§ 557B.8 — Disclosures to purchasers

Iowa § 557B.8

• Jurisdiction: Iowa
• Title XIV: PROPERTY
• Ch. 557B: MEMBERSHIP CAMPGROUNDS

Text

1. A membership camping operator who is subject to the registration requirements of
section 557B.3 shall provide a disclosure statement to a purchaser or prospective purchaser
before the person signs a membership camping contract or gives any money or thing of value
for the purchase of a membership camping contract.
2. Thefrontcoverorfirstpageofthedisclosurestatementshallcontainonlythefollowing,
in the order stated:
a. “MEMBERSHIP CAMPING OPERATOR’S DISCLOSURE STATEMENT” printed at the
top in boldface type of a minimum size of ten points.
b. The name and principal business address of the membership camping operator and
any material affiliate of the membership camping operator.
c. A statement that the membership camping operator is in the business of offering for
sale membership camping contracts.
d. A statement, printed in boldface type of a minimum size of ten points, which reads as
follows:
This disclosure statement contains important matters to be
consideredintheexecutionofamembershipcampingcontract. The
membership camping operator is required by law to deliver to you a
copy of this disclosure statement before you execute a membership
camping contract. The statements contained in this document are
only summary in nature. You as a prospective purchaser should
review all references, exhibits, contract documents, and sales
materials. You should not rely upon any oral representations as
being correct. Refer to this document and to the accompanying
exhibits for correct representations. The membership camping
operator is prohibited from making any representations which
conflict with those contained in the contract and this disclosure
statement.
e. A statement, printed in boldface type of a minimum size of ten points, which reads as
follows:
If you execute a membership camping contract, you have the
unqualified right to cancel the contract. This right of cancellation
cannot be waived. The right to cancel expires at midnight on
the third business day following the date on which the contract
was executed or the date of receipt of this disclosure statement,
whichever event occurs later. To cancel the membership camping
contract, you as the purchaser must hand deliver or mail notice
of your intent to cancel to the membership camping operator at
the address shown in the membership camping contract, postage
prepaid. The membership camping operator is required by law to
return all moneys paid by you in connection with the execution of
the membership camping contract, upon your proper and timely
cancellation of the contract and return of all membership and
reciprocal use program materials furnished at the time of purchase.
3. The following pages of the disclosure statement shall contain all of the following in the
order stated:
§557B.8, MEMBERSHIP CAMPGROUNDS 6
a. The name, principal occupation, and address of every director, partner, or controlling
person of the membership camping operator.
b. A brief description of the nature of the purchaser’s right or license to use the
campground and the facilities which are to be available for use by purchasers.
c. A brief description of the membership camping operator’s experience in the
membership camping business, including the length of time the operator has been in the
membership camping business.
d. The location of each of the campgrounds which is to be available for use by purchasers
and a brief description of the facilities at each campground which are currently available for
use by purchasers. Facilities which are planned, incomplete, or not yet available for use shall
be clearly identified as incomplete or unavailable. A brief description of any facilities that are
or will be available to nonpurchasers shall also be provided. The description shall include,
but need not be limited to, the number of campsites in each park, the number of campsites in
each park with full or partial hookups, swimming pools, tennis courts, recreation buildings,
restrooms and showers, laundry rooms, trading posts, and grocery stores.
e. The fees and charges that purchasers are or may be required to pay for the use of the
campground or any facilities.
f. Any initial or special fee due from the purchaser, together with a description of the
purpose and method of calculating the fee.
g. The extent to which financial arrangements, if any, have been provided for the
completion of facilities, together with a statement of the membership camping operator’s
obligation to complete planned facilities. The statement shall include a description of any
restrictions or limitations on the membership camping operator’s obligation to begin or to
complete the facilities.
h. The names of the managing entity, if any, and the significant terms of any management
contract, including but not limited to, the circumstances under which the membership
camping operator may terminate the management contract.
i. A summary or copy, whether by way of supplement or otherwise, of the rules,
restrictions, or covenants regulating the purchaser’s use of the campground and the facilities
which are to be available for use by the purchaser, including a statement of whether and
how the rules, restrictions, or covenants may be changed.
j. A brief description of the policies covering the availability of camping sites, the
availability of reservations and the conditions under which they are made.
k. A brief description of any grounds for forfeiture of a purchaser’s membership camping
contract.
l. A statement of whether the membership camping operator has the right to withdraw
permanentlyfromuse,alloranyportionofanycampgrounddevotedtomembershipcamping
and, if so, the conditions under which the withdrawal is to be permitted.
m. A statement describing the material terms and conditions of any reciprocal program
to be available to the purchaser, including a statement concerning whether the purchaser’s
participation in any reciprocal program is dependent on the continued affiliation of the
membership camping operator with that reciprocal program and whether the membership
camping operator reserves the right to terminate such affiliation.
n. As to all memberships offered by the membership camping operator at each
campground, all of the following:
(1) The form of membership offered.
(2) The types of duration of membership along with a summary of the major privileges,
restrictions, and limitations applicable to each type.
(3) Provisions that have been made for public utilities at each campsite including water,
electricity, telephone, and sewage facilities.
o. A statement of the assistance, if any, that the membership camping operator will
provide to the purchaser in the resale of membership camping contracts and a detailed
description of how any such resale program is operated.
p. The following statement, printed in boldface type of a minimum size of ten points:
7 MEMBERSHIP CAMPGROUNDS, §557B.10
Registration of the membership camping operator with the Iowa
attorney general does not constitute an approval or endorsement
by the attorney general of the membership camping operator, the
membership camping contract, or the campground.
4. The membership camping operator shall promptly amend the disclosure statement to
reflect any material change and shall promptly file any such amendments with the attorney
general.