A. All purchase money received from or on behalf of a purchaser in connectionwith the execution of a membership camping contract shall be deposited in anescrow or trust account designated solely for that purpose, which may be themembership camping operator's own escrow or trust account or that of hisattorney's, until the expiration of the time for cancellation has expiredunless a later time is provided in the membership camping contract. If thecontract has not been canceled, any purchase money received from a purchasermay be released to the membership camping operator upon:
1. The conveying to the purchaser of the title to, interest in, or right orlicense to use the campground and facilities as required in the membershipcamping contract; or
2. The forfeiture of the purchase money by the purchaser under the terms ofthe membership camping contract.
B. In lieu of the obligations imposed by subsection A, the membership campingoperator may file and maintain with the Commissioner a surety bond issued infavor of the Commissioner for the benefit of purchasers insuring the escrowof the purchase money until such time as it may be released as outlined insubsection A. Such bond may not be canceled until thirty days after writtennotice of cancellation is received by the Commissioner. In lieu of such bond,the membership camping operator may post with the Commissioner an irrevocableletter of credit in a form and content acceptable to the Commissioner. Thepenalty of the bond or letter of credit shall be adjusted from time to timein accordance with the following schedule:
TOTAL AMOUNT OF PURCHASE PENALTY OF BOND MONEY HELD 1. $0 to $200,000 $50,000 2. $200,000 to $500,000 $75,000 3. Over $500,000 $100,000
C. The amount of purchase money paid by purchasers held at any one time bythe membership camping operator shall not exceed the amount for which theoperator is bonded or the letter of credit is issued in accordance with theschedule set forth in subsection B.
D. In addition to any bonding requirements contained in this section, themembership camping operator shall file and maintain with the Commissioner apayment and performance bond with surety issued in favor of the Commissionerfor the benefit of the purchasers and which guarantees the completion of allincomplete or planned facilities constructed or to be constructed in thisCommonwealth as outlined or listed in either the membership camping contractor the membership camping operator's disclosure statement. The bond may notbe canceled until thirty days after written notice of cancellation isreceived by the Commissioner. In lieu of the bond the membership campingoperator may post with the Commissioner an irrevocable letter of credit. Thesurety bond or letter of credit shall be in a form and content acceptable tothe Commissioner. The penalty of the bond or letter of credit shall be in anamount equal to the cost of completing the incomplete or planned facilitiesas of the date of its issuance or as of the membership camping operator'sapplication for continued registration date as provided in § 59.1-320.1,whichever is later.
A. All purchase money received from or on behalf of a purchaser in connectionwith the execution of a membership camping contract shall be deposited in anescrow or trust account designated solely for that purpose, which may be themembership camping operator's own escrow or trust account or that of hisattorney's, until the expiration of the time for cancellation has expiredunless a later time is provided in the membership camping contract. If thecontract has not been canceled, any purchase money received from a purchasermay be released to the membership camping operator upon:
1. The conveying to the purchaser of the title to, interest in, or right orlicense to use the campground and facilities as required in the membershipcamping contract; or
2. The forfeiture of the purchase money by the purchaser under the terms ofthe membership camping contract.
B. In lieu of the obligations imposed by subsection A, the membership campingoperator may file and maintain with the Commissioner a surety bond issued infavor of the Commissioner for the benefit of purchasers insuring the escrowof the purchase money until such time as it may be released as outlined insubsection A. Such bond may not be canceled until thirty days after writtennotice of cancellation is received by the Commissioner. In lieu of such bond,the membership camping operator may post with the Commissioner an irrevocableletter of credit in a form and content acceptable to the Commissioner. Thepenalty of the bond or letter of credit shall be adjusted from time to timein accordance with the following schedule:
TOTAL AMOUNT OF PURCHASE PENALTY OF BOND MONEY HELD 1. $0 to $200,000 $50,000 2. $200,000 to $500,000 $75,000 3. Over $500,000 $100,000
C. The amount of purchase money paid by purchasers held at any one time bythe membership camping operator shall not exceed the amount for which theoperator is bonded or the letter of credit is issued in accordance with theschedule set forth in subsection B.
D. In addition to any bonding requirements contained in this section, themembership camping operator shall file and maintain with the Commissioner apayment and performance bond with surety issued in favor of the Commissionerfor the benefit of the purchasers and which guarantees the completion of allincomplete or planned facilities constructed or to be constructed in thisCommonwealth as outlined or listed in either the membership camping contractor the membership camping operator's disclosure statement. The bond may notbe canceled until thirty days after written notice of cancellation isreceived by the Commissioner. In lieu of the bond the membership campingoperator may post with the Commissioner an irrevocable letter of credit. Thesurety bond or letter of credit shall be in a form and content acceptable tothe Commissioner. The penalty of the bond or letter of credit shall be in anamount equal to the cost of completing the incomplete or planned facilitiesas of the date of its issuance or as of the membership camping operator'sapplication for continued registration date as provided in § 59.1-320.1,whichever is later.
A. All purchase money received from or on behalf of a purchaser in connectionwith the execution of a membership camping contract shall be deposited in anescrow or trust account designated solely for that purpose, which may be themembership camping operator's own escrow or trust account or that of hisattorney's, until the expiration of the time for cancellation has expiredunless a later time is provided in the membership camping contract. If thecontract has not been canceled, any purchase money received from a purchasermay be released to the membership camping operator upon:
1. The conveying to the purchaser of the title to, interest in, or right orlicense to use the campground and facilities as required in the membershipcamping contract; or
2. The forfeiture of the purchase money by the purchaser under the terms ofthe membership camping contract.
B. In lieu of the obligations imposed by subsection A, the membership campingoperator may file and maintain with the Commissioner a surety bond issued infavor of the Commissioner for the benefit of purchasers insuring the escrowof the purchase money until such time as it may be released as outlined insubsection A. Such bond may not be canceled until thirty days after writtennotice of cancellation is received by the Commissioner. In lieu of such bond,the membership camping operator may post with the Commissioner an irrevocableletter of credit in a form and content acceptable to the Commissioner. Thepenalty of the bond or letter of credit shall be adjusted from time to timein accordance with the following schedule:
TOTAL AMOUNT OF PURCHASE PENALTY OF BOND MONEY HELD 1. $0 to $200,000 $50,000 2. $200,000 to $500,000 $75,000 3. Over $500,000 $100,000
C. The amount of purchase money paid by purchasers held at any one time bythe membership camping operator shall not exceed the amount for which theoperator is bonded or the letter of credit is issued in accordance with theschedule set forth in subsection B.
D. In addition to any bonding requirements contained in this section, themembership camping operator shall file and maintain with the Commissioner apayment and performance bond with surety issued in favor of the Commissionerfor the benefit of the purchasers and which guarantees the completion of allincomplete or planned facilities constructed or to be constructed in thisCommonwealth as outlined or listed in either the membership camping contractor the membership camping operator's disclosure statement. The bond may notbe canceled until thirty days after written notice of cancellation isreceived by the Commissioner. In lieu of the bond the membership campingoperator may post with the Commissioner an irrevocable letter of credit. Thesurety bond or letter of credit shall be in a form and content acceptable tothe Commissioner. The penalty of the bond or letter of credit shall be in anamount equal to the cost of completing the incomplete or planned facilitiesas of the date of its issuance or as of the membership camping operator'sapplication for continued registration date as provided in § 59.1-320.1,whichever is later.
