USVI Public Records

As used in this title, unless otherwise provided or the context requires a different meaning- "conveyance" includes every instrument in writing except a last will and testament, whatever may be its form and by whatever name it may be known in law, by which any estate or interest in lands is created, aliened, assigned, or surrendered. "estate and interest in lands" includes every interest, freehold, and chattel, legal and equitable, present and future, vested and contingent. "lands" is coextensive in meaning with "lands, tenements, and hereditaments".

Simple An otherwise effective inter vivos or testamentary conveyance of real property transfers the entire interest which the conveyor has and has the power to convey unless an intent to transfer a less interest is effectively manifested. No words of inheritance or other special words such as "heirs" are necessary to create or transfer an estate in fee simple.

A deed of quitclaim and release shall be sufficient to pass all the real estate which the grantor could lawfully convey by a deed of bargain and sale.

A conveyance made by a tenant for life or years purporting to grant a greater estate than he possesses or can lawfully convey does not work a forfeiture of his estate, but passes to the grantee all the estate which such tenant can lawfully convey.

Any act which would be effective as a conveyance inter vivos or as a mortgage or as a testamentary disposition of property when the land or thing other than land is in the possession of the conveyor, is effective as a conveyance of the conveyor's interest therein, when the land or thing other than land is out of the conveyor's possession whether adversely held or not.

(a) If any person by last will devises any real estate to any person for the term of such person's life, and after his death, to his or her children or heirs, or right heirs in fee, such devise shall vest an estate for life only in such devisee, and remainder in fee simple in such children. (b) Where any estate, real or personal, is given by deed or will to any person for his life, and after his death to his heirs, or to the heirs of his body, the conveyance shall be construed to vest an estate for his life only in such person, and a remainder in fee simple in his heirs or the heirs of his body.

Entireties (a) A tenant in common may maintain any proper action or proceeding against the cotenant for receiving more than his joint proportion of the rents or profits of the estate owned by them in common. (b) Every conveyance or devise of lands or an interest therein, except as provided in subsection (c) of this section, made to two or more persons, other than to executors and trustees as such, shall create a tenancy in common in such estate, unless it is expressly declared in the conveyance or devise that the grantees or devisees shall take the land as joint tenants. (c) A conveyance or devise of real property to husband and wife jointly creates an estate by the entirety unless otherwise provided in the deed or will. (d) Upon the divorce or annulment of the marriage of a husband and wife they shall become tenants in common as to any real property then held by them as tenants by the entirety. (e) No entailed estates shall be valid in the Virgin Islands and all provisions of any deed or will creating or attempting to create such estate shall be void.

When there is but one person entitled to inherit he shall take and hold the inheritance solely; when an inheritance or a share of an inheritance descends to several persons they shall, except as otherwise provided in section 7 of this title, take as tenants in common, in proportion to their respective rights.

No covenant shall be implied in any conveyance of real estate, whether such conveyance contains special covenants or not.

A mortgage does not imply a covenant for the payment of the sum thereby intended to be secured. When there is no express covenant for such payment in the mortgage, and no bond or other separate instrument to secure such payment has been given, the remedies of the mortgagee are confined to the property mentioned in the mortgage.

The uninterrupted, exclusive, actual, physical adverse, continuous, notorious possession of real property under claim or color of title for 15 years or more shall be conclusively presumed to give title thereto, except as against the Government.

A conveyance of lands, or of any estate or interest therein, may be made by deed, signed by the person from whom the estate or interest is intended to pass, being of lawful age, or by his lawful agent or attorney and acknowledged or proved, and recorded as directed in this title, without any other act or ceremony.

(a) Deeds executed within the Virgin Islands of lands or any interest in lands therein shall be executed in the presence of two witnesses, who shall subscribe their names to the same as such; and the persons executing such deeds may acknowledge the execution thereof as provided in title 3 Virgin Islands Code, chapter 29. (b) Deeds executed in any State of the United States or in any foreign country may be executed according to the laws of such State or country and the execution thereof may be acknowledged as provided in title 3 Virgin Islands Code, chapter 29. History: Amended Apr. 7, 2022, No. 8542, § 4, Sess. L. 2022, p. 53.

Proof of the execution of any conveyance may be made before any officer authorized to take acknowledgment of deeds and shall be made by a subscribing witness thereto who shall state his own place of residence and that he knows the person described in and who executed the conveyance. Such proof shall not be taken unless the officer is personally acquainted with the subscribing witness or has satisfactory evidence that he is the same person who was a subscribing witness to the instrument.

Conveyance (a) Upon the application to the district court of any grantee, or of any person claiming under him, verified by the oath of the applicant, setting forth that the grantor is dead, out of the Virgin Islands, or refuses to acknowledge his deed, and that any witness to such conveyance refuses to appear and testify touching the execution thereof, and that such conveyance cannot be proved without his evidence, a subpoena may issue requiring such witness to appear and testify before the court touching the execution of such conveyance. (b) Every person duly served with such subpoena who, without reasonable cause, refuses or neglects to appear, or after appearing refuses to answer upon oath touching the matter, shall forfeit to the injured party a sum of not more than $100, and may also be committed to prison as for a contempt of court, there to remain until he submits to answer on oath as aforesaid.

When any grantor is dead, out of the Virgin Islands, or refuses to acknowledge his deed, and all the subscribing witnesses to such deed are also dead or reside out of the Virgin Islands, the deed may be proved before the district court, by proving the handwriting of the grantor and of any subscribing witness thereto.

Whenever the district court takes proof of any conveyance it shall issue a certificate, on the deed, over the signature of the judge thereof and the seal of the court, which shall set forth the things hereinbefore required to be done, known, or proved, together with the names of the witnesses examined, and their places of residence, and the substance of the evidence given by them.

The following are the rules for construing the descriptive part of a conveyance of real property when the construction is doubtful and there are no other sufficient circumstances to determine it: (1) Where there are certain definite and ascertained particulars in the description, the addition of others which are indefinite, unknown, or false does not frustrate the conveyance, but it is to be construed by such particulars, if they constitute a sufficient description to ascertain its application. (2) When permanent and visible or ascertained boundaries or monuments are inconsistent with the measurement, either of lines, angles, or surfaces, the boundaries or monuments are paramount. (3) Between different measurements which are inconsistent with each other that of angles is paramount to that of surfaces and that of lines paramount to both. (4) When a road or stream of water not navigable is the boundary, the rights of the grantor to the middle of the road or the thread of the stream are included in the conveyance, except where the road or bed of the stream is held under another title. (5) When the shoreline is the boundary, the rights of the grantor to the line of mean high tide, subject to the right of the public to make reasonable recreational use of the shoreline, as "shoreline" is defined in section 402 of chapter 10 of Title 12 of this Code, are included in the conveyance. (6) When the description refers to a map, and that reference is inconsistent with other particulars, it controls them, if it appears that the parties acted with reference to the map; otherwise the map is subordinate to other definite and ascertained particulars. History: Amended June 3, 1971, No. 3063, § 3, Sess. L. 1971, p. 227; amended Oct. 31, 1978, No. 4248, § 8, Sess. L. 1978, p. 314.

History: Repealed. Apr. 7, 2022, No. 8542, § 5, Sess. L. 2022, p. 53.

History: Repealed. Apr. 7, 2022, No. 8542, § 5, Sess. L. 2022, p. 53.

History: Repealed. Apr. 7, 2022, No. 8542, § 5, Sess. L. 2022, p. 53.

History: Repealed. Apr. 7, 2022, No. 8542, § 5, Sess. L. 2022, p. 53.

History: Repealed. Apr. 7, 2022, No. 8542, § 5, Sess. L. 2022, p. 53.

History: Repealed. Apr. 7, 2022, No. 8542, § 5, Sess. L. 2022, p. 53.

History: Repealed. Apr. 7, 2022, No. 8542, § 5, Sess. L. 2022, p. 53.

History: Repealed. Apr. 7, 2022, No. 8542, § 5, Sess. L. 2022, p. 53.

History: Repealed. Apr. 7, 2022, No. 8542, § 5, Sess. L. 2022, p. 53.

History: Repealed. Apr. 7, 2022, No. 8542, § 5, Sess. L. 2022, p. 53.

History: Repealed. Apr. 7, 2022, No. 8542, § 5, Sess. L. 2022, p. 53.

History: Repealed. Apr. 7, 2022, No. 8542, § 5, Sess. L. 2022, p. 53.

History: Repealed. Apr. 7, 2022, No. 8542, § 5, Sess. L. 2022, p. 53.

Documents affecting real property, which are required or permitted to be recorded, shall be recorded in the office of the recorder of deeds in the judicial division in which the property is located. If a document affects real property located in both judicial divisions, it shall be recorded in both offices. No deed shall be recorded by the recorder of deeds unless proof, in writing, is submitted that all property taxes due relative to the real property being conveyed have been paid. Such proof shall be obtained from the Department of Finance for a fee of twenty-five dollars ($25.00). History: Amended May 14, 1985, No. 5060, § 113(d), Sess. L. 1985, p. 32; Nov. 13, 1991, No. 5753, Sess. L. 1991, p. 227; Apr. 12, 1999, No. 6278, § 3, Sess. L. 1999, p. 6.

Every conveyance acknowledged or proved or certified by the district court as prescribed in chapter 3 of this title shall be entitled to be recorded in the office of the recorder of deeds; but such instrument, if not acknowledged, proved, or certified, shall not be recorded by the recorder of deeds.

The recorder of deeds shall certify upon each conveyance recorded by him the time when it was received and the reference to the book and the page where it is recorded. Every conveyance shall be considered as recorded at the time it was so received.

Purchaser Every conveyance of real property hereafter made within the Virgin Islands which is not filed for record shall be void against any subsequent innocent purchaser in good faith and for a valuable consideration of the same real property, or any portion thereof, whose conveyance is first duly recorded.

When a deed purports to be an absolute conveyance in terms, but is made or intended to be made defeasible by force of a deed of defeasance or other instrument for that purpose, the original conveyance shall not be thereby defeated or affected as against any person other than the maker of the defeasance, or his heirs or devisees, of persons having actual notice thereof, unless the instrument of defeasance is recorded in the office of the recorder of deeds.

The recording of the assignment of a mortgage shall not in itself be deemed notice of such assignment to the mortgagor, his heirs or personal representatives, so as to invalidate any payment made by them or either of them to the mortgagee.

(a) A mortgage may be discharged upon the record thereof by the recorder in whose custody it shall be whenever there shall be presented to him a certificate executed by the mortgagee, his personal representatives or assigns, acknowledged or proved and certified as prescribed in chapter 3 of this title to entitle a conveyance to be recorded, specifying that the mortgage has been paid or otherwise satisfied or discharged. (b) Every such certificate and the proof or acknowledgment thereof shall be recorded at full length, and a reference shall be made to the book and page containing such record in the minute of the discharge of such mortgage made by the recorder upon the record thereof.

If any mortgagee or his personal representative or assignee, as the case may be, after full performance of the condition of the mortgage, whether before or after a breach thereof, for the space of ten days after being thereto requested in writing, and after tender of his reasonable charges, refuses or neglects to execute and acknowledge a certificate of discharge or release thereof, he shall be liable to the mortgagor, his heirs or assigns, in a sum of not to exceed one hundred dollars damages, and also for actual damages occasioned by such neglect or refusal, to be recovered in an action.

Every letter of attorney or other instrument containing a power to convey lands as agent or attorney for the owner of such lands, and every executory contract for the sale or purchase of lands when acknowledged or proved in the manner prescribed in this title for the acknowledgment or proof of conveyances, may be recorded in the recorder's office.

Notices of pending actions affecting title to real estate, and judgments of courts in the Virgin Islands requiring the execution of a conveyance of real estate within the Virgin Islands, shall be entitled to be recorded in the office of the recorder in like manner and with like effect as conveyances of land duly acknowledged, proved, or certified.

(a) All conveyances of real property heretofore made and acknowledged or proved in accordance with the laws of the Virgin Islands in force at the time of such making and acknowledgment or proof shall be recorded in the same manner and with like effect as conveyances executed and acknowledged in pursuance of the provisions of this title. (b) All deeds to real property heretofore executed in accordance with the laws in force at the time of execution which shall have been signed by the grantors in due form shall be sufficient in law to convey the legal title to the premises therein described from the grantors to the grantees without any other execution or acknowledgment whatever; and such deeds so executed shall be evidence of the title to the lands therein described against the grantors, their heirs and assigns.

(a) Documents acknowledged or proved or certified as provided in sections 122, 129, and 131 of this title shall be admissible in evidence in any court in the Virgin Islands without further proof thereof. (b) The record of any document in the office of the recorder of deeds, or a copy of such record, shall be admissible in evidence in any court in the Virgin Islands as provided in sections 932(17), 932(19), 952, and 954 of Title 5.

(a) The following fees shall be paid for the recording of deeds, mortgages, contracts, etc.- (1) not more than $400.................... $11.00 (2) more than $400 and not more than $600.................... 12.00 (3) more than $600 and not more than $1,000.................... 13.00 (4) more than $1,000 and not more than $2,000.................... 14.00 (5) more than $2,000 and not more than $3,000.................... 15.00 (6) for each additional $1,000.................... 1.00 (b) For contracts of lease, rent of real property, and delivering of cane, etc., the value shall be calculated as one year's rental amount. For reservation of use and benefit of real property, the fee shall be calculated upon one year's value. (c) For recording documents to which the rules stated in subsections (a) and (b) of this section do not apply, the fee shall be $25.00: Provided, That, for judicial documents wherein title to property is transferred, the fee shall be based on the assessed value of the property. (d) In addition to the recording fees, a fee shall be paid for entering the documents in the records, for each sheet of 400 words or less, in the amount of $1.00 for the English language and $1.25 for any other language. (e) For attached documents, the recording fee shall be $2.50, plus $1.00 the fee for entering the attached document provided in subsection (d) of this section. (f) For annotations from the records regarding encumbrances on the property or the want of title for the drawer of the instrument to dispose of the property, or of other things which serve to decide the value and validity of the instrument, the fee shall be one-half of the recording fee, but not exceeding $7.00. When the annotation can be rescinded the fee shall be one-quarter the recording fee, not exceeding $3.00. (g) For a title and encumbrance certificate, the fee shall be $20.00. (h) For the cancellation of instruments, the fee shall be one-fourth of the fee for the recording of such an instrument; for the cancellation of paid installments, the fee shall be one-fourth of the fee for the recording of a mortgage for the same amount; and for the release of mortgages or other documents, the fee shall be one-fourth of the fee for the recording of such a mortgage or other document. (i) All fees under this section shall be paid in advance. These fees do not include the stamp tax. (j) All fees collected pursuant to this section for the recording of mortgages of every kind shall be deposited into the Office of the Recorder of Deeds Fund. (k) (i) The following fees shall be paid for the recording of surveys in the Office of the Tax Assessor: (1) Descriptions $10.00 (2) Maps $10.00 (3) Maps (Sold by Sizes): Registration of New Maps $ 5.00 "F", "G", "E" and "D" $ 5.00 "A", "B", "C", $10.00 (4) Islands Cays $10.00 (5) Water Resource Map $10.00 (6) Sediment Map $10.00 (7) Composite Map $10.00 (8) Official Zoning Map $10.00 (9) City Map $10.00 (10) Island Map $15.00 (11) Official Road Map $15.00 (12) Topography Aerial Map $20.00 (13) Attestation of Deeds Country and Town Property $25.00 Notation Only $15.00 Town Property Requiring Measuring Brief $15.00 Condominium Deeds $15.00 (14) Easements $ 5.00 (15) Coastal Zone Map $20.00 (16) Extract from Records Description $ 5.00 Measure Brief $10.00 Adjacent Ownership Certification (CZM) $25.00 (17) Real Property Tax Fees Tax Clearance Letter $ 5.00 Tax Map $ 2.00 Property Valuation Letter $ 5.00 (ii) The Office of the Lieutenant Governor may, from time to time, amend the fees payable pursuant to subsection (k)(i), as well as establish additional fees related thereto. (l) For Assignments of Mortgage and Leasehold Interest for several properties, the recording fees shall be $25.00 for the document and $4.00 for each property or unit attached; for certified copies, the recording fees shall be $10.00 for the first page and $1.00 for each additional page; for Certificates of Death, the recording fee shall be $25.00. (m) For any service not described in this section, a fee schedule shall be established by the Recorder of Deeds and approved by the Lieutenant Governor. History: Amended July 21, 1993, No. 5878, § 5(a), Sess. L. 1993, p. 142; Aug. 17, 1999, No. 6287, § 10, Sess. L. 1999, p. 44; Dec. 2, 1999, No. 6333, § 22, Sess. L. 1999, p. 198; July 19, 2006, No. 6856, § 19, Sess. L. 2006, p. 146.

(a) The following documents are exempt from recording fees- (1) evidences of indebtedness in the case of loans by the Farm Security Administration and/or the United States Government acting through its agencies; and (2) all written instruments concerning or in any way connected with the Rural Electrification Project in St. Croix. (3) all written instruments conveying interests from or to the United States, or the Virgin Islands of the United States, or any instrumentality thereof; (4) all written instruments described above in subdivision (3) shall also be exempt from payment of fees for boundary attests by the Public Surveyor. (b) The Governor shall endorse on each instrument within subsection (a)(2) of this section a statement that it is free of recording fees by virtue of this section, and such endorsement shall be sufficient to authorize the recorder of deeds to accept the instrument for recording free of charge. History: Amended Mar. 18, 1968, No. 2117, Sess. L. 1968, Pt. I, p. 42.

This chapter may be cited as the Uniform Residential Mortgage Satisfaction Act. History: Added Mar. 1, 2021, No. 8396, § 1, Sess. L. 2020, p. 245.

In this chapter: (a) "Address for giving a notification" means, for the purpose of a particular type of notification, the most recent address provided in a document by the intended recipient of the notification to the person giving the notification, unless the person giving the notification knows of a more accurate address, in which case the term means that address. (b) "Day" means calendar day. (c) "Document" means information that is inscribed on a tangible medium or that is stored in an electronic or other medium and is retrievable in perceivable form. (d) "Electronic" means relating to technology having electrical, digital, magnetic, wireless, optical, electromagnetic, or similar capabilities. (e) "Entitled person" means a person liable for payment or performance of the obligation secured by the real property described in a security instrument, or the landowner. (f) "Good faith" means honesty in fact and the observance of reasonable commercial standards of fair dealing. (g) "Landowner" means a person that, before foreclosure, has the right of redemption in the real property described in a security instrument. The term does not include a person that holds only a lien on the real property. (h) "Notification" means a document containing information required under this chapter and signed by the person required to provide the information. (i) "Payoff amount" means the sum necessary to satisfy a secured obligation. (j) "Payoff statement" means a document containing the information specified in section 142(d). (k) "Person" means an individual, corporation, business trust, estate, trust, partnership, limited liability company, association, joint venture, public corporation, government, or governmental subdivision, agency, or instrumentality, or any other legal or commercial entity. (l) "Recording data" means the date, book, page, and document number that indicate where a document is recorded in the appropriate governmental office under Office of the Lieutenant Governor Division of the Recorder of Deeds. (m) "Residential real property" means real property located in this Territory which is used primarily for personal, family, or household purposes and is improved by one to four dwelling units. (n) "Secured creditor" means a person that holds or is the beneficiary of a security interest or that is authorized both to receive payments on behalf of a person that holds a security interest and to record a satisfaction of the security instrument upon receiving full performance of the secured obligation. The term does not include a trustee under a security instrument. (o) "Secured obligation" means an obligation the payment or performance of which is secured by a security interest. (p) "Security instrument" means an agreement, however denominated, that creates or provides for an interest in residential real property to secure payment or performance of an obligation, whether or not it also creates or provides for a lien on personal property. (q) "Security interest" means an interest in residential real property created by a security instrument. (r) "Sign" means, with present intent to authenticate or adopt a document: (1) to execute or adopt a tangible symbol; or (2) to attach to or logically associate with the document an electronic sound, symbol, or process. (s) "State" means a state of the United States, the District of Columbia, Puerto Rico, the Virgin Islands, or any territory or insular possession subject to the jurisdiction of the United States. (t) "Submit for recording" means to deliver, with required fees and taxes, a document sufficient to be recorded under this chapter, to the Office of the Lieutenant Governor, Division of the Recorder of Deeds. History: Added Mar. 1, 2021, No. 8396, § 1, Sess. L. 2020, p. 245-247.

(a) A person gives a notification by: (1) depositing it with the United States Postal Service with first-class postage paid or with a commercially reasonable delivery service with cost of delivery provided, properly addressed to the recipient's address for giving a notification; (2) sending it by facsimile transmission, electronic mail, or other electronic transmission to the recipient's address for giving a notification, but only if the recipient agreed to receive notification in that manner; or (3) causing it to be received at the address for giving a notification within the time that it would have been received if given pursuant to paragraph (1). (b) A notification is effective: (1) the day after it is deposited with a commercially reasonable delivery service for overnight delivery; (2) three days after it is deposited with the United States Postal Service, first-class mail with postage prepaid, or with a commercially reasonable delivery service for delivery other than by overnight delivery; (3) the day it is given, if given pursuant to subsection (a)(2); or (4) the day it is received, if given by a method other than as provided in subsection (a)(1) or (2). (c) If this chapter or a notification given pursuant to this chapter requires performance on or by a certain day and that day is a Saturday, Sunday, or legal holiday under the laws of this state or the United States, the performance is sufficient if performed on the next day that is not a Saturday, Sunday, or legal holiday. History: Added Mar. 1, 2021, No. 8396, § 1, Sess. L. 2020, p. 247.

