CODE OF VIRGINIA

INSTRUMENTS (§ 55-367)

A. In order to create a time-share program for a time-share estate project, the
developer shall execute a time-share instrument prepared and executed in
accordance with this chapter and record it in the clerk’s office where
such time-share project is located. The time-share instrument shall contain the
following:

   1.  The name of the time-share project, which name must include or be followed
   by a qualifying adjective or term outlined in § 55-364.1;

   2.  The name of the locality and the state or situs in which the time-share
   project is situated;

   3.  The legal description, street address, or other description sufficient to
   identify the time-share project;

   4.  A legally sufficient description of the real estate constituting the
   time-share project;

   5.  A statement of the form of time-share program, i.e., whether it is a
   time-share estate or time-share use;

   6.  Identification of time periods by letter, name, number or combination
   thereof;

   7.  Identification of time-shares and where applicable, the method whereby
   additional time-shares may be created or withdrawn;

   8.  The formula, fraction, or percentage of the common expenses and any voting
   rights assigned to each time-share;

   9.  Any restrictions on the use, occupancy, enjoyment, alteration, or
   alienation of time-shares;

   10.  The ownership interest, if any, in personal property available to
   time-share owners;

   11.  The program by which the managing entity, if any, will provide management
   of the project;

   12.  The period for which units are designated and committed to the time-share
   program and the property classification of the units at the expiration of such
   period;

   13.  Any provision for amending the time-share instrument;

   14.  A description of the events, including but not limited to condemnation
   and damage or destruction, upon which the time-share program may or shall be
   terminated before the expiration of its full term and the consequences of such
   termination, including but not limited to the manner in which the time-share
   project or the proceeds from the disposition thereof shall be held or
   distributed among owners;

   15.  A statement of whether or not the developer reserves the right to add to
   or delete any incidental benefit;

   16.  A statement of whether or not the developer reserves the right to add to
   or delete any alternative purchase; and

   17.  Such other matters as the developer deems appropriate.

B. In order to create a time-share program for a time-share use project, the
developer shall either (i) execute and record a time-share instrument as
required by subsection A or (ii) execute a time-share instrument that takes the
form of and is a part of the contract which contains the information required by
subsection A.

C. If the developer explicitly reserves the right to develop additional
time-shares, the time-share instrument shall also contain the following:

   1.  A legally sufficient description of all land which may be added to the
   time-share project which shall be referred to as “additional
   land”;

   2.  A statement outlining the order in which portions of the additional land
   may be subjected to the exercise of each development right, or a statement
   that no assurances are made in that regard;

   3.  A statement of the time limit upon which the option to develop shall
   expire, together with a statement of the circumstances, if any, which will
   terminate that option prior to the expiration of the specified time limit;

   4.  A statement of the maximum number of units which may be added to the
   time-share project, if known, and if not known, a statement to that effect;
   and

   5.  A statement of the property classification of the additional land if the
   developer fails to exercise the development rights as reserved in the
   time-share instrument.

HISTORY: 1981, c. 462; 1985, c. 517; 1994, c. 580; 1998, c. 460.