Vermont Take Back Bill May Be Dead
Vermont S. 50 by Senator Mark MacDonald (D-Williamstown) amends the conveyancing statute to allow timeshare owners to gift both timeshare estates and timeshare licenses back to their association (and the association must accept the gift) if the following conditions are met: 1) the owners send a notice of the gift to their association in advance, 2) the timeshare is free of encumbrances, and 3) the owners pay the costs of conveyance, including costs for preparing and recording documents.
ImpactARDA and ARDA-ROC believe that the bill, as drafted, would present significant issues for timeshare developers, managing entities, and owners’ associations and agree with the action of the members of the Economic Development Committee to continue to evaluate the bill before advancing it.
Position/Call to ActionARDA and ARDA-ROC believe the potential positive impact of this legislation on homeowners associations and owners alike would be minimal and would be greatly outweighed by the financial harm suffered by associations and owners if the legislation were it to be passed in its current form.
Issue UpdatesS. 50 was heard in the Senate Economic Development Committee on February 13. The committee counsel indicated that the bill “had legal problems” and specifically mentioned that it had constitutional issues. In addition, some committee members indicated that it seemed inappropriate to alter a real estate contract. Given the comments, it appears unlikely that the bill will move forward. We will continue to watch this bill for further action.