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Delaware Code (Titles 8, 9, 25, 30)

25 Del. C. § 81-402

Liability for public offering statement requirements

Official textdelcode.delaware.gov

# (a)

Except as provided in subsection (b) of this section, a declarant, before offering any interest in a unit to the public, shall prepare a public offering statement conforming to the requirements of §§ 81-403, 81-404, 81-405, and 81-406 of this title.

# (b)

A declarant may transfer responsibility for preparation of all or a part of the public offering statement to a successor declarant or to a dealer who intends to offer units in the common interest community. In the event of any such transfer, the transferor shall provide the transferee with any information necessary to enable the transferee to fulfill the requirements of subsection (a) of this section. In addition and anything to the contrary in this chapter notwithstanding, a declarant shall not be required to prepare or provide a public offering statement under this subchapter IV of this chapter with respect to any contract for a unit executed by the declarant with a purchaser of such unit prior to the effective date.

# (c)

Any declarant or dealer who offers a unit to a purchaser shall deliver a public offering statement in the manner prescribed in § 81-408(a) of this title. The person who prepared all or a part of the public offering statement is liable under §§ 81-408 and 81-417 of this title for any false or misleading statement set forth therein or for any omission of a material fact therefrom with respect to that portion of the public offering statement which the person prepared. If a declarant did not prepare any part of a public offering statement that the declarant delivers, the declarant is not liable for any false or misleading statement set forth therein or for any omission of a material fact therefrom unless the declarant had actual knowledge of the statement or omission or, in the exercise of reasonable care, should have known of the statement or omission.

# (d)

If a unit is part of a common interest community and is part of any other real estate regime in connection with the sale of which the delivery of a public offering statement is required under the laws of this State, a single public offering statement conforming to the requirements of §§ 81-403, 81-404, 81-405, and 81-406 of this title as those requirements relate to each regime in which the unit is located, and to any other requirements imposed under the laws of this State, may be prepared and delivered in lieu of providing 2 or more public offering statements.

Amendment history

76 Del. Laws, c. 422, § 2; 77 Del. Laws, c. 4, § 14; 77 Del. Laws, c. 91, § 82

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In this title (40 sections)
  1. 25-81-308A · Executive board meeting
  2. 25-81-309 · Quorums
  3. 25-81-310 · Voting; proxies
  4. 25-81-311 · Tort and contract liability; tolling of limitation period
  5. 25-81-312 · Conveyance or encumbrance of common elements
  6. 25-81-313 · Insurance
  7. 25-81-314 · Surplus funds
  8. 25-81-315 · Assessments for common expenses
  9. 25-81-316 · Lien for assessments
  10. 25-81-317 · Other liens
  11. 25-81-318 · Association records
  12. 25-81-319 · Association as trustee
  13. 25-81-320 · Rules
  14. 25-81-321 · Litigation involving declarant
  15. 25-81-322 · [Reserved.]
  16. 25-81-323 · Removal of members of executive board
  17. 25-81-324 · Adoption of budget
  18. 25-81-325 · Service on associations and executive board
  19. 25-81-326 · Delaware corporations
  20. 25-81-401 · Applicability; waiver
  21. 25-81-402 · Liability for public offering statement requirements
  22. 25-81-403 · Public offering statement; general provisions
  23. 25-81-404 · Common interest communities subject to development right
  24. 25-81-405 · Time shares
  25. 25-81-406 · Common interest communities containing conversion buildings
  26. 25-81-407 · Common interest community securities
  27. 25-81-408 · Purchaser’s right to cancel
  28. 25-81-409 · Resales of units
  29. 25-81-410 · Escrow of deposits
  30. 25-81-411 · Release of liens
  31. 25-81-412 · Conversion buildings
  32. 25-81-413 · Express warranties of quality
  33. 25-81-414 · Implied warranties of quality
  34. 25-81-415 · Exclusion or modification of implied warranties of quality
  35. 25-81-416 · Statute of limitations for warranties
  36. 25-81-417 · Effect of violations on rights of action; attorneys’ fees
  37. 25-81-418 · Labeling of promotional material
  38. 25-81-419 · Declarant’s obligation to complete and restore
  39. 25-81-420 · Substantial completion of units
  40. 25-81-421 · Amendment to public offering statement
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