(a) In this section, "document of rescission" means a document stating that an identified satisfaction or affidavit of satisfaction of a security instrument was recorded erroneously, the secured obligation remains unsatisfied, and the security instrument remains in force. (b) If a person records a satisfaction or affidavit of satisfaction of a security instrument in error, the person may execute and record a document of rescission. Upon recording, the document rescinds an erroneously recorded satisfaction or affidavit. (c) A recorded document of rescission has no effect on the rights of a person that: (1) acquired an interest in the real property described in a security instrument after the recording of the satisfaction or affidavit of satisfaction of the security instrument and before the recording of the document of rescission; and (2) would otherwise have priority over or take free of the lien created by the security instrument under the Office of the Lieutenant Governor, Division of the Recorder of Deeds. (d) A person that erroneously or wrongfully records a document of rescission is liable to any person injured thereby for the actual damages caused by the recording and reasonable attorney's fees and costs. History: Added Mar. 1, 2021, No. 8396, § 1, Sess. L. 2020, p. 248.

(a) An entitled person, or an agent authorized by an entitled person to request a payoff statement, may give to the secured creditor a notification requesting a payoff statement for a specified payoff date not more than thirty (30) days after the notification is given. The notification must contain: (1) the entitled person's name; (2) if given by a person other than an entitled person, the name of the person giving the notification and a statement that the person is an authorized agent of the entitled person; (3) a direction whether the statement is to be sent to the entitled person or that person's authorized agent; (4) the address to which the creditor must send the statement; and (5) sufficient information to enable the creditor to identify the secured obligation and the real property encumbered by the security interest. (b) If a notification under subsection (a) directs the secured creditor to send the payoff statement to a person identified as an authorized agent of the entitled person, the secured creditor must send the statement to the agent, unless the secured creditor knows that the entitled person has not authorized the request. (c) Within 14 days after the effective date of a notification that complies with subsection (a), the secured creditor shall issue a payoff statement and send it as directed pursuant to subsection (a)(3) in the manner prescribed in section 141b for giving a notification. A secured creditor that sends a payoff statement to the entitled person or the authorized agent may not claim that the notification did not satisfy subsection (a). If the person to whom the notification is given once held an interest in the secured obligation but has since assigned that interest, the person need not send a payoff statement but shall give a notification of the assignment to the person to whom the payoff statement otherwise would have been sent, providing the name and address of the assignee. (d) A payoff statement must contain: (1) the date on which it was prepared and the payoff amount as of that date, including the amount by type of each fee, charge, or other sum included within the payoff amount; and the principal and interest and other charges properly due or secured by the secured obligation and interest in a per-day basis for the unpaid basis; (2) the information reasonably necessary to calculate the payoff amount as of the requested payoff date, including the per diem interest amount; and (3) the payment cutoff time, if any, the address or place where payment must be made, and any limitation as to the authorized method of payment. (e) A payoff statement may contain the amount of any fees authorized under this section not included in the payoff amount. (f) A secured creditor may not qualify a payoff amount or state that it is subject to change before the payoff date unless the payoff statement provides information sufficient to permit the entitled person or the person's authorized agent to request an updated payoff amount at no charge and to obtain that updated payoff amount during the secured creditor's normal business hours on the payoff date or the immediately preceding business day. (g) A secured creditor must provide upon request one payoff statement without charge during any six- month period. A secured creditor may charge a fee of $25 for each additional payoff statement requested during that six-month period. However, a secured creditor may not charge a fee for providing an updated payoff amount under subsection (f) or a corrected payoff statement under section 142a. (h) Unless the security instrument provides otherwise, a secured creditor is not required to send a payoff statement by means other than first-class mail. If the creditor agrees to send a statement by another means, it may charge a reasonable fee for complying with the requested manner of delivery. (i) Except as otherwise provided in section 142c, if a secured creditor to which a notification has been given pursuant to subsection (a) does not send a timely payoff statement that substantially complies with subsection (d), the creditor is liable to the entitled person for any actual damages caused by the failure plus $500, but not punitive damages. A creditor that does not pay the damages provided in this subsection within thirty (30) days after receipt of a notification demanding payment may also be liable for reasonable attorney's fees and costs. History: Added Mar. 1, 2021, No. 8396, § 1, Sess. L. 2020, p. 248-250.

(a) If a secured creditor determines that the payoff amount it provided in a payoff statement was understated, the creditor may send a corrected payoff statement. If the entitled person or the person's authorized agent receives and has a reasonable opportunity to act upon a corrected payoff statement before making payment, the corrected statement supersedes an earlier statement. (b) A secured creditor that sends a payoff statement containing an understated payoff amount may not deny the accuracy of the payoff amount as against any person that reasonably and detrimentally relies upon the understated payoff amount. (c) This chapter does not: (1) affect the right of a secured creditor to recover any sum that it did not include in a payoff amount from any person liable for payment of the secured obligation; or (2) limit any claim or defense that a person liable for payment of a secured obligation may have under law other than this chapter. History: Added Mar. 1, 2021, No. 8396, § 1, Sess. L. 2020, p. 250.

For Failure (a) A secured creditor shall submit for recording a satisfaction of a security instrument within thirty (30) days after the creditor receives full payment or performance of the secured obligation and shall send a copy of the recorded satisfaction of a security instrument to the landowner or landowner's agent within 60 days after the creditor receives full payment or performance of the secured obligation. If a security instrument secures a line of credit or future advances, the secured obligation is fully performed only if, in addition to full payment, the secured creditor has received a notification requesting the creditor to terminate the line of credit or containing a statement sufficient to terminate the effectiveness of the provision for future advances in the security instrument. (b) Except as otherwise provided in section 142c, a secured creditor that is required to submit a satisfaction of a security instrument for recording and does not do so by the end of the period specified in subsection (a) is liable to the landowner for any actual damages caused by the failure, but not punitive damages. (c) Except as otherwise provided in subsection (d) and in section 142c, a secured creditor that is required to submit a satisfaction of a security instrument for recording and does not do so by the end of the period specified in subsection (a) is also liable to the landowner for $500 and any reasonable attorney's fees and court costs incurred if, after the expiration of the period specified in subsection (a): (1) the landowner gives the creditor a notification, by any method authorized by section 141b that provides proof of receipt, demanding that the creditor submit a satisfaction for recording; and (2) the creditor does not submit a satisfaction for recording within 30 days after receipt of the notification. (d) Subsection (c) does not apply if the secured creditor received full payment or performance of the secured obligation before the effective date of this chapter. History: Added Mar. 1, 2021, No. 8396, § 1, Sess. L. 2020, p. 250, 251.

A secured creditor is not liable under this chapter if it: (1) established a reasonable procedure to achieve compliance with its obligations under this chapter; (2) complied with that procedure in good faith; and (3) was unable to comply with its obligations because of circumstances beyond its control. History: Added Mar. 1, 2021, No. 8396, § 1, Sess. L. 2020, p. 251.

Satisfaction Agents (a) In this article, "title insurance company" means an organization authorized to conduct the business of insuring titles to real property in this state. (b) The following may serve as a satisfaction agent under this article: (1) a title insurance company, acting directly or through an agent authorized to sign and submit for recording an affidavit of satisfaction; or (2) an attorney licensed to practice law in this state and in good standing. (c) The Office of the Lieutenant Governor and the Banking Board may establish registration, bonding, and other standards for conducting business as a satisfaction agent. History: Added Mar. 1, 2021, No. 8396, § 1, Sess. L. 2020, p. 251, 252.

(a) If a secured creditor has not submitted for recording a satisfaction of a security instrument within the period specified in section 142b(a), a satisfaction agent acting for and with authority from the landowner may give the secured creditor a notification that the satisfaction agent intends to submit for recording an affidavit of satisfaction of the security instrument. The notification must include: (1) the identity and mailing address of the satisfaction agent; (2) identification of the security instrument for which a recorded satisfaction is sought, including the names of the original parties to, and the recording data for, the security instrument; (3) a statement that the satisfaction agent has reasonable grounds to believe that: (A) the real property described in the security instrument is residential real property; (B) the person to which the notification is being given is the secured creditor; and (C) the secured creditor has received full payment or performance of the secured obligation; (4) a statement that a satisfaction of the security instrument does not appear of record; and (5) a statement that the satisfaction agent, acting with the authorization of the owner of the real property described in the security instrument, intends to sign and submit for recording an affidavit of satisfaction of the security instrument unless, within thirty (30) days after the effective date of the notification: (A) the secured creditor submits a satisfaction of the security instrument for recording; (B) the satisfaction agent receives from the secured creditor a notification stating that the secured obligation remains unsatisfied; or (C) the satisfaction agent receives from the secured creditor a notification stating that the secured creditor has assigned the security instrument and identifying the name and address of the assignee. (b) A notification under subsection (a) must be sent by a method authorized by section 141b that provides proof of receipt to the secured creditor's address for giving a notification for the purpose of requesting a payoff statement or, if the satisfaction agent cannot ascertain that address, to the secured creditor's address for notification for any other purpose. (c) This chapter does not require a person to agree to serve as a satisfaction agent. History: Added Mar. 1, 2021, No. 8396, § 1, Sess. L. 2020, p. 252, 253.

(a) Subject to subsections (b) and (c), a satisfaction agent may sign and submit for recording an affidavit of satisfaction of a security instrument complying with section 143c if: (1) the secured creditor has not, to the knowledge of the satisfaction agent, submitted for recording a satisfaction of a security instrument within thirty (30) days after the effective date of a notification complying with section 143a(a); or (2) the secured creditor authorizes the satisfaction agent to do so. (b) A satisfaction agent may not sign and submit for recording an affidavit of satisfaction of a security instrument if it has received a notification under section 143a(a)(5)(B) stating that the secured obligation remains unsatisfied. (c) If a satisfaction agent receives a notification under section 143a(a)(5)(C) stating that the security instrument has been assigned, the satisfaction agent may not submit for recording an affidavit of satisfaction of the security instrument without: (1) giving a notification of intent to submit for recording an affidavit of satisfaction to the identified assignee at the identified address; and (2) complying with section 143a with respect to the identified assignee. History: Added Mar. 1, 2021, No. 8396, § 1, Sess. L. 2020, p. 253.

An affidavit of satisfaction of a security instrument must: (1) identify the original parties to the security instrument, the secured creditor, the recording data for the security instrument, and, if necessary for proper indexing of the affidavit, a legal description of the real property identified in the security instrument; (2) state the basis upon which the person signing the affidavit is a satisfaction agent; (3) state that the person signing the affidavit has reasonable grounds to believe that the real property described in the security instrument is residential real property; (4) state that the person signing the affidavit has reasonable grounds to believe that the secured creditor has received full payment or performance of the secured obligation; (5) state that the person signing the affidavit, acting with the authority of the owner of the real property described in the security instrument, gave notification to the secured creditor of its intention to sign and submit for recording an affidavit of satisfaction; (6) describe the method by which the person signing the affidavit gave notification in compliance with this chapter; (7) state that: (A) more than thirty (30) days have elapsed since the effective date of that notification, and the person signing the affidavit has no knowledge that the secured creditor has submitted a satisfaction for recording and has not received a notification that the secured obligation remains unsatisfied; or (B) the secured creditor authorized the person signing the affidavit to sign and record an affidavit of satisfaction; and (8) be signed and acknowledged as required by law for a conveyance of an interest in real property. History: Added Mar. 1, 2021, No. 8396, § 1, Sess. L. 2020, p. 253, 254.

No particular phrasing of an affidavit of satisfaction is required. The following form of affidavit, when properly completed, is sufficient to satisfy the requirements of section 143c(a). _____________________________________. (Date of Affidavit) AFFIDAVIT OF SATISFACTION The undersigned hereby states as follows: 1. I am: [check appropriate box] [] an officer or a duly appointed agent of [Name of title insurance company] (the "Company"), which is authorized to transact the business of insuring titles to interests in real property in this state, and I have been authorized by the Company to sign and submit for recording an affidavit of satisfaction. [] an attorney licensed to practice law in this state and in good standing. 2. I am signing this Affidavit of Satisfaction to evidence full payment or performance of the obligations secured by real property covered by the following security instrument (the "security instrument") currently held by __________ (the "secured creditor"): Title of security instrument: Original parties to security instrument: County and state of recording: Recording data for security instrument: [Legal description, if necessary for proper indexing:] 3. I have reasonable grounds to believe that: a. the secured creditor has received full payment or performance of the balance of the obligations secured by the security instrument; and b. the real property described in the security instrument constitutes residential real property. 4. With the authorization of the owner of the real property described in the security instrument, I gave notification to the secured creditor by [method authorized by section 103 that provides proof of receipt] that I would sign and record an affidavit of satisfaction of the security instrument if, within 30 days after the effective date of the notification, the secured creditor did not submit a satisfaction of the security interest for recording or give notification that the secured obligation remains unsatisfied. 5. [check appropriate box] [] The 30-day period identified in paragraph paragraph 4ed, I have no knowledge that the secured creditor has submitted a satisfaction for recording, and I have not received notification that the secured obligation remains unsatisfied. [] The secured creditor responded to the notification in paragraph 4 by authorizing me to execute and record this affidavit of satisfaction. _____________________________________. (Signature of Satisfaction Agent) (Notarization) History: Added Mar. 1, 2021, No. 8396, § 1, Sess. L. 2020, p. 255, 256.

(a) Upon recording, an affidavit substantially complying with the requirements of section 143c constitutes a satisfaction of the security instrument described in the affidavit. (b) The recording of an affidavit of satisfaction of a security instrument does not by itself extinguish any liability of a person for payment or performance of the secured obligation. (c) The Office of the Lieutenant Governor, Division of the Recorder of Deeds may not refuse to accept for recording an affidavit of satisfaction of a security instrument unless: (1) an amount equal to or greater than the applicable recording fees and taxes is not tendered; (2) the affidavit is submitted by a method or in a medium not authorized by the Office of the Lieutenant Governor or the Recorder of Deeds; or (3) the affidavit is not signed by the satisfaction agent and acknowledged as required by law for a conveyance of an interest in real property. History: Added Mar. 1, 2021, No. 8396, § 1, Sess. L. 2020, p. 256.

(a) Except as otherwise provided in subsection (b), a satisfaction agent that records an affidavit of satisfaction of a security instrument erroneously or with knowledge that the statements contained in the affidavit are false is liable to the secured creditor for any actual damages caused by the recording and reasonable attorney's fees and costs. (b) A satisfaction agent that records an affidavit of satisfaction of a security instrument erroneously is not liable if the agent properly complied with this article and the secured creditor did not respond in a timely manner to the notification pursuant to section 143a(a)(5). (c) If a satisfaction agent records an affidavit of satisfaction of a security instrument with knowledge that the statements contained in the affidavit are false, this section does not preclude: (1) a court from awarding punitive damages on account of the conduct; (2) the secured creditor from proceeding against the satisfaction agent under law of this state other than this chapter; or (3) the enforcement of any criminal statute prohibiting the conduct. History: Added Mar. 1, 2021, No. 8396, § 1, Sess. L. 2020, p. 256, 257.

In applying and construing this uniform act, consideration must be given to the need to promote uniformity of the law with respect to its subject matter among states that enact it. History: Added Mar. 1, 2021, No. 8396, § 1, Sess. L. 2020, p. 257.

Commerce Act This chapter modifies, limits, and supersedes the federal Electronic Signatures in Global and National Commerce Act (15 U.S.C. §7001 et seq.) but does not modify, limit, or supersede section 101(c) of that act (15 U.S.C. §7001(c)) or authorize electronic delivery of any of the notices described in section 103(b) of that Act (15 U.S.C. §7003(b)). History: Added Mar. 1, 2021, No. 8396, § 1, Sess. L. 2020, p. 257.

This chapter may be cited as the Virgin Islands Uniform Real Property Electronic Recording Act. History: Added Oct. 1, 2010, No. 7142, § 1, Sess. L. 2009, p. 303.

In this chapter: (1) "Document" means information that is: (A) inscribed on a tangible medium or that is stored in an electronic or other medium and is retrievable in perceivable form; and (B) eligible to be recorded in the land records maintained by the Recorder of Deeds. (2) "Electronic" means relating to technology having electrical, digital, magnetic, wireless, optical, electromagnetic, or similar capabilities. (3) "Electronic document" means a document that is received by the [recorder] in an electronic form. (4) "Electronic signature" means an electronic sound, symbol, or process attached to or logically associated with a document and executed or adopted by a person with the intent to sign the document. (5) "Person" means an individual, corporation, business trust, estate, trust, partnership, limited liability company, association, joint venture, public corporation, government, or governmental subdivision, agency, or instrumentality, or any other legal or commercial entity. (6) "Recorder" means the Office of the Recorder of Deeds in both the judicial division of St. Thomas and St. John and the judicial division of St. Croix in the Office of the Lieutenant Governor or successor office. (7) "State" means a state of the United States, the District of Columbia, Puerto Rico, the Virgin Islands, or any territory or insular possession subject to the jurisdiction of the United States. History: Added Oct. 1, 2010, No. 7142, § 1, Sess. L. 2009, pp. 303, 304.

(a) If a law requires, as a condition for recording, that a document be an original, be on paper or another tangible medium, or be in writing, the requirement is satisfied by an electronic document satisfying this chapter. (b) If a law requires, as a condition for recording, that a document be signed, the requirement is satisfied by an electronic signature. (c) A requirement that a document or a signature associated with a document be notarized, acknowledged, verified, witnessed, or made under oath is satisfied if the electronic signature of the person authorized to perform that act, and all other information required to be included, is attached to or logically associated with the document or signature. A physical or electronic image of a stamp, impression, or seal need not accompany an electronic signature. History: Added Oct. 1, 2010, No. 7142, § 1, Sess. L. 2009, pp. 304, 305.

(a) In this section, "paper document means a document that is received by the Recorder in a form that is not electronic. (b) A Recorder: (1) who implements any of the functions listed in this section shall do so in compliance with standards established by the Lieutenant Governor (2) may receive, index, store, archive, and transmit electronic documents. (3) may provide for access to, and for search and retrieval of, documents and information by electronic means. (4) who accepts electronic documents for recording shall continue to accept paper documents as authorized by chapter 7 of this title and shalchapter 7ntries for both types of documents in the same index. (5) may convert paper documents accepted for recording into electronic form. (6) may convert into electronic form information recorded before the [recorder] Recorder began to record electronic documents. (7) may accept electronically any fee or tax that the Recorder is authorized to collect. (8) may agree with other officials of a state or a political subdivision of a state, or of the United States, on procedures or processes to facilitate the electronic satisfaction of prior approvals and conditions precedent to recording and the electronic payment of fees and taxes. History: Added Oct. 1, 2010, No. 7142, § 1, Sess. L. 2009, p. 305.

(a) The Lieutenant Governor shall adopt standards to implement this chapter. (b) To keep the standards and practices of Recorder in the Virgin Islands in harmony with the standards and practices of recording offices in other jurisdictions that enact substantially this chapter and to keep the technology used by Recorder in the Virgin Islands compatible with technology used by recording offices in other jurisdictions that enact substantially this chapter, the Lieutenant Governor, so far as is consistent with the purposes, policies, and provisions of this chapter, in adopting, amending, and repealing standards shall consider: (1) standards and practices of other jurisdictions; (2) the most recent standards promulgated by national standard-setting bodies, such as the Property Records Industry Association; (3) the views of interested persons and governmental officials and entities; (4) the needs of each district and available resources; and (5) standards requiring adequate information security protection to ensure that electronic documents are accurate, authentic, adequately preserved, and resistant to tampering. History: Added Oct. 1, 2010, No. 7142, § 1, Sess. L. 2009, p. 306.

In applying and construing this chapter, consideration must be given to the need to promote uniformity of the law with respect to its subject matter among states that enact it. History: Added Oct. 1, 2010, No. 7142, § 1, Sess. L. 2009, p. 306.

Commerce Act This chapter modifies, limits, and supersedes the federal Electronic Signatures in Global and National Commerce Act (15 U.S.C. Section7001, et seq.) but does not modify, limit, or supersede Section 101(c) of that act (15 U.S.C. Section7001(c)) or authorize electronic delivery of any of the notices described in Section 103(b) of that act (15 U.S.C. Section7003(b)). History: Added Oct. 1, 2010, No. 7142, § 1, Sess. L. 2009, p. 306.

