CHAPTER Jus 1300 LAND SALES FULL DISCLOSURE RULES
Statutory Authority: RSA 356-A:2; RSA 356-A:3, II, RSA 541-A
REVISION
NOTE:
Document
#9782-A and Document #9782-B, effective 9-11-10, readopted with amendments
Chapter Jus 1300 on land sales full disclosure rules. Amendments included the repeal of certain
rules in the former Chapter Jus 1300 and renumbering of other rules in that
chapter. Document #9782-A contains rules
which will expire in 8 years pursuant to RSA 541-A:16, III unless amended,
repealed, or superseded before that.
Document #9782-B contains rules on agency forms subject to RSA
541-A:19-b and which will not expire except pursuant to RSA 541-A:17, II. The source notes for rules in Jus 1300 indicate which rules in Jus
1300 have provisions in Document #9782-A or Document #9782-B, or both. Document #9782-A and Document #9782-B replace
all prior filings for rules in Jus 1300.
The prior filings for rules in Jus 1300 include the following documents:
#5298, effective 1-19-92, EXPIRED 1-19-98
#7640, effective 1-31-02, EXPIRED 1-31-10
#9687, INTERIM, effective 3-31-10
PART Jus 1301
DEFINITIONS
Jus 1301.01 “Bureau”
means the bureau of consumer protection and antitrust, New Hampshire department
of justice.
Source. (See
Revision Note at chapter heading for Jus 1300) #9782-A, eff 9-11-10, EXPIRED:
9-11-18
New. #12656, INTERIM, eff 11-1-18, EXPIRED:
4-30-19
New. #12909, eff 10-24-19
Jus 1301.02
“Documentary evidence” means:
(a) In the case of cost estimates, documentation
obtained from the suppliers of the service; and
(b) In the case of estimates of completion dates:
(1) Actual
contracts awarded;
(2) Engineering
schedules; or
(3) Other
evidence of commitments to complete construction.
Source. (See Revision Note at chapter heading for Jus
1300) #9782-A, eff 9-11-10, EXPIRED: 9-11-18
New. #12656, INTERIM, eff 11-1-18,
EXPIRED: 4-30-19
New. #12909, eff 10-24-19
Jus 1301.03 “Good faith estimate” means an estimate based
on such documentary evidence as is available.
Source. (See Revision Note at chapter heading for Jus
1300) #9782-A, eff 9-11-10, EXPIRED: 9-11-18
New. #12656, INTERIM, eff 11-1-18, EXPIRED:
4-30-19
New. #12909, eff 10-24-19
Jus 1301.04
“Institutional lender” means “institutional lender” as defined in RSA
356-B:3, XVII, namely “one or more commercial or savings banks, savings and
loan associations, trust companies, credit unions, industrial loan
associations, insurance companies, pension funds, or business trusts including
but not limited to real estate investment trusts, any other lender regularly
engaged in financing the purchase, construction, or improvement of real estate,
or any assignee of loans made by such a lender, or any combination of any of
the foregoing entities.”
Source. (See Revision Note at chapter heading for Jus
1300) #9782-A, eff 9-11-10, EXPIRED: 9-11-18
New. #12656, INTERIM, eff 11-1-18, EXPIRED:
4-30-19
New. #12909, eff 10-24-19
Jus 1301.05 “Interest” means “interest” as defined in RSA
356-A:1, XV, namely “without limitation, any fee simple interest, leasehold
interest for a term of more than 5 years, life estate and time sharing
interest.”
Source. (See Revision Note at chapter heading for Jus
1300) #9782-A, eff 9-11-10, EXPIRED: 9-11-18
New. #12656, INTERIM, eff 11-1-18, EXPIRED:
4-30-19
New. #12909, eff 10-24-19
Jus 1301.06 “Non-institutional lender” means any
individual or entity which provides financing to any subdivider for:
(a) Acquisition of a
subdivision or any portion of a subdivision;
(b) Construction of
improvements; or
(c) Any other costs associated
with the development or marketing of any lots, parcels, units, or interests in
a subdivision.
Source. (See Revision Note at chapter heading for Jus
1300) #9782-A, eff 9-11-10, EXPIRED: 9-11-18
New. #12656, INTERIM, eff 11-1-18, EXPIRED:
4-30-19
New. #12909, eff 10-24-19 (from Jus 1301.05)
Jus 1301.07 “Principal” means:
(a) Each officer,
partner, or trustee of the declarant, or the subdivider, or person occupying
similar status or performing similar functions;
(b) Each natural
person who is a real party in interest having more than a 10 percent ownership
or beneficial interest in the subdivision, or having more than a 20 percent
ownership or beneficial interest in any entity that has a majority direct or
majority beneficial interest in the subdivision; or
(c) Any other person
that the bureau reasonably determines should be treated as a principal for
purposes of submitting information required by Jus 1306.04.
Source. #12909, eff
10-24-19 (from Jus 1301.06)
PART Jus 1302 FEES AND FORM OF SUBMISSIONS
Jus 1302.01 Method of Payment. Fees paid by check or money order shall be
made payable to the State of New Hampshire.
Source. (See Revision Note at chapter heading for Jus
1300) #9782-A, eff 9-11-10, EXPIRED: 9-11-18
New. #12656, INTERIM, eff 11-1-18, EXPIRED:
4-30-19
New. #12909, eff 10-24-19
Jus 1302.02 Calculation of Fees.
(a) The amount of
the fee for an initial application for registration or an application for
registration of additional lots, parcels, units, or interests shall be
calculated pursuant to this section.
(b) The fee
accompanying each initial application for registration shall be no less than
$300 and no more than $2,000. The fee
accompanying each additional application shall be no less than $200, nor more than
$2,000. The total fee for a subdivision
that is to be registered in phases may exceed $2,000.
(c) Subject to
paragraph Jus 1302.02(a), the amount of the fee for each application shall be
calculated by multiplying the number of lots, parcels, units, or interests for
which registration is sought, by $30.
This figure shall not include all lots, parcels, units, or interests
that eventually might be included in the subdivision, but only those lots,
parcels, units, or interests for which registration at the present time is
sought.
(d) No subdivider
shall apply amounts paid in connection with an application to future
applications or to registration of additional lots, parcels, units, or
interests.
(e) The amount of
the appropriate fee and any refund shall be determined by reference to the
number of lots, parcels, units, or interests applied for, and not by reference
to the number of lots, parcels, units, or interests actually registered.
(f) So that RSA 356-A:5,
VII can be applied consistently with RSA 356-B:51, VII, a subdivision involving
time sharing interests or similar interests shall be subject to a fee schedule
based on the number of units, or similar designations it contains, rather than
the number of time sharing interests, or similar interests, if the subdivision
is constituted in such a manner as to contain the equivalent of units.
Source. (See Revision Note at chapter heading for Jus
1300) #9782-A, eff 9-11-10, EXPIRED: 9-11-18
New. #12656, INTERIM, eff 11-1-18, EXPIRED:
4-30-19
New. #12909, eff 10-24-19
Jus 1302.03 Refunds.
(a) Upon discovery
by the bureau that an overpayment has been made, the bureau shall, as soon
thereafter as is practicable, cause to be returned to the applicant the amount
of the overpayment.
(b) No refund shall
be due if an application is rejected by the bureau or withdrawn by the
applicant after a notice of filing has been issued.
(c) Once an application
has been rejected or withdrawn, reconsideration of the application or the
filing of a new application shall require submission of an additional fee
calculated in the manner provided by Jus 1302.02.
(d) When an
application has been returned to the applicant pursuant to Jus 1306.13, the
bureau shall as soon thereafter as is practicable return the application fee in
its entirety.
Source. (See Revision Note at chapter heading for Jus
1300) #9782-A, eff 9-11-10, EXPIRED: 9-11-18
New. #12656, INTERIM, eff 11-1-18, EXPIRED:
4-30-19
New. #12909, eff 10-24-19
Jus 1302.04 Exemption Fees. The amount of the fee which shall accompany
an application for exemption shall be $200.
Source. (See Revision Note at chapter heading for Jus
1300) #9782-A, eff 9-11-10, EXPIRED: 9-11-18
New. #12656, INTERIM, eff 11-1-18, EXPIRED:
4-30-19
New. #12909, eff 10-24-19
Jus 1302.05 Form
of Submissions. Any application,
request, report, or supporting documents related thereto filed with the bureau
for registration under, exemption from, or as required by any provision of RSA
356-A or these rules may be submitted in an electronic form or in paper form.
Source. #12909, eff
10-24-19
PART Jus 1303 SUBDIVISIONS REGULATED
Jus 1303.01 List Not Exclusive. The subdivisions, lots, parcels, units, and
interests described in Jus 1303 shall not be
exclusive of any other subdivisions, lots, parcels, units, and interests
regulated under RSA 356-A and these rules.
Source. (See Revision Note at chapter heading for Jus
1300) #9782-A, eff 9-11-10, EXPIRED: 9-11-18
New. #12656, INTERIM, eff 11-1-18, EXPIRED:
4-30-19
New. #12909, eff 10-24-19
Jus 1303.02 Membership Campgrounds.
(a) The provisions
of RSA 356-A and these rules shall apply to campgrounds, to the extent that
persons are offered the exclusive right to occupy one or more campground sites,
one or more times during the year, for a period of more than 5 years.
(b) For purposes of
this section and consistent with Jus 1303.02(a) and
Jus 1301.05, “interest” shall include the exclusive right to occupy one or more
campground sites, lots, parcels, or units, one or more times during the year,
for a period of more than 5 years from the date of execution of an instrument
for the disposition of such right, regardless of whether such right is
accompanied by a fee simple interest or a leasehold, or neither of them, in
said campground sites, lots, parcels, or units.
(c) This section shall not be deemed to exempt campground
membership programs from complying with the time sharing provisions of RSA
356-A and these rules, to the extent that such programs involve time sharing
interests.
Source. (See Revision Note at chapter heading for Jus
1300) #9782-A, eff 9-11-10, EXPIRED: 9-11-18
New. #12656, INTERIM, eff 11-1-18, EXPIRED:
4-30-19
New. #12909, eff 10-24-19
Jus 1303.03 Condexes.
(a) To the extent that
a plan of development provides for a series of adjoining condominiums, one or
more of which contain fewer than 11 units, resulting in the division of
contiguous land into more than 15 parcels, lots, units, or interests by
whichever measure results in the greater number, the plan shall be considered a
method of disposition adopted for the purpose of evasion of RSA 356-A, unless
the developer, prior to offering or disposing of any interest in the
condominium units:
(1) Obtains registration or exemption from
registration for each unit, pursuant to RSA 356-A:5 and RSA 356-A:8 or RSA
356-A:3, II; and
(2) Obtains registration or exemption from
registration of each unit in any condominium containing more than 10 units,
pursuant to RSA 356-B:51 and RSA 356-B:54, or RSA 356-B:49, III.
Source. (See Revision Note at chapter heading for Jus
1300) #9782-A, eff 9-11-10, EXPIRED: 9-11-18
New. #12656, INTERIM, eff 11-1-18, EXPIRED:
4-30-19
New. #12909, eff 10-24-19
Jus 1303.04 Planned Unit or Planned Residential
Development.
(a) All developments
containing a mix of condominiums and single-family or other residential lots,
parcels, units, or interests, shall be subject to RSA 356-A and these rules,
provided however, that:
(1) The fee submitted with an application for
registration or exemption of the subdivision need not include an amount for the
condominium units which are to be separately registered or exempted under RSA
356-B; and
(2) All condominiums in the development which
contain more than 10 units shall be separately registered or exempted under RSA
356-B, prior to the offering or disposing of interests in units in those
condominiums.
