When purchase money agreement prohibited
- escrow requirements
(1)Unless a lien payment trust is established under ORS 94.890 (Lien payment trust), no timeshare estate shall be sold by a developer by means of a purchase money agreement as defined in ORS 94.890 (Lien payment trust) unless a collection escrow is established within this state with a person or firm authorized to receive escrows under the laws of this state and all of the following are deposited in the escrow:
(a)A copy of the title report or abstract, as it relates to the timeshare estate being sold.
(b)The original or an executed copy of the sales document relating to the purchase of the timeshare estate clearly setting forth the legal description of the interest being purchased, the principal amount of any blanket encumbrance outstanding on the date of the sales document and the terms of the sales document.
(c)A commitment in a form satisfactory to the Real Estate Commissioner to give a partial release for the interest being sold from the terms and provisions of any blanket encumbrance on or before full payment of the purchase price by the purchaser.
(d)A commitment in a form satisfactory to the commissioner to give a release of any other lien or encumbrance existing against the timeshare estate being sold.
(e)A warranty or bargain and sale deed in good and sufficient form conveying to the purchaser merchantable and marketable title to the timeshare estate.
(2)The developer shall submit written authorization allowing the commissioner to inspect any escrow deposit established under subsection (1) of this section.
(3)In lieu of the procedures provided in subsection (1) of this section, the developer shall conform to an alternative requirement or method if the commissioner finds that the alternative requirement or method carries out the intent and provisions of this section. [1983 c.530 §25]
Section 94.871 — When purchase money agreement prohibited; escrow requirements,