As used in this chapter: (1) "Affiliate" means a person who directly or indirectly owns, controls, or holds with power to vote, 20 percent or more of the outstanding voting securities of the debtor, other than a person who holds the securities; (i) as a fiduciary or agent without sole discretionary power to vote the securities; or (ii) solely to secure a debt, if the person has not exercised the power to vote; (A) a corporation 20 percent or more of whose outstanding voting securities are directly or indirectly owned, controlled, or held with power to vote, by the debtor or a person who directly or indirectly owns, controls, or holds with power to vote, 20 percent or more of the outstanding voting securities of the debtor, other than a person who holds the securities, (i) as a fiduciary or agent without sole power to vote the securities; or (ii) solely to secure a debt, if the person has not in fact exercised the power to vote; (B) a person whose business is operated by the debtor under a lease or other agreement, or a person substantially all of whose assets are controlled by the debtor; or (C) a person who operates the debtor's business under a lease or other agreement or controls substantially all of the debtor's assets. (2) "Asset" means property of a debtor, but the term does not include: (A) property to the extent it is encumbered by a valid lien; (B) property to the extent it is generally exempt under nonbankruptcy law; or (C) an interest in property held in tenancy by the entireties to the extent it is not subject to process by a creditor holding a claim against only one tenant. (3) "Claim" means a right to payment, whether or not the right is reduced to judgment, liquidated, unliquidated, fixed, contingent, matured, unmatured, disputed, undisputed, legal, equitable, secured, or unsecured. (4) "Creditor" means a person who has a claim. (5) "Debt" means liability on a claim. (6) "Debtor" means a person who is liable on a claim. (7) "Insider" includes: (A) if the debtor is an individual, (i) a relative of the debtor or of a general partner of the debtor; (ii) a partnership in which the debtor is a general partner; (iii) a general partner in a partnership described in clause (ii); or (iv) aclause (ii)n of which the debtor is a director, officer, or person in control; (B) if the debtor is a corporation, (i) a director of the debtor; (ii) an officer of the debtor; (iii) a person in control of the debtor; (iv) a partnership in which the debtor is a general partner; (v) a general partner in a partnership described in clause (iv); or (vi) a relative of a general partner, director, officer, or person in control of the debtor; (C) if the debtor is a partnership, (i) a general partner in the debtor; (ii) a relative of a general partner in, or a general partner of, or a person in control of the debtor; (iii) another partnership in which the debtor is a general partner; (iv) a general partner in a partnership described in clause (iii); or (v) a person in control of the debtor; (D) an affiliate, or an insider of an affiliate as if the affiliate were the debtor; and (E) a managing agent of the debtor. (8) "Lien" means a charge against or an interest in property to secure payment of a debt or performance of an obligation, and includes a security interest created by agreement, a judicial lien obtained by legal or equitable process or proceedings, a common-law lien, or a statutory lien. (9) "Person" means an individual, partnership, corporation, association, organization, government or governmental subdivision or agency, business trust, estate, trust, or any other legal or commercial entity. (10) "Property" means anything that may be the subject of ownership. (11) "Relative" means an individual related by consanguinity within the third degree as determined by the common law, a spouse, or an individual related to a spouse within the third degree as so determined, and includes an individual in an adoptive relationship within the third degree. (12) "Transfer" means every mode, direct or indirect, absolute or conditional, voluntary or involuntary, of disposing of or parting with an asset or an interest in an asset, and includes payment of money, release, lease, and creation of a lien or other encumbrance. (13) "Valid lien" means a lien that is effective against the holder of a judicial lien subsequently obtained by legal or equitable process or proceedings. History: Added Nov. 15, 2011, No. 7322, § 1, Sess. L. 2011, pp. 279-282.

(a) A debtor is insolvent if the sum of the debtor's debts is greater than all of the debtor's assets, at a fair valuation. (b) A debtor who is generally not paying debts as they become due is presumed to be insolvent. (c) A partnership is insolvent under subsection (a) if the sum of the partnership's debts is greater than the aggregate of all of the partnership's assets, at a fair valuation, and the sum of the excess of the value of each general partner's nonpartnership assets over the partner's nonpartnership debts. (d) Assets under this section do not include property that has been transferred, concealed, or removed with intent to hinder, delay, or defraud creditors or that has been transferred in a manner making the transfer voidable under this chapter. (e) Debts under this section do not include an obligation to the extent it is secured by a valid lien on property of the debtor not included as an asset. History: Added Nov. 15, 2011, No. 7322, § 1, Sess. L. 2011, p. 282.

(a) Value is given for a transfer or an obligation if, in exchange for the transfer or obligation, property is transferred or an antecedent debt is secured or satisfied, but value does not include an unperformed promise made otherwise than in the ordinary course of the promisor's business to furnish support to the debtor or another person. (b) For the purposes of sections 174(a)(2) and 175, a person gives a reasonably equivalent value if the person acquires an interest of the debtor in an asset pursuant to a regularly conducted, noncollusive foreclosure sale or execution of a power of sale for the acquisition or disposition of the interest of the debtor upon default under a mortgage, deed of trust, or security agreement. (c) A transfer is made for present value if the exchange between the debtor and the transferee is intended by them to be contemporaneous and is in fact substantially contemporaneous. History: Added Nov. 15, 2011, No. 7322, § 1, Sess. L. 2011, pp. 282, 283.

(a) A transfer made or obligation incurred by a debtor is fraudulent as to a creditor, whether the creditor's claim arose before or after the transfer was made or the obligation was incurred, if the debtor made the transfer or incurred the obligation: (1) with actual intent to hinder, delay, or defraud any creditor of the debtor; or (2) without receiving a reasonably equivalent value in exchange for the transfer or obligation, and the debtor: (A) was engaged or was about to engage in a business or a transaction for which the remaining assets of the debtor were unreasonably small in relation to the business or transaction; or (B) intended to incur, or believed or reasonably should have believed that he would incur, debts beyond his ability to pay as they became due. (b) In determining actual intent under subsection (a)(1), consideration may be given, among other factors, to whether: (1) the transfer or obligation was to an insider; (2) the debtor retained possession or control of the property transferred after the transfer; (3) the transfer or obligation was disclosed or concealed; (4) before the transfer was made or obligation was incurred, the debtor had been sued or threatened with suit; (5) the transfer was of substantially all the debtor's assets; (6) the debtor absconded; (7) the debtor removed or concealed assets; (8) the value of the consideration received by the debtor was reasonably equivalent to the value of the asset transferred or the amount of the obligation incurred; (9) the debtor was insolvent or became insolvent shortly after the transfer was made or the obligation was incurred; (10) the transfer occurred shortly before or shortly after a substantial debt was incurred; and (11) the debtor transferred the essential assets of the business to a lien or who transferred the assets to an insider of the debtor. History: Added Nov. 15, 2011, No. 7322, § 1, Sess. L. 2011, pp. 283, 284.

(a) A transfer made or obligation incurred by a debtor is fraudulent as to a creditor whose claim arose before the transfer was made or the obligation was incurred if the debtor made the transfer or incurred the obligation without receiving a reasonably equivalent value in exchange for the transfer or obligation and the debtor was insolvent at that time or the debtor became insolvent as a result of the transfer or obligation. (b) A transfer made by a debtor is fraudulent as to a creditor whose claim arose before the transfer was made if the transfer was made to an insider for an antecedent debt, the debtor was insolvent at that time, and the insider had reasonable cause to believe that the debtor was insolvent. History: Added Nov. 15, 2011, No. 7322, § 1, Sess. L. 2011, p. 284.

For the purposes of this chapter: (1) a transfer is made: (A) with respect to an asset that is real property other than a fixture, but including the interest of a seller or purchaser under a contract for the sale of the asset, when the transfer is so far perfected that a good-faith purchaser of the asset from the debtor against whom applicable law permits the transfer to be perfected cannot acquire an interest in the asset that is superior to the interest of the transferee; and (B) with respect to an asset that is not real property or that is a fixture, when the transfer is so far perfected that a creditor on a simple contract cannot acquire a judicial lien otherwise than under this chapter that is superior to the interest of the transferee; (2) if applicable law permits the transfer to be perfected as provided in paragraph (1) and the transfer is not so perfected before the commencement of an action for relief under this chapter, the transfer is deemed made immediately before the commencement of the action; (3) if applicable law does not permit the transfer to be perfected as provided in paragraph (1), the transfer is made when it becomes effective between the debtor and the transferee; (4) a transfer is not made until the debtor has acquired rights in the asset transferred; (5) an obligation is incurred: (A) if oral, when it becomes effective between the parties; or (B) if evidenced by writing, when the writing executed by the obligor is delivered to or for the benefit of the obligee. History: Added Nov. 15, 2011, No. 7322, § 1, Sess. L. 2011, pp. 284, 285.

(a) In an action for relief against a transfer or obligation under this chapter a creditor, subject to the limitations in section 178, may obtain: (1) avoidance of the transfer or obligation to the extent necessary to satisfy the creditor's claim; (2) an attachment or other provisional remedy against the asset transferred or other property of the transferee in accordance with the procedure prescribed by title 5 Virgin Islands Code, chapter 25; (3) subject to applicable principles of equity and in accordance with applicable rules of civil procedure: (A) an injunction against further disposition by the debtor or a transferee, or both, of the asset transferred or of other property; (B) appointment of a receiver to take charge of the asset transferred or of other property of the transferee; or (C) any other relief the circumstances may require. (b) If a creditor has obtained a judgment on a claim against the debtor, the creditor, if the court so orders, may levy execution on the asset transferred or its proceeds. History: Added Nov. 15, 2011, No. 7322, § 1, Sess. L. 2011, pp. 285, 286.

(a) A transfer or obligation is not voidable under section 174(a)(1) against a person who took in good faith and for a reasonably equivalent value or against any subsequent transferee or obligee. (b) Except as otherwise provided in this section, to the extent a transfer is voidable in an action by a creditor under section 177(a)(1), the creditor may recover judgment for the value of the asset transferred, as adjusted under subsection (c), or the amount necessary to satisfy the creditor's claim, whichever is less. The judgment may be entered against: (1) the first transferee of the asset or the person for whose benefit the transfer was made; or (2) any subsequent transferee other than a good-faith transferee or obligee who took for value or from any subsequent transferee or oblige. (c) If the judgment under subsection (b) is based upon the value of the asset transferred, the judgment must be for an amount equal to the value of the asset at the time of the transfer, subject to adjustment as the equities may require. (d) Notwithstanding voidability of a transfer or an obligation under this chapter, a good-faith transferee or obligee is entitled, to the extent of the value given the debtor for the transfer or obligation, to: (1) a lien on or a right to retain any interest in the asset transferred; (2) enforcement of any obligation incurred; or (3) a reduction in the amount of the liability on the judgment. (e) A transfer is not voidable under section 174(a)(2) or section 175 if the transfer results from: (1) termination of a lease upon default by the debtor when the termination is pursuant to the lease and applicable law; or (2) enforcement of a security interest in compliance with Article 9 of the Uniform Commercial Code. (f) A transfer is not voidable under section 175(b): (1) to the extent the insider gave new value to or for the benefit of the debtor after the transfer was made unless the new value was secured by a valid lien; (2) if made in the ordinary course of business or financial affairs of the debtor and the insider; or (3) if made pursuant to a good-faith effort to rehabilitate the debtor and the transfer secured present value given for that purpose as well as an antecedent debt of the debtor. History: Added Nov. 15, 2011, No. 7322, § 1, Sess. L. 2011, pp. 286, 287.

A cause of action with respect to a fraudulent transfer or obligation under this chapter is extinguished unless action is brought: (a) under section 174(a)(1), within four years after the transfer was made or the obligation was incurred or, if later, within one year after the transfer or obligation was or could reasonably have been discovered by the claimant; (b) under Section 174(a)(2) or 175(a), within four years after the transfer was made or the obligation was incurred; or (c) under Section 175(b), within one year after the transfer was made or the obligation was incurred. History: Added Nov. 15, 2011, No. 7322, § 1, Sess. L. 2011, p. 287.

Unless displaced by this chapter, the principles of law and equity, including the law merchant and the law relating to principal and agent, estoppels, laces, fraud, misrepresentation, duress, coercion, mistake, insolvency, or other validating or invalidating cause, supplement its provisions. History: Added Nov. 15, 2011, No. 7322, § 1, Sess. L. 2011, p. 287.

This chapter must be applied and construed to effectuate its general purpose to make uniform the law with respect to the subject of this chapter among states enacting it. History: Added Nov. 15, 2011, No. 7322, § 1, Sess. L. 2011, p. 288.

This chapter may be cited as "The Virgin Islands Uniform Fraudulent Conveyances Act". History: Added Nov. 15, 2011, No. 7322, § 1, Sess. L. 2011, p. 288.

(a) Except for a lease for a term not exceeding one year, no estate or interest in real property, and no trust or power over or concerning real property, or in any manner relating thereto, can be created, granted, assigned, transferred, surrendered, or declared, otherwise than- (1) by operation of law; or (2) by a deed of conveyance or other instrument in writing, signed by the person creating, granting, assigning, transferring, surrendering, or declaring the same, or by his lawful agent under written authority, and executed with such formalities as are required by law. (b) This section does not- (1) affect the power of a testator in the disposition of his real property by will; or (2) prevent a trust from arising or being extinguished by implication or operation of law.

Every contract for the leasing for a longer period than one year from the making thereof, or for the sale of any lands, or any interest in lands, shall be void unless the contract or some note or memorandum is in writing, and signed by the party to be charged, or by his lawful agent under written authority.

Every grant or assignment of any existing trust in lands, goods, or things in action, shall be void unless the same is in writing, subscribed by the party making the same, or by his lawful agent under written authority.

In the following cases every agreement shall be void unless such agreement, or some note or memorandum thereof is in writing, and subscribed by the party to be charged therewith, or by his lawful agent under written authority: (1) An agreement that by its terms is not to be performed within one year from the making thereof. (2) A special promise to answer for the debt, default, or misdoings of another person. (3) An agreement, promise, or undertaking made upon consideration of marriage, except mutual promises to marry. (4) A special promise made by an executor or administrator to answer damages out of his own estate.

No evidence is admissible to charge a person upon a representation as to the credit, skill, or character of a third person unless such representation or some memorandum thereof is in writing, and either subscribed by or in the handwriting of the party to be charged; or his lawful agent under written authority.

Nothing in this chapter shall be construed to abridge the powers of a court to compel specific performance.

Whenever used in this chapter, unless the context otherwise requires: (a) "Claimant" means any person having a lien or right to a lien upon real estate under this chapter and includes his successor in interest. (b) "Contract price" means the amount agreed upon by the contracting parties for performing services and furnishing materials covered by the contract, increased or diminished, as the case may be, by the price of any extras or change orders, or by any amounts attributable to altered specifications, defects in workmanship or materials or any other breaches of the contract. No liquidated damages between the owner and a prime contractor shall diminish the contract price as to any other lienor. If no price is agreed upon by the contracting parties "contract price" means a reasonable price for all labor, services or materials covered by the contract, with any increases and diminutions, as above provided. (c) "Furnish materials" means (1) supply materials which are: (A) incorporated in the improvement including normal wastage in construction operations; or (B) specially fabricated for incorporation in the improvements and not readily resaleable in the ordinary course of the fabricator's business even though not actually incorporated in the improvements; or (C) used for the construction or for the operation of machinery or equipment used in the construction and not remaining in the improvement, subject to diminution by the salvage value of such materials; and (2) also includes supplying tools, appliances, or machinery used on the particular improvement to the extent of the reasonable rental value for the period of actual use and any reasonable periods of non- use taken into account in the rental contract. The delivery of materials to the site of the improvement, whether or not by the claimant, creates a presumption that the materials were used in the improvement. (d) "Owner" means the owner of any interest in the real estate being improved. (e) "Perform or furnish" when used in connection with the word "services" or "materials" means performance or furnishing by the claimant or by another for him. (f) "Protected person" means: (1) an individual who contracts to give a security interest in, or to buy or have improved, residential real estate, all or a part of which the individual occupies or intends to occupy as a residence; (2) a person obligated primarily or secondarily on a contract to buy or to improve residential real estate or on an obligation secured by residential real estate if, when the person becomes obligated, that person is related to an individual who occupies or intends to occupy all or a part of the real estate as a residence; or (3) with respect to a real estate security agreement, a person who acquires residential real estate and assumes or takes subject to the obligation of a prior protected person pursuant to paragraphs (1) or (2) of this subsection under the security agreement. (g) "Services" does not include financing or activities in connection with financing. History: Added Apr. 29, 1976, No. 3801, Sess. L. 1976, p. 26; amended Jan. 18, 2020, No. 8265, § 1, Sess. L. 2019, p. 170, 171.

"Subcontractor"; "Subsubcontractor" (a) A "real estate improvement contract" means an agreement to perform services, or to furnish materials for the purpose of producing a change in the physical condition of land or of a structure including: (1) alteration of the surface by excavation, fill, change in grade, or change in a shoreline, beach, stream, salt pond, impounding reservoir, marsh, watercourse, watergut or waterway; (2) construction or installation on, above, or below the surface of land; (3) demolition, repair, remodeling, or removal of a structure previously constructed or installed; (4) seeding, sodding, or other landscaping operation; and (5) preparation of plans, surveys, architectural or engineering plan or drawings for any change in the physical condition of land or structures. (b) A person who has entered into a real estate improvement contract is: (1) a "prime contractor" if he has contracted with the owner, (2) a "subcontractor" if he has contracted with a prime contractor, or (3) a "subsubcontractor" if he has contracted with a subcontractor. (c) A contract for the mining or removal of coral, minerals, soil, sod, or things growing on land or other similar contracts in which the activity is primarily for the purpose of realizing upon the disposal or removal of the objects removed is not a "real estate improvement contract". History: Added April 29, 1976, No. 3801, Sess. L. 1976, p. 27.

Except as provided in section 254 of this title, even though the owner has not made an agreement giving a real estate security interest, a prime contractor, subcontractor or subsubcontractor, upon compliance with section 264 of this title has to the extent provided in this chapter a lien to secure payment of the contract price on the contracting owner's real estate which is being improved. He also has a lien on an interest in the real estate being improved of any owner, other than the contracting owner, who, in writing, has either requested that the improvement be made or agreed specifically that his interest may be bound by the lien. History: Added Apr. 29, 1976, No. 3801, Sess. L. 1976, p. 28.

(a) All real estate owned by the Government of the Virgin Islands, a governmental agency, or an instrumentality of the Government of the Virgin Islands, and all real estate declared for a public use is exempt from construction liens under this subchapter. (b) A construction lien does not exist under this subchapter for work, services, materials, or equipment, in connection with the improvement of a residential dwelling under an emergency home repair program or other home-repair or construction program administered by the Government of the Virgin Islands or any instrumentality of the Government of the Government of the Virgin Islands. (c) A construction lien does not exist under this subchapter for real estate owned by a protected person unless the real estate improvement contract is in writing, is signed by the contracting owner, and includes the following notice conspicuously on its first page: "Notice. By signing this contract, you are subjecting your real estate to the provisions of the Virgin Islands construction lien law under title 28, chapter 12 of the Virgin Islands Code, and to the risk of a forced sale to enforce payment for services or materials under this contract." (d) A construction lien does not exist under this subchapter in favor of any contractor, subcontractor, or sub-subcontractor who is not licensed as required by title 27 chapters 7, 8, or 10 of the Virgin Islands Code or other applicable law of the Virgin Islands, but a surety that has provided a bond on behalf of the unlicensed contractor, subcontractor, or sub-subcontractor is not affected by this exclusion. History: Added April 29, 1976, No. 3801, Sess. L. 1976, p. 29; amended Jan. 18, 2020, No. 8265, § 2, Sess. L. 2019, p. 171.

(a) A lien for supplying materials arises only if they are furnished with the intent, evidenced by the contract of sale, the delivery order, or by the claimant's delivery to the site, that they be used in the construction or incorporated in the improvement on the particular real estate against which the lien is asserted. (b) If separate lots, parcels or tracts of real estate are being improved under a single notice of commencement (see section 262 of this title) and the real estate improvement contract does not specifically apportion the materials among the lots, parcels or tracts, an intent, evidenced in a manner specified in subsection (a), that the materials be used generally on the separate lots, parcels or tracts is sufficient to enable the supplier to secure a lien against all lots, parcels or tracts on which the materials were actually used or in which they were incorporated. Delivery by the claimant to any one of the separate lots, parcels or tracts shall be sufficient delivery under subsection (a) to give a lien on all the lots, parcels, or tracts. Delivery to any one of the separate lots, parcels or tracts, whether or not by the claimant, creates a presumption that the materials were used in the construction or incorporated into all the separate lots, parcels or tracts being improved in the same percentages of claimant's claim as the cost to the owner of the improvements on each separate lot, parcel or tract bears to the total cost to the owner of all improvements being made under the single notice of commencement, and the claimant has a lien on each separate lot, parcel or tract for that percentage of his claim unless the owner or other adverse party accounts for all materials for which the claim is asserted, showing the particular lots, parcels or tracts into which they were incorporated or in connection with which they were used. History: Added Apr. 29, 1976, No. 3801, Sess. L. 1976, p. 29.

(a) The amount secured by the lien of a prime contractor is the unpaid part of the prime contract price less the aggregate amount secured by the liens of all subcontractors and subcontractors. (b) Except as modified by subsection (c) and by section 258 of this title, the lien of a subcontractor is for the lesser of: (1) the amount unpaid under his contract, or (2) the part of the contract price (A) remaining unpaid under the prime contract at the time the owner receives notification under section 256(e) of this title of the subcontractor's right to claim a lien, and (B) any additional part of the prime contract price paid prior to filing of a notice of commencement under section 262 of this title. (c) The lien of a subcontractor is reduced by the amounts owed by him to his subcontractor if the subcontractor has claimed a lien for the amounts. (d) Except as modified by section 258 of this title, the lien of a subcontractor is for the amount unpaid under his contract, but not more than the lesser of: (1) the part of the contract price (i) remaining unpaid under the prime contract at the time the owner receives notification of the subcontractor's right to claim a lien, and (ii) any additional part of the prime contract price paid prior to filing of a notice of commencement, or (2) the part of the contract price remaining unpaid under the subcontract at the time the prime contractor received notification of the subcontractor's right to claim a lien. (e) The notification to the owner or the prime contractor of a right to claim a lien may be given at any time after a subcontractor or subcontractor has entered into the contract pursuant to which his lien may arise. To be effective under subsections (b) and (d) the notice must be in writing and must be either delivered personally to or sent by registered or certified mail to the last known address of the person specified in the notice of commencement (see section 262 of this title) and must contain (1) the name of the claimant, (2) the name of the person with whom he contracted, (3) a general description of the services and materials provided or to be provided (4) the amount unpaid, whether or not due, to the claimant for the services or materials (if no amount is fixed by the contract, a good faith estimate of the amount shall be made), (5) a statement that any payments to the prime contractor after the receipt of the notification will not reduce the amount of the claimant's lien; and, if the claimant is a subcontractor, a statement that any payments to the subcontractor after the notification has been received by both the owner and the prime contractor will not reduce the amount of the claimant's lien. History: Added April 29, 1976, No. 3801, Sess. L. 1976, p. 29.

A notice given to the owner who made the contract for the improvement is also effective against any other owner against whom the person giving notice can acquire a lien under this chapter. History: Added Apr. 29, 1976, No. 3801, Sess. L. 1976, p. 31.

