(a) It shall be a
violation of chapter
514E, HRS, and this chapter for any
sales agent or acquisition agent for any time share plan or unit to:
(1) Fail to comply with the disclosure
requirements set forth in section
514E-9, HRS,
or any rule adopted pursuant thereto;
(2) Use any promotional device without fully
disclosing that the device is being used for the purpose of soliciting sales of
any interest or interests in time share units or a time share plan;
(3) Offer a prospective purchaser a prize or
gift, in writing, as part of any time share advertising or sales promotion plan
if in order to claim the prize or gift the prospective purchaser must attend a
sales presentation, unless the written disclosure set forth in section
514E-11(3),
HRS, and section 16-106-39(b) is provided at the time the prospective purchaser
is notified of the prize or gift;
(4) Misrepresent or deceptively represent any
material fact concerning the time share unit offered or sold, including, but
not limited to:
(A) The amount of time or
period of time the unit will be available to any purchaser;
(B) The location or locations of the time
share unit;
(C) The size, nature,
extent, qualities, or characteristics of the time share unit;
(D) The nature or extent of any services
incident to the time share unit;
(E) The rights of a purchaser, if any, to
exchange the purchaser's occupancy rights to a unit in one location for
occupancy rights to a unit in another location; or
(F) The contents of the contract or other
document or the purchaser's rights, privileges, or benefits
thereunder;
(5) Fail to
honor or comply with all provisions of a contract or reservation agreement with
the purchaser;
(6) Include, in any
contract or reservation agreement, provisions purporting to waive any right or
benefit provided for purchasers pursuant to chapter
514E, HRS;
(7) Receive from any prospective purchaser
any money, property (including but not limited to a credit card), or other
valuable consideration prior to signing a contract or reservation agreement for
the purchase of a time share unit; and
(8) Make a sales presentation to a
prospective purchaser before delivering, furnishing, or tendering to that
prospective purchaser any promised promotional device or other
instrument.
(b) An
acquisition agent operating in the State is prohibited from selling or offering
to sell or discussing price or terms of sale of any interest or interests in a
time share plan with prospective purchasers. The function of an acquisition
agent shall be limited to soliciting or encouraging others to attend a time
share sales presentation or to contact a time share sales agent or
developer.
(c) A sales agent
operating in the State shall not sell or offer to sell any interest or
interests in a time share plan unless the sales agent has an active real estate
broker's license issued by the State real estate commission, and all of the
sales agent's employees and independent contractors engaged in sales activities
with respect to the time share plan have an active real estate broker or
salesperson's license issued by the state real estate commission.
