Updates to Utah Timeshare Act Have Passed the House
Issue BriefHB 191
has been introduced by Representative Froerer and includes language revising the Utah Timeshare and Camp Resort Act (the "Act") cooperatively drafted by representatives of ARDA, ARDA-ROC and the Utah Division of Real Estate. The Act, originally passed in 1987, no longer reflects the state of the timeshare industry and is does not contemplate many of the product offering developed since its enactment. Additionally, the changes seek to address several issues ARDA members felt are too open to interpretation, provide greater flexibility for timeshare homeowners’ associations to resale inventory acquired through foreclosure or similar methods, and add protection for the personal information of owners.
In addition to providing much needed updates to definitions, HB 191
adds protections for the personal information of owners where none currently exists making it more difficult for third parties to contact owners with commercial solicitations. It also removes an extremely restrictive requirement that any association reselling more than 10 interests in its property over the life of the project must register as a developer. The bill lays the groundwork for additional desirable changes to agency rules regarding timeshares over the next several months.
Position/Call to Action
ARDA and ARDA-ROC support the passage of the timeshare provision in HB 191. When enacted, the changes in the bill will position the industry for continued growth and new product offerings in Utah, and revise the statute to give owners and associations valuable new tools.
HB 191 passed the Utah House of Representatives unanimously on February 17. It will now move to the Senate for consideration.