Senate Bill sb1220e1

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    CS for CS for SB 1220                          First Engrossed



  1                      A bill to be entitled

  2         An act relating to the sale of real property;

  3         amending s. 689.26, F.S.; requiring disclosures

  4         to prospective parcel owners in a community;

  5         providing an effective date.

  6  

  7  Be It Enacted by the Legislature of the State of Florida:

  8  

  9         Section 1.  Section 689.26, Florida Statutes, is

10  amended to read:

11         689.26  Prospective purchasers subject to association

12  membership requirement; disclosure required; covenants;

13  assessments; contract voidability.--

14         (1)(a)  A prospective parcel owner in a community must

15  be presented a disclosure summary before executing the

16  contract for sale.  The disclosure summary must be in a form

17  substantially similar to the following form:

18  

19                        DISCLOSURE SUMMARY

20                                FOR

21                        (NAME OF COMMUNITY)

22  

23         1.  AS A PURCHASER OF PROPERTY IN THIS COMMUNITY, YOU

24  (WILL) (WILL NOT) WILL BE OBLIGATED TO BE A MEMBER OF A

25  HOMEOWNERS' ASSOCIATION.

26         2.  THERE HAVE BEEN OR WILL BE RECORDED RESTRICTIVE

27  COVENANTS GOVERNING THE USE AND OCCUPANCY OF PROPERTIES IN

28  THIS COMMUNITY.

29         3.  YOU (WILL) (WILL NOT) WILL BE OBLIGATED TO PAY

30  ASSESSMENTS TO THE ASSOCIATION. YOU (WILL) (WILL NOT) BE

31  OBLIGATED TO PAY SPECIAL ASSESSMENTS TO THE RESPECTIVE


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    CS for CS for SB 1220                          First Engrossed



 1  MUNICIPALITY, COUNTY, OR SPECIAL DISTRICT. ALL, WHICH

 2  ASSESSMENTS ARE SUBJECT TO PERIODIC CHANGE.

 3         4.  YOUR FAILURE TO PAY SPECIAL THESE ASSESSMENTS OR

 4  ASSESSMENTS LEVIED BY A MANDATORY HOMEOWNERS' ASSOCIATION

 5  COULD RESULT IN A LIEN ON YOUR PROPERTY.

 6         5.  THERE (IS) (IS NOT) AN OBLIGATION TO PAY RENT OR

 7  LAND USE FEES FOR RECREATIONAL OR OTHER COMMONLY USED

 8  FACILITIES AS AN OBLIGATION OF MEMBERSHIP IN THE HOMEOWNERS'

 9  ASSOCIATION.  (If such obligation exists, then the amount of

10  the current obligation shall be set forth.)

11         6.  THE RESTRICTIVE COVENANTS (CAN) (CANNOT) BE AMENDED

12  WITHOUT THE APPROVAL OF THE ASSOCIATION MEMBERSHIP OR, IF NO

13  MANDATORY ASSOCIATION EXISTS, PARCEL OWNERS.

14         7.  THE STATEMENTS CONTAINED IN THIS DISCLOSURE FORM

15  ARE ONLY SUMMARY IN NATURE, AND, AS A PROSPECTIVE PURCHASER,

16  YOU SHOULD REFER TO THE COVENANTS AND THE ASSOCIATION

17  GOVERNING DOCUMENTS BEFORE PURCHASING PROPERTY.

18         8.  THESE DOCUMENTS ARE MATTERS OF PUBLIC RECORD AND

19  CAN BE OBTAINED FROM THE RECORD OFFICE IN THE COUNTY WHERE THE

20  PROPERTY IS LOCATED.

21  DATE:                                               PURCHASER:

22                                                      PURCHASER:

23  

24  The disclosure must be supplied by the developer, or by the

25  parcel owner if the sale is by an owner that is not the

26  developer.  Any contract or agreement for sale shall refer to

27  and incorporate the disclosure summary and shall include, in

28  prominent language, a statement that the potential buyer

29  should not execute the contract or agreement until they have

30  received and read the disclosure summary required by this

31  section.


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    CS for CS for SB 1220                          First Engrossed



 1         (b)  Each contract entered into for the sale of

 2  property governed by covenants subject to disclosure required

 3  by this section must contain in conspicuous type a clause that

 4  states:

 5  

 6         THIS AGREEMENT IS VOIDABLE BY BUYER BY

 7         DELIVERING WRITTEN NOTICE OF THE BUYER'S

 8         INTENTION TO CANCEL WITHIN 3 DAYS, EXCLUDING

 9         SATURDAYS, SUNDAYS, AND LEGAL HOLIDAYS, AFTER

10         THE DATE OF EXECUTION OF THIS AGREEMENT BY THE

11         BUYER. ANY PURPORTED WAIVER OF THESE

12         VOIDABILITY RIGHTS HAS NO EFFECT. THE BUYER'S

13         RIGHT TO VOID THIS AGREEMENT SHALL TERMINATE AT

14         CLOSING.

15         (c)  A contract that does not conform to the

16  requirements of this subsection is voidable at the option of

17  the purchaser prior to closing.

18         (2)  This section does not apply to any association

19  regulated under chapter 718, chapter 719, chapter 721, or

20  chapter 723 or to a subdivider registered under chapter 498;

21  and also does not apply if disclosure regarding the

22  association is otherwise made in connection with the

23  requirements of chapter 718, chapter 719, chapter 721, or

24  chapter 723.

25         Section 2.  This act shall take effect July 1, 2003.

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