Exemptions

(a)The developer shall not be required to prepare and distribute a public offering statement if the developer has registered and there has been issued a public offering statement or similar disclosure document which is provided to purchasers under the following:

(1)Securities and Exchange Act of 1933; COL120106 CH. 47 T IME-SHARE O WNERSHIP

(2)Federal Interstate Land Sales Full Disclosure Act in which the time-share program is made a part of the subdivision that is being registered; or

(3)any other Federal or local act which requires a Federal or local public offering statement or similar disclosure document to be prepared and provided to purchasers.

(b)A public offering statement need not be prepared or delivered in the case of:

(1)any transfer of a time-share interval by any time-share interval owner other than the developer or his agent;

(2)any disposition pursuant to court order;

(3)a disposition by a government or governmental agency;

(4)a disposition by foreclosure or deed in lieu of foreclosure;

(5)a disposition of a time-share interval in a time-share project situated wholly outside this Territory provided that all solicitations, negotiations and contracts took place wholly outside this Territory and the contract was executed wholly outside this Territory;

(6)a gratuitous transfer of a time-share interval; or

(7)group reservations made for fifteen

(15)or more people as a single transaction between a hotel and travel agent or travel groups for hotel accommodations, where deposits are made and held for more than three

(3)years in advance.