Source. (See Revision Note at chapter heading for Jus
1300) #9782-A, eff 9-11-10, EXPIRED: 9-11-18
New. #12656, INTERIM, eff 11-1-18,
EXPIRED: 4-30-19
New. #12909, eff 10-24-19
Jus 1303.05 Application of Rules to Subdivisions Which
May Contain 15 or More Lots, or Interests.
Any subdivision which might, at any time, include more than 15 lots,
parcels, units, or interests shall be subjected to RSA 356-A and these rules,
if the ultimate use of any of the lots, parcels, units, or interests is to be
residential.
Source. (See Revision Note at chapter heading for Jus
1300) #9782-A, eff 9-11-10, EXPIRED: 9-11-18
New. #12656, INTERIM, eff 11-1-18,
EXPIRED: 4-30-19
New. #12909, eff 10-24-19
PART Jus 1304 EXEMPTIONS FROM REGISTRATION
Jus 1304.01 Time Sharing and Campgrounds. No subdivision in which time share interests are
offered shall be eligible for exemption from registration and annual reporting
under Jus 1304.03, Jus 1304.07, or Jus 1304.10.
Source. (See Revision Note at chapter heading for Jus
1300) #9782-A, eff 9-11-10, EXPIRED: 9-11-18
New. #12656, INTERIM, eff 11-1-18, EXPIRED:
4-30-19
New. #12909, eff 10-24-19
Jus 1304.02 Recordkeeping. Every subdivider shall keep a copy of each
document and all written information submitted to the bureau in connection with
any application for exemption from registration ultimately granted, until
January 31 of the calendar year following the year in which all lots, parcels,
units, or interests in the subdivision have been sold or disposed of by the
subdivider.
Source. (See Revision Note at chapter heading for Jus
1300) #9782-A, eff 9-11-10, EXPIRED: 9-11-18
New. #12656, INTERIM, eff 11-1-18, EXPIRED:
4-30-19
New. #12909, eff 10-24-19
Jus 1304.03 Urban Single Family Residence and Duplex
Exemption.
(a) The bureau shall
exempt a subdivision from registration and annual reporting requirements of RSA
356-A:4, I and RSA 356-A:5 through RSA 356-A:9 if the conditions below are met:
(1) The subdivision shall have no more than 50
lots, parcels, units, or interests, including any that might be added at any
future time, and the total number of lots offered pursuant to each exemption
application shall not exceed 35;
(2) Each lot offered or disposed of under the
exemption shall be limited exclusively by:
a. Enforceable covenants or restrictions; or
b. Enforceable zoning ordinances to
single-family residences or duplexes;
(3) The town or city in which the lots for which
an exemption is applied shall have a population of at least 15,000 at the time
the application is filed;
(4) Each of the towns or cities in which lots for
which exemption is applied shall have, prior to the time the application is
filed:
a. Established a planning board pursuant to RSA
673:1, I;
b. Adopted a building code pursuant to RSA
673:1, V;
c. Appointed a building inspector pursuant to
RSA 673:1, III;
d. Adopted a master plan or sections or parts of
a master plan pursuant to RSA 674:1 and RSA 675:6; and
e. Adopted a zoning ordinance pursuant to RSA
674:16;
(5) If the streets or roads providing access to
the subdivision and to the lots for which exemption is applied are not complete
at the time the application is filed, the subdivider shall post surety
acceptable to the town or city in the full amount of the cost of completing the
streets or roads to assure completion to local standards;
(6) Surety required by (a)(5) above shall:
a. Be in the form prescribed by Jus 1304.14; and
b. Be posted as required by (a)(5) prior to an
application for exemption, under Jus 1304.03, being filed;
(7) The town or city, or a homeowners'
association, shall have accepted or be obligated to accept the responsibility
for maintaining the street or road upon which the lot is situated;
(8) In any case in which a homeowners' association
has accepted or is obligated to accept maintenance responsibility, the
subdivider shall, prior to the signing of a contract or agreement to purchase,
provide the purchaser with a good faith written estimate of the cost of
carrying out the responsibility over the first 10 years of ownership;
(9) At the time of closing, potable water,
sanitary sewage disposal, and electricity shall be extended to the lot, or the town
or city shall be obligated to install the facilities within 180 days following
closing;
(10) For subdivisions which will not have central
water or sewage disposal systems, there shall be assurances that an adequate
potable water supply is available year-round and that the lot is approved for
the installation of a septic tank;
(11) The contract of sale shall require delivery
of a warranty deed, free from monetary liens and encumbrances, to the purchaser
within 360 days after the signing of the sales contract;
(12) The contract of sale shall be voidable at the
election of the purchaser, in the event the warranty deed has not been
delivered within the required time period, and the contract shall state that it
is so voidable;
(13) The purchaser or purchaser’s spouse shall
make a personal, on-site inspection of the lot purchased prior to signing a
contact or agreement to purchase;
(14) If the subdivider or agent represents in any
manner that improvements, roads, sewers, water, gas or electric service, or
recreational amenities will be provided or completed by the subdivider, the
purchase and sale agreement shall contain provisions so obligating the
subdivider;
(15) The purchase and sale agreement shall contain
a notice specifying the cancellation rights provided by RSA 356-A:4, II and
shall identify the person or institution holding deposits in escrow by name and
address; and
(16) The subdivider shall not:
a. Have been convicted of any crime within the
past 10 years which, if committed in this state would constitute a felony;
b. Have been the subject of a cease and desist
order, revocation, injunction, or similar enforcement order relating to illegal
condominium or land sales activity in this state or elsewhere; and
c. Have as a principal, any person or entity who
has been subject to such enforcement order or criminal conviction, or who has
been a principal in an entity that has been subject to such enforcement order
or criminal conviction.
(b) For purposes of
(a)(2)b., above, mobile homes, townhouses, and residences for one family use
shall be considered single-family residences for purposes of this exemption
provision.
(c) In the case of a
subdivision located in more than one town or city, only those lots located in a
town or city meeting the population requirement of (a)(3) shall be exempted.
(d) For purposes of
determining the population of towns and cities under (a)(3), the bureau shall
rely on the most recent population statistics available from the office of
state planning.
(e) Notwithstanding
(a), above, an exemption shall not be granted if it does not protect purchasers
consistent with RSA 356-A.
Source. (See Revision Note at chapter heading for Jus
1300) #9782-A, eff 9-11-10, EXPIRED: 9-11-18
New. #12656, INTERIM, eff 11-1-18, EXPIRED:
4-30-19
New. #12909, eff 10-24-19
Jus 1304.04 Application for Urban Single Family
Residence and Duplex Exemption.
(a) A subdivider requesting an exemption from registration
pursuant to section Jus 1304.03 shall complete the “Application for Urban
Single Family Residence and Duplex Exemption” Form CPLS121, (August, 2019) and
shall file the application at the offices of the bureau.
(b) An
applicant filing an application for exemption under this section shall attach
the following documentary evidence as appendices to that application:
(1) Copies of
any evidence of registration to do business in this state and, if applicable,
any trade name as “Appendix A”;
(2) Copies of
any mortgages, liens, or other financial encumbrances on any lot as “Appendix
B”;
(3) Copies of
any covenants or restrictions that affect a purchaser’s use of any lot as
“Appendix C”;
(4) Copies of
any documents pertaining to the homeowner’s association as “Appendix D”;
(5) A copy of any proposed budget as “Appendix E”;
(6) Copies of
all applicable subdivision approvals issued by the department of environmental
services as “Appendix F”;
(7) Evidence of
the city or town’s obligation to extend water service, sewerage disposal
system, and electricity to each lot by the time of closing as “Appendix G”;
(8) Copies of
any financial assurances that have been posted with any governmental entity to
secure completion of any promised improvement as “Appendix H”;
(9) Copies of any documents showing that a
governmental entity has agreed to accept maintenance of the roads, sewerage,
and water systems as “Appendix I”;
(10) A copy of
the platted subdivision plan as “Appendix J”;
(11) A copy of
the sample purchase and sale agreement as “Appendix K”;
(12) A copy of the
sample warranty deed to be used in conveying interests in this subdivision as
“Appendix L”; and
(13) Copies of
all governmental approvals and permits as “Appendix M”.
(c) An applicant
filing an application for exemption under this section shall complete and
attach the following affidavits and resolutions to that application:
(1) A notarized
affidavit affirming that all of the information contained in the application is
true, correct, and complete;
(2) A
certificate of resolution authorizing a personal representative of the
subdivider to make and file the application with the bureau; and
(3) A
certificate of appointment authorizing and appointing the office of the
attorney general to receive service of legal process in any non-criminal
proceeding arising under RSA 356-A against the subdivider or any of its
personal representatives.
Source. (See Revision Note at chapter heading for Jus
1300) #9782-B, eff 9-11-10; ss by
#12656, INTERIM, eff 11-1-18, EXPIRED: 4-30-19
New. #12909, eff 10-24-19
Jus 1304.05 Fees for Urban Single Family Residence and
Duplex Exemption. The application
shall be accompanied by a non-refundable fee in the amount of $200.
Source. (See Revision Note at chapter heading for Jus
1300) #9782-A, eff 9-11-10, EXPIRED: 9-11-18
New. #12656, INTERIM, eff 11-1-18, EXPIRED:
4-30-19
New. #12909, eff 10-24-19
Jus 1304.06 Effect of Filing.
(a) As to those 35
or fewer lots identified in the application filed under Jus 1304.04, the
exemption from registration and annual reporting shall be effective as of the
date the certificate of exemption is issued by the bureau, and offers and
dispositions may commence as of that date.
(b) No person shall
file an application under Jus 1304.04 that is incomplete in any respect, nor
shall any person seek a waiver of this requirement or any of the requirements
of Jus 1304.03 through Jus 1304.06.
(c) Any offer or disposition
of any lot, unit, parcel, or interest in a subdivision for which an incomplete
application has been filed shall be deemed an offer or disposition in violation
of RSA 356-A:4, I.
Source. (See Revision Note at chapter heading for Jus
1300) #9782-A, eff 9-11-10, EXPIRED: 9-11-18
New. #12656, INTERIM, eff 11-1-18, EXPIRED:
4-30-19
New. #12909, eff 10-24-19
Jus 1304.07 Fifty Lot Exemption.
(a) The bureau shall
exempt a subdivision from the registration and annual reporting requirements of
RSA 356-A:4, I and RSA 356-A:5 through RSA 356-A:9 if the following conditions
are met:
(1) The subdivision shall have no more than 50 lots,
parcels, units, or interests, including any that may be added at a future time;
(2) The town or city in which the lots, parcels, units,
or interests for which exemption is applied are located, shall have, prior to
the time the application is filed, established a planning board pursuant to RSA
673:1, I;
(3) If the streets or roads providing access to
the subdivision and to the lots, parcels, units, or interests for which
exemption is applied are not complete at the time the application is filed, the
subdivider shall post surety acceptable to the town or city as follows:
a. The surety shall be in the full amount of the
cost of completing the streets or roads to assure completion to local
standards; and
b. The surety shall be in the form prescribed by
Jus 1304.14;
(4) The subdivision shall meet the requirements
of Jus 1304.03(a)(7)-(l6), except that Jus 1304.03(a)(7) and (8) shall not need
to be complied with if the subdivider discloses in the purchase and sale
agreement that no assurances are made with respect to the matters included in
those paragraphs; and
(5) At the time the application is filed, the
subdivider shall:
a. Be the current owner of record of the lots,
parcels, units, or interests in the subdivision; or
b. Be able to present evidence that it can
convey or can reasonably be expected to be able to convey title by warranty
deed if the purchaser complies with the terms of the offer.
