707.49 Deposits; escrow requirement.

297 words·~1 min read·/wi/chapter-707/707-49-2

A research copy — for the controlling text, always check the official state or federal source. Not legal advice.

(1)Definitions. In this section:

(a)“Completion of construction” means that all accommodations of the time-share unit and all buildings, improvements and other facilities of the time-share property, including campground amenities, are available for use in a manner identical in all material respects to the manner portrayed by the time-share instrument, promotional materials, advertising and the time-share disclosure statements.

(b)“Deposit” means any money or property given by a purchaser as earnest money, downpayment or other payment in connection with the purchase of a time share, whether the payment is intended to be applied toward the purchase price or other obligation or returned to the purchaser, but excluding any dues payment.

(c)“Escrow account” means an account established solely for the purposes set forth in this section with a financial institution, as defined in s. 705.01

(3), which is located within this state and the accounts of which are insured by a governmental agency or instrumentality.

(d)“Escrow agent” means any of the following:

1. A savings and loan association, savings bank, bank or trust company located in this state.

2. An attorney who is a member of the State Bar of Wisconsin.

3. A real estate broker licensed under ch. 452 .

4. A title insurance company authorized to do business in this state.

(2)Escrow agent.

(a)Designation. Except as provided in sub.

(4), before the sale of any time shares in a project, the developer shall establish an escrow account and shall designate an escrow agent for the purpose of protecting the deposits of purchasers. All escrow agents shall be independent of the developer, and the developer, any affiliate of the developer or any officer, director, subsidiary or employee of the developer shall not serve as escrow agent.