(a) If the claimant records a notice of lien as provided in section 264 of this title, while a notice of commencement is effective, the claimant's lien attaches as of the time the notice of commencement was recorded as provided in section 262 of this title. (b) If the claimant records a notice of lien when there is no effective notice of commencement covering the improvement, the claimant's lien attaches at the time he records his notice of lien. (c) Except as provided in subsection (d), a construction lien takes priority over a conveyance, security interest, another construction lien, judgment, or other claim against the real estate which was not recorded as provided in chapter 7 of this title or this chapter or perfected as provided in Title 11A. (d) All liens which attach as of the time of recording the notice of commencement (subsection a) have equal priority and share the funds available in the same ratio as the ratio of the particular claimant's lien bears to the total of all liens. (e) "Funds available" in the case of subcontractors, means the total of: (1) sums paid by the owner to the prime contractor prior to recording of a notice of commencement; (2) sums paid by the owner in disregard of any notice of right to claim a lien; and (3) sums unpaid under the prime contract. (f) "Funds available" in the case of subsubcontractors, means funds available as defined in subsection (e) but not more than the amount to which their subcontractor is entitled. (g) An owner pays in disregard of a notice to claim a lien if he fails, after receipt of notification of a right to claim a lien, to withhold from the prime contractor an amount sufficient to pay the amount of lien of a subcontractor or subsubcontractor provided for in subsections (b), (c) and (d) of section 256 of this title or pays a subcontractor amounts to which the subcontractor is not entitled because of receipt by the owner of notification of a right to claim a lien from subsubcontractors who have contracted with that subcontractor. (h) Except as provided in subsection (i), the lien takes priority over subsequent advances made under a prior recorded security interest if the subsequent advances are made after the notice of lien has been recorded. (i) Notwithstanding notice that the lien has attached, subsequent advances made under a prior recorded security interest take priority over the lien if the advance (1) was made under a "construction security interest", or (2) was applied to payment of the cost of the real estate improvement, or to payment of any lien or encumbrance which is prior to the lien given by this chapter, or to maintenance or preservation of the real estate or of the secured creditor's interest therein. (j) A security interest is a "construction security interest" if the instrument recorded to perfect the interest so denominates it, and the debtor incurs the obligation for the purpose of making the improvement, whether or not the proceeds are in fact so used. History: Added Apr. 29, 1976, No. 3801, Sess. L. 1976, p. 31.

(a) No lien shall attach to the real estate in behalf of any claimant other than the prime contractor if the owner or the prime contractor, prior to commencing the improvement under the contract between the owner and prime contractor, procures from a surety company authorized to do business in the Virgin Islands a payment bond meeting the requirements of this section. (b) Subject to subsection (c) the bond must obligate the surety company to pay all sums due to subcontractors and subsubcontractors for services and materials supplied to the prime contractor or to a subcontractor pursuant to the contract under which the lien would otherwise arise. (c) The amount of the payment bond shall be not less than the following percentages of the total contract price payable to the prime contractor; (1) 50 percent of the contract price up to $1,000,000; (2) 40 percent of that portion of the contract price above $1,000,000 and up to $5,000,000; and (3) 35 percent of that portion of the contract price above $5,000,000. If the total amount payable by the terms of the owner's contract with the prime contractor is indefinite, the payment bond shall be in a sum which the owner and prime contractor in good faith believe is at least one-half of the amount which is or would have been due to the prime contractor if he performs, or would have performed, the contract according to its terms; Provided, subcontractors and subsubcontractors to whom the payment bond applies may file a notice of lien, but the lien shall be enforceable only against the real estate for an amount which is not covered by the bond. In addition to the requirements of section 264 of this title, the notice of lien under this subsection shall state that a notice of payment bond has been filed and shall give the reference location for the notice of payment bond. (d) If a bond has been procured pursuant to this section, notice thereof shall be recorded under section 267 of this title. (e) The person acquiring the bond shall furnish a true copy of any bond procured under this section at cost of reproduction thereof to any claimant on request, and, for refusal to furnish a copy without justifiable cause, shall be liable to the claimant for any damages caused by the refusal or failure. (f) No claimant may recover under the surety bonds provided in this section unless he (1) within 60 days after completion of his performance, gives the surety and the contractor notice of the amount due, and (2) institutes suit against the surety within one year after the completion of his performance. (g) A subcontractor or subsubcontractor having a claim under the bond has a direct right of action against the surety. (h) The obligation of a surety under this section shall not be affected by any change or modification of the contract between the prime contractor and the owner but the total liability of the surety shall not be greater than the penal sum of the bond. History: Added April 29, 1976, No. 3801, Sess. L. 1976, p. 32.

(a) If the owner of property, or the owner of any interest therein, sought to be charged with a claim of lien, or any original contractor or subcontractor disputes the correctness or validity of any claim of lien, he may record in the office of the recorder in which the notice of lien was recorded, either before or after the commencement of an action to enforce such claim of lien, a notice of a bond executed by a corporation authorized to issue surety bonds in the Virgin Islands, in a penal sum equal to 11/2 times the amount of the claim or 11/2 times the amount presumptively allocated under section 255 of this title to the parcel or parcels of real property sought to be released, which bond shall be conditioned for the payment of any sum which the claimant may recover on the claim together with his costs of suit in the action, if he recovers therein. Upon the recording of such bond the real property described in such bond is released from the lien and from any action brought to foreclose such lien. The principal upon such bond may be either the owner of the property or the owner of any interest therein, or any original contractor, subcontractor, or subsubcontractor affected by such claim of lien. The person procuring the bond shall mail a copy of the bond by registered or certified mail to the claimant of the lien sought to be released. (b) Release of the real estate from the lien under this section does not otherwise affect the rights of the claimant and he may proceed to establish his claim under this chapter and, upon determination that he is entitled to a lien, the court shall order the surety company to pay the sums found to be due. History: Added Apr. 29, 1976, No. 3801, Sess. L. 1976, p. 33.

(a) All documents authorized or required to be recorded by this chapter shall be recorded as provided for by law, in the office of the recorder in the district in which the real estate improvement is to be undertaken. (b) In addition to the other requirements imposed on him by law, the recording officer shall: (1) index each notice of commencement and notice of lien in the tract index and in the name of the owner and the claimant; and (2) note the recording of any other document entitled to recording under this chapter at the index entry for the notice of lien and notice of commencement to which it relates. (c) Any recorded document substantially complying with the applicable provisions of this chapter is effective even though it contains minor errors which are not seriously misleading. (d) Recording fees shall be as provided in section 133 of this title. History: Added April 29, 1976, No. 3801, Sess. L. 1976, p. 34.

(a) A notice of commencement of real estate improvements signed by the owner may be recorded. (b) The notice of commencement shall be denominated "notice of commencement" and shall state: (1) the real estate being improved, with a description thereof sufficient for identification; (2) the name and address of the owner, his interest in the real estate, and the name and address of the fee simple title holder, if other than the owner filing the notice of commencement; (3) the name and address of the person to whom notifications concerning construction liens may be given. (c) Except as provided in subsection (e), a notice of commencement continues effective for a period of five years from the date it is recorded. (d) A notice of commencement is effective as to all improvements made on real estate whether or not they were contemplated at the time of the recording. (e) The owner may terminate the period of effectiveness of a notice of commencement by filing a notice of termination which contains: (1) the same information as the notice of commencement; (2) the recording office document reference number and date of the notice of commencement; and (3) a statement of the date as of which the notice of commencement is terminated, which date may not be earlier than 30 days after the notice of termination is filed. The notice of termination may apply to all or any portion of the real estate subject to the notice of commencement. (f) The notice of termination is effective to terminate the notice of commencement at the later of 30 days after filing of the notice of commencement or the date stated in the notice of termination as the date on which the notice of commencement is terminated. History: Added Apr. 29, 1976, No. 3801, Sess. L. 1976, p. 34.

(a) An owner has an obligation to lien claimants not to record a notice of termination except after stoppage or completion of the work on the improvement or in connection with sale of a completed portion of the real estate being improved. (b) If an owner improperly records a notice of termination he is personally liable to a lien claimant to the extent that the claimant is unable to realize on a lien because of the improper recording. History: Added April 29, 1976, No. 3801, Sess. L. 1976, p. 35.

(a) A claimant's lien does not attach and shall not be enforced unless he has, not later than 90 days after his final furnishing of materials or services, recorded a notice of lien. (b) A notice of lien recorded prior to the time a claimant is entitled to final payment is effective only if (1) a portion of the price due him is past due, or (2) a notice of commencement is effective as to the real estate at the time of recording. (c) The notice of lien shall be signed by the claimant and shall state: (1) the name and address of the claimant; (2) the name and address of the person with whom the claimant contracted; (3) the services performed or to be performed or materials furnished or to be furnished for the improvement and the contract price thereof; (4) the amount unpaid, whether or not due, to the claimant for the services or materials (if no amount is fixed by the contract a good faith estimate of the amount to be due shall be made); (5) the time when the first and last services were performed and materials were furnished or if either event has not yet occurred, an estimate of the time or times; (6) the real estate subject to the lien, with a description thereof sufficient for identification; (7) the name of the person against whose interest in the real estate a lien is claimed; and (8) either a reference to the notice of commencement under which the notice of lien is recorded with the recording office document location reference thereto or a statement of the date when the contract price or a part thereof became due. (9) if separate lots, parcels or tracts of real estate are being improved under a single notice of lien, and if the contract specifies how the materials are to be apportioned among the lots, parcels or tracts, the notice of lien shall state the information required in this subsection, and, in addition, shall state how the furnishing of materials is to be apportioned. (10) the reference location for the payment bond as required by section 259(c) of this title. (d) Recording of notice of lien is not notice to the owner of any claim of lien and the owner may continue making payments under his contract which reduce his liability to the claimant until he receives notification from the claimant of his right to claim a lien as provided in section 256 of this title. (e) A claimant shall record a signed statement that a notice of lien shall be cancelled, in full or in part, when the claimant's lien has been fully or partially satisfied by payment of part or all of the contract price by recovery of a judgment either through foreclosure of the lien or through a personal judgment recovered for part or all of the contract price. The cancellation statement must include the reference location for the notice of lien being fully or partially cancelled, and must be recorded within ten (10) days of the full or partial satisfaction of the lien. History: Added Apr. 29, 1976, No. 3801, Sess. L. 1976, p. 36.

(a) Any notice of lien may be amended or credit extended as provided in section 271 of this title by an additional recording at any time during the 90-day period following recording of the notice of lien. An amendment which increases the amount of the claimed lien, or describes different or additional real estate or owners, is effective only from the time of recording of the amendment. (b) An amendment does not extend the period of effectiveness of a recorded lien except as provided in subsection (a) of this section. (c) An extension of credit extends the period of effectiveness of a recorded lien as provided in section 271 of this title. (d) An amendment or notice of extension of credit shall set forth the recording office document location reference and date of recording of the notice of lien being amended or under which credit is being extended and shall state the respects in which the original notice of lien is being amended or that the recording is for the purpose of giving notice of extension of credit. If separate lots, parcels or tracts of real estate are being improved under a single notice of lien, the amendment or notice of extension of credit shall specify which lot, parcel or tract is being affected by the amendment or extension of credit; if the amendment or notice of extension of credit does not so specify, the presumption under section 255(b) of this title shall apply. History: Added April 29, 1976, No. 3801, Sess. L. 1976, p. 37.

(a) A claimant may assign or record his right under a notice of lien by recording a written statement of assignment signed by him which sets forth the name of the claimant of record, the name and address of the assignee, the person against whom a lien is claimed, the real estate affected with a description thereof sufficient for identification, and the recording office document location reference and date of the recording of the notice of lien. (b) Recording of the assignment is not notice to the owner and he may continue to deal with the original claimant in respect to the claim until he receives notice of the assignment and a direction that no arrangements or payments may be made without the assignee's consent. (c) Unless a statement of assignment is recorded, the assignee need not be a party to any action to foreclose a security interest, lien, or other encumbrance. (d) Unless otherwise provided by law, the failure to record a statement of assignment shall not otherwise affect its validity. History: Added Apr. 29, 1976, No. 3801, Sess. L. 1976, p. 37.

(a) If a prime contractor or owner has secured a payment bond under section 259 of this title a notice of surety bond shall be recorded. (b) The notice shall be signed by the contractor or owner and by the surety company and shall state: (1) the real estate being improved with a description thereof sufficient for identification; (2) the name and address of the owner and of the prime contractor; (3) the name and address of the surety company and the name of a person on whom service of process may be made; and (4) a statement that the bond meets the requirements of section 259 of this title; and (5) the amount of the payment bond. History: Added April 29, 1976, No. 3801, Sess. L. 1976, p. 38.

(a) The notice of a surety bond recorded as provided in section 260 of this title shall state: (1) the real estate being improved with a description thereof sufficient for identification; (2) the name and address of the person in whose behalf the bond was procured; (3) the amount of the bond, the name of the surety company, an address at which claims may be presented to it, the name and address of a person on whom service of process may be made and that it is authorized to do business in this Territory; (4) the name of the claimants, for which the surety bond was procured, the amount of their claims, and the applicable recording office document location references. History: Added Apr. 29, 1976, No. 3801, Sess. L. 1976, p. 38.

(a) A claimant, after instituting action to enforce a lien, shall record a notice of the commencement of action in the office in which the notice of lien was recorded. The notice shall be signed by the claimant or his attorney and shall refer to the notice of lien under which it is recorded, giving the recording office document location reference and date of recording of the notice of lien, the name of the owner and of the claimant, the amount of lien claimed, and an identifying reference to the action commenced. (b) Only from the time of recording such notice shall a purchaser or encumbrancer of the property affected thereby be deemed to have constructive notice of the pendency of the action, and in that event only of its pendency against parties designated by their real names. History: Added April 29, 1976, No. 3801, Sess. L. 1976, p. 39.

(a) A lien provided by this chapter shall be discharged of record by any of the following methods: (1) a signed statement of the claimant of record, recorded in the office where the notice of lien is recorded, stating that the lien is satisfied and may be cancelled of record; or (2) by failure to record notice of the commencement of an action to enforce the lien or notice that no cause of action has accrued within the time prescribed in section 271 of this title; or (3) by recording in the office where the notice of lien is recorded the original or certified copy of a judgment or decree of a court of competent jurisdiction showing a final determination of the action adverse to the claimant; or (b) A statement under subsection (a)(1) or a judgment under subsection (a)(3) shall set forth the recording office document location reference and date of recording of the notice of lien to which it applies. History: Added Apr. 29, 1976, No. 3801, Sess. L. 1976, p. 39.

Completion (a) No notice of lien provided for in this chapter binds any property for a period of time longer than 90 days after the recording of the notice of lien unless within that time an action to foreclose the lien is commenced in a proper court or unless within that time the claimant has recorded an affidavit, as provided in subsection (b) of this section, that no cause of action has accrued to him under the contract for which he recorded the notice of lien, except that, if credit is given and notice of the fact and terms of such credit is recorded in the office of the recorder subsequent to the recording of such notice of lien and prior to the expiration of such 90-day period, then such lien continues in force until 90 days after the expiration of such credit. In no case shall the lien continue in force longer than one year from the time of completion of the improvement. (b) A claimant may record in the office in which the lien was recorded an affidavit which states that no cause of action has accrued to him under the contract for which he recorded the notice of lien. The affidavit shall refer to the notice of lien concerned, giving the recording office document location reference and date of recording of the notice of lien, the name of the owner and of the claimant, and shall state the date when a cause of action shall accrue to the claimant. If no exact date is known, the affidavit shall give a good faith estimate of the date. If no exact date is known, the affidavit shall be effective for only 90 days, and a new affidavit must be filed. The new affidavit must state all information required in this section. If separate lots, parcels or tracts of real estate are being improved under a single notice of lien, an affidavit under this section must specify the information according to lot, parcel or tract. (c) As against any purchaser or encumbrancer for value and in good faith whose rights are acquired subsequent to the expiration of the 90-day period following the recording of the claim of lien, no giving of credit shall be effective unless evidenced by a notice recorded in the office of the recorder prior to the acquisition of the rights of such purchaser or encumbrancer. History: Added April 29, 1976, No. 3801, Sess. L. 1976, p. 39.

(a) If the action to foreclose the lien is not brought to trial within two years after the commencement thereof, the court may in its discretion dismiss the same for want of prosecution. (b) In all cases the dismissal of an action to foreclose the lien (unless it is expressly stated that the same is without prejudice) or a judgment rendered therein that no lien exists shall be equivalent to the cancellation and removal from the record of such lien. (c) In addition to any other costs allowed by law, the court in an action to foreclose a lien must also allow as costs the money paid for verifying and recording the lien, such costs to be allowed each claimant whose lien is established, whether he be plaintiff or defendant. (d) Whenever on the sale of the property subject to any liens provided for in this chapter, under a judgment of foreclosure of such lien, there is a deficiency of proceeds, judgment for the deficiency may be entered against any party personally liable therefor in like manner and with like effect as in an action for the foreclosure of a mortgage. History: Added Apr. 29, 1976, No. 3801, Sess. L. 1976, p. 40.

Notwithstanding section 531 of this title, nothing contained in this title shall be construed to impair or affect the right of any claimant to maintain a personal action to recover his debt against the person liable therefor either in a separate action or in the action to foreclose his lien, nor any right he may have to the issuance of a writ of attachment or execution. The judgment, if any, obtained by the plaintiff in such personal action shall not impair or merge any lien held by the plaintiff under this chapter, but any money collected on such judgment shall be credited on the amount of such lien. History: Added April 29, 1976, No. 3801, Sess. L. 1976, p. 41.

Deducting Funds Due Contractor; Recovery of Judgment and Costs By Owner In all cases where a claim of lien is recorded for labor, services, equipment, or materials furnished to any contractor, he shall defend any action brought thereon at his own expense, and during the pendency of such action the owner may withhold from the original contractor the amount of money for which the claim of lien is recorded. In case of judgment in such action against the owner or his property upon the lien, the owner shall be entitled to deduct from any amount then or thereafter due from him to the original contractor the amount of such judgment and costs. If the amount of such judgment and costs exceeds the amount due from him to the original contractor, or if he has settled with the original contractor in full, he shall be entitled to recover back from the original contractor, or the sureties on any bond given by him for the faithful performance of his contract, any amount of such judgment and costs in excess of the contract price, and for which the original contractor was originally the party liable. History: Added Apr. 29, 1976, No. 3801, Sess. L. 1976, p. 41.

(a) If the owner or any claimant shall, in bad faith deprive or attempt to deprive any owner, claimant or other person of benefits to which he is entitled under this chapter by giving or recording false affidavits, invoices, statements, or in any other manner, (1) any person injured thereby is entitled to recover any damage caused to him, and (2) the court may issue temporary and permanent injunctions, whether or not irreparable damage has been or will be done. (b) If a claimant in bad faith overstates the amount for which he is entitled to a lien, or fails to record a statement of cancellation as required by section 264(e) of this title the court may (1) declare his lien void; (2) award the owner or any other person injured thereby actual damages suffered; and (3) award the owner punitive damages in an amount not exceeding the difference between the amount claimed as a lien and the amount which the claimant was actually entitled to claim as a lien. (c) Damages awarded under this section may include the costs of securing cancellation of the lien of record, including reasonable attorney's fees and court costs. History: Added April 29, 1976, No. 3801, Sess. L. 1976, p. 41.

The Office of the Lieutenant Governor shall prescribe the form of all documents which this chapter requires or permits to be recorded. History: Added Apr. 29, 1976, No. 3801, Sess. L. 1976, p. 42.

Any person who has a legal estate in real property, and a present right to the possession thereof, may recover such possession, with damages for withholding the same, by an action. Such action shall be commenced against the person in the actual possession of the property at the time, or, if the property is not in the actual possession of anyone, then against the person acting as the owner thereof.

Judgment (a) A defendant who is in actual possession may, for answer, plead that he is in possession only as tenant of another, naming him and his place of residence. Thereupon the landlord, if he applies therefor, shall be made defendant in place of the tenant, and the action shall proceed in all respects as if originally commenced against him. If the landlord does not apply to be made defendant within the time the tenant is allowed to answer, thereafter he shall not be allowed to, but he shall be made defendant if the plaintiff requires it. If the landlord is made defendant on motion of the plaintiff he shall be required to appear and answer within 20 days from notice of the pendency of the action and the order making him defendant, or such further time as the court prescribes. (b) In an action against a tenant, the judgment shall be conclusive against the landlord, who has been made defendant in place of the tenant, to the same extent as if the action had been originally commenced against the landlord.

The plaintiff in his complaint shall set forth- (1) a description of the property with such certainty as to enable the possession thereof to be delivered if recovery is had; (2) the nature of plaintiff's estate in the property, whether it is in fee, for life and for whose life, or for a term of years and the duration of such term; (3) that the plaintiff is entitled to the possession of the property; and (4) that the defendant wrongfully withholds the same from him to his damage in such sum as may be therein claimed.

The defendant shall not be allowed to give in evidence any estate in himself or another in the property, or any license or right to the possession thereof, unless the same is pleaded in his answer. If so pleaded, the nature and duration of such estate, or license, or right to the possession shall be set forth with the certainty and particularity required in a complaint. If the defendant does not defend for the whole of the property he shall specify for what particular part he does defend.

(a) If the verdict is for the plaintiff, the jury by its verdict shall find that he is entitled to the possession of the property described in the complaint, or some part thereof, or some undivided share or interest in either, and the nature and duration of his estate in such property, part thereof, or undivided share or interest in either, as the case may be. (b) If the verdict is for the defendant the jury by its verdict shall find- (1) that the plaintiff is not entitled to the possession of the property described in the complaint, or to such part thereof as the defendant defends for; and (2) that the defendant has such license, right of possession, or estate in, such property or part thereof as he established on trial, if any.