(b) Notwithstanding
the provisions of Jus 1304.07(a), above, an exemption shall not be granted if
it does not protect purchasers pursuant to RSA 356-A.
Source. (See Revision Note at chapter heading for Jus
1300) #9782-A, eff 9-11-10, EXPIRED: 9-11-18
New. #12656, INTERIM, eff 11-1-18, EXPIRED:
4-30-19
New. #12909, eff 10-24-19
Jus 1304.08 Application For 50 Lot Exemption.
(a) A subdivider
requesting an exemption from registration pursuant to Jus 1304.07 shall
complete the “Application for Fifty Lot Exemption” Form CPLS122, (August, 2019)
and file the application at the offices of the bureau.
(b) An
applicant filing an application for exemption under this section shall attach
the following documentary evidence as appendices to that application:
(1) Copies of
any evidence of registration to do business in this state and, if applicable,
any trade name as “Appendix A”;
(2) Copies of
any mortgages, liens, or other financial encumbrances on any lot as “Appendix
B”;
(3) Copies of any
covenants or restrictions that affect a purchaser’s use of any lot as “Appendix
C”;
(4) Copies of
any documents pertaining to the homeowner’s association as “Appendix D”;
(5) A copy of
any proposed budget as “Appendix E”;
(6) Copies of
all applicable subdivision approvals issued by the department of environmental
services as “Appendix F”;
(7) Evidence of
the city or town’s obligation to extend water service, sewerage disposal
system, and electricity to each lot by the time of closing as “Appendix G”;
(8) Copies of
any financial assurances that have been posted with any governmental entity to
secure completion of any promised improvement as “Appendix H”;
(9) Copies of any documents showing that a
governmental entity has agreed to accept maintenance of the roads, sewerage,
and water systems as “Appendix I”;
(10) A copy of
the platted subdivision plan as “Appendix J”;
(11) A copy of
the sample purchase and sale agreement as “Appendix K”;
(12) A copy of
the sample warranty deed to be used in conveying interests in this subdivision
as “Appendix L”; and
(13) Copies of
all governmental approvals and permits as “Appendix M”.
(c) An
applicant filing an application for exemption under this section shall complete
and attach the following affidavits and resolutions to that application:
(1) A notarized
affidavit affirming that all of the information contained in the application is
true, correct, and complete;
(2) A certificate
of resolution authorizing a personal representative of the subdivider to make
and file the application with the bureau; and
(3) A certificate
of appointment authorizing and appointing the office of the attorney general to
receive service of legal process in any non-criminal proceeding arising under
RSA 356-A against the subdivider or any of its personal representatives.
(d) The application
shall be accompanied by a non-refundable fee in the amount of $200.
Source. (See Revision Note at chapter heading for Jus
1300) #9782-B, eff 9-11-10; ss by
#12656, INTERIM, eff 11-1-18, EXPIRED: 4-30-19
New. #12909, eff 10-24-19
Jus 1304.09 Review by Bureau. The time periods and procedures provided by Jus
1305.01(d) shall govern the applications made pursuant to Jus 1304.03 and Jus
1304.07.
Source. (See Revision Note at chapter heading for Jus
1300) #9782-A, eff 9-11-10, EXPIRED: 9-11-18
New. #12656, INTERIM, eff 11-1-18, EXPIRED:
4-30-19
New. #12909, eff 10-24-19
Jus 1304.10 Exemption From
Registration; Other Grounds. The
bureau shall exempt any subdivision from the registration and annual reporting
requirements of RSA 356-A:4, I and RSA 356-A:5 - 9, if it finds that such
registration and annual reports are not necessary in the public interest and
for the protection of purchasers by reason of the small amount involved or the
limited character of the offering.
Source. (See Revision Note at chapter heading for Jus
1300) #9782-A, eff 9-11-10, EXPIRED: 9-11-18
New. #12656, INTERIM, eff 11-1-18, EXPIRED:
4-30-19
New. #12909, eff 10-24-19
Jus 1304.11 Application. The provisions of Jus 1305.01 shall govern
application procedures under Jus 1304.10.
Source. (See Revision Note at chapter heading for Jus
1300) #9782-A, eff 9-11-10, EXPIRED: 9-11-18
New. #12656, INTERIM, eff 11-1-18,
EXPIRED: 4-30-19
New. #12909, eff 10-24-19
Jus 1304.12 Exemption Certificate for 50 Lot Exemption.
(a) Exemption from
the registration and annual reporting requirements of RSA 356-A shall be evidenced
by a certificate issued by the bureau to the subdivider.
(b) The exemption
shall authorize the offer or disposition of only those lots, parcels, units, or
interests identified in the certificate.
(c) The exemption
shall be effective as of the date the certificate of exemption is issued by the
bureau, and offers and dispositions may commence as of that date.
(d) The subdivider
of a subdivision located in New Hampshire shall cause any certificate of
exemption issued by the bureau with respect to such subdivision to be recorded
in the registries of deeds for counties in which the subdivision is
located. Such recordation shall occur
within 10 days of receipt of a certificate of exemption by the subdivider.
(e) The subdivider
shall, as soon as is practicable:
(1) Obtain recordation data, consisting of:
a. The date of recordation; and
b. The book and page numbers or their
equivalent; and
(2) Provide the bureau, in writing, with a copy
of the recorded certificate within 10 days after receipt thereof by the
subdivider.
(f) Except as
otherwise provided by the terms of the certificate, an exemption shall remain in
full force and effect until such time as it has been revoked as provided by Jus
1305.03.
Source. (See Revision Note at chapter heading for Jus
1300) #9782-A, eff 9-11-10, EXPIRED: 9-11-18
New. #12656, INTERIM, eff 11-1-18, EXPIRED:
4-30-19
New. #12909, eff 10-24-19
Jus 1304.13 Prior Sales.
(a) The exemptions
from registration and annual reporting provided by Jus 1304.03, Jus 1304.07,
and Jus 1304.10 shall not be available for any subdivision in which the
subdivider has conveyed a legal or equitable interest in any parcel, lot, unit,
or interest by means of a deed or other final disposition, including the
signing of an installment contract, prior to obtaining an exemption.
(b) Nothing in Jus 1304.13 shall be construed to prevent the bureau from
taking any administrative or judicial action, otherwise authorized by law,
against any person who has engaged or is about to engage in conduct
constituting a violation of RSA 356-A or these rules, including the conduct
described in Jus 1304.13(a).
Source. (See Revision Note at chapter heading for Jus
1300) #9782-A, eff 9-11-10, EXPIRED: 9-11-18
New. #12656, INTERIM, eff 11-1-18, EXPIRED:
4-30-19
New. #12909, eff 10-24-19
Jus 1304.14 Street
and Road Bonds.
(a) The surety
required with respect to completion of streets or roads shall be in the form
of:
(1) A bond;
(2) An irrevocable letter of credit;
(3) A mortgage to the governmental entity
requiring the surety; or
(4) Any other form acceptable to the town or city
and to the bureau.
(b) Jus 1304.14
shall not be construed as requiring a town or city to accept any of the forms
of surety described in paragraph Jus 1304.14(a), nor shall it be construed as
requiring the bureau to accept the form or amount of any surety accepted by the
town or city.
Source. (See Revision Note at chapter heading for Jus
1300) #9782-A, eff 9-11-10, EXPIRED: 9-11-18
New. #12656, INTERIM, eff 11-1-18, EXPIRED:
4-30-19
New. #12909, eff 10-24-19
Jus 1304.15 Applications
Not in Proper Form.
(a) Upon receipt of an application for exemption
pursuant to Jus 1304.03, Jus 1304.07, or Jus 1304.10, that is not in proper
form, including but not limited to an incomplete application or an application
made on an incorrect form, the bureau shall reject the application. However, if the bureau has reason to believe
the application can be readily put into proper form, it shall retain the
application and issue to the applicant a notice of deficiencies specifying the
deficiencies in its form and any other correspondence or document. The department shall deem an application that
can readily be put into proper form as one that can be brought into compliance
within 15 days from the date of issuance of the notice of deficiencies pursuant
to RSA 356-A:8, III.
(b) If the application is not put in proper form
within 15 days after the issuance of a notice of deficiencies, the bureau shall
reject the application.
Source. (See Revision Note at chapter heading for Jus
1300) #9782-A, eff 9-11-10, EXPIRED: 9-11-18
New. #12656, INTERIM, eff 11-1-18, EXPIRED:
4-30-19
New. #12909, eff 10-24-19
PART Jus 1305 EXEMPTIONS FROM OTHER STATUTORY REQUIREMENTS
Jus 1305.01 Application.
(a) Except for
applications for exemption otherwise provided for by these rules, an
application for exemption from any of the provisions of RSA 356-A shall be made
by written letter submitted to the offices of the bureau. The letter shall be captioned CPLS120/EXEMPTION REQUEST.
(b) An application
shall be accompanied by a non-refundable fee in the amount of $200.
(c) The application
shall provide all information and documents that would assist the bureau in
making a determination as permitted by RSA 356-A: 3, II, including, at a
minimum:
(1) A detailed description of the activity for
which an exemption is being requested;
(2) A statement explaining the necessity for the
exemption; and
(3) A statement as to why enforcement of the
relevant provisions of RSA 356-A are not necessary in the public interest and
for the protection of purchasers by reason of:
a. The small amount involved;
b. The limited character of the offering; or
c. The property is otherwise adequately
regulated by:
1. Federal;
2. State;
3. County;
4. Municipal; or
5. Town statutes or ordinances.
(d) Within 30 days after
receipt of an application, the bureau shall notify the applicant, either orally
or in writing that:
(1) The application contains apparent errors or
omissions, which shall be identified by the bureau;
(2) The application has been denied in whole or
in part;
(3) The exemption has been granted in whole or in
part; or
(4) The applicant is required to submit
additional information.
(e) The time limit imposed
by Jus 1305.01(d) may be extended by the bureau upon written agreement of the
applicant.
(f) No person shall
engage in any conduct with respect to which an exemption has been or should
have been sought under this section, until such time as the application for
exemption has been granted.
(g) The bureau shall
impose any condition of exemption that is for the protection of purchasers
pursuant to RSA 356-A.
(h) The provisions
of Jus 1305.01 shall apply to any request for authorization to use a public
offering statement prior to registration of the lots, parcels, units, or
interests in the subdivision to which it refers, except that no fee shall be
required to accompany the request.
However, this section shall not prevent the bureau, where otherwise
authorized, from requiring the use of a public offering statement prior to
registration of the subdivision.
Source. (See Revision Note at chapter heading for Jus
1300) #9782-A, eff 9-11-10, EXPIRED: 9-11-18
New. #12656, INTERIM, eff 11-1-18, EXPIRED:
4-30-19
New. #12909, eff 10-24-19
Jus 1305.02 Sales to Developers and Builders.
