sell any condominium unit in any condominium development to:
(1) Request a tenant and/or purchaser to acknowledge receipt of any notice or public offering statement which he has not received or to falsify the date of receipt; or
(2) Certify falsely to having provided notices of the public offering statement required by this chapter; or
(3) Employ undue pressure to induce a tenant to purchase a unit which intrudes on or prevents his use of his best judgment in deciding whether to purchase, including the following:
A. Any false statements as to the number of standby or backup sales contracts or reservations or subscriptions or like agreements;
B. Any false statement prior to the end of the period during which the tenant may not be evicted without cause pursuant to Section 1361.08
(h) as to a future rent increase; or
C. Any false statement relating to future conversions which would reduce rental units available in the City.
(Ord. 80-84. Passed 1-19-81.)