A. Any developer or other person in the business of selling real estate who offers a timeshare for his own account to a purchaser shall deliver a public offering statement to said purchaser in the manner described below.
B. The developer or any other person who prepares all or a part of the public offering statement is liable under section 3-3-12 of this chapter for any false or misleading statements set forth therein, or for any omission of material fact therefrom with respect to that portion of the public offering statement which he prepared. If a developer did not prepare any part of a public offering statement that he delivers, he is not liable for any false or misleading statement set forth therein, or for any omission of material fact therefrom unless he had actual knowledge of the statement or omission or in the exercise of reasonable care should have known of the statement or omission.
C. A public offering statement must contain or fully and accurately disclose:
1. The name and address of the developer and the location of the timeshare property;
2. If the timeshare property or timeshare units are not completed, a description of the timeshare units including the developer's schedule for completion of all buildings, units and amenities and dates of availability;
3. The identity of the managing entity;
4. A projected budget for the timeshare property for maintenance and management for a period of three (3) years, together with the projected cost of assessments and taxes to the purchaser;
5. Any services which the developer provides or expenses he pays in which he expects may become at any subsequent time a timeshare expense of the timeshares and the projected timeshare expense liability attributable to each of those services or expenses for each timeshare;
6. Any initial or special fee due from the purchaser at closing together with a description of the purpose of the fee and the method of its calculation;
7. A statement of any unsatisfied judgments against the developer or the managing entity, the status of any pending suits involving the sale or management of real estate to which developer or an affiliate of the developer or the managing entity is a defending party, and the status of any pending suits of which the developer has actual knowledge, of significance to the timeshare units;
8. Disclosure of all blanket encumbrances against the timeshare property and the steps to be taken by the developer to ensure that the purchaser's interest will not be affected by foreclosure, by deed, assignment or transfer in lieu of foreclosure;
9. If timeshare owners are to be permitted or required to become members of an exchange program, the public offering statement must contain or fully and accurately disclose:
a. The identity of the person operating the program, whether that person is an affiliate of the developer, and a general description of the procedures to qualify for the effectuate exchanges, including any priorities and restrictions and the extent to which changes thereof may be made;
b. Whether membership or participation in the program or both are voluntary or mandatory;
c. The expense or ranges of expenses to the timeshare owners of membership and participation in the program, including the additional expenses, if any, of applying for or effectuating exchanges as of a specified date not more than six (6) months before the public offering statement is delivered to the purchaser and the person to whom those expenses are payable;
d. Whether and how any of the expenses specified in subsection C9c of this section may be altered, and if any of them are to be fixed on a case by case basis, the manner in which they are to be fixed in each case;
e. With respect to the timeshares and timeshare units in the program, the geographical locations of the timeshare units, the minimum number of timeshare units and timeshares in each project and the duration of each of those timeshares in each project during a specified calendar year ending not more than one year before the public offering statement is delivered to the purchaser;
f. The percentage of exchanges properly applied for by members or participants in the program and the percentage of exchanges properly applied for by timeshare owners of units covered by the public offering statement which were fulfilled during a specific calendar year ending not more than one year before the date the public offering statement is delivered to the purchaser, together with a statement of the criteria used to determine whether an exchange was properly applied for and fulfilled;
10. A copy of the timeshare instrument shall be attached to the public offering statement;
11. A copy of city ordinance 159 herein codified as this chapter shall be attached to the public offering statement.
D. A developer shall promptly amend the public offering statement or any supplement thereto to report any material change in the information required by subsection C of this section. (1990 Code)