The plaintiff shall only be entitled to recover damages for withholding the property for the term of three years next preceding the commencement of the action, and for any period that may elapse from such commencement to the time of giving a verdict therein, exclusive of the use of permanent improvements made by the defendant. When permanent improvements have been made upon the property by the defendant, or those under whom he claims, holding under color of title adversely to the claim of plaintiff, in good faith, the value thereof at the time of trial, not exceeding such damages, shall be allowed as a set-off.

If the right of the plaintiff to the possession of the property expires after the commencement of the action, and before the trial, the verdict shall be given according to the fact, and judgment shall be given only for the damages.

(a) For cause shown, on motion and after notice to the adverse party, the court may grant an order allowing the party applying therefor to enter upon the property in controversy, and make survey and admeasurement thereof, for the purposes of the action. (b) The order shall describe the property, and a copy thereof shall be served upon the defendant, and thereupon the party may enter upon the property and make such survey and admeasurement, but if any unnecessary injury is done to the premises he shall be liable therefor.

An action for the recovery of the possession of real property against a person in possession cannot be prejudiced by any alienation made by such person either before or after the commencement of the action. If such alienation is made after the commencement of the action, and the defendant does not satisfy the judgment recovered for damages for withholding the possession, such damages may be recovered by action against the purchaser.

A mortgage of real property shall not be deemed a conveyance so as to enable the owner of the mortgage to recover possession of the real property without a foreclosure and sale according to law, and a judgment thereon.

In an action by a tenant in common of real property against a cotenant, the plaintiff shall show, in addition to the evidence of his right of possession, that the defendant either denied the plaintiff's right or did some act amounting to such denial.

(a) When in case of a lease of real property and the failure of the tenant to pay rent, the landlord has a subsisting right to reenter for such a failure, and may bring action to recover the possession of such property, and such action is equivalent to a demand of the rent and a reentry upon the property. If at any time before judgment in such action the lessee or his successor in interest as to the whole or a part of the property pays to the plaintiff or brings into court the amount of rent then in arrears, with interest, and the costs of the action, and performs the other covenants or agreements on the part of the lessee, he shall be entitled to continue in the possession according to the terms of the lease. (b) The provisions of this section are suspended during the effective period of subchapter III of chapter 31 of this title, relating to rent control, and this section shall take effect upon the termination of such subchapter as provided in section 846 of this title.

Publication In an action to recover the possession of real property, the judgment therein shall be conclusive as to the estate in such property and the right to the possession thereof, so far as the same is thereby determined, upon the party against whom the same is given and against all persons claiming from, through, or under such party after the commencement of such action, except as provided in section 294 of this title.

(a) When service of the summons is made by publication and judgment is given for want of answer, upon application to the court at any time within two years from the entry of the judgment, the defendant, or his successors in interest as to the whole or any part of the property, shall be entitled to an order vacating the judgment and granting a new trial upon the payment of the costs of the action. (b) If the plaintiff has taken possession of the property before the judgment is set aside and a new trial granted, as provided in subsection (a) of this section, such possession shall not be thereby affected in any way, and if judgment is given for the defendant in the new trial he shall be entitled to restitution by execution in the same manner as if he were plaintiff.

Any person whose property is affected by a private nuisance, or whose personal enjoyment thereof is in like manner thereby affected, may maintain an action for damages therefor. If judgment is given for the plaintiff in such action, he may, in addition to the execution to enforce the same, on motion, have an order allowing a warrant to issue to the marshal to abate such nuisance. Such motion shall be made at the term at which judgment is given, and shall be allowed of course, unless it appears on the hearing that the nuisance has ceased, or that such remedy is inadequate to abate or prevent the continuance of the nuisance in which latter case the plaintiff may proceed to have the defendant enjoined.

If the order authorized by section 331 of this title is made, the clerk shall, at any time within sixty days, when requested by the plaintiff, issue such warrant directed to the marshal requiring him forthwith to abate the nuisance at the expense of the defendant, and return the warrant as soon thereafter as may be, with his proceedings indorsed thereon. The expenses of abating the nuisance may be levied by the marshal on the property of the defendant, and in this respect the warrant shall be deemed an execution against property.

(a) At any time before the order authorized by section 331 of this title is made, or the warrant issues, the defendant may, on motion, have an order to stay the issue of such warrant for such period as may be necessary, not exceeding sixty days and to allow the defendant to abate the nuisance himself, upon his giving an undertaking to the plaintiff in a sufficient amount, with one or more sureties, to the satisfaction of the court, that he will abate it within the time and in the manner specified in such order. (b) If the plaintiff is not notified of the time and place of the application for the order provided for in subsection (a) of this section, the sureties shall justify as bail upon arrest, otherwise such justification may be omitted, unless the plaintiff requires it. (c) If such order is made and undertaking given, and the defendant fails to abate the nuisance within the time specified in the order, at any time within sixty days thereafter, the warrant for the abatement of the nuisance may issue as if the same had not been stayed.

If a guardian or a tenant in severalty or in common for life or for years, of real property, commits waste thereon, any person injured thereby may maintain an action for damages therefor against such guardian or tenant. In such action there may be judgment for treble damages, forfeiture of the estate of the party committing or permitting the waste, and of eviction from the property. Judgment of forfeiture and eviction shall only be given in favor of the person entitled to the reversion against the tenant in possession when the injury to the estate in reversion is determined in the action to be equal to the value of the tenant's estate or unexpired term, or to have been done or suffered in malice.

A person seized of an estate in remainder or reversion may maintain a civil action for any injury done to the inheritance, notwithstanding any intervening estate for a life or years.

(a) Whenever any person shall cut down, girdle, or otherwise injure, or carry off any tree, timber, or shrub on the land of another person, or on the street or highway in front of any person's house, village, town, or city lot, or cultivated grounds, or on the commons or public grounds of the Virgin Islands or highways in front thereof, without lawful authority, in an action by such person or by the Government of the United States Virgin Islands against the person committing such trespasses, or any of them, if judgment is given for the plaintiff it shall be given for treble the amount of damages allowed or assessed therefor, as the case may be. (b) If upon the trial of such action it appears that the trespass was casual or involuntary, or that the defendant had probable cause to believe that the land on which such trespass was committed was his own or that of the person in whose service or by whose direction the act was done, or that such tree or timber was taken from unenclosed woodland for the purpose of repairing any public highway or bridge upon the land or adjoining it, judgment shall only be given for single damages.

Any person in possession, by himself or his tenant, of real property, may maintain an action of an equitable nature against another who claims an estate or interest therein adverse to him, for the purpose of determining such claim, estate, or interest.

In any case where any dispute or controversy exists, or may hereafter arise, between two or more owners of adjacent or contiguous lands in the Virgin Islands, concerning the boundary lines thereof, or the location of the lines dividing such lands, either party or any party to such dispute or controversy may bring and maintain an action of an equitable nature in the district court, for the purpose of having such controversy or dispute determined, and such boundary line or lines, or dividing lines, ascertained and marked by proper monuments, upon the ground where such line or lines may be ascertained to be, and established in such action.

The complaint in an action to determine boundaries shall be sufficient if it appears therefrom that the plaintiff and defendant or defendants are owners of adjacent lands and that there is a controversy or dispute between the parties concerning their boundary or dividing line or lines. It shall not be necessary to set forth the nature of such dispute or controversy further than that the plaintiff shall describe the boundary or dividing line as he claims it to be. The defendant, in his answer, shall set forth the nature of his claim with reference to the location of the lines in controversy.

The procedure in an action to determine boundaries shall be analogous to that of other actions of an equitable nature; except that at the time of entering the judgment fixing the true location of the disputed boundary or dividing line the court shall appoint three disinterested commissioners, one of whom shall be a practical surveyor, and shall direct the commissioners to go upon the lands of the parties and establish and mark out upon the grounds, by proper marks and monuments, the boundary or dividing line as ascertained and determined by the court in its judgment.

Before entering upon the discharge of their duties the commissioners shall make and file their oath, in writing, to faithfully and impartially perform their duties as such commissioners. After designating the line by proper marks and monuments, they shall file in the court a report of their doings as such commissioners, and the same shall be, when approved or confirmed by the court, a part of the judgment roll in the cause.

The report of the commissioners may be confirmed by the court, upon written motion of either party to such action, whenever it appears to the court that the motion was served upon the adverse party two days before the presentation thereof, and that no exceptions have been filed to the report within two days after the service. If exceptions are filed as aforesaid to the report, the exceptions may be heard with the motion to confirm, and the court may confirm, modify, or set aside the report, as shall seem just, and in the latter case may appoint a new commission or refer the matter to the same commissioners with appropriate instructions.

This chapter may be cited as the Uniform Environmental Covenants Act of 2006. History: Added July 19, 2006, No. 6840, § 1, Sess. L. 2006, p. 89.

In this chapter: (1) "Activity and use limitations" means restrictions or obligations created under this chapter with respect to real property. (2) "Agency" means the Department of Planning and Natural Resources or any other state or federal agency that determines or approves the environmental response project pursuant to which the environmental covenant is created. (3) "Common interest community" means a condominium, cooperative or other real property with respect to which a person, by virtue of the person's ownership of a parcel of real property, is obligated to pay for property taxes, insurance premiums, maintenance, or improvement of other real property described in a recorded covenant that creates the common interest community. (4) "Environmental covenant" means a servitude arising under an environmental response project that imposes activity and use limitations. (5) "Environmental response project" means a plan or work performed for environmental remediation of real property and conducted: (A) under a federal or state program governing environmental remediation of real property, including title 12 Virgin title 12 Virgin Islands Code, chapters 7, 16 and 17pter 56; (B) incident to closure of a solid or hazardous waste management unit, if the closure is conducted with approval of an agency; or (C) under any territorial voluntary clean-up program authorized by law. (6) "Holder" means the grantee of an environmental covenant as specified in section 383(a). (7) "Other law" means law other than the provisions contained in this chapter. (8) "Person" means an individual, corporation, business trust, estate, trust, partnership, limited liability company, association, joint venture, government, governmental subdivision, agency, or instrumentality, public corporation, or any other legal or commercial entity, (9) "Record" when used as a noun, means information that is inscribed on a tangible medium or that is stored in an electronic or other medium and is retrievable in perceivable form. (10) "State" means a state of the United States, the District of Columbia, Puerto Rico, the Virgin Islands, or any territory or insular possession subject to the jurisdiction of the United States. History: Added July 19, 2006, No. 6840, § 1, Sess. L. 2006, pp. 89, 90.

(a) Any person may be a holder, including a person that owns an interest in the real property, the agency, or a municipality or other unit of local government. An environmental covenant may identify multiple holders. The interest of a holder is an interest in real property. (b) The rights of an agency under this chapter or, under an approved environmental covenant, other than as a holder, are not interests in real property. (c) An agency is bound by the obligations it assumes in an environmental covenant, but an agency does not assume obligations, merely by approving an environmental covenant. Any other person who signs an environmental covenant is bound by the obligations the person assumes in the covenant, but signing the covenant does not change obligations, rights, or protections granted or imposed under other law or administrative action except as provided in the covenant. (d) The following rules apply to interests in real property in existence at the time an environmental covenant is created or amended: (1) An interest that has priority under other law is not affected by an environmental covenant unless the person that owns the interest subordinates that interest to the covenant. (2) This chapter does not require a person that owns a prior interest to subordinate that interest to an environmental covenant or to agree to be bound by the covenant. (3) A subordination agreement may be contained in an environmental covenant covering real property or in a separate record or, if the environmental covenant covers commonly owned property in a common interest community, in a record signed by any person authorized by the governing board of the owners' association. (4) An agreement by a person to subordinate a prior interest to an environmental covenant affects the priority of that person's interest but does not by itself impose any affirmative obligation on the person with respect to the environmental covenant. History: Added July 19, 2006, No. 6840, § 1, Sess. L. 2006, pp. 90, 91.

(a) An environmental covenant must: (1) state that the instrument is an environmental covenant executed pursuant to title 28 Virgin Islands Code, chapter 18; (2) contain a legally sufficient description of the real property subject to the covenant; (3) describe the activity and use limitations on the real property; (4) identify every holder; (5) be signed by the agency, every holder, and unless waived by the agency every owner of the fee simple of the real property subject to the covenant; and (6) identify the name and location of any administrative record for the environmental response project reflected in the environmental covenant. (b) In addition to the information required by subsection (a), an environmental covenant may contain other information, restrictions, and requirements agreed to by the persons who signed it, including any: (1) requirements for notice following transfer of a specified interest in, or concerning proposed changes in use of, applications for building permits for, or proposals for any site work affecting the contamination on, the property subject to the covenant; (2) requirements for periodic reporting describing compliance with the covenant; (3) rights of access to the property granted in connection with implementation or enforcement of the covenant; (4) a brief narrative description of the contamination and remedy, including the contaminants of concern, the pathways of exposure, limits on exposure, and the location and extent of the contamination; (5) restriction or limitation on amendment or termination of the covenant in addition to those contained in sections 389 and 390; and (6) rights of the holder in addition to its right to enforce the covenant pursuant to section 391. (c) In addition to other conditions of its approval, the agency may condition approval of an environmental covenant on the signing of the covenant by those persons specified by the agency whose interests in the real property may be affected by the covenant. History: Added July 19, 2006, No. 6840, § 1, Sess. L. 2006, pp. 91, 92.

(a) An environmental covenant that complies with this chapter runs with the land. (b) An environmental covenant that is otherwise effective is valid and enforceable even if: (1) it is not appurtenant to an interest in real property; (2) it can be or has been assigned to a person other than the original holder; (3) it is not of a character that has been recognized traditionally at common law; (4) it imposes a negative burden; (5) it imposes an affirmative obligation on any person having an interest in the real property or on the holder; (6) the benefit or burden does not touch or concern real property; (7) there is no privity of estate or contract; (8) the holder dies, ceases to exist, resigns, or is replaced; or (9) the owner of an interest subject to the environmental covenant and the holder are the same person. (c) An instrument that creates activity and use limitations designed to protect human health or the environment and that was agreed to before the effective date of this chapter is not invalid or unenforceable by reason of any of the limitations on enforcement of interests described in subsection (b) or because it was identified as an easement, servitude, deed restriction, or other interest. This chapter does not apply in any other respect to such an instrument. (d) This chapter does not invalidate or render unenforceable any interest, whether designated as an environmental covenant or other interest, that is otherwise enforceable under the law of the Virgin Islands. History: Added July 19, 2006, No. 6840, § 1, Sess. L. 2006, pp. 92, 93.

This chapter does not authorize a use of real property that is otherwise prohibited by zoning or by other law regulating use of real property, or by a recorded instrument that has priority over the environmental covenant. An environmental covenant may prohibit or restrict uses of real property which are authorized by zoning or by other law. History: Added July 19, 2006, No. 6840, § 1, Sess. L. 2006, p. 93.

(a) A copy of a signed environmental covenant must be provided to: (1) all persons who signed the covenant; (2) all persons holding a recorded interest in the real property subject to the covenant; (3) all persons in possession of the real property subject to the covenant; (4) each municipality or other unit of local government in which real property subject to the covenant is located; and (5) any other persons the agency requires. (b) The copy must be provided by the persons and in the manner required by the agency. (c) The validity of the covenant is not affected by failure to provide a copy of the covenant as required under this section. History: Added July 19, 2006, No. 6840, § 1, Sess. L. 2006, p. 94.

(a) Any environmental covenant and any amendment or termination of the covenant must be recorded in every district in which any portion of the real property subject to the covenant is located. For purposes of recording, a holder shall be treated as a grantee. (b) Except as otherwise provided in section 389(c), an environmental covenant is subject to the laws of Virgin Islands governing recording and priority of interests in real property. Recording of an environmental covenant pursuant to the law of the Virgin Islands provides the same constructive notice of the covenant as the recording of a deed provides of an interest in real property. History: Added July 19, 2006, No. 6840, § 1, Sess. L. 2006, p. 94.

(a) An environmental covenant is perpetual unless: (1) by its terms limited to a specific duration or terminated by the occurrence of a specific event; (2) terminated by consent pursuant to section 390; (3) terminated pursuant to subsection (b); or (4) terminated by foreclosure of an interest which has priority over the environmental covenant. (b) If the agency that signed an environmental covenant has determined that the intended benefits of the covenant can no longer be realized, a court may, under the doctrine of changed circumstances, in an action in which all persons identified in section 390(a) and (b) have been given notice, terminate the covenant or reduce its burden on the real property subject to the covenant. The agency's determination or its failure to make a determination upon request is subject to review pursuant to a writ of review to the Superior Court of the Virgin Islands as provided in title 5 Virgin Islands Code, chapter 97. (c) Except as otherwise provided in subsections (a) and (b), an environmental covenant may not be extinguished, limited, or impaired through issuance of a tax deed, foreclosure of a tax lien, the exercise of eminent domain or application of the doctrine of adverse possession, prescription, abandonment, waiver, lack of enforcement, acquiescence, or any similar doctrine. History: Added July 19, 2006, No. 6840, § 1, Sess. L. 2006, pp. 94, 95.

(a) An environmental covenant may be amended or terminated by consent only if the amendment or termination is signed by: (1) the agency; (2) the current owner of the fee simple of the real property subject to the covenant, unless waived by the agency; (3) each person that originally signed the covenant, unless the person waived in a signed record the right to consent or unless a court finds that the person no longer exists or cannot be located or identified with the exercise of reasonable diligence; and (4) except as otherwise provided in subsection (d)(2), the holder. (b) If an interest is subject to an environmental covenant, that interest is not affected by an amendment of the covenant unless the owner of that interest consents to the amendment or has waived in a signed record the right to consent to future amendments. (c) Except for an assignment undertaken pursuant to a governmental reorganization, assignment of an environmental covenant to a new holder is an amendment. (d) Except as otherwise provided in the covenant: (1) a holder may not assign its interest without consent of the other parties; (2) a holder may be removed and replaced by agreement of the other parties specified in subsection (a); and (3) a court of competent jurisdiction may fill a vacancy in the position of holder. History: Added July 19, 2006, No. 6840, § 1, Sess. L. 2006, pp. 95, 96.

(a) A civil action for injunctive or other equitable relief for violation of an environmental covenant may be maintained by: (1) a party to the covenant; (2) the agency or, if it is not the agency, the Department of Planning and Natural Resources; (3) any other person to whom the covenant expressly grants power to enforce; (4) a person whose interest in the real property or whose collateral or liability may be affected by the alleged violation of the covenant; and (5) a municipality or other unit of local government in which the real property subject to the covenant is located. (b) This chapter does not limit the regulatory authority of the agency or the Department of Planning and Natural Resources under other law with respect to an environmental response project. (c) A person is not subject to liability for environmental remediation solely because it has the right to enforce an environmental covenant. History: Added July 19, 2006, No. 6840, § 1, Sess. L. 2006, p. 96.

(a) The Department of Planning and Natural Resources shall establish and maintain a registry that contains all environmental covenants and any amendment or termination of those covenants. The registry may also contain any other information concerning environmental covenants and the real property subject to them which the Department of Planning and Natural Resources considers appropriate. The registry is a public record for purposes of title 3 Virgin Islands Code, chapter 33. (b) After an environmental covenant or an amendment or termination of a covenant is filed in the registry pursuant to subsection (a), a notice of the covenant, amendment, or termination which complies with this section may be recorded in the land records in lieu of recording the entire covenant. Any such notice must contain: (1) a legally sufficient description and any available street address or parcel or plot number of the real property; (2) the name and address of the owner of the real property, the agency, and the holder, if other than the agency; (3) a statement that the covenant, amendment, or termination is available in a registry at the Department of Planning and Natural Resources, and disclosing the method of any electronic access; and (4) a statement that the notice is notification of an environmental covenant executed pursuant to title 28 Virgin Islands Code, chapter 18. (c) A statement in substantially the following form, executed with the same formalities as a deed in this territory, satisfies the requirements of subsection (b): (1) This notice is filed in the land records, of the [political subdivision] of [insert name of jurisdiction in which the real property is located] pursuant to section 392 of the Uniform Environmental Covenants Act, title 28 Virgin Islands Code, chapter 18. (2)title 28 Virgin Islands Code, chapter 18 or termination to which it refers may impose significant obligations with respect to the property described below. (3) A legal description of the property is attached as Exhibit A to this notice. The address of the property that is subject to the environmental covenant, is [insert address of property] [not available]. (4) The name and address of the owner of the real property on the date of this notice is [insert name of current owner of the property and the owner's current address as shown on the records of the jurisdiction in which the property is located]. (5) The environmental covenant, amendment or termination was signed by [insert name and address of the agency]. (6) The environmental covenant, amendment, or termination was filed in the registry on [insert date of filing]. (7) The full text of the covenant, amendment, or termination and any other information required by the agency is on file and available for inspection and copying in the registry maintained for that purpose by the Department of Planning and Natural Resources, Division of Environmental Protection at Cyril E. King Airport, Terminal Building, 2nd Floor, St. Thomas, Virgin Islands 00802. The covenant, amendment or termination may be found electronically at www.dpnr.gov.vi. History: Added July 19, 2006, No. 6840, § 1, Sess. L. 2006, pp. 96-98.

In applying and construing this uniform act, consideration must be given to the need to promote uniformity of the law with respect to its subject matter among states that enact it. History: Added July 19, 2006, No. 6840, § 1, Sess. L. 2006, p. 98.

Commerce This chapter modifies, limits, or supersedes the federal Electronic Signatures in Global and National Commerce Act, 15 U.S.C. Section701 et seq. but does not modify, limit or supersede Section 101 of that Act, 15 U.S.C. Section7001(a) or authorize electronic delivery of any of the notices described in Section 103 of that Act, 15 U.S.C. Section7003(b). History: Added July 19, 2006, No. 6840, § 1, Sess. L. 2006, p. 98.

If any provision of this chapter or its application to any person or circumstance is held invalid, the invalidity does not affect other provisions or applications of this chapter which can be given effect without the invalid provision or application, and to this end the provisions of this chapter are severable. History: Added July 19, 2006, No. 6840, § 1, Sess. L. 2006, p. 98.

