Thursday, August 8, 2013

Cancel Your Timeshare Contract in South Carolina

South Carolina Code Section 27-32-40, Furnishing copy of contract to purchaser; terms thereof, states as follows:

"(A) It is a violation of this chapter for the seller of a vacation time sharing plan to fail to utilize and furnish the purchaser a fully completed copy of a contract pertaining to the sale at the time of its execution. The contract must include the:

(1) actual date the contract is executed by all parties;

(2) name and address of the seller;

(3) total financial obligation of the purchaser, including the initial purchase price and additional charges to which the purchaser may be subject;

(4) specific term of the contract; and

(5)(a) following statement in immediate proximity to the space reserved in the contract for the signature of the purchaser and in bold type:

"YOU MAY CANCEL THIS CONTRACT WITHOUT PENALTY OR OBLIGATION WITHIN FIVE DAYS AFTER THE DATE YOU SIGN THIS CONTRACT, NOT INCLUDING SUNDAY IF THAT IS THE FIFTH DAY, OR THE DATE YOU RECEIVE THE DISCLOSURE STATEMENT PURSUANT TO Section 27-32-100, WHICHEVER OCCURS LATER. IF YOU DECIDE TO CANCEL, YOU MUST NOTIFY THE SELLER IN WRITING OF YOUR INTENT TO CANCEL BY SENDING NOTICE BY CERTIFIED MAIL, RETURN RECEIPT REQUESTED, OR BY ANOTHER VERIFIABLE MEANS, TO (NAME OF SELLER) AT (SELLER'S ADDRESS).""

An example of an incomplete copy of a contract may be a copy of a contract that does not include the signature of a Notary Public for any signature required to be notarized. It may be a further violation if a Notary Public was not present for your signature, particularly if the signature was notarized thereafter.

Moreover, pursuant to South Carolina Code Section 27-32-50, Request to cancel contract: "It is a violation of this chapter for the seller of vacation time sharing plans, or his assignees, to fail or refuse to honor a purchaser's request to cancel a contract as provided by Section 27-32-40 if the request is made...."

Does your contract contain the above-described statement? Are you within the rescission period? Have you attempted to exercise this provision, but still own your timeshare? Did you ultimately make a second purchase after attempting to rescind your contract with the seller of the timeshare? If you have questions about your timeshare purchase, please feel free to contact my office for a free consultation.