NEW YORK — A group of international lawyers has approved a code of conduct for time-share developers, and agreed to lobby for its adoption around the world.
The code was approved by attorneys meeting at the International Bar Assn.'s biennial conference.
The code is designed to protect people who purchase time-shares--blocks of time in condominiums or other vacation homes--from rogue developers.
IBA real estate committee chairman Andrew Primrose said regulating time-shares would boost flagging confidence in the industry.
Primrose, a London-based lawyer, said a minority of developers "use hard-sell techniques and make false promises. The responsible developers are furious about them."
Under the IBA code, time-share agreements would not be binding on purchasers until they had been told their rights under the deal and what additional expenses they would incur, such as maintenance charges.
There would also be a 10-day period during which purchasers could cancel contracts and receive their deposits back without any penalty or deduction.