Florida Community Association Manager Practice Exam

What can a timeshare developer not avoid according to Florida laws?

1. Sales tax on transactions

2. Developer disclosure prior to sale

3. Building code compliance

4. Annual maintenance assessments

The correct answer is: Developer disclosure prior to sale

In Florida, timeshare developers are required by law to provide a developer disclosure prior to the sale of any timeshare interests. This requirement is in place to ensure that potential buyers are fully informed about the specifics of the timeshare property, including details such as the nature of the ownership interest, the terms of use, costs, and other essential information about the timeshare agreement. The law is designed to protect consumers by ensuring they have all the pertinent information needed to make informed decisions before purchasing. This disclosure helps potential buyers understand their obligations and rights related to the timeshare, thus promoting transparency and fair dealing in the real estate market. While the other options may involve obligations or liabilities that the developer must manage, they represent varying degrees of regulatory compliance or fiscal responsibility that do not have the same consumer protection focus as the requirement for developer disclosure. Building code compliance ensures safety and structural integrity but does not directly inform the buyer about the specifics of their investment. Sales tax is a financial obligation, and annual maintenance assessments are part of ongoing costs that can be disclosed, but neither of these is as critical to the consumer's decision-making process as the initial disclosure of the timeshare details.