SB 600 — Virginia Real Estate Time-Share Act; partial termination of certain time-shares.

SESSION ENROLLED VIRGINIA ACTS OF ASSEMBLY ––-- 2024 SESSION CHAPTER E602 An Act to amend and reenact § 55.1-2216 of the Code of Virginia, relating to Virginia Real Estate Time-Share Act;

R O [S 600] Approved LApril L5, 2024 Be it enacted by the General Assembly of Virginia:

E § 55.1-2216.

DA. instrument, to time-share use programs.share estate programs and, when provided by the time-share B.

This section applies to all time-share estate programs and, when provided by the time-share instrument, to time-share use programs.

B.

1.time-shares within the time-share project, or in the case of a partial termination, is the sole owner of all time-shares within the phase, building, or other independent division being terminated and if the developer or association, or its managing agent, certifies in the partial termination agreement that such partial termination will not materially and adversely affect the rights of the remaining time-share owners, nor reduce the time-share program's ability to satisfy the occupancy rights of the remaining time-share owners using the units in the phases, buildings, or other interdependent divisions of the project that are not subject to termination and describes any amendment to the time-share instrument necessary for the developer or association, or its managing agent, to make such certification.

At any time and for any reason if such developer or association is the sole owner of all time-shares within the time-share project, or in the case of a partial termination, is the sole owner of all time-shares within the phase, building, or other independent division being terminated and if the developer or association, or its managing agent, certifies in the partial termination agreementBthat such partial termination will not materially and adversely affect the rights of the remaining time-s0are time-share owners using the units in the phases, buildings, or other interdependent divisions oE the project that are not subject to termination and describes any amendment to the time-share instrument necessary for the developer or association, or its managing agent, to make such certification.

byTime-shares votesubject ofto thethis time-sharesection ownersalso having at least 51 percent of the time-shares or by a writteneement or termination agreement or vote of such larger percentage of the time-share owners as may otherwise be providedterminated inby the2. time-share instrument.

By written termination agreement or by vote of the time-share owners having at least 51 percent of the time-shares or by a written termination agreement or vote of such larger percentage of the time-share owners as may otherwise be provided in the time-share instrument.

If the termination agreement, or association vote authorizing the same, sets forth the material terms of a contract or proposed contract under which an estate or interests equal to the sum of the time-shares are to be sold and designates a trustee to effect the sale, the termination agreement becomes effective upon recordation, and title to that estate or interest vests upon termination such recordation in the trustee for the benefit of the affected time-share owners, to be transferred by the trustee to theonthe in purchaser pursuant to the contract.

and (iv) in the event that the terminated property will continue to have access, use rights, parking rights, or other rights in the remaining time-share project, provide the circumstances and details regarding such use and access, including how costs will be shared.

If the termination agreement does not set forth the material terms of a contract or proposed contract under which an estate or interests equal to the sum of the time-shares are to be sold and designates a trustee to effect the sale, the termination agreement becomes effective upon recordation, and title to an estate or interests equal to the sum of the time-shares therein vests upon termination of 2 recordation in the affected time-share owners in proportion to their respective interests as provided in subsection F.

and in this instanceof Liens2 oninstance, theany time-sharesco-owner shallof accordinglythat encumberestate or interest may maintain an action for partition or for allotment or sale in lieu of partition pursuant to the respectivelaws interests;of the Commonwealth.

and in this instance, any co-owner of that estate or interest may maintain an action for partition or for allotment or sale in lieu of partition pursuant to the laws of the Commonwealth.