§ 55-381. Liens
A. In the case of time-share estate transfers, unless the purchaser expressly agrees to take subject to or assume a lien prior to transferring a time-share estate other than by deed in lieu of foreclosure, the developer shall either: (i) record or furnish to the purchaser as part of settlement, releases of all liens affecting that time-share estate or (ii) provide a surety bond or title insurance against the lien, as provided for liens on real estate in this Commonwealth.
B. Unless a time-share owner or his predecessor in title agrees otherwise with the lienor, if a lien other than an underlying mortgage or deed of trust becomes effective against more than one time-share in a time-share project, any time-share owner is entitled to a release of a time-share from the lien upon payment of the amount of the lien attributable to the time-share. The amount of the payment shall be proportionate to the ratio that the time-share owner's liability bears to the liabilities of all time-share owners whose interests are subject to the lien. Upon receipt of payment, the lien-holder shall promptly deliver to the time-share owner a release of the lien covering that time-share. After payment, the managing entity may not assess or have a lien against that time-share for any portion of the expenses incurred in connection with that lien.
(1981, c. 462; 1991, c. 704.)
Sections: Previous 55-376.1 55-376.2 55-376.3 55-376.4 55-377 55-379 55-380 55-381 55-382 55-383 55-384 55-385 55-386 55-387 55-388 NextLast modified: April 3, 2009