(a) A subdivider may
dispose of subdivided lots, parcels, units, or interests, prior to being
registered or exempted from registration under any other provision of these
rules, to persons who will further develop or improve them and offer and
dispose of them to purchasers for residential use under the following
conditions:
(1) The subdivider shall, prior to disposing of
any lots, parcels, units, or interests to other subdividers, developers, or
builders, apply to the bureau in writing for an exemption from RSA 356-A:4, I
and II;
(2) The application to the bureau shall be in the
form of an affidavit captioned
CPLS120/BULK SALE, which shall be signed by the subdivider, or by an
officer or principal of the subdivider authorized to sign such affidavit;
(3) The application shall be accompanied by a
non-refundable fee of $200;
(4) The application shall include:
a. The name, address, and telephone number of
the subdivider, one of its principals, and its attorneys, if any;
b. The name and location of the subdivision;
c. The total number of lots, parcels, units, or
interests that are included or may eventually be included in the subdivision;
d. The number of lots which may be disposed of to other subdividers, developers, or builders;
e. The names, addresses, and telephone numbers
of each of the other subdividers, developers, or builders to whom dispositions
may be made;
f. If the disposition is to be made to a legally
constituted entity, an identification of the legal form of said entity, the
location of its principal place of business, and the identity of each principal
thereof;
g. A statement that no offers or dispositions of
lots for which exemption is sought pursuant to this section have been made
prior to the date the notice was mailed or delivered to the bureau, except as
provided by (a)(13) below; and
h. A statement that the purchase agreement
between the subdivider and any other subdivider, developer, or builder shall
contain an acknowledgment that no offers or dispositions may be made to any
purchaser for residential use until such time as the subdivision and the
subject lots, parcels, units, or interests have been registered or exempted by
the bureau upon application by the purchaser thereof;
(5) All lots, parcels, units, or interests
subject to Jus 1303.05 shall be registered or exempted by the bureau prior to
offers or dispositions being made to purchasers for residential use, regardless
of whether a subsequent subdivider, developer, or builder is to offer or
dispose of fewer than 16 lots, parcels, units, or interests;
(6) The provisions of Jus 1305.02 shall not apply
to any subdivision involving time share interests;
(7) Within 30 days after receipt of an
application, the bureau shall notify the applicant, either orally or in writing
that:
a. The application contains apparent errors or
omissions, which shall be identified by the bureau;
b. The application has been denied in whole or
in part;
c. The exemption has been granted in whole or in
part; or
d. The applicant is required to submit
additional information;
(8) The time limit imposed by Jus 1305.02(a)(7)
shall be extended by the bureau upon written agreement of the applicant;
(9) No person shall engage in any conduct with
respect to which an exemption has been or should have been sought under this
rule, until such time as the application of exemption has been granted;
(10) The bureau shall impose any condition of
exemption for the protection of purchasers pursuant to RSA 356-A;
(11) Any exemption granted pursuant to this
section shall be limited to the offer and disposition described by the
subdivider in the notice submitted pursuant to this section;
(12) If the disposition of lots, parcels, units,
or interests identified in an application submitted to the bureau pursuant to
(a)(5) of this section is not consummated as set forth in the application, the
subdivider shall so notify the bureau in writing; and
(13) Neither this section, nor any other section
of these rules or of RSA 356-A shall be construed to prohibit a subdivider from
soliciting or negotiating offers to purchase some or all lots, parcels, units,
or interests in a subdivision prior to registration or exemption of those lots,
parcels, units, or interests from persons or entities who will further develop
or improve them and offer or dispose of them to purchasers for residential use,
provided that the subdivider shall apply for, and receive exemption pursuant to
this section prior to disposing of such lots, parcels, units, or interests.
Source. (See Revision Note at chapter heading for Jus
1300) #9782-A, eff 9-11-10, EXPIRED: 9-11-18
New. #12656, INTERIM, eff 11-1-18, EXPIRED:
4-30-19
New. #12909, eff 10-24-19
Jus 1305.03 Revocation.
(a) If, subsequent
to the issuance of an exemption from registration, or other exemption, the
bureau has reasonable grounds to believe that exemption in the particular case
is not in the public interest, the bureau shall, upon notice of an opportunity
for hearing as provided by Jus 1309, revoke the exemption.
(b) Grounds for
revocation shall include:
(1) Material omissions or misrepresentations in
documents submitted to the bureau;
(2) Unlawful conduct of the subdivider or its
agents;
(3) Insolvency of the subdivider or a party
providing financing;
(4) Receipt by the bureau of adverse information
about the subdivision that should be disclosed to purchasers; and
(5) Any other acts or omissions by the subdivider
or its agents contrary to the public interest as embodied in these rules, RSA
356-A or other chapters of the RSAs.
Source. (See Revision Note at chapter heading for Jus
1300) #9782-A, eff 9-11-10, EXPIRED: 9-11-18
New. #12656, INTERIM, eff 11-1-18, EXPIRED:
4-30-19
New. #12909, eff 10-24-19
PART Jus 1306
REGISTRATION
Jus 1306.01 Residential
Subdivisions.
(a) The exemption from registration of
subdivisions in which all lots, parcels, units, or interests are restricted to
non-residential use provided in RSA 356-A:3, I(d) shall not apply to any
subdivision as to which there is a substantial possibility that a lot, parcel,
unit, or interest therein, may be used by the purchaser as permanent or
temporary living quarters, including use as:
(1) A vacation
home;
(2) Temporary
overnight dwelling; or
(3) As a site upon
which vehicular or other portable living quarters will be placed or occupied by
the purchaser.
(b) This section shall not prohibit a subdivider
from applying for exemption from registration pursuant to Jus 1304.10, in a
case where the residential use by the purchaser is limited and the standards
for granting the exemption are otherwise satisfied.
Source. (See Revision Note at chapter heading for Jus
1300) #9782-A, eff 9-11-10, EXPIRED: 9-11-18
New. #12656, INTERIM, eff 11-1-18, EXPIRED:
4-30-19
New. #12909, eff 10-24-19
Jus 1306.02 Recordkeeping. Every subdivider shall keep a copy of each
document and all written information submitted to the bureau in connection with
any application for registration ultimately approved, until January 31 of the
calendar year following the year in which all lots, parcels, units, or
interests in the subdivision shall have been sold or disposed of by the
subdivider.
Source. (See Revision Note at chapter heading for Jus
1300) #9782-A, eff 9-11-10, EXPIRED: 9-11-18
New. #12656, INTERIM, eff 11-1-18, EXPIRED:
4-30-19
New. #12909, eff 10-24-19
Jus 1306.03 Comprehensive Application for Registration.
(a) Every subdivider
applying for registration of a subdivision of more than 50 lots, parcels,
units, or interests shall complete the “Comprehensive Application for
Registration” Form CPLS100, (August, 2019) which shall be filed at the offices
of the bureau.
(b) Applicants shall
complete and file Form CPLS100, (August, 2019) for any subdivision that can
eventually include more than 50 lots, parcels, units, or interests.
(c) An
applicant filing an application for registration under this section shall
attach the following documentary evidence as appendices to that application:
(1) Copies of articles
of incorporation if the subdivider is a corporation; instruments of creation if
subdivider is a trust; or papers pertaining to the subdivider's organization if a partnership or
any other form of organization, including all amendments thereto as “Appendix
A”;
(2) Principal
background statements completed pursuant to Jus 1306.04 as “Appendix B”;
(3) Copies of
any evidence of registration to do business in this state and, if applicable,
any trade name as “Appendix C”;
(4) A financial
statement of the subdivider completed pursuant to Jus 1306.09 as “Appendix D”;
(5) A statement
of the condition of title to the subdivided land, including all easements,
conditions, covenants, restrictions, liens and other encumbrances, with
appropriate recording data as “Appendix E”;
(6) Copies of
any mortgages, liens, or other financial encumbrances on any lot as “Appendix
F”;
(7) Copies of
any covenants or restrictions that affect a purchaser’s use of any lot as
“Appendix G”;
(8) Copies of any documents pertaining to the
homeowner’s association as “Appendix H”;
(9) A copy of any proposed budget as “Appendix I”;
(10) Copies of
all applicable subdivision approvals issued by the department of environmental
services as “Appendix J”;
(11) Copies of
any financial assurances that have been posted with any governmental entity to
secure completion of any promised improvement as “Appendix K”;
(12) Copies of
any documents showing that a governmental entity has agreed to accept
maintenance of the roads, sewerage, and water systems as “Appendix L”;
(13) A copy of
the platted subdivision plan as “Appendix M”;
(14) A copy of
the sample purchase and sale agreement as “Appendix N”;
(15) A copy of the
sample warranty deed to be used in conveying interests in this subdivision as
“Appendix O”;
(16) Copies of
other contracts or agreements that a purchaser will be required to sign,
including any non-binding reservation agreement, if used, as “Appendix P”;
(17) Copies of
all governmental approvals and permits as “Appendix Q”;
(18) Copies of
all promotional materials currently available as “Appendix R”; and
(19) Copy of
the proposed public offering statement as “Appendix S”.
(d) An
applicant filing an application for registration under this section shall
complete and attach the following affidavits and resolutions to that
application:
(1) A notarized
affidavit affirming that all of the information contained in the application is
true, correct, and complete;
(2) A
certificate of resolution authorizing a personal representative of the
subdivider to make and file the application with the bureau; and
(3) A
certificate of appointment authorizing and appointing the office of the
attorney general to receive service of legal process in any non-criminal
proceeding arising under RSA 356-A against the subdivider or any of its
personal representatives.
Source. (See Revision Note at chapter heading for Jus
1300) #9782-B, eff 9-11-10; ss by
#12656, INTERIM, eff 11-1-18, EXPIRED: 4-30-19
New. #12909, eff 10-24-19
Jus 1306.04 Personal Background
Statements, Form CPLS170.
(a) Applicants submitting Form CPLS100 or CPLS110
shall also complete and submit the “Principal’s Background Statement”, Form
CPLS170, (August, 2019) for each principal, except that any institutional
lender which holds title to subdivided land by foreclosure, or pursuant to a
foreclosure deed or deed in lieu thereof shall submit such information only for
those employees, officers, or directors who are directly responsible for and
who exercise actual authority over the development or marketing interests
within such subdivision, whether or not such persons are principals of the
institutional lender.
(b) An applicant shall attach the following documentary
evidence or additional details as separate additional sheets to Form CPLS170:
(1) Copy of any written agreement to acquire
additional interests in the subdivision, or the full particulars of any such
agreement;
(2) Full particulars of any suspension or
revocation of the principal’s real estate license;
(3) Full particulars of any investigation of the
principal by any real estate licensing authority;
(4) Full particulars of any
bankruptcy, foreclosure, or receivership of any business organization that the
principal served as an officer, director, or other principal within the
preceding 7 years;
(5) Full particulars of any
bankruptcy, foreclosure, or receivership of the principal, individually, in the
preceding 7 years;
(6) Full particulars of any
felony conviction which has not been annulled by a court in any state or
foreign country;
(7) Full particulars of any
injunctive or administrative order which restrained the principal or any
business in which the principal was a principal from using a false or
misleading promotional plan involving land disposition, unfair or deceptive
trade practices under 15 USC 45(a)(1) or an equivalent state statute,
securities laws, or the commodities futures industry; and
(8) Full particulars of any
pending litigation involving condominiums or land dispositions, or any felony,
in any state or country in which the principal is a defendant.
(c) An applicant filing a background statement
under this section shall complete a notarized affidavit affirming that all of
the information contained in the background statement is true, correct, and
complete.
Source. (See Revision Note at chapter heading for Jus
1300) #9782-B, eff 9-11-10; ss by
#12656, INTERIM, eff 11-1-18, EXPIRED: 4-30-19
New. #12909, eff 10-24-19
Jus 1306.05 Financial
Information.
(a) Financial information required by these rules
shall consist of evidence, satisfactory to the bureau, of the subdivider’s
ability to complete all promised improvements or amenities.
(b) Such evidence shall include, at a minimum,
the following:
(1) Development and marketing
costs;
(2) Financing plan;
(3) Financing commitments; and
(4) Financial statements.