Subject to the provisions of this chapter, the right of eminent domain may be exercised in behalf of the following public uses: (1) All public uses authorized by Congress or the Legislature of the Virgin Islands. (2) Public buildings and grounds for the use of the Government of the United States Virgin Islands. (3) Public buildings and grounds for the use of any town, village, school district, or other governmental division, whether incorporated or unincorporated; canals, aqueducts, flumes, ditches, or pipes conducting water, heat, or gas for the use of the inhabitants of any town, or other governmental division, whether incorporated or unincorporated, roads, streets, and alleys, and all other public uses for the benefit of any town, or other governmental division, whether incorporated or unincorporated, or the inhabitants thereof, which may be authorized by Congress or the Legislature of the Virgin Islands. (4) Wharves, docks, piers, bridges of all kinds, railroads, canals, ditches, flumes, aqueducts, and pipes for public transportation, supplying agricultural lands with water, and sites for reservoirs necessary for collecting and storing water. (5) Telephone, electric light, power, or telegraph lines. (6) Sewerage of any town, village, or other governmental division, whether incorporated or unincorporated, or any subdivision thereof, or of any public buildings belonging to the Government of the United States Virgin Islands. (7) Tramway lines. (8) For the acquisition of natural water sources, water courses and watershed areas for providing public water supply; for the construction of impounding dams and basins to retain water for irrigation purposes and for canals, flumes, aqueducts, etc., to distribute water for irrigation; Provided, however, That in any condemnation proceeding on behalf of an irrigation system it must be shown that the proposed system is general in its nature and designated to serve the available contiguous agricultural lands. (9) For the acquisition of parks, lands for public recreation and significant natural areas as defined in Title 12, chapter 21 of this Code. History: Amended Oct. 31, 1978, No. 4248, § 9, Sess. L. 1978, p. 314.

The following is a classification of the estates and rights in lands subject to be taken for public use: (1) A fee simple, when taken for public buildings or grounds or for permanent buildings, for reservoirs and dams, and permanent floodings thereby. (2) An easement when taken for any other use. (3) The right of entry upon and occupation of lands, and the right to take therefrom such earth, gravel, stones, trees and timber as may be necessary for some public use.

An environmental covenant executed pursuant to title 28 Virgin Islands Code, chapter 18 may not be extinguished, limited or impaired by the exercise of eminent domain. History: Added July 19, 2006, No. 6840, § 2, Sess. L. 2006, p. 99.

The private property which may be taken under this chapter includes: (1) All real property belonging to any person. (2) Lands belonging to the Government of the United States Virgin Islands or any governmental division, whether incorporated or unincorporated, not appropriated to some public use. (3) Property appropriated to public use; but such property shall not be taken unless for a more necessary purpose than that to which it has already been appropriated. (4) Franchises for roads, bridges, and ferries, and all other franchises; but such franchises shall not be taken unless for free highways, free bridges, railroads, or other more necessary public use. (5) All rights of way for any and all the purposes mentioned in section 411 of this title, and any and all structures and improvements thereon, and the lands held and used in connection therewith shall be subject to be connected with, crossed, or intersected by any other right of way or improvements or structures thereon. They shall also be subject to a limited use, in common with the owner thereof, when necessary; but such uses, crossings, intersections, and connections shall be made in manner most compatible with the greatest public benefit and least private injury. (6) All classes of private property not enumerated may be taken for public use when such taking is authorized by law.

Before property can be taken it must appear- (1) that the use to which it is to be applied is a use authorized by law; (2) if already appropriated to some public use, that the public use to which it is to be applied is a more necessary public use; and (3) that the taking is necessary to such use.

Proceedings; Damages For Dismissal, No Award, Or Abandonment (a) In all cases where land is required for public use the government, or its agents in charge of such use, may survey and locate the same, but it shall be located in the manner which will be most compatible with the greatest public good and the least private injury, and subject to the provisions of this chapter. (b) The government or its agents in charge of such public use may enter upon the land and make examinations, surveys, and maps thereof, and such entry shall constitute no cause of action in favor of the owners of the land, except from injuries resulting from negligence, wantonness, or malice. (c) When it appears to the satisfaction of the court at any stage of proceedings that the public interests will be prejudiced by delay, it may direct that the plaintiff be permitted to enter immediately upon the real property to be taken, take possession of the property or any part thereof to the extent of the interest to be acquired, and may proceed with such use thereof or such works thereon or therewith as have been authorized by law, upon the deposit with the court of a sum to be fixed by the court upon a notice to the parties of not less than eight days and such sum when so fixed and paid shall be applied, so far as it may be necessary for that purpose, to the payment of any award that may be made, with interest thereon from the date of the entry of the petitioner upon such real property, and the costs and expenses of the proceeding, and the residue, if any, returned to the plaintiff, and, in case the petition should be dismissed, or no award should be made, or the proceedings should be abandoned by the plaintiff, the court shall direct that the money so deposited, so far as it may be necessary, shall be applied to the payment of any damages which the defendant may have sustained by such entry upon and use of his property, and his costs and expenses of the proceedings, such damages to be ascertained by the court, or a referee to be appointed for that purpose and if the sum so deposited shall be insufficient to pay such damages, and all costs and expenses awarded to the defendant, judgment shall be entered against the plaintiff for the deficiency, to be enforced and collected in the same manner as a judgment in the Superior Court of the Virgin Islands; and the possession of the property shall be restored to the defendant. (d) [Repealed.] (e) [Repealed.] History: Amended July 10, 1960, No. 629, Sess. L. 1960, p. 155; Mar. 24, 1965, No. 1386, §§ 1, 2, Sess. L. 1965, Pt. I, p. 121, 122.

(a) All actions for condemnation of property under this chapter shall be brought in the district court. (b) Except as provided in this chapter, the procedure in such actions is governed by Rule 71.1 of the Federal Rules of Civil Procedure.

The court has power to- (1) regulate and determine the place and manner of making the connections and crossings and enjoying the common uses mentioned in subdivision (5) of section 413 of this title; (2) determine whether or not the use for which the property is sought to be appropriated is a public use within the meaning of the applicable laws; (3) limit the amount of property sought to be appropriated, if in the opinion of the court the quantity sought to be appropriated is not necessary; and (4) determine all issues other than the amount of just compensation.

Proceedings; Court Action (a) If the court is satisfied that the public interests require the taking of the property, it shall make an order appointing a commission of three competent persons resident in the Virgin Islands to determine the issue of just compensation, and fixing their compensation, if- (1) any party files a demand for trial by commission within the time allowed for answer or within such further time as the court may fix; or (2) the court determines in its discretion that, because of the character, location, or quantity of the property to be condemned, or for other reasons in the interest of justice, the issue of just compensation should be determined by a commission. (b) If a commission is not appointed under subsection (a) of this section, the issue of just compensation shall be tried by the court. (c) Before entering upon their duties, the commissioners shall severally take and subscribe an oath to discharge their duties faithfully and impartially. (d) The commission shall have the powers of a master provided in subdivision (c) of Rule 53 of the Federal Rules of Civil Procedure and proceedings before it shall be governed by the provisions of paragraphs (1) and (2) of subdivision (f) of such Rule 53. Its action and report shall be determined by a majority and its findings and report shall have the effect, and be dealt with by the court in accordance with the practice, prescribed in paragraphs (3), (4) and (5) of subdivision (f) of Rule 53.

The following rules shall be followed in the determination and assessment of just compensation: (1) The value of the property sought to be appropriated and all improvements thereon, pertaining to the realty and each and every separate estate and interest therein shall be assessed. If it consists of different parcels, the value of each parcel and each estate or interest therein shall be separately assessed. (2) If the property sought to be appropriated constitutes only a part of a larger parcel, the damages which will accrue to the portion not sought to be condemned by reason of its severance from the portion sought to be condemned, and the construction of the improvements in the manner proposed by the plaintiff, shall be assessed. (3) There shall be determined, separately, how much of the portion not sought to be condemned, and each estate or interest therein will be benefited, if at all, by the construction of the improvements proposed by the plaintiff. If the benefit is equal to the damages assessed under subdivision (2) of this section the owner of the parcel shall be allowed no compensation except the value of the portion taken. If the benefits are less than the damages assessed the former shall be deducted from the latter, and the remainder shall be the only damages allowed in addition to the value. (4) If the property sought to be condemned is for a railroad, the cost of good and sufficient fences along the line of such railroad, and the cost of cattle guards where fences may cross the line of such railroad shall be assessed. (5) As far as practicable compensation shall be assessed for each source of damage separately. (6) For the purpose of assessing compensation and damages, the right thereto shall be deemed to have accrued at the date of the notice, and its actual value at that date shall be the measure of compensation of all property to be actually taken, and the basis of damages to property not actually taken but injuriously affected. If an order be made letting the plaintiff into possession as provided in section 420 of this title, the compensation and damages awarded shall draw lawful interest from the date of such order. No improvements put upon the property subsequent to the date of the service of notice shall be included in the assessment of compensation or damages.

At any time after the report and assessment of damages of the commissioners has been made and filed in the court, and either before or after the hearing of objections to or appeal from the assessment or from any other order or judgment in the proceedings, the court at chambers, upon application of the plaintiff, may make an order that upon payment into court for the defendant entitled thereto of the amount of damages assessed, either by the commissioners or by the court as the case may be, the plaintiff be authorized, if already in possession of the property of such defendant sought to be appropriated, to continue in such possession; or, if not in possession, that the plaintiff be authorized to take possession, of such property and use and possess the same during the pendency and until the final conclusion of the proceedings and litigation; and that all actions and proceedings against the plaintiff on account thereof be stayed until such time. Where objections are filed or an appeal is taken by the defendant, the court may, in its discretion, require the plaintiff, before continuing or taking such possession, in addition to paying into court the amount of damages assessed, to give a bond or undertaking, with sufficient sureties, to be approved by the court, and to be in such sum as the court may direct, conditioned to pay the defendant any additional damages and costs over and above the amount assessed, which it may finally be determined that defendant is entitled to for the appropriation of the property, and all damages which defendant may sustain if for any cause such property is not finally taken for public use. The amount assessed as damages by the commissioners or by the court, as the case may be, shall be taken and considered, for the purposes of this section, until reassessed or changed in the further proceedings, as just compensation for the property appropriated. The plaintiff, by payment into court of the amount assessed or by giving security, shall not be thereby prevented or precluded from objecting to or appealing from such assessment, but may file objections or appeal in the same manner and with the same effect as if no money had been deposited or security given. Subdivision (j) of Rule 71.1 of the Federal Rules of Civil Procedure shall apply to a deposit under this section. A defendant who receives payments from the deposit under such Rule is not thereby precluded from filing objections to or appealing from the assessment.

Declaration of taking, deposit, and judgment (a) Notwithstanding the provisions of sections 415 or 420 of this chapter, in any proceeding heretofore or hereafter instituted in Superior Court of the Virgin Islands for the condemnation of any property or any permanent or temporary interest or easement therein, the Government of the United States Virgin Islands, or any department, agency, bureau, or instrumentality thereof authorized by law to seek the condemnation in question, may file in the cause, with the petition or any time before judgment, a declaration of taking for the acquisition and physical delivery of the property sought to be condemned, signed by the person or entity empowered by law to acquire the property described in the petition. Said declaration of taking and physical delivery shall contain or have annexed thereto: (1) A statement of the authority under which and the public use for which said property is taken. (2) A description of the property taken sufficient for the identification thereof. (3) A statement of the estate or interest in the property taken for public use. (4) A plan of the property taken, in cases where the property can be so represented. (5) A statement of the sum of money estimated by said acquiring authority to be just compensation for the property taken. Upon the filing of said declaration of taking and deposit in the court, to the use of the persons entitled thereto, of the amount of the estimated compensation stated in said declaration, title to the property in fee simple absolute, or such less estate or interest therein as is specified in said declaration, shall vest in the Government of the United States Virgin Islands, or in the department, agency, bureau or instrumentality thereof, which may have been authorized to seek the condemnation, and such property shall be deemed condemned and taken for the use of the Government of the United States Virgin Islands, or the department, agency, bureau or instrumentality thereof involved, as the case may be, and the right to just compensation for the same shall vest in the persons entitled thereto; and said compensation shall be ascertained and awarded in said proceeding and established by judgment therein, and the said judgment shall include, as part of the just compensation awarded, interest at the rate of six per centum per annum on the amount finally awarded as the value of the property as of the date of taking, from said date to the date of payment; but interest shall not be allowed on so much thereof as shall have been paid into the court. No sum so deposited and paid into the court shall be subject to any charge for commission, deposit or custody. Payment of money deposited; judgment for deficiency (b) Upon the application of the parties in interest, the court may order that the money deposited in the court, or any part thereof, be paid forthwith for or on account of the just compensation to be awarded in the proceeding. If the compensation finally awarded in respect of said property, or any parcel thereof, shall exceed the amount of the money so received by any person entitled, the court shall enter judgment against the Government of the United States Virgin Islands or other condemning entity for the amount of the deficiency. Order for surrender of possession; other orders (c) Upon the filing of the declaration of taking, the court shall have power to fix the time within which, and the terms upon which, the parties in possession of the property shall be required to surrender possession to the petitioner. The court shall have power to make such orders in respect to encumbrances and other charges, if any, burdening the property, as shall be just and equitable. Certification as to payment of ultimate award (d) Action under the provisions of this section irrevocably committing the Government of the United States Virgin Islands to the payment of the ultimate award shall not be taken unless the head of the executive department or agency, bureau or instrumentality empowered by law to acquire the property, certifies that he is of the opinion that the ultimate award probably will be within whatever limits are prescribed by the Legislature of the Virgin Islands in connection with the price to be paid. Vesting of title notwithstanding appeal or giving of bond (e) No appeal in any cause under this section or any bond or undertaking given therein shall operate to prevent or delay the acquisition by, or the vesting of title to such property in the Government of the United States Virgin Islands or the agency, bureau or instrumentality empowered by law to acquire the property. History: Added Mar. 24, 1965, No. 1386, § 3, Sess. L. 1965, Pt. I, p. 122; amended Jan. 7, 1993, No. 5824, § 8, Sess. L. 1992, p. 173.

of Judgment On Appeal On Recovery of Interest; Appropriations (a) In any judgment rendered in a condemnation proceeding instituted under the provisions of this chapter by the Government of the United States Virgin Islands directly or on its behalf by any department, agency, bureau or instrumentality of the Government of the United States Virgin Islands, or any officer thereof, in which the amount determined by the court as just compensation for the property or rights therein taken is greater than the amount deposited by the condemning entity in the court as just compensation for such property or rights therein, the Government of the United States Virgin Islands shall pay the amount of the difference between the sum thus deposited by the condemning entity and the sum that has been determined by the court as just compensation for said property or the rights therein, with interest at the rate of six per centum per annum on such difference, to be computed from the date of the acquisition of such property or rights therein up to the date of the payment of such difference; Provided, That in such cases in which an owner or owners appeals from the judgment fixing the compensation, and upon said appeal the judgment is affirmed, or the compensation awarded reduced, the appellant shall not recover interest for the period of time comprised between the date of the filing of the appeal and until the judgment of the appellate court is final and unappealable. (b) As soon as the judgment referred to in subsection (a) of this section is final and unappealable, the Commissioner of Finance of the Virgin Islands shall pay to the owner or owners involved the amount of the difference specified in said subsection (a), with interest thereon, as therein specified, out of any funds in the General Fund of the Treasury of the Virgin Islands not otherwise appropriated. (c) The necessary sums to carry out the provisions of this section are hereby appropriated out of any funds in the General Fund of the Treasury of the Virgin Islands not otherwise appropriated, unless otherwise provided for by law. History: Added Mar. 24, 1965, No. 1386, § 4, Sess. L. 1965, Pt. I, p. 123.

This chapter may be referred to as the Real Property Acquisition Act of 1972. History: Added Feb. 15, 1973, No. 3391, Sess. L. 1972, p. 575.

The provisions of this chapter shall be applicable to the acquisition of real property under the laws of the Virgin Islands for use in any project or program in which Federal, or Territorial funds are used. History: Added Feb. 15, 1973, No. 3391, Sess. L. 1972, p. 575.

Any person, agency or other entity acquiring real property for such use shall as soon as practicable after the date of payment of the purchase price or the date of deposit into court of funds to satisfy the award of compensation in a condemnation proceeding to acquire real property, whichever is the earlier, reimburse the owner, for expenses necessarily incurred for (a) recording fees, transfer taxes and similar expenses incidental to conveying such real property; (b) penalty costs for prepayment for any preexisting recorded mortgage entered into in good faith encumbering such real property; and (c) the pro rata portion of real property taxes paid which are allocable to a period subsequent to the date of vesting title, or the effective date of possession of such real property by the Territory, whichever is the earlier. History: Added Feb. 15, 1973, No. 3391, Sess. L. 1972, p. 576.

Where a condemnation proceeding is instituted to acquire real property for such use and (i) the final judgment is that the real property cannot be acquired by condemnation or (ii) the proceeding is abandoned, the owner of any right, title or interest in such real property shall be paid such sum as will reimburse such owner for reasonable attorney, appraisal and engineering fees, actually incurred because of the condemnation proceedings. The award of such sums will be paid by the person, agency or other entity which sought to condemn the property. History: Added Feb. 15, 1973, No. 3391, Sess. L. 1972, p. 576.

Where an inverse condemnation proceeding is instituted by the owner of any right, title or interest in real property because of use of his property in any program or project in which Federal and/or Federal-aid funds are used, the court, rendering a judgment for the plaintiff in such proceeding and awarding compensation for the taking of property, or the Attorney General affecting a settlement of any such proceeding, shall determine and award or allow to such plaintiff, as a part of such judgment or settlement, such sums as will reimburse such plaintiff for his reasonable costs, disbursements and expenses, including reasonable attorney, appraisal and engineering fees, actually incurred because of such proceeding. History: Added Feb. 15, 1973, No. 3391, Sess. L. 1972, p. 576.

Any person, agency or other entity acquiring real property for any project or program in which Federal and/or Federal-aid funds are used shall comply with the following policies: (a) Every reasonable effort shall be made to acquire expeditiously real property by negotiation. (b) Real property shall be appraised before the initiation of negotiations, and the owner or his designated representative shall be given an opportunity to accompany the appraiser during his inspection of the property. (c) Before the initiation of negotiations for real property, an amount shall be established which it is reasonably believed is just compensation therefore and such amount shall be offered for the property. In no event shall such amount be less than the fair market value of the real property prior to the acquisition or the announcement of the intent to acquire. No reduction in fair market value caused by the public improvement for which such property is acquired or by the likelihood that the property would be acquired for such improvement, other than that due to physical deterioration within the reasonable control of the owner, will be considered in determining the compensation for the property. The owner of the real property to be acquired shall be provided with a written statement of, and summary of the basis for the amount established as just compensation. Where appropriate the just compensation for the real property acquired and for damages to remaining real property shall be separately stated. (d) No owner shall be required to surrender possession of real property before the agreed purchase price is paid or there is deposited with the Court, in accordance with applicable law, for the benefit of the owner, an amount not less than the approved appraisal of the fair market value of such property, or the amount of the award of compensation in the condemnation proceeding of such property. (e) The construction or development of a public improvement shall be so scheduled that, to the greatest extent practicable, no person lawfully occupying real property shall be required to move from a dwelling (assuming a replacement dwelling will be available) or to move his business or farm operation without at least 90 days' written notice prior to the date on which such move is required. (f) If an owner or tenant is permitted to occupy the real property acquired on a rental basis for a short term or for a period subject to termination by the Territory on short notice, the amount of rent charged shall not exceed the fair rental value of the property to a short-term occupier. (g) In no event shall the time of condemnation be advanced on negotiations or condemnations and the deposit of funds in Court for the use of the owner be deferred, or any other coercive action be taken to compel an agreement on the price to be paid for the property. (h) If an interest in real property is to be acquired by the exercise of power of eminent domain, formal condemnation proceedings shall be instituted. The acquiring authority shall not intentionally make it necessary for an owner to institute legal proceedings to prove the fact of the taking of his real property. (i) If the acquisition of only part of the property would leave its owner with an uneconomic remnant, an offer to acquire the entire property shall be made. History: Added Feb. 15, 1973, No. 3391, Sess. L. 1972, p. 576.

(a) Where any interest in real property is acquired, an equal interest in all buildings, structures, or other improvements located thereon shall be acquired if such improvements must be removed or the value thereof is adversely affected by the use for which such real property is being acquired. (b) For the purpose of determining the just compensation to be paid for any building, structure or other improvement required to be acquired as above set forth, such building, structure or other improvement shall be deemed to be a part of the real property to be acquired notwithstanding the right or obligation of a tenant, as against the owner of any other interest in the real property, to remove such building, or improvement at the expiration of his term, and the fair market value which such building, structure or improvement contributes to the fair market value of such building, structure or improvement or the cost of removal thereof, whichever is the greater, shall be paid to the tenant therefor. (c) Payment for such buildings, structures or improvements as set forth above shall not result in duplication of any payments otherwise authorized by law. No such payment shall be made unless the owner of the land involved disclaims all interest in the improvements of the tenant. In consideration for any such payment, the tenant shall assign, transfer and release all his right, title and interest in and to such improvements. Nothing with regard to the above-mentioned acquisition of buildings, structures or other improvements shall be construed to deprive the tenant of any rights to reject payment and to obtain payment for such property interests in accordance with other laws of the Virgin Islands. History: Added Feb. 15, 1973, No. 3391, Sess. L. 1972, p. 578.

When several persons hold and are in possession of real property as tenants in common, in which one or more of them have an estate of inheritance, or for life or years, or when several persons hold as tenants in common a vested remainder or reversion in any real property, any one or more of them may maintain an action of an equitable nature for the partition of such real property according to the respective rights of the persons interested therein, and for a sale of such property, or a part of it, if it appears that a partition cannot be had without great prejudice to the owners.

