S.B. 707                                                         VETOES

(E) (1) EXCEPT AS PROVIDED IN PARAGRAPH (2) OF THIS SUBSECTION, THE
VENDOR SHALL DELIVER THE COMPLETED DISCLOSURE OR DISCLAIMER STATEMENT
REQUIRED BY THIS SECTION TO THE PURCHASER ON OR BEFORE ENTERING INTO A
CONTRACT OF SALE BY THE VENDOR AND THE PURCHASER.

(2) THE DISCLOSURE OR DISCLAIMER STATEMENT SHALL BE DELIVERED
TO EACH PURCHASER BEFORE THE EXECUTION OF THE CONTRACT OF SALE BY THE
PURCHASER IN THE CASE OF:

(I) A LAND INSTALLMENT CONTRACT, AS DEFINED IN § 10-101 OF
THIS TITLE;

(II)     AN OPTION TO PURCHASE AGREEMENT; AND

(III)    A LEASE AGREEMENT CONTAINING AN OPTION TO PURCHASE
PROVISION.

(3) AT THE TIME THE DISCLOSURE OR DISCLAIMER STATEMENT IS
DELIVERED, EACH PURCHASER SHALL DATE AND SIGN A WRITTEN ACKNOWLEDGMENT
OF RECEIPT, WHICH SHALL BE INCLUDED IN OR ATTACHED TO THE CONTRACT OF SALE.

(F) (1) A PURCHASER WHO RECEIVES THE DISCLOSURE ON OR BEFORE
ENTERING INTO THE CONTRACT OF SALE DOES NOT HAVE THE RIGHT TO RESCIND THE
CONTRACT OF SALE BASED UPON THE INFORMATION CONTAINED IN THE DISCLOSURE
STATEMENT.

(2) A PURCHASER'S RIGHT TO RESCIND THE CONTRACT OF SALE UNDER
THIS SUBSECTION TERMINATES IF NOT EXERCISED BEFORE MAKING A WRITTEN
APPLICATION TO A LENDER FOR A MORTGAGE LOAN, IF THE LENDER DISCLOSES IN
WRITING AT OR BEFORE THE TIME APPLICATION IS MADE THAT THE RIGHT TO RESCIND
TERMINATES ON SUBMISSION OF THE APPLICATION.

(G) (1) IF THE DISCLOSURE STATEMENT IS DELIVERED LATER THAN 3 DAYS
AFTER THE VENDOR ENTERS INTO A CONTRACT OF SALE WITH THE PURCHASER, THE
CONTRACT IS VOID.

(2) A PURCHASER WHO DOES NOT RECEIVE THE DISCLOSURE STATEMENT
ON OR BEFORE ENTERING INTO THE CONTRACT OF SALE HAS THE UNCONDITIONAL
RIGHT, UPON WRITTEN NOTICE TO THE VENDOR OR VENDOR'S AGENT:

(I) TO RESCIND THE CONTRACT OF SALE AT ANY TIME BEFORE THE
RECEIPT OF THE DISCLOSURE STATEMENT OR WITHIN 5 DAYS FOLLOWING RECEIPT OF
THE DISCLOSURE STATEMENT; AND

(II) TO THE IMMEDIATE RETURN OF ANY DEPOSITS MADE ON
ACCOUNT OF THE CONTRACT.

(H) A VENDOR IS NOT LIABLE FOR AN ERROR, INACCURACY, OR OMISSION IN A
DISCLOSURE STATEMENT MADE UNDER THIS SECTION IF THE ERROR, INACCURACY, OR
OMISSION WAS BASED UPON INFORMATION THAT WAS:

(1) NOT WITHIN THE ACTUAL KNOWLEDGE OF THE VENDOR;

- 3382 -