(c) In addition to the minimum requirements
stated in (b) above, the bureau shall require an applicant to provide such
other financial information that will assist it in making the determinations it
is required to make by RSA 356-A:7, I.
Source. (See Revision Note at chapter heading for Jus
1300) #9782-A, eff 9-11-10, EXPIRED: 9-11-18
New. #12656, INTERIM, eff 11-1-18,
EXPIRED: 4-30-19
New. #12909, eff 10-24-19
Jus 1306.06 Development and Marketing Costs.
Information about development and marketing costs required by Jus 1306.05 shall
include:
(a) Expenditures;
and
(b) Good faith
estimates of projected costs of land acquisition, construction, marketing,
advertising, sales, interest, and any other costs related to the development of
the subdivision or disposition of the lots, parcels, units, or interests.
Source. (See Revision Note at chapter heading for Jus
1300) #9782-A, eff 9-11-10, EXPIRED: 9-11-18
New. #12656, INTERIM, eff 11-1-18,
EXPIRED: 4-30-19
New. #12909, eff 10-24-19
Jus 1306.07 Financing Plans.
(a) The plan of
financing required by Jus 1306.05 shall include, at a minimum, a narrative
description identifying all sources and amounts of financing of all promised
improvements.
(b) In addition, the
plan shall include a good faith narrative or graphic cash flow projection
relating to all promised improvements.
(c) The projection
shall depict, at a minimum, the anticipated schedule and amounts of:
(1) Debt retirement;
(2) Other expenses and anticipated use of income,
including disbursements of income from all sources;
(3) Sales revenue;
(4) Other income;
(5) Total gross income;
(6) Total net income; and
(7) Subdividers of time share subdivisions shall
also include a statement as to the availability of end loan financing.
Source. (See Revision Note at chapter heading for Jus
1300) #9782-A, eff 9-11-10, EXPIRED: 9-11-18
New. #12656, INTERIM, eff 11-1-18, EXPIRED:
4-30-19
New. #12909, eff 10-24-19
Jus 1306.08 Financing Commitment.
(a) Evidence of financing commitments required by
Jus 1306.05 shall include, at a minimum:
(1) A copy of a written, signed,
commitment from an institutional lender to advance funds to the subdivider
sufficient to complete all promised improvements, or, to the extent that the
subdivider is not relying on funds borrowed from an institutional lender, a
statement detailing what funds the declarant is relying on; and
(2) Other evidence of the
guaranteed commitment of funds sufficient to complete all promised
improvements.
(b) The commitments required by this section may
state that the commitment is subject to registration of the subdivision prior
to funding.
(c) Upon execution of a loan agreement, mortgage
deed, or other such legal instrument related to any land acquisition or
construction financing, with respect to that portion of a subdivision for which
registration has been applied or granted, the subdivider shall submit to the
bureau a copy of each such executed legal instrument.
(d) In the event a land acquisition or
construction loan has not been funded by the date contemplated in the
commitment letter or in the legal instrument evidencing the loan, the
subdivider shall immediately submit to the bureau a written statement
explaining the status of the loan and why it has not been funded.
(e) With respect to any commitment or portion of
a commitment for which there is a pre-sale requirement that has not been met at
the time the commitment is submitted to the bureau, such commitment portion
shall not be considered by the bureau in determining whether the financing is
adequate.
Source. (See Revision Note at chapter heading for Jus
1300) #9782-A, eff 9-11-10, EXPIRED: 9-11-18
New. #12656, INTERIM, eff 11-1-18, EXPIRED:
4-30-19
New. #12909, eff 10-24-19
Jus 1306.09 Financial Statements.
(a) The financial
statements required by Jus 1306.05 shall be the subdivider’s financial
statements for the last full fiscal year.
These statements shall be prepared in accordance with generally accepted
accounting principles, and shall be certified or reviewed by an independent
licensed public accountant that they have been so prepared and that all
adjustments necessary for a fair statement of the results for the periods shown
have been included.
(b) Financial
statements shall:
(1) Include the following:
a. A balance sheet;
b. An income statement;
c. A cash flow statement; and
(2) Be no more than 6 months old on the date the
application is filed.
(c) The requirements
of Jus 1306.09(b) shall not be fulfilled by submission of a financial
compilation.
(d) If the
statements are more than 6 months old at the date of submission of the
application, or if the last full fiscal year has ended within the last 90 days
and statements are not yet available, the subdivider may submit a copy of the
statements for the previous full fiscal year and supplement them with interim
statements so that the financial information is no more than 6 months old on
the date that the application is submitted.
(e) Interim
statements:
(1) May be prepared by company personnel; and
(2) Shall contain:
a. A balance sheet;
b. An income statement; and
c. A cash flow statement.
(f) The statements
shall be prepared in accordance with generally accepted accounting principles
and shall be certified or reviewed as provided in Jus
1306.09(a).
(g) If the subdivider
was formed no more than 18 months prior to the submission of an application for
registration, an audited or unaudited balance sheet and statement of receipts
and disbursements of funds may be submitted.
(h) If the
subdivider is a subsidiary company, the subdivider may use the certified or
reviewed statements of the parent company, provided that those statements are
accompanied by an unconditional guaranty that the parent company shall perform
and fulfill the obligations of the subsidiary.
(i) If the declarant proceeds pursuant to (h)
above, the declarant shall submit the following:
(1) The certified or reviewed financial
statements of the parent company, together with interim statements if
necessary, which comply with Jus 1306.09(a) - (d);
and
(2) A properly executed guaranty in a form
acceptable to the bureau.
Source. (See Revision Note at chapter heading for Jus
1300) #9782-A, eff 9-11-10, EXPIRED: 9-11-18
New. #12656, INTERIM, eff 11-1-18, EXPIRED:
4-30-19
New. #12909, eff 10-24-19
Jus 1306.10 Purchase
and Sale Agreement.
(a) Subdividers
shall use a contract for purchase or lease which includes:
(1) Express notice of the purchaser’s 5-day right
to cancel, as prescribed by RSA 356-A:4, II;
(2) The name and address of the escrow agent
designated to carry out the provisions of RSA 356-A:9-a; and
(3) A space for acknowledgment of receipt of the
public offering statement provided, however, that the space for the
acknowledgment need not be used with respect to offering any subdivision for
which a public offering statement is not required.
(b) The escrow agent
identified in the purchase and sale agreement shall be a person or entity
unrelated to the subdivider or any principal thereof and shall hold all
escrowed funds within the state of New Hampshire.
Source. (See Revision Note at chapter heading for Jus
1300) #9782-A, eff 9-11-10, EXPIRED: 9-11-18
New. #12656, INTERIM, eff 11-1-18, EXPIRED:
4-30-19
New. #12909, eff 10-24-19
Jus 1306.11 Property Owners' Association. The
instruments of any property owners' association shall contain, in addition to
all other statutory requirements, a section which sets forth the resale rights
of the purchaser provided by RSA 356-A:9-b.
Source. (See Revision Note at chapter heading for Jus
1300) #9782-A, eff 9-11-10, EXPIRED: 9-11-18
New. #12656, INTERIM, eff 11-1-18, EXPIRED:
4-30-19
New. #12909, eff 10-24-19
Jus 1306.12 Abbreviated Application for Registration.
(a) Every subdivider
applying for registration of a subdivision of more than 15 lots, parcels,
units, or interests, but which does not contain and never shall contain more
than 50 lots, parcels, units, or interests shall complete “the Abbreviated
Application for Registration” Form CPLS110, (August, 2019) which shall be filed
at the offices of the bureau.
(b) Applicants shall
file Form CPLS110 (August, 2019) for any subdivision that is not eligible for
exemption under Jus 1304 and that, upon inclusion of the total number of lots,
parcels, units, or interests may eventually be included in the subdivision,
would include more than 15 lots, parcels, units, or interests, but no more than
50 lots, parcels, units, or interests.
(c) Jus 1306.12
shall not apply to a subdivision involving time share interests.
(d) An applicant filing an application for
registration under this section shall attach the following documentary evidence
as appendices to that application:
(1) Copies of
any evidence of registration to do business in this state and, if applicable,
any trade name as “Appendix A”;
(2) Principal
background statements completed pursuant to Jus 1306.04 as “Appendix B”;
(3) A financial
statement of the subdivider completed pursuant to Jus 1306.09 as “Appendix C”;
(4) Copies of
any mortgages, liens, or other financial encumbrances on any lot as “Appendix
D”;
(5) Copies of
any covenants or restrictions that affect a purchaser’s use of any lot as
“Appendix E”;
(6) Copies of any
documents pertaining to the homeowner’s association as “Appendix F”;
(7) A copy of
any proposed budget as “Appendix G”;
(8) Copies of
all applicable subdivision approvals issued by the department of environmental
services as “Appendix H”;
(9) Copies of
any financial assurances that have been posted with any governmental entity to
secure completion of any promised improvement as “Appendix I”;
(10) Copies of
any documents showing that a governmental entity has agreed to accept
maintenance of the roads, sewerage, and water systems as “Appendix J”;
(11) A copy of
the sample purchase and sale agreement as “Appendix K”;
(12) A copy of
the sample warranty deed to be used in conveying interests in this subdivision
as “Appendix L”;
(13) Copies of
other contracts or agreements that a purchaser will be required to sign,
including any non-binding reservation agreement, if used, as “Appendix M”;
(14) Copies of
all governmental approvals and permits as “Appendix N”; and
(15) Copies of
all promotional materials currently available as “Appendix O”.
(e) An
applicant filing an application for registration under this section shall
complete and attach the following affidavits and resolutions to that
application:
(1) A notarized
affidavit affirming that all of the information contained in the application is
true, correct, and complete;
(2) A
certificate of resolution authorizing a personal representative of the
subdivider to make and file the application with the bureau; and,
(3) A
certificate of appointment authorizing and appointing the office of the
attorney general to receive service of legal process in any non-criminal
proceeding arising under RSA 356-A against the subdivider or any of its
personal representatives.
Source. (See Revision Note at chapter heading for Jus
1300) #9782-B, eff 9-11-10; ss by
12656, INTERIM, eff 11-1-18, EXPIRED: 4-30-19
New. #12909, eff 10-24-19
Jus 1306.13 Applications Not in Proper Form.
(a) Upon receipt of
a comprehensive or abbreviated application for registration that is not in
proper form, including but not limited to an incomplete application or an
application made on an incorrect form, the bureau shall return the application
to the applicant. However, if the bureau
has reason to believe the application can be readily put into proper form, it
shall retain the application and issue to the applicant a notice of
deficiencies specifying the deficiencies in its form and any other correspondence
or document. The department shall deem
an application that can be readily put into the proper form as one that can be
brought into compliance within 15 days from the date of issuance of the notice
of deficiencies.
(b) If the
application is not put in proper form within 15 days after the issuance of a
notice of deficiencies, the bureau shall reject the application.
Source. (See Revision Note at chapter heading for Jus
1300) #9782-A, eff 9-11-10, EXPIRED: 9-11-18
New. #12656, INTERIM, eff 11-1-18, EXPIRED:
4-30-19
New. #12909, eff 10-24-19
Jus 1306.14 Registration of Additional Lots, Parcels,
Units, or Interests.
(a) Jus 1306.14
shall only apply to those subdivisions in which some lots, parcels, units, or
interests have already been registered.
(b) Every subdivider
applying for the registration of lots, parcels, units, or interests which have
not been previously registered, shall either:
(1) Complete Form CPLS100 (August, 2019), which
shall then be filed with the bureau pursuant to Jus 1306.03, or
(2) Complete Form CPLS110 (August, 2019), which
shall then be filed with the bureau pursuant to Jus 1306.12, if the subdivision
does not contain and never shall contain more than 50 lots, parcels, units, or
interests.