The interest of all persons in the property, whether such persons are known or unknown, shall be set forth in the complaint, specifically and particularly, as far as known to the plaintiff. If one or more of the parties, or the share or quantity of interest of any of the parties, is unknown to the plaintiff, or are uncertain or contingent, or the ownership of the inheritance depends upon an executory devise, or the remainder is a contingent remainder, so that such parties cannot be named, that fact shall be set forth in the complaint.

The plaintiff shall make creditors having liens upon the property or any portion thereof, defendants in the action. When the lien is upon an undivided interest or estate of any of the parties, if a partition is made, such lien is thenceforth a lien only upon the share assigned to such party, but such share shall be first charged with its just proportion of the costs of the partition, in preference to such lien.

The summons shall be directed by name to all the tenants in common who are known, and in the same manner to all lien creditors who are made parties to the action, and generally to all persons unknown, having or claiming an interest or estate in the property.

If a party having a share or interest in or lien upon the property is unknown, or any of the known parties resides out of the Virgin Islands or cannot be found therein, and such fact is made to appear by affidavit, the summons may be served upon such absent or unknown party by publication, directed by the court, as in ordinary cases. When service of the summons is made by publication, it shall be accompanied by a brief description of the property which is the subject of the action.

The defendant shall set forth in his answer the nature and extent of his interest in the property, and if he is a lien creditor, how such lien was created, the amount of the debt secured thereby, and remaining due, and whether such debt is secured in any other way, and if so, the nature of such other security.

The rights of the several parties, plaintiffs as well as defendants, may be put in issue, tried, and determined in a partition action. Where a defendant fails to answer, or where a sale of the property is necessary, the title shall be ascertained by proof to the satisfaction of the court before the judgment for partition or sale is given.

If it is alleged in the complaint and established by evidence, or if it appears by the evidence, without such allegation in the complaint, to the satisfaction of the court, that the property, or any part of it, is so situated that partition cannot be made without great prejudice to the owners, the court may order a sale thereof, and for that purpose may appoint one or more referees. Otherwise, upon the requisite proofs being made, the court shall adjudge a partition according to the respective rights of the parties, as ascertained by the court, and appoint three referees therefor. The court shall designate the portion to remain undivided for the owners whose interests remain unknown or not ascertained.

In making the partition the referees shall divide the property and allot the several portions thereof to the respective parties, quality and quantity relatively considered, according to the respective rights of the parties as determined by the court, designating the several portions by proper landmarks, and may employ a surveyor with the necessary assistants to aid them therein. The referees shall make a report of their proceedings specifying therein the manner of executing their trust, describing the property divided and the shares allotted to each party, with a particular description of each share.

The court may confirm or set aside the report in whole or in part and if necessary appoint new referees. Upon the report being confirmed, a judgment shall be given that such partition be effectual forever, which judgment shall be binding and conclusive- (1) on all parties named therein, and their legal representatives, who have at the time any interest in the property divided, or any part thereof, as owners in fee, or as tenants for life or for years, or as entitled to the reversion, remainder or inheritance of such property, or any part thereof after the termination of a particular estate therein, or who by any contingency may be entitled to a beneficial interest in the property, or who have an interest in any undivided share thereof as tenants for years or for life; (2) on all persons interested in the property who may be unknown, to whom notice of the application for partition has been given by publication, as directed by section 455 of this title; and (3) on all other persons claiming from such parties or persons, or any of them.

A judgment and partition under section 460 of this title shall not affect any tenants for years or for life of the whole of the property which is the subject of partition; nor shall such judgment or partition preclude any person, except such as are specified in section 460 of this title, from claiming title to the property in question, or from controverting the title of the parties between whom the partition has been made.

The expenses of the referees, including those of a surveyor and his assistants, when employed, shall be ascertained and allowed by the court, and the amount thereof, together with the fees allowed by law to the referees, shall be paid by the plaintiff, and may be allowed as part of the charges.

If the referees' report to the court that the property of which partition has been adjudged, or any separate portion thereof, is so situated that a partition thereof cannot be made without great prejudice to the owners and the court is satisfied that such report is correct, it may thereupon, by an order, direct the referees to sell the property or separate portion thereof so situated.

When a part of the property only is ordered to be sold, if there is an estate for life or years in an undivided share of the property, the whole of such estate may be set off in any part of the property not ordered to be sold.

If an order of sale is made, and before a distribution of the proceeds thereof, the plaintiffs shall produce to the court a certificate showing the liens remaining unsatisfied, if any, by judgment upon the property, or any portion thereof, and unless he does so the court shall order a referee to ascertain them.

If it appears by a certificate, or reference in case the certificate is not produced under section 465 of this title, that any such liens exist, the court shall appoint a referee to ascertain what amount remains due thereon or secured thereby, respectively, and the order of priority in which they are entitled to be paid out of the property.

The plaintiff shall cause a notice to be served, at least ten days before the time for appearance, on each person having such lien by judgment to appear before the referee at a specified time and place to make proof by his own affidavit or otherwise of the true amount due, or to become due, contingently or absolutely, on his judgment.

The referee shall receive the evidence and report the names of the creditors whose liens are established, the amounts thereon or secured thereby, and their priority, respectively, and whether contingent or absolute. He shall attach to his report the proof of service of the notices and the evidence before him.

The report of the referee may be excepted to by either party to the action or to the proceedings before the referee, in like manner and with like effect as in ordinary cases. If a lien creditor is absent from the Virgin Islands, or his residence therein is unknown, and that fact appears by affidavit, the court may by order direct that service of the notice may be made upon his agent or attorney of record or by publication thereof for such time and in such manner as the order may prescribe.

If the report of the referee is confirmed, the order of confirmation is binding and conclusive upon all parties to the action and upon the lien creditors who have been duly served with the notice to appear before the referee as provided in section 467 of this title.

The proceeds of the sale of the encumbered property shall be distributed by the judgment of the court as follows- (1) to pay its just proportion of the general cost of the action; (2) to pay the costs of the reference; (3) to satisfy the several liens, in their order of priority, by payment of the sums due and to become due, according to the judgment; and (4) the residue among the owners of the property sold, according to their respective shares.

Whenever any party to the action or who holds a lien upon the property or any part thereof has other securities for the payment of the amount of such lien, the court may, in its discretion, order such securities to be exhausted before a distribution of the proceeds of sale, or may order a just deduction to be made from the amount of the lien on the property on account thereof.

The proceedings to ascertain the amount of the liens and to determine their priority, as above provided, or those hereinafter authorized to determine the rights of parties to funds paid into court, shall not delay the sale nor affect any other party whose rights are not involved in such proceedings.

The proceeds of sale and the securities taken by the referees, or any part thereof, shall be distributed by them to the persons entitled thereto whenever the court so directs. If no such direction be given all such proceeds and securities shall be paid into court or deposited as directed by the court.

When the proceeds of sales of any shares or parcel belonging to persons who are parties to the action, and who are known, are paid into court, the action may be continued as between such parties for the determination of their respective claims thereto, which shall be ascertained and adjudged by the court. Further testimony may be taken in court, or by a referee, at the discretion of the court, and the court may, if necessary, require such parties to present the facts or law in controversy, by pleading, as in an original action.

All sales of real property made by the referee shall be made by public auction to the highest bidder, in the manner required for the sale of real property on execution. The notice shall state the time, place, and terms of sale, and if the property or any part of it is to be sold subject to a prior estate, charge, or lien, that shall be stated in the notice.

The court shall, in the order of sale, direct the terms of credit which may be allowed for the purchase money of any portion of the premises of which it may direct a sale on credit; and for that portion of which the purchase money is required by the provisions hereinafter contained to be invested for the benefit of unknown owners and parties out of the Virgin Islands.

The referees may take separate mortgages and other securities for the whole or convenient portions of the purchase money of such parts of the property as are directed by the court to be sold on credit, in the name of the clerk of the court, and his successors in office; and for the shares of any known owner of full age, in the name of such owner.

When the estate of any tenant for life or years, in any undivided part of the property in question, has been admitted by the parties, or ascertained by the court to be existing at the time of the order of sale, and the person entitled to such estate has been made a party to the action, such estate may be first set off out of any part of the property, and a sale made of such parcel, subject to the prior unsold estate of such tenant therein; but if in the judgment of the court a due regard to the interest of all the parties requires that such estate be also sold, the sale may be so ordered.

Any person entitled to an estate for life or years in any undivided part of the property, whose estate has been sold, shall be entitled to receive such sum in gross as may be deemed upon principles of law applicable to annuities a reasonable satisfaction for such estate, and which the person so entitled shall consent to accept instead thereof, by an instrument duly acknowledged or proved in the same manner as deeds for the purpose of record, and filed with the clerk.

If a consent is not given, as provided in section 480 of this title, before the report of sale, the court shall ascertain and determine what proportion of the proceeds of the sale, after deducting expenses, will be a just and reasonable sum to be invested for the benefit of the person entitled to such estate for life or years, and shall order the same to be deposited in court for that purpose.

The proportion of the proceeds of the sale to be invested as provided in section 481 of this title shall be ascertained and determined in the several cases as follows: (1) If an estate in dower is included in the order of sale, its proportion shall be one-third of the proceeds of the sale of the property, or of the sale of the undivided share in such property upon which the claim of dower existed. (2) If an estate by curtesy, or other estate for life or years, is included in the order of sale, its proportion shall be the whole proceeds of the sale of the property, or of the sale of the undivided share thereof in which such estate may be. In all cases the proportion of the expenses of the proceeding shall be deducted from the proceeds of the sale.

If the persons entitled to an estate for life or years are unknown, the court shall provide for the protection of their rights in the same manner, as far as may be, as if they were known and had appeared.

In all cases of sales in partition, when it appears that any person has a vested or contingent future right or estate in any of the property sold, the court shall ascertain and settle the proportional value of such contingent or vested right or estate according to the principles of law applicable to annuities and survivorship, and shall direct such proportion of the proceeds of sale to be invested, secured or paid over in such manner as to protect the rights and interests of the parties.

In all cases of sales of property, the terms shall be made known at the time. If the premises consist of distinct farms or lots, they shall be sold separately, or otherwise if the court so directs.

Neither the referees, nor any person for the benefit of any of them, shall be interested in any purchase. No guardian of an infant party shall be interested in the purchase of any real property, being the subject of the action, except for the benefit of the infant. All sales contrary to the provisions of this section shall be void.

After completing the sale, the referees shall report the same to the court, with a description of the different parcels of lands sold to each purchaser, the name of the purchaser, the price paid or secured, the terms and conditions of the sale, and the securities, if any, taken. The report shall be filed with the clerk.

The report of sale may be excepted to by any party entitled to a share of the proceeds, in like manner and with like effect as in ordinary cases. If the sale is confirmed, the order of confirmation shall direct the referees to execute conveyances and take securities pursuant to such sale, which acts they are hereby authorized to do. Such order shall have the effect to discharge the property of the estate or interest of every person mentioned in section 460 of this title, and of tenants for life or years of the property sold, and shall be binding and conclusive upon all such persons, as if the same were a decree for the partition of such property, and upon all persons whomsoever as to the regularity of the proceedings concerning such sale, except as provided in section 486 of this title.

When a party entitled to a share of the property or an encumbrancer entitled to have his lien paid out of the sale becomes a purchaser, the referees may take his receipt for so much of the proceeds of the sale as belongs to him.

When there are proceeds of sale belonging to an unknown owner, or to a person without the Virgin Islands who has no legal representatives within it, or when there are proceeds arising from the sale of an estate subject to the prior estate of a tenant for life or years, which are paid into the court or otherwise deposited by order of the court, the same may be invested under such order in securities on interest for the benefit of the persons entitled thereto.

When the security for the proceeds of sale is taken, or when an investment of any such proceeds is made, it shall be done, except as herein otherwise provided, in the name of the clerk of the court and his successors in office who shall hold the same for the use and benefit of the parties interested, subject to the order of the court.

Receipt When security is taken by the referees on a sale, and the parties interested in such security, by an instrument in writing under their hands delivered to the referee, agree upon the shares and proportions to which they are respectively entitled, or when shares and proportions have been previously adjudged by the court, such securities shall be taken in the names of and payable to the parties respectively entitled thereto, and shall be delivered to such parties upon their receipt therefor. Such agreement and receipt shall be returned and filed with the clerk.

The clerk in whose name a security is taken or by whom an investment is made, and his successors in office, shall receive the interest and principal as it becomes due, and apply and invest the same as the court may direct; and shall file in his office all securities taken and keep an account in a book provided and kept for that purpose in the clerk's office, free for inspection by all persons, of investments and moneys received by him thereon and the disposition thereof.

When it appears that the partition cannot be made equal between the parties, according to their respective rights, without prejudice to the rights and interests of some of them, the court may adjudge compensation to be made by one party to another on account of inequality of partition. Such compensation shall not be required to be made to others by owners unknown nor by infants unless in case of an infant it appears that he has personal property sufficient for that purpose, and that his interest will be promoted thereby.

When the share of an infant is sold the proceeds of the sale may be paid by the referees making the sale to his general guardian, or the special guardian appointed for him in the action, upon such guardian giving the security required by law or directed by order of the court.

The guardian who may be entitled to the custody and management of the estate of an insane person, or other person adjudged incapable of conducting his own affairs, whose interest in real property has been sold, may receive in behalf of such person his share of the proceeds of such real property from the referees on executing, with sufficient sureties, an undertaking, approved by the court, that he will faithfully discharge the trust reposed in him, and will render a true and just account to the person entitled, or to his legal representatives.

The costs of partition, including fees of referees and other disbursements, shall be paid by the parties respectively entitled to share in the lands divided, in proportion to their respective interests therein, and may be included and specified in the judgment. In that case there shall be a lien on the several shares, and the judgment may be enforced by execution against the parties separately. When, however, a litigation arises between some of the parties only, the court may require the expenses of such litigation to be paid by the parties thereto, or any of them.

This subchapter may be cited as The Uniform Partition of Heirs Property Act. History: Added Apr. 17, 2019, No. 8169, Chapter III, § 1, Sess. L. 2018, p. 491.

In this subchapter: (1) "Ascendant" means an individual who precedes another individual in lineage, in the direct line of ascent from the other individual. (2) "Collateral" means an individual who is related to another individual under the law of intestate succession of the Virgin Islands but who is not the other individual's ascendant or descendant. (3) "Descendant" means an individual who follows another individual in lineage, in the direct line of descent from the other individual. (4) "Determination of value" means a court order udder section 516 determining the fair market value of heirs property or adopting the valuation of the property agreed to by all cotenants. (5) "Heirs property" means real property held in tenancy in common which satisfies all of the following requirements as of the filing of a partition action: (A) there is no agreement in a record binding all the cotenants which governs the partition of the property; (B) one or more of the cotenants acquired title from a relative, whether living or deceased; and (C) Any of the following applies: (i) 20 percent or more of the interests are held by cotenants who are relatives; (ii) 20 percent or more of the interests are held by an individual who acquired title from a relative, whether living or deceased; or (iii) 20 percent or more of the cotenants are relatives. (6) "Partition by sale" means a court-ordered sale of the entire heirs property, whether by auction, sealed bids, or open-market sale conducted under section 520. (7) "Partition in kind" means the division of heirs property into physically distinct and separately titled parcels. (8) "Record" means information that is inscribed on a tangible medium or that is stored in an electronic or other medium and is retrievable in perceivable form. (9) "Relative" means an ascendant, descendant, or collateral or an individual otherwise related to another individual by blood, marriage, adoption, or law of this state other than this subchapter. History: Added Apr. 17, 2019, No. 8169, Chapter III, § 1, Sess. L. 2018, p. 491, 492.

(a) This subchapter applies to partition actions filed on or after the effective date of this subchapter. (b) In an action to partition real property under subchapter I, the court shall determine whether the property is heirs property. If the court determines that the property is heirs property, the property must be partitioned under this subchapter unless all of the cotenants otherwise agree in a record. (c) This subchapter supplements subchapter I of this chapter and, if an action is governed by this subchapter, replaces provisions of subchapter I which are inconsistent with this subchapter. History: Added Apr. 17, 2019, No. 8169, Chapter III, § 1, Sess. L. 2018, p. 492.

(a) This subchapter does not limit or affect the method by which service of a complaint in a partition action may be made. (b) If the plaintiff in a partition action seeks an order of notice by publication and the court determines that the property may be heirs property, the plaintiff, not later than 10 days after the court's determination, shall post and maintain while the action is pending a conspicuous sign on the property that is the subject of the action. The sign must state that the action has commenced and identify the name and address of the court and the common designation by which the property is known. The court may require the plaintiff to publish on the sign the name of the plaintiff and the known defendants. History: Added Apr. 17, 2019, No. 8169, Chapter III, § 1, Sess. L. 2018, p. 492.

If the court appoints referees pursuant to section 458, each referee, in addition to the requirements and disqualifications applicable to referees in general, must be disinterested and impartial and not a party to or a participant in the action. History: Added Apr. 17, 2019, No. 8169, Chapter III, § 1, Sess. L. 2018, p. 493.

(a) Except as otherwise provided in subsections (b) and (c), if the court determines that the property that is the subject of a partition action is heirs property, the court shall determine the fair market value of the property by ordering an appraisal pursuant to subsection (d). (b) If all cotenants have agreed to the value of the property or to another method of valuation, the court shall adopt that value, or the value produced by the agreed method of valuation. (c) If the court determines that the evidentiary value of an appraisal is outweighed by the cost of the appraisal, the court, after an evidentiary hearing, shall determine the fair market value of the property and send notice to the parties of the value. (d) If the court orders an appraisal, the court shall appoint a disinterested real estate appraiser licensed in the Virgin Islands to determine the fair market value of the property assuming sole ownership of the fee simple estate. On completion of the appraisal, the appraiser shall file a sworn or verified appraisal with the court. (e) If an appraisal is conducted pursuant to subsection (d), not later than 10 days after the appraisal is filed, the court shall send notice to each party with a known address, stating: (1) the appraised fair market value of the property; (2) that the appraisal is available at the clerk's office; and (3) that a party may file with the court an objection to the appraisal not later than 30 days after the notice is sent, stating the grounds for the objection. (f) If an appraisal is filed with the court pursuant to subsection (d), the court shall conduct a hearing to determine the fair market value of the property not sooner than 30 days after a copy of the notice of the appraisal is sent to each party under subsection (e), whether or not an objection to the appraisal is filed under subsection (e)(3). In addition to the court-ordered appraisal, the court may consider any other evidence of value offered by a party. (g) After a hearing under subsection (f), but before considering the merits of the partition action, the court shall determine the fair market value of the property and send notice to the parties of the value. History: Added Apr. 17, 2019, No. 8169, Chapter III, § 1, Sess. L. 2018, p. 493, 494.

(a) If any cotenant requested partition by sale, after the determination of value under section 516, the court shall send notice to the parties that any cotenant except a cotenant that requested partition by sale may buy all the interests of the cotenants that requested partition by sale. (b) Not later than 45 days after the notice is sent under subsection (a), any cotenant except a cotenant that requested partition by sale may give notice to the court that it elects to buy all the interests of the cotenants that requested partition by sale. (c) The purchase price for each of the interests of a cotenant that requested partition by sale is the value of the entire parcel determined under section 516 multiplied by the cotenant's fractional ownership of the entire parcel. (d) After expiration of the period in subsection (b), the following rules apply: (1) If only one cotenant elects to buy all the interests of the cotenants that requested partition by sale, the court shall notify all the parties of that fact. (2) If more than one cotenant elects to buy all the interests of the cotenants that requested partition by sale, the court shall allocate the right to buy those interests among the electing cotenants based on each electing cotenant's existing fractional ownership of the entire parcel divided by the total existing fractional ownership of all cotenants electing to buy and send notice to all the parties of that fact and of the price to be paid by each electing cotenant. (3) If no cotenant elects to buy all the interests of the cotenants that requested partition by sale, the court shall send notice to all the parties of that fact and resolve the partition action under section 518. (e) If the court sends notice to the parties under subsection (d)(1) or (2), the court shall set a date, not sooner than 60 days after the date the notice was sent, by which electing cotenants must pay their apportioned price into the court. After this date, the following rules apply: (1) If all electing cotenants timely pay their apportioned price into court, the court shall issue an order reallocating all the interests of the cotenants and disburse the amounts held by the court to the persons entitled to them. (2) If no electing cotenant timely pays its apportioned price, the court shall resolve the partition action under section 518(a) and (b) as if the interests of the cotenants that requested partition by sale were not purchased. (3) If one or more but not all of the electing cotenants fail to pay their apportioned price on time, the court shall give notice to the electing cotenants that paid their apportioned price of the interest remaining and the price for all that interest. (f) Not later than 20 days after the court gives notice pursuant to subsection (e)(3), any cotenant that paid may elect to purchase all of the remaining interest by paying the entire price into the court. After the 20- day period, the following rules apply: (1) If only one cotenant pays the entire price for the remaining interest, the court shall issue an order reallocating the remaining interest to that cotenant. The court shall issue promptly an order reallocating the interests of all of the cotenants and disburse the amounts held by it to the persons entitled to them. (2) If no cotenant pays the entire price for the remaining interest, the court shall resolve the partition action under section 518(a) and (b) as if the interests of the cotenants that requested partition by sale were not purchased. (3) If more than one cotenant pays the entire price for the remaining interest, the court shall reapportion the remaining interest among those paying cotenants, based on each paying cotenant's original fractional ownership of the entire parcel divided by the total original fractional ownership of all cotenants that paid the entire price for the remaining interest. The court shall issue promptly an order reallocating all of the cotenants' interests, disburse the amounts held by it to the persons entitled to them, and promptly refund any excess payment held by the court. (g) Not later than 45 days after the court sends notice to the parties pursuant to subsection (a), any cotenant entitled to buy an interest under this section may request the court to authorize the sale as part of the pending action of the interests of cotenants named as defendants and served with the complaint but that did not appear in the action. (h) If the court receives a timely request under subsection (g), the court, after hearing, may deny the request or authorize the requested additional sale on such terms as the court determines are fair and reasonable, subject to the following limitations: (1) a sale authorized under this subsection may occur only after the purchase prices for all interests subject to sale under subsections (a) through (f) have been paid into court and those interests have been reallocated among the cotenants as provided in those subsections; and (2) the purchase price for the interest of a nonappearing cotenant is based on the court's determination of value under section 516. History: Added Apr. 17, 2019, No. 8169, Chapter III, § 1, Sess. L. 2018, p. 494, 495.

