3340

LAWS OF MARYLAND

Ch. 720

(g) (1) Each registered developer shall file with the
Commission an annual report to update any information contained
in the application for registration.

(2) If an annual report reveals that a developer owns
or controls time-shares representing less than 25 percent of the
total time-shares in the time-share project and that a developer
has no power to increase the number of time-shares he owns or
controls, the Commission shall issue an order relieving the
developer of any further obligation to file annual reports.
Thereafter, so long as the developer is offering any time-shares
for sale, the Commission has jurisdiction over the developer's
activities, but has no other authority to regulate the
time-shares.

(h) In the case of the time-share project situated wholly
outside the State, no application for registration filed with the
Commission which has been approved by an agency of the state in
which the time-share project is located and substantially
complies with the requirements of this title may be rejected by
the Commission on the grounds of noncompliance with any different
or additional requirements imposed by this title or by the
Commission's regulations. However, the Commission may require
additional documents or information to assure adequate and
accurate disclosure to prospective purchasers.

11A-124.

(c) It is unlawful for any person to sell, advertise, or
offer for sale any time-share unless such person is a licensed
broker, assistant broker, or sales person, or is exempt from
licensure pursuant to Article 56, § [212(d)] 212(F) of the Code.

SECTION 2. AND BE IT FURTHER ENACTED, That Section(s)
11A-128 of Article - Real Property of the Annotated Code of
Maryland be renumbered to be Section(s) 11A-129.

SECTION 3. AND BE IT FURTHER ENACTED, That the Laws of
Maryland read as follows:

Article - Real Property

11A-128.

(A)  THE ASSOCIATION, OR DEVELOPER DURING THE DEVELOPER
CONTROL PERIOD, SHALL KEEP BOOKS AND RECORDS IN ACCORDANCE WITH

GOOD ACCOUNTING PRACTICES GENERALLY ACCEPTED ACCOUNTING

PRINCIPLES.

(B)  (1) ON THE REQUEST OF THE OWNERS OF AT LEAST 5 PERCENT
OF THE TIME-SHARES, THE ASSOCIATION, OR DEVELOPER DURING THE
DEVELOPER CONTROL PERIOD, SHALL CAUSE AN AUDIT OF THE BOOKS AND
RECORDS TO BE MADE BY AN INDEPENDENT CERTIFIED PUBLIC ACCOUNTANT
AT COMMON EXPENSE.