(c) When filing Form
CPLS100 (August, 2019) or Form CPLS110 (August, 2019), the application shall
contain all information and documents required by the form, except that where
the current information and documents do not differ from those filed with the
original application, appropriate references may be made to the original
application.
(d) Subdividers
shall file Form CPLS100 (August, 2019) or Form CPLS110 (August, 2019) which
includes all information contained in prior applications, as well as any
additions, amendments or changes, which additions, amendments or changes shall
be red-lined, underlined or otherwise highlighted for review by the bureau.
Source. (See Revision Note at chapter heading for
Jus 1300) #9782-B, eff 9-11-10; ss by #12656, INTERIM, eff 11-1-18, EXPIRED:
4-30-19
New. #12909, eff
10-24-19
Jus 1306.15 Fees.
An application for registration of additional lots,
parcels, units, or interests shall be accompanied by a fee in the amount of
$200 or $30 for each lot, parcel, unit, or interest for which registration is
sought, whichever is greater, provided, however, that no more than $2,000 shall
be submitted with the application.
Source. (See Revision Note at chapter heading for Jus
1300) #9782-A, eff 9-11-10, EXPIRED: 9-11-18
New. #12656, INTERIM, eff 11-1-18, EXPIRED:
4-30-19
New. #12909, eff 10-24-19
Jus 1306.16 Registration Certificate.
(a) Registration of
lots, parcels, units, or interests in a subdivision shall be evidenced by a
certificate issued by the bureau to the subdivider.
(b) The registration
shall authorize the offer or disposition of only those lots, parcels, units, or
interests identified in the certificate.
(c) The bureau shall
issue the certificate within 20 days after the effective date of the exemption.
(d) The subdivider
of a subdivision located in the state of New Hampshire shall cause any
certificate of registration issued by the bureau with respect to such
subdivision to be recorded in the registry of deeds for the county wherein the
subdivision is located. Such recordation
shall occur within 10 days of receipt of a certificate of registration by the
subdivider.
(e) The subdivider
shall, as soon as is reasonably practicable, obtain recordation data consisting
of the following:
(1) Date of recordation;
(2) Book and page numbers or their equivalent;
and
(3) Obtain and provide the bureau, in writing,
with a copy of the recorded certificate within 10 days after the receipt
thereof.
(f) Except as
otherwise provided by the terms of the certificate, a registration shall remain
in full force and effect until such time as it has been revoked upon notice and
hearing as provided by Jus 1309.
Source. (See Revision Note at chapter heading for Jus
1300) #9782-A, eff 9-11-10, EXPIRED: 9-11-18
New. #12656, INTERIM, eff 11-1-18, EXPIRED:
4-30-19
New. #12909, eff 10-24-19
Jus 1306.17 Annual Report.
(a) All subdividers
so obligated pursuant to RSA 356-A:9 shall file the “Annual Report for
Subdivision” Form CPLS200, (August, 2019), the annual report, on April 1 of
each year following the date of the original registration.
(b) The report shall
be accurate as of the date that the report is made out by the subdivider,
except for the financial statements, which shall reflect the subdivider’s
financial condition as of a date no earlier than December 31 of the year
immediately preceding the date of the annual report.
(c) The subdivider
shall attach the following documents to Form CPLS200:
(1) A copy of the revised public offering
statement, if the subdivider has made any changes to the public offering
statement in the reporting year;
(2) A copy of the revised property report from
the United States Department of Housing and Urban Development, if any changes
have been made to that report in the reporting year;
(3) A copy of the amended bylaws or articles of
the homeowners association, if any changes have been made to the bylaws or
articles in the reporting year;
(4) A copy of the amended statement of record
filed with the United States Department of Housing and Urban Development, if
any changes have been made to that statement in the reporting year; and,
(5) A
notarized affidavit affirming that all of the information contained in the
annual report is true, correct, and complete.
(d) The bureau shall
provide a copy of Form CPLS200 to each subdivider at the time it issues an
initial certificate of registration to said subdivider or upon written request
for same by the subdivider or its counsel.
(e) Notwithstanding
(b) above, it shall be the responsibility of subdividers to file annual reports
pursuant to (a) above, by no later than April 1 of each year, during which they
might be required to make such filing.
Such responsibility shall not be dependent on reception by subdividers
of any notice from the bureau that said annual reports are or might be due
pursuant to this section.
(f) A subdivider
shall be exempted from filing an annual report pursuant to this section if it
provides to the bureau its affidavit signed by the subdivider if a natural
person, or, if subdivider is a legally constituted entity, by an officer or
principal thereof authorized to sign such affidavit, that all promised
improvements in the subdivision have been completed and all lots, parcels,
units, or interests disposed of.
(g) Notwithstanding
any other provision of this section, a subdivider shall be required to file
with the bureau a supplement to the annual report within 5 business days of the
occurrence of any of the following:
(1) Reception by the subdivider of a notice of
foreclosure under any mortgage granted by the subdivider affecting the
subdivision or any lot, parcel, unit, or interest therein; and
(2) The filing of a petition for voluntary or
involuntary bankruptcy by or involving the subdivider, or any affiliate of the
subdivider under any chapter of the United States Bankruptcy Code, 11 U.S.C. §§
101 et. seq. or of similar process under any state insolvency law.
(h) The supplement
to the annual report called for in (g), above, shall be submitted in the form
of an affidavit by the subdivider, or a principal or officer of the subdivider
authorized to sign such affidavit, and shall bear the caption “Form
CPLS200-SUPPLEMENT.”
(i) A supplement to the annual report submitted
pursuant to subparagraph (g)(1) shall contain the following information:
(1) A description of the mortgage instrument
being foreclosed upon, identifying by full name and address all parties secured
thereunder, as well as any person or entity exercising any right of foreclosure
thereunder;
(2) The date, place, and manner of any scheduled
foreclosure sale or other disposition of all affected property; and
(3) The date and manner of reception by the
subdivider of the notice of foreclosure.
(j) The information
called for in (i), above, may be provided by submitting
to the bureau a copy of any notice provided to a subdivider pursuant to RSA
479:25, I, together with an affidavit of the subdivider or a principal or
officer thereof authorized to sign such affidavit, in the form prescribed by
(h), above, certifying that, and specifying the date on which the subdivider
received said notice.
(k) A supplement to
the annual report submitted pursuant to (g)(2), above, shall contain the
following information:
(1) Identification, including mailing address, of
the court in which the bankruptcy petition or other process has been filed;
(2) The date of such filing;
(3) Whether such filing is effected pursuant to
the United States Bankruptcy Code, 11 U.S.C. §§ 101 et seq. and if so,
identifying the Chapter of the Bankruptcy Code pursuant to which the filing is
made; and
(4) If the filing is made pursuant to an
insolvency law of any state, the title and code citation to said law, with a
description of the form of protection sought by the filing, such as
liquidation, reorganization, or the like.
(l) Failure of the
subdivider to file its annual report pursuant to RSA 356-A:9 during any period
of time during which it is required to do so or failure to timely file any
required supplement to the annual report pursuant to this section shall be
deemed by the bureau to constitute an irreparable harm to the public interest,
subject to issuance of a cease and desist order pursuant to RSA 356-A:12, II,
requiring the subdivider to file its annual report or supplement thereto within
30 days of the date of such order.
(m) Failure to
comply with such order shall be deemed by the bureau to constitute adequate
grounds for revocation of registration pursuant to RSA 356-A:13, I.
Source. (See Revision Note at chapter heading for Jus
1300) #9782-A, eff 9-11-10, paras (c), (d), (f), (k) and (l) EXPIRED: 9-11-18; #9782-B, eff 9-11-10, paras (a), (b), (e),
and (g)-(j); ss by #12656, INTERIM, eff 11-1-18, EXPIRED: 4-30-19
New. #12909, eff 10-24-19
Jus 1306.18 Material Changes.
(a) Notification to the
bureau of proposed material changes in the plan of disposition or development
of a subdivision shall be in writing.
(b) No such change
shall be made unless and until the bureau has given its affirmative written
approval of the change.
Source. (See Revision Note at chapter heading for Jus
1300) #9782-A, eff 9-11-10, EXPIRED: 9-11-18
New. #12656, INTERIM, eff
11-1-18, EXPIRED: 4-30-19
New. #12909, eff
10-24-19
Jus 1306.19 Registration by Successor Subdivider.
(a) Any person who
comes to stand in the same relation to the subdivision as the original
subdivider shall be required to make separate application to the bureau for
registration as a successor subdivider.
(b) The successor subdivider shall complete Form
CPLS100 (August, 2019) or Form CPLS110 (August, 2019) pursuant to Jus 1306.03
and Jus 1306.12, as appropriate, regardless of whether the successor subdivider
seeks to register lots, parcels, units, or interests already registered, or
additional lots, parcels, units, or interests.
(c) A successor
subdivider may incorporate, by reference, the contents of a preceding
application to the extent that such incorporation does not render the successor
subdivider’s application inaccurate.
Source. (See Revision Note at chapter heading for Jus
1300) #9782-A, eff 9-11-10, paras (a) and (c) EXPIRED: 9-11-18; #9782-B, eff 9-11-10, para (b); ss by
#12656, INTERIM, eff 11-1-18, EXPIRED: 4-30-19
New. #12909, eff
10-24-19
Jus 1306.20 Registration of Subdivisions Located
Outside of New Hampshire.
(a) With respect to applications
for registration of subdivisions located outside of New Hampshire, the bureau
shall accept, in lieu of Form CPLS100 (August, 2019) or Form CPLS110 (August,
2019):
(1) A certified copy of an application for
registration or its equivalent filed with the competent state regulatory agency
of any other state with all exhibits and addenda thereto, together with a
certificate of registration or other evidence of approval by such agency; or
(2) A certified copy of a statement of record
filed with the office of interstate land sales registration of the United
States Department of Housing and Urban Development with all exhibits and
addenda thereto, together with a certificate of registration issued by that
agency name.
Source. (See Revision Note at chapter heading for Jus
1300) #9782-A, eff 9-11-10, EXPIRED: 9-11-18
New. #12656, INTERIM, eff 11-1-18, EXPIRES:
4-30-19
New. #12909, eff 10-24-19
PART Jus 1307 PUBLIC OFFERING STATEMENT
Jus 1307.01 Public Offering Statement Form.
(a) The information contained
in the public offering statement shall be set forth under appropriate captions
or headings which are reasonably indicative of the principal subject matter
thereunder and shall be divided into reasonably short paragraphs or sections. The pages shall be numbered sequentially.
(b) The public
offering statement shall be prepared on good quality, unglazed white paper, 8
1/2” x 11” in size.
(c) A waiver of (b),
above, shall be granted by the bureau if the proposed alternative size and
coloring is of comparable visual quality.
(d) The public
offering statement shall be printed, lithographed, mimeographed, typewritten
and photocopied, or prepared by a similar process so that it is legible and
suitable for a permanent record.
(e) The public offering
statement shall be as brief as is consistent with full and accurate
disclosure. In no event shall the
statement be made so lengthy or detailed so as to discourage close examination.
(f) No public
offering statement shall be distributed in connection with the marketing of any
lot, unit, parcel, or interest in any subdivision before said lot, unit,
parcel, or interest has been registered by the bureau. Upon written request by the subdivider, the
bureau shall authorize such distribution prior to registration, but only under
such terms and conditions necessary to protect purchasers, consistent with RSA
356-A.
Source. (See Revision Note at chapter heading for Jus
1300) #9782-A, eff 9-11-10, EXPIRED: 9-11-18
New. #12656, INTERIM, eff 11-1-18, EXPIRED:
4-30-19
New. #12909, eff
10-24-19
Jus 1307.02 Contents of the Cover Page.
(a) The public offering
statement shall set forth on its outside front cover or first inside page a
statement, substantially as follows, in capital letters printed in boldface,
roman type at least as large as 10 point modern type:
“PUBLIC OFFERING STATEMENT
THIS SUBDIVISION IS REGISTERED WITH THE CONSUMER PROTECTION
AND ANTITRUST BUREAU OF THE DEPARTMENT OF JUSTICE OF THE STATE OF NEW HAMPSHIRE
PURSUANT TO THE PROVISIONS OF THE NEW HAMPSHIRE LAND SALES FULL DISCLOSURE ACT,
RSA 356-A. THE ACT REQUIRES THAT A
CURRENT PUBLIC OFFERING STATEMENT BE FURNISHED TO A PURCHASER PRIOR TO, OR AT
THE TIME SUCH PURCHASER ENTERS INTO A PURCHASE AGREEMENT. THE PURPOSE OF THE STATEMENT IS TO DISCLOSE
MATERIAL FACTS PERTAINING TO THIS SUBDIVISION.
IT IS RECOMMENDED THAT THE PURCHASER READ THIS STATEMENT CAREFULLY,
PHYSICALLY INSPECT THE PROPERTY, REVIEW ALL SALES AND OTHER DOCUMENTS IN DETAIL
AND CONSULT AN ATTORNEY FOR ADVICE.
NOTHING CONTAINED HEREIN SHOULD BE CONSTRUED AS SUGGESTING THAT THE CONSUMER
PROTECTION AND ANTITRUST BUREAU OR ANY OTHER PUBLIC AGENCY RECOMMENDS THE
SUBDIVISION OR HAS DETERMINED THAT THE DISPOSITION OF ANY LOT, PARCEL, UNIT, OR
INTEREST IN THE SUBDIVISION IS LEGALLY SUFFICIENT TO PROTECT THE RIGHTS OF
PURCHASERS.
RECEIPT OF THIS STATEMENT MUST BE ACKNOWLEDGED IN WRITING
BY THE PURCHASER ON HIS PURCHASE AGREEMENT.
ANY COMPLAINT ALLEGING UNFAIR OR DECEPTIVE SALES PRACTICES
OR A VIOLATION OF THE LAND SALES FULL DISCLOSURE ACT MAY BE DIRECTED TO THE
CONSUMER PROTECTION AND ANTITRUST BUREAU, 33 CAPITOL STREET, CONCORD, NEW
HAMPSHIRE 03301.”
(b) Immediately
following the statement quoted in Jus 1307.02(a),
shall be the following language, pursuant to RSA 356-A:6, I(f) and 356-A:4, II,
“IMPORTANT
NOTICE OF PURCHASER’S
CANCELLATION RIGHTS
New Hampshire law provides that you have an express and
unqualified right to cancel your Purchase and Sale Agreement within five (5) calendar
days from the date the agreement was entered into or the delivery to you of the
Public Offering Statement, whichever is later.
If you elect to cancel, you may do so by written notice thereof
hand-delivered or deposited in the United States mail, return receipt
requested, within the five (5) day period, to the subdivider or to any agent of
the subdivider, provided that, however, if you elect to mail the notice of
cancellation, you must also provide the subdivider with telephonic notice of
cancellation within the five-day period.
Such cancellation shall be without penalty and any deposit made by you
must be refunded in its entirety no later than ten (10) calendar days from the
subdivider’s receipt of your written notice of cancellation.”
(c) The cover page
or first inside page shall also include:
(1) The name of the subdivision;
(2) The effective date(s) of registration; and
(3) When applicable, the date of the most recent
approval of the public offering statement by the bureau.
Source. (See Revision Note at chapter heading for Jus
1300) #9782-A, eff 9-11-10, EXPIRED: 9-11-18
New. #12656, INTERIM, eff 11-1-18, EXPIRED: 4-30-19
New. #12909, eff 10-24-19
Jus 1307.03 Contents of Public Offering Statement.
(a) In addition to
those matters required by RSA 356-A:6, every public offering statement shall
also include:
(1) A description of any legal proceedings against
the subdivider which may affect the financial status of the subdivision; and
(2) A statement of any legal proceedings brought
in the last 5 years by a property owners' association or a purchaser of a lot,
parcel, unit, or interest against the subdivider, against a principal of the
subdivider or against another subdivider, officer, partner or trustee who is a
principal of the subdivider.
(b) The description
in (a), above, shall include:
(1) The identity of the court;
(2) The docket number;
(3) The names of the parties;
(4) A brief summary of the allegations; and
(5) A statement of the status or the outcome of
the case.
(c) A subdivider may
include a good faith statement of opinion as to the merits of such litigation.
(d) Notice that any
deposit made in regard to any sale of a subdivided lot, parcel, unit or
interest therein shall be held in escrow until settlement or closing and the
name and address of the escrow agent.
(e) An
acknowledgment page for the purchaser to sign acknowledging receipt of the
notice required by Jus 1307.02.
Source. (See Revision Note at chapter heading for Jus
1300) #9782-A, eff 9-11-10, EXPIRED: 9-11-18
New. #12656, INTERIM, eff 11-1-18, EXPIRED: 4-30-19
New. #12909, eff 10-24-19
Jus 1307.04 Additional Disclosure Requirements for
Time Sharing and Conversion Subdivisions.
(a) When a
subdivider is engaged in the offer and disposition of time sharing interests in
a subdivision, the following information shall also be included in the public
offering statement:
(1) A paragraph setting forth:
a. The name and address of any exchange
program(s) with which the time sharing subdivision is affiliated;
b. The term of the present contract between the
subdivider and the exchange program;
c. The annual fee for services; and
d. A statement that the exchange program is an independent
entity which is not required to register with the department of justice or to
remain affiliated with the subdivider beyond the contract term;
(2) A paragraph stating that the subdivider makes
no representations as to the feasibility of future resale of time sharing
interests purchased, and giving notice whether or not the subdivider will
assist purchasers in the resale of time sharing interests;
(3) A projected budget including:
a. A statement describing any reserve fund
established to maintain the real property and to replace, repair or refurbish
the personal property in each lot, parcel, unit, or interest; or
b. If no such fund has been established, a
statement to that effect; and
(4) If the time sharing interest offered is not a
fee simple interest, a paragraph detailing:
a. The nature of the ownership structure of the
subdivision;
b. The nature and extent of any blanket
encumbrances on the property; and
c. The steps taken, such as execution of
non-disturbance agreements, to protect purchasers in the event of any
foreclosure on the property, receivership proceeding, or bankruptcy proceeding
against the subdivider.
Source. (See Revision Note at chapter heading for Jus
1300) #9782-A, eff 9-11-10, EXPIRED: 9-11-18
New. #12656, INTERIM, eff
11-1-18, EXPIRED: 4-30-19
New. #12909, eff 10-24-19
Jus 1307.05 Desk Copy of Public Offering Statement to
be Made Available to Prospective Purchasers.
(a) At least one
master copy of the current public offering statement approved by the bureau shall
be maintained by the subdivider as a desk copy and made readily available for
inspection by any person who may visit the subdivision, or any sales office or
other location in which lots, parcels, units, or interests in the subdivision
may be offered or sold.
(b) The desk copy
shall be placed in a visible location where prospective purchasers are
routinely invited to commence tours of the subdivision or receive sales
presentations.
(c) No person shall be advised by
a subdivider, or an agent of the subdivider, including sales
personnel, that a copy of the public offering statement may be inspected only
by purchasers.
Source. (See Revision Note at chapter heading for Jus
1300) #9782-A, eff 9-11-10, EXPIRED: 9-11-18
New. #12656, INTERIM, eff
11-1-18, EXPIRED: 4-30-19
New. #12909, eff 10-24-19
PART Jus 1308 MARKETING
Jus 1308.01 Gifts.
(a) The bureau shall
permit promotional activity which includes the offering of prizes or gifts
consisting of intangible property as an inducement to visit a subdivision, to
attend a meeting at which a subdivision will be discussed, or to acquire a lot,
parcel, unit, or interest only if the bureau finds that:
(1) The promotional activity does not constitute
participation in a lottery, contest, or the like;
(2) The offer is not being made in a manner
dependent on or connected with chance;
(3) The offeree will obtain the benefits of the
gift on the day of his or her visit to the subdivision or attendance at the
meeting at which the subdivision will be discussed;
(4) Permitting the offering will not be
inconsistent with the public interest; and,
(5) Enforcement of RSA 356-A:4, IV is not
necessary in the public interest or for the protection of purchasers by reason
of the small amount involved or the limited character of the offering.
(b) For the purposes
of this section, “chance” means “a happenstance, a fortuity, or luck”.
Source. (See Revision Note at chapter heading for Jus
1300) #9782-A, eff 9-11-10, EXPIRED: 9-11-18
New. #12656, INTERIM, eff 11-1-18, EXPIRED: 4-30-19
New. #12909, eff 10-24-19
Jus 1308.02 Review by the Bureau.
(a) At least 60 days
prior to offering any gift of intangible property as contemplated in section
Jus 1308.01, the person proposing to make the offer shall submit to the bureau
by written letter captioned “CPLS120/Exemption Request” as an application for
exemption.
(b) The application shall be accompanied by a
non-refundable fee in the amount of $200.
(c) The application shall include, at a minimum:
(1) A request for exemption from the provisions
of RSA 356-A:4, IV with respect to the offering;
(2) A copy of the text of the proposed gift offer
and all related promotional materials;
(3) A statement as to the suggested retail value
of the gift and the source of this claim;
(4) The inclusive dates of intended use;
(5) The estimated number and geographic
distribution of offerees;
(6) The name and address of the marketing company
or distribution agent, if any, for the offer;
(7) A statement of any terms and conditions not
disclosed in the text of the offer to the offeree;
(8) A statement of assurance as to the
applicant’s ability to carry out the terms of the offer;
(9) Verification by the applicant that the
offeree will obtain the benefit of the gift on the day of the visit to the
subdivision or attendance at the meeting at which the subdivision will be
discussed;
(10) The name, address, and telephone number of
the applicant; and
(11) A statement as to why enforcement of RSA
356-A:4, IV is not necessary in the public interest or for the protection of
purchasers by reason of the small amount involved or the limited character of
the offering.
(d) Within 60 days
of receipt of the application for exemption, the bureau shall grant or deny the
application for exemption pursuant to Jus 1308.01.
(e) No offering of
any gift of intangible property may be made prior to written or oral notice by
the bureau that the exemption has been granted.
Source. (See Revision Note at chapter heading for Jus
1300) #9782-A, eff 9-11-10, EXPIRED: 9-11-18
New. #12656, INTERIM, eff
11-1-18, EXPIRED: 4-30-19
New. #12909, eff 10-24-19
Jus 1308.03 Non-binding Reservation Agreements.
(a) “Non-binding
reservation agreement” means an agreement between the subdivider and a
prospective purchaser which is in no way binding on the prospective purchaser
and which can be canceled without penalty at the sole discretion of the
prospective purchaser by written notice, hand delivered or sent by United
States mail, return receipt requested, to the subdivider or to any agent of the
subdivider at any time prior to the execution by all parties of a contract for
the sale or lease of any lot, parcel, unit, or interest in a subdivision.
(b) The bureau shall
permit the use of non-binding reservation agreements under the following
conditions:
(1) Such agreement shall not contain any
provision for waiver or any other provision in derogation of the rights of the
prospective purchaser as contemplated by this paragraph, nor shall any such
provision be a part of any ancillary agreement;
(2) Offers made prior to registration or
exemption from registration shall be permitted only to the extent that such
offers are made by the subdivider solely in connection with efforts to obtain
non-binding reservation agreements, provided however, that the subdivider shall
first have notified the bureau in writing of its intention to conduct such
offers;
(3) Written notice to the bureau of the
subdivider’s intention to obtain non-binding reservation agreements shall be
accompanied by a copy of the proposed form of the non-binding reservation
agreement; and
(4) Every non-binding reservation agreement
shall:
a. Be labeled as such in capital letters at the
top of the agreement; and
b. Include the following disclosures to the
prospective purchaser:
1. That the agreement is in no way binding on
the prospective purchaser and may be canceled without penalty at the sole
discretion of the prospective purchaser by written notice, hand delivered or
sent by United States mail, return receipt requested, to the subdivider or to
any agent of the subdivider at any time prior to the formation of the contract
for the sale or lease of any lot, parcel, unit, or interest;
2. That the subdivision is not yet registered by
the New Hampshire attorney general’s office, and until such registration is
ordered, no binding contract for sale or lease of any lot, parcel, unit, or
interest may be created;
3. Any deposit made under the agreement shall be
held in escrow and shall be returned by the subdivider no later than 10 days
following receipt of cancellation of the agreement; and
4. The name and address of the escrow agent.
(c) For the purposes
of (b)(4)b.3., above, the escrow agent shall be a person or entity unrelated to
the declarant or any principal thereof and shall hold all escrowed funds within
the state of New Hampshire.
(d) The bureau shall
not, as a matter of course, approve or disapprove the use or form of a
non-binding reservation agreement.
However, in addition to the exercise of any other statutory or common
law authority, the bureau upon determination that any statutory requirement or
rule has not been satisfied with respect to a non-binding reservation
agreement, shall require the subdivider to amend the agreement to conform with
the statutory requirement or rule.
(e) Upon
cancellation of a non-binding reservation agreement, any deposit made in
connection with the agreement shall be returned with interest, unless the
written agreement provides that the interest shall not be returned.
(f) Unless the
subdivider’s right to cancel the agreement or to increase the price is
expressly retained in the written reservation agreement, no subdivider shall
cancel a non-binding reservation agreement , nor shall the purchase price be
increased.
(g) No subdivider
shall state a price in a non-binding reservation agreement with intent to sell
the lot, parcel, unit, or interest at a price other than the stated price.
Source. (See Revision Note at chapter heading for Jus
1300) #9782-A, eff 9-11-10, EXPIRED: 9-11-18
New. #12656, INTERIM, eff
11-1-18, EXPIRED: 4-30-19
New. #12909, eff 10-24-19
(a) No subdivision may be advertised, regardless
of the medium, prior to submission to the bureau of the notice required by Jus
1308.03 unless:
(1) The subdivision is exempt
under RSA 356-A:3, I; or
(2) The subdivision has been
registered or exempted from registration by the bureau.
(b) Unless exempt under RSA 356-A:3, I no
subdivision may be advertised, regardless of the medium, prior to registration
or exemption from registration unless each such advertisement bears in a
conspicuous manner substantially the following statement:
“This subdivision has not yet been registered by the New Hampshire
Attorney General’s Office. Until such
time as registration has been issued, only non-binding reservation agreements
may be accepted.”
(c) No advertisement, regardless of the medium,
shall refer to any improvements or amenities that have not been completed,
unless the advertisement discloses, in a conspicuous manner, the fact that the
improvements or amenities are, as appropriate:
(1) Under construction;
(2) Planned; or
(3) Proposed.
(d) If the subdivider has not promised in an
application for exemption or registration, and included good faith estimates
and financial assurance with regard to completion, that the improvement or
amenity shall be completed, then the advertisement shall state that the
improvements or amenity are proposed.
Source. (See Revision Note at chapter heading for Jus
1300) #9782-A, eff 9-11-10, EXPIRED: 9-11-18
New. #12656, INTERIM, eff
11-1-18, EXPIRED: 4-30-19
New. #12909, eff 10-24-19
Just 1308.05 Interstate
Advertising. A subdivision which is not
located in this state and is not registered in this state and which may be
advertised in out-of-state publications disseminated in this state or through
an out-of-state medium received in this state shall comply with Jus 1308.04 if the offer originates within this state or is
directed by the offeror to a person or place in this state.
Source. (See Revision Note at chapter heading for Jus
1300) #9782-A, eff 9-11-10, EXPIRED: 9-11-18
New. #12656, INTERIM, eff
11-1-18, EXPIRED: 4-30-19
New. #12909, eff 10-24-19
PART Jus 1309 CONTESTED CASES AND PETITIONS FOR
ADMINISTRATIVE ACTION
Jus 1309.01 Administrative Procedures Act.
(a) In responding to
any petition for rule-making or declaratory ruling, and when proceeding in any
contested case under RSA 356-A, the bureau shall comply with the provisions of
RSA 541-A.
(b) To the extent
that RSA 356-A conflicts with RSA 541-A, the bureau shall comply with the
appropriate provisions of RSA 356-A.
Source. (See Revision Note at chapter heading for Jus
1300) #9782-A, eff 9-11-10, EXPIRED: 9-11-18
New. #12656, INTERIM, eff
11-1-18, EXPIRED: 4-30-19
New. #12909, eff 10-24-19
Jus 1309.02 Notice. Written notice of an adjudicative proceeding,
received by prepaid certified mail by a party at least 30 days prior to the
date of the hearing, shall be deemed reasonable.
Source. (See Revision Note at chapter heading for Jus
1300) #9782-A, eff 9-11-10, EXPIRED: 9-11-18
New. #12656, INTERIM, eff
11-1-18, EXPIRED: 4-30-19
New. #12909, eff 10-24-19
Jus 1309.03 Presiding Officer. The presiding officer at an adjudicatory
hearing conducted under RSA 356-A shall be the senior assistant attorney
general in charge of the bureau or any person designated by him.
Source. (See Revision Note at chapter heading for Jus
1300) #9782-A, eff 9-11-10, EXPIRED: 9-11-18
New. #12656, INTERIM, eff
11-1-18, EXPIRED: 4-30-19
New. #12909, eff 10-24-19
PART Jus 1310 AFFIRMATION OF COMPLETE APPLICATION
Jus
1310.01 Cover Sheet Required For All
Applications
(a) All applications for exemption or
registration submitted to the bureau pursuant to these rules shall be
accompanied by a cover sheet affirming that the application submitted is
complete.
(b) The applicant shall complete and submit an
“Affirmation of Complete Application,” Form CPLS001, (August, 2019), which
shall be signed by the applicant if a natural person, or, if the applicant is a
legally organized entity, by an officer or principal of the applicant
authorized to sign such affirmation.
(c) If an applicant fails to submit Form CPLS001
(August, 2019) with an application, or fails to respond affirmatively to all
certifications requested in a submitted Form CPLS001 (August, 2019), the bureau
shall immediately return the application to the applicant as incomplete,
together with all fees submitted therewith.
Source. (See Revision Note at chapter heading for Jus
1300) #9782-A, eff 9-11-10, para (c) EXPIRED: 9-11-18; #9782-B, eff 9-11-10, paras (a) and (b); ss by #12656, INTERIM, eff
11-1-18, EXPIRED: 4-30-19
New. #12909, eff 10-24-19
PART Jus 1311 FORMS
Jus 1311.01 Availability of Forms.
(a) The bureau shall
have available upon request, the following forms at the bureau’s office located
at 33 Capitol Street, Concord, New Hampshire 03301 (Telephone number
603-271-3641):
(1) Form CPLS100, “Comprehensive Application for
Registration”;
(2) Form CPLS110, “Abbreviated Application for
Registration”;
(3) Form CPLS121, “Application for Urban Single
Family Residence and Duplex Exemption”;
(4) Form CPLS122, “Application for Fifty-Lot
Exemption”;
(5) Form CPLS170, “Principal’s Background
Statement”;
(6) Form CPLS200, “Annual Report for
Subdivision”; and
(7) Form CPLS001, “Affirmation of complete
application”.
(b) The above forms
shall be available online at http://www.doj.nh.gov/consumer/land_
condo.html.
(c) The use of exact
copies or exact facsimiles prepared by the subdivider of the forms described in
paragraph Jus 1311.01(a) shall be permitted.
(d) All documents
submitted to the bureau in connection with any application for exemption or
registration, including all forms, or copies or facsimiles thereof, and all
exhibits and appendices to such forms, shall be on 8 ½” x 11” paper except that
subdivision site plans and any floor plans or other construction plans may be
submitted in larger format, provided such plans are folded as nearly as
practicable to those dimensions.
Source. (See Revision Note at chapter heading for Jus
1300) #9782-A, eff 9-11-10, paras (a), (b), and (c) EXPIRED:
9-11-18; #9782-B, eff 9-11-10, para (d);
ss by #12656, INTERIM, eff 11-1-18, EXPIRED: 4-30-19
New. #12909, eff 10-24-19
Appendix
|
Rule Number |
State Statute Implemented |
|
|
|
Jus 1301.01 - 1301.07
|
RSA
356-A:1
|
|
Jus 1302.01 - 1302.03 |
RSA 356-A:5, VII |
|
Jus 1302.04 - 1302.05 |
RSA 356-A:3, II |
|
Jus 1303.01 - 1303.05 |
RSA 356-A:3; RSA 356-A:5, III |
|
Jus 1304.01 - 1304.06 |
RSA 356-A:3 |
|
Jus 1304.07 - 1304.08 |
RSA 356-A:3, II |
|
Jus 1304.09 |
RSA 356-A:3; RSA 356-A:8 |
|
Jus 1304.10 – 1304.13 |
RSA 356-A:3 |
|
Jus 1304.14 |
RSA 356-A:6, I(o) |
|
Jus 1304.15 |
RSA 356-A:8, III |
|
Jus 1305.01 |
RSA 356-A:3 |
|
Jus 1305.02 |
RSA 356-A:4 |
|
Jus 1305.03 |
RSA 356-A:13 |
|
Jus 1306.01 |
RSA 356-A:3 |
|
Jus 1306.02 |
RSA 356-A:2 |
|
Jus 1306.03 - 1306.11 |
RSA 356-A:5 |
|
Jus 1306.12 |
RSA 356-A:5, II |
|
Jus 1306.13 |
RSA 356-A:5, II; RSA 356-A:8, III |
|
Jus 1306.14 - 1306.15 |
RSA
356-A:5, V, VII |
|
Jus 1306.16 |
RSA 356-A:8, I |
|
Jus 1306.17 |
RSA 356-A:9 |
|
Jus 1306.18 |
RSA 356-A:1, V; RSA 356-A:8, V |
|
Jus 1306.19 |
RSA 356-A:5 |
|
Jus 1306.20 |
RSA 356-A:4, I; RSA 356-A:10, V |
|
Jus 1307.01 - 1307.05 |
RSA 356-A:6 |
|
Jus 1308.01 - 1308.02 |
RSA 356-A:4, IV |
|
Jus 1308.03 |
RSA-356-A:6, II |
|
Jus 1308.04 - 1308.05 |
RSA 356-A:4; RSA 356-A:17 |
|
Jus 1309.01 - 1309.03 |
RSA 356-A:11; RSA 541-A |
|
Jus 1310.01 |
RSA 356-A:5, I |
|
Jus 1311.01 |
RSA 356-A:2; RSA 356-A:5, I |