(a) If all the interests of all cotenants that requested partition by sale are not purchased by other cotenants pursuant to section 517, or if after conclusion of the buyout under section 517, a cotenant remains that has requested partition in kind, the court shall order partition in kind unless the court, after consideration of the factors listed in section 419, finds that partition in kind will result in great prejudice to the cotenants as a group. In considering whether to order partition in kind, the court shall approve a request by two or more parties to have their individual interests aggregated. (b) If the court does not order partition in kind under subsection (a), the court shall order partition by sale pursuant to section 520 or, if no cotenant requested partition by sale, the court shall dismiss the action. (c) If the court orders partition in kind pursuant to subsection (a), the court may require that one or more cotenants pay one or more other cotenants amounts so that the payments, taken together with the value of the in-kind distributions to the cotenants, will make the partition in kind just and proportionate in value to the fractional interests held. (d) If the court orders partition in kind, the court shall allocate to the cotenants that are unknown, unbeatable, or the subject of a default judgment, if their interests were not bought out pursuant to section 517, a part of the property representing the combined interests of these cotenants as determined by the court and this subchapter of the property must remain undivided. History: Added Apr. 17, 2019, No. 8169, Chapter III, § 1, Sess. L. 2018, p. 496.

(a) In determining under section 518(a) whether partition in kind would result in great prejudice to the cotenants as a group, the court shall consider the following: (1) whether the heirs property practicably can be divided among the cotenants; (2) whether partition in kind would apportion the property in such a way that the aggregate fair market value of the parcels resulting from the division would be materially less than the value of the property if it were sold as a whole, taking into account the condition under which a court-ordered sale likely would occur; (3) evidence of the collective duration of ownership or possession of the property by a cotenant and one or more predecessors in title or predecessors in possession to the cotenant who are or were relatives of the cotenant or each other; (4) a cotenant's sentimental attachment to the property, including any attachment arising because the property has ancestral or other unique or special value to the cotenant; (5) the lawful use being made of the property by a cotenant and the degree to which the cotenant would be harmed if the cotenant could not continue the same use of the property; (6) the degree to which the cotenants have contributed their pro rata share of the property taxes, insurance, and other expenses associated with maintaining ownership of the property or have contributed to the physical improvement, maintenance, or upkeep of the property; and (7) any other relevant factor. (b) The court may not consider any one factor in subsection (a) to be dispositive without weighing the totality of all relevant factors and circumstances. History: Added Apr. 17, 2019, No. 8169, Chapter III, § 1, Sess. L. 2018, p. 496, 497.

(a) Notwithstanding section 476 of this title, if the court orders a sale of heirs property, the sale must be an open-market sale unless the court finds that a sale by sealed bids or an auction would be more economically advantageous and in the best interest of the cotenants as a group. (b) If the court orders an open-market sale and the parties, not later than 10 days after the entry of the order, agree on a real estate broker licensed in the Virgin Islands to offer the property for sale, the court shall appoint the broker and establish a reasonable commission. If the parties do not agree on a broker, the court shall appoint a disinterested real estate broker licensed in the Virgin Islands to offer the property for sale and shall establish a reasonable commission. The broker shall offer the property for sale in a commercially reasonable manner at a price no lower than the determination of value and on the terms and conditions established by the court. (c) If the broker appointed under subsection (b) obtains within a reasonable time an offer to purchase the property for at least the determination of value: (1) the broker shall comply with the reporting requirements in section 521; and (2) the sale may be completed in accordance with Virgin Islands law other than this subchapter. (d) If the broker appointed under subsection (b) does not obtain within a reasonable time an offer to purchase the property for at least the determination of value, the court, after hearing, may: (1) approve the highest outstanding offer, if any; (2) redetermine the value of the property and order that the property continue to be offered for an additional time; or (3) order that the property be sold by sealed bids or at an auction. (e) If the court orders a sale by sealed bids or an auction, the court shall set terms and conditions of the sale. If the court orders an auction, the auction must be conducted under subchapter 1 of this chapter. (f) If a purchaser is entitled to a share of the proceeds of the sale, the purchaser is entitled to a credit against the price in an amount equal to the purchaser's share of the proceeds. History: Added Apr. 17, 2019, No. 8169, Chapter III, § 1, Sess. L. 2018, p. 497, 498.

(a) Unless required to do so within a shorter time by subchapter I, a broker appointed under section 520(b) to offer heirs property for open-market sale shall file a report with the court not later than seven days after receiving an offer to purchase the property for at least the value determined under section 516 or 520. (b) The report required by subsection (a) must contain the following information: (1) a description of the property to be sold to each buyer; (2) the name of each buyer; (3) the proposed purchase price; (4) the terms and conditions of the proposed sale, including the terms of any owner financing; (5) the amounts to be paid to lienholders; (6) a statement of contractual or other arrangements or conditions of the broker's commission; and (7) other material facts relevant to the sale. History: Added Apr. 17, 2019, No. 8169, Chapter III, § 1, Sess. L. 2018, p. 498.

In applying and construing this subchapter, consideration must be given to the need to promote uniformity of the law with respect to its subject matter among states that enact it. History: Added Apr. 17, 2019, No. 8169, Chapter III, § 1, Sess. L. 2018, p. 498.

Act This subchapter modifies, limits, and supersedes the Electronic Signatures Global and National Commerce Act, 15 U.S.C. Section7001 et seq., but does not modify, limit, or supersede Section 101(c) of that act, 15 U.S.C. Section7001(c), or authorize electronic delivery of any of the notices described in Section 103(b) of that act, 15 U.S.C. Section7003(b). History: Added Apr. 17, 2019, No. 8169, Chapter III, § 1, Sess. L. 2018, p. 498.

(a) A lien upon real property, other than that of a judgment, whether created by mortgage or otherwise, shall be foreclosed, and the property adjudged to be sold to satisfy the debt secured thereby, by an action of an equitable nature. In such action, in addition to the judgment of foreclosure and sale, if it appears that a promissory note or other personal obligation for the payment of the debt has been given by the mortgagor or other lien debtor, or by any other person as principal or otherwise, the court shall also adjudge a recovery of the amount of such debt against such person or persons, as the case may be, as in the case of an ordinary judgment for the recovery of money. (b) Prior to the entry of any judgment of foreclosure, the parties must provide the Court with evidence that a good faith effort was made to settle the matter through mediation. The type and form of the mediation report shall be prescribed by the Superior Court of the Virgin Islands. History: Amended Apr. 19, 2012, No. 7346, § 6, Sess. L. 2012, p. 34.

(a) If the lien of a mortgage, or other instrument that creates a security interest of record in real property to secure a debt or other obligation has earlier expired, the lien expires at, and is not enforceable by an action for foreclosure commenced, power of sale exercised, or any other means asserted after, the latest date of the following: (1) If the final maturity date or the last date fixed for payment of the debt or performance of the obligation is ascertainable from the recorded evidence of indebtedness, five years after that date. (2) If the final maturity date or the last date fixed for payment of the debt or performance of the obligation is not ascertainable from the recorded evidence of indebtedness, or if there is no final maturity date or last date fixed for payment of the debt or performance of the obligation, 35 years after the date the instrument that created the security interest was recorded; or (3) If a notice of intent to preserve the security interest is recorded within the time prescribed in paragraph (1) or (2), five years after the date the notice is recorded; or (b) For the purpose of this section, a power of sale is deemed to be exercised upon recordation of the deed executed under the power of sale. (c) The times prescribed in this section may be extended only if an extension agreement is recorded before expiration of the prescribed times. In case an extension agreement is so recorded, the period shall continue until five years have elapsed during which no further extensions have been recorded. (d) Expiration of the lien of a mortgage, other security interest under this section or any other statute renders the lien unenforceable by any means commenced or asserted thereafter and is equivalent for all purposes to a certificate of satisfaction, reconveyance, release, or other discharge of the security interest, and execution and recording of a certificate of satisfaction, reconveyance, release, or other discharge is not necessary to terminate or evidence the termination of the security interest. Nothing in this section precludes execution and recording at any time of a certificate of satisfaction, reconveyance, release, or other discharge. (e) The time shall not be extended by non-residence or disability of any person interested in the mortgage or real estate, or by any partial payment, agreement, extension, acknowledgment affidavit, or other action not meeting the requirements of this section. (f) This section applies on the effective date to all mortgages, and other instruments that create a security interest in real property to secure a debt or other obligation, whether executed or recorded before, on, or after the effective date of this section. (g) All legally interested individuals, organizations or entities seeking the discharge of an ancient mortgage under this section shall file in the Office of the Recorder of Deeds an Ancient Mortgage Affidavit, notarized and attested by two witnesses, specifically stating that the mortgage is discharged, setting forth the parties to the mortgage, the full and legal description of the property, the date of the mortgage, the amount of the debt secured, and when and where recorded by indicating Auxiliary/PC and page numbers and assigned Document Number. Upon payment of the fee for recording the Ancient Mortgage Affidavit, the mortgage shall be marked as discharged on the relevant memorandum of encumbrances in the same manner as for any other mortgage duly discharged or released by the record holder thereof. History: Added Jan. 20, 2024, No. 8794, § 1, Sess. L. 2023, p. 188, 189.

Any person having a lien subsequent to the plaintiff upon the same property or any part thereof, or who has given a promissory note or other personal obligation for the payment of the debt or any part thereof, secured by the mortgage or other lien which is the subject of the action, shall be made a defendant in the action. Any person having a prior lien may be made defendant at the option of the plaintiff, or by the order of the court when deemed necessary.

When it is adjudged that any of the defendants have a lien upon the property, the court shall make a like judgment in relation thereto and the debt secured thereby as if such defendant were a plaintiff in the action. When a judgment is given foreclosing two or more liens upon the same property or any portion thereof in favor of different persons not united in interest such judgment shall determine and specify the order of time, according to their priority, in which the debts secured by such lien shall be satisfied out of the proceeds of the sale of the property.

(a) The judgment may be enforced by execution as an ordinary judgment for the recovery of money, except as in this section otherwise or specially provided. (b) When a judgment of foreclosure and sale is given, an execution may issue thereon against the property adjudged to be sold. If the judgment is in favor of the plaintiff only, the execution may issue as in ordinary cases, but if it is in favor of different persons not united in interest, it shall issue upon the joint request of such persons, or upon the order of the court, on the motion of either of them. (c) When the judgment is also against the defendants or any one of them in person, and the proceeds of the sale of the property upon which the lien is foreclosed are not sufficient to satisfy the judgment as to the sum remaining unsatisfied to either, the judgment may be enforced by execution as in ordinary cases. When in such case the judgment is in favor of different persons not united in interest, it shall be deemed a separate judgment as to such persons, and may be enforced accordingly.

A judgment of foreclosure shall not have the effect of barring the equity of redemption, and real property sold on execution issued upon such judgment may be redeemed, in like manner and with like effect, as real property sold on an execution issued on a judgment may be redeemed under sections 492 through 500 of Title 5 except that, notwithstanding the provisions of section 496 of Title 5, the judgment debtor or his successor in interest, on paying the amount of the purchase money, with interest at the legal rate per annum thereon from the date of sale, together with the amount of any taxes which the purchaser may have paid thereon after purchase, shall redeem within six months after the order of confirmation of sale. Nothing herein contained shall preclude a voluntary conveyance by the mortgagor to the mortgagee in lieu of foreclosure, which conveyance shall be deemed to convey the full estate of the mortgagor including the right to redemption. This right of redemption may be waived in writing by the judgment debtor or his successor in interest provided such waiver is not in or was not created contemporaneously with the underlying mortgage. History: Amended Mar. 4, 1966, No. 1597, § 1, Sess. L. 1966, p. 69; Mar. 5, 2005, No. 6727, § 14, Sess. L. 2005, p. 58; May 28, 2005, No. 6732, § 5, Sess. L. 2005, p. 152; Oct. 17, 2005, No. 6793, § 7, Sess. L. 2005, p. 354.

During the pendency of an action for the recovery of a debt secured by any lien mentioned in section 531 of this title, an action cannot be maintained for the foreclosure of such lien, nor thereafter, unless judgment is given in such action that the plaintiff recover such debt or some part thereof, and any execution thereon against the property of the defendant in the judgment is returned unsatisfied in whole or in part.

When an action is commenced to foreclose a lien by which a debt is secured, which debt is payable in installments, either of interest or principal, and any of such installments is not then due, the court shall adjudge a foreclosure of the lien, and may also adjudge a sale of the property for the satisfaction of the whole of such debt, or so much thereof as may be necessary to satisfy the installment then due, with costs of action. In the latter case the judgment of foreclosure as to the remainder of the property may be enforced by an order of sale, in whole or in part, whenever default shall be made in the payment of the installments not then due.

Personal Property If, before a judgment is given, the amount then due, with the costs of action, is brought into court, and paid to the clerk, the action shall be dismissed, and if the same is done after judgment and before sale, the effect of the judgment as to the amount then due and paid shall be terminated and the execution, if any has issued, shall be recalled by the clerk. When an installment not due is adjudged to be paid, the court shall determine and specify in the judgment what sum shall be received in satisfaction thereof, which sum may be equal to such installment or otherwise, according to the present value thereof.

Any person who makes, alters, repairs, or bestows labor on any article of personal property at the request of the owner or lawful possessor thereof shall have a lien upon such property so made, altered, or repaired or upon which labor has been bestowed, for his just and reasonable charges for the labor he has performed and the material he has furnished, and such person may hold and retain possession of the same until such charges shall be paid.

of Livestock Any person who- (1) is a common carrier, or, at the request of the owner or lawful possessor of any personal property, carries, conveys, or transports the same from one place to another; or (2) safely keeps or stores any grain, wares, merchandise, or personal property at the request of the owner or lawful possessor thereof; or (3) pastures or feeds any horses, cattle, hogs, sheep, or other livestock, or bestows any labor, care, or attention upon the same at the request of the owner or lawful possessor thereof- shall have a lien upon such property for his just and reasonable charges for the labor, care, and attention he has bestowed and the food he has furnished, and he may retain possession of such property until such charges are paid. The foregoing shall not apply in any transaction governed by the provisions of Article 7 of Title 11A. History: Amended Feb. 19, 1965, No. 1299, § 9, Sess. L. 1965, Pt. II, p. 218.

If the just and reasonable charges under sections 581 and 582 of this title are not paid within three months after the care, attention, and labor have been performed or bestowed, or the materials or food have been furnished, the person having such lien may proceed as provided in this chapter.

The provisions of sections 581 - 583 of this title shall not interfere with any special agreement of the parties.

The liens provided for in this chapter are preferred liens and are prior to any and all other liens.

(a) The person rendering the service or doing the work or labor named in sections 581 and 582 of this title is only entitled to the liens as provided herein for services, work, or labor for the period of six months, or any part thereof next preceding the filing of the claims as provided in section 587 of this title. (b) No lien provided for in this chapter shall bind any property for a longer period than six months after the claim provided for in section 587 of this title has been filed, unless an action is commenced within that time to enforce the same.

Within 30 days after the rendition of the services, or after performing the work or labor, mentioned in sections 581 and 582 of this title, every person who claims the benefit of this chapter shall file for record in the recorder's office of the judicial division where the property is situated, a claim which shall be verified by the oath of himself or some other person for him to the effect that the affiant believes the same to be true. The claim shall contain- (1) a statement of his demand, and the amount thereof, after deducting, as nearly as possible, all just credits and offsets; (2) the name of the person by whom he was employed; (3) a statement of the terms and conditions of the contract, if any, and if there is no express contract, a statement of what the service, work, or labor is reasonably worth; and (4) a description of the property to be charged with the lien sufficient for identification with reasonable certainty.

The recorder shall record every claim filed under the provisions of this chapter in books kept by him for that purpose, which records shall be indexed as deeds and other conveyances are required by law to be indexed and for which he may receive the same fees as are allowed by law for recording deeds or other instruments.

The liens provided for in this chapter shall be enforced by an action and shall be governed by the laws regulating the proceeding relating to the mode and manner of trial and the proceeding and laws to secure property so as to hold it for the satisfaction of any lien that may be against it.

Any person who brings an action to enforce a lien provided for in this chapter, or any person having a lien as provided for in this chapter, who is made a party to any such action, has a right to demand that such lien be enforced against the whole or any part of the property.

Any number of persons claiming liens under this chapter may join in the same action, and when separate actions are commenced the court may consolidate them. The court may also allow, as part of the costs, the moneys paid for filing and recording the claim, and a reasonable attorney's fee for each person claiming a lien.

In an action to enforce a lien under this chapter, judgment shall be rendered in favor of each person having a lien for the amount due him, and the court shall order any property subject to the lien to be sold by the marshal in the same manner that personal property is sold on execution. The court shall apportion the proceeds of such sale to the payment of each judgment pro rata, according to the amount of such judgment.

Upon motion, supported by affidavit, showing that the property is liable to loss or destruction, the court may order any property subject to a lien under this chapter, to be sold by the marshal as personal property is sold on execution before the judgment is rendered, and the proceeds of such sale shall be retained by the marshal until judgment, to be applied as directed in section 592 of this title.

Any person who injures, impairs, or destroys, or who renders difficult, uncertain, or impossible of identification, any property knowing the same to be subject to a lien, as provided in this chapter, without the express consent of the person entitled to such lien, shall be liable to the lien holder for damages to the amount secured by the lien, which sum may be recovered by an action against such person, without bringing the suit as provided in section 589 of this title. In all such actions the principal debtor shall be made a codefendant.

History: Repealed. Feb. 19, 1965, No. 1299, § 10, Sess. L. 1965, Pt. II, p. 218.

This chapter may be cited as the Virgin Islands Uniform Unclaimed Property Act. History: Added July 11, 2008, No. 6999, § 1, Sess. L. 2008, p. 59.

As used in this chapter: (1) "Administrator" means the Lieutenant Governor of the Virgin Islands. (2) "Apparent owner" means a person whose name appears on the records of a holder as the person entitled to property held, issued, or owing by the holder. (3) "Business association" means a corporation, joint stock company, investment company, partnership, unincorporated association, joint venture, limited liability company, business trust, trust company, land bank, safe deposit company, safekeeping depository, financial organization, insurance company, mutual fund, utility, or other business entity consisting of one or more persons, whether or not for profit. (4) "Domicile" means the State of incorporation of a corporation and the State of the principal place of business of a holder other than a corporation. (5) "Financial organization" means a savings and loan association, building and loan association, savings bank, industrial bank, bank, banking organization, or credit union. (6) "Holder" means a person obligated to hold for the account of, or deliver or pay to, the owner property that is subject to this chapter. (7) "Insurance company" means an association, corporation, or fraternal or mutual benefit organization, whether or not for profit, engaged in the business of providing life endowments, annuities, or insurance, including accident, burial, casualty, credit life, contract performance, dental, disability, fidelity, fire, health, hospitalization, illness, life, malpractice, marine, mortgage, surety, wage protection, and workers' compensation insurance. (8) "Mineral" means gas; oil; coal; other gaseous, liquid, and solid hydrocarbons; oil shale; cement material; sand and gravel; road material; building stone; chemical raw material; gemstone; fissionable and nonfissionable ores; colloidal and other clay; steam and other geothermal resource; or any other substance defined as a mineral by the law of this territory. (9) "Mineral proceeds" means amounts payable for the extraction, production, or sale of minerals, or, upon the abandonment of those payments, all payments that become payable thereafter, including amounts payable: (i) for the acquisition and retention of a mineral lease, including bonuses, royalties, compensatory royalties, shut-in royalties, minimum royalties, and delay rentals; (ii) for the extraction, production, or sale of minerals, including net revenue interests, royalties, overriding royalties, extraction payments, and production payments; and (iii) under an agreement or option, including a joint operating agreement, unit agreement, pooling agreement, and farm-out agreement. (10) "Money order" includes an express money order and a personal money order, on which the remitter is the purchaser. The term does not include a bank money order or any other instrument sold by a financial organization if the seller has obtained the name and address of the payee. (11) "Owner" means a person who has a legal or equitable interest in property subject to this chapter or the person's legal representative. The term includes a depositor in the case of a deposit, a beneficiary in the case of a trust other than a deposit in trust, and a creditor, claimant, or payee in the case of other property. (12) "Person" means an individual, business association, financial organization, estate, trust, government, governmental subdivision, agency, or instrumentality, or any other legal or commercial entity. (13) "Property" means tangible property described in section 654 or a fixed and certain interest in intangible property that is held, issued, or owed in the course of a holder's business, or by a government, governmental subdivision, agency, or instrumentality, and all income or increments therefrom. The term includes property that is referred to as or evidenced by: (A) money, a check, draft, deposit, interest, or dividend; (B) credit balance, customer's overpayment, gift certificate, security deposit, refund, credit memorandum, unpaid wage, unused ticket, mineral proceeds, or unidentified remittance; (C) stock or other evidence of ownership of an interest in a business association or financial organization; (D) a bond, debenture, note, or other evidence of indebtedness; (E) money deposited to redeem stocks, bonds, coupons, or other securities or to make distributions; (F) an amount due and payable under the terms of an annuity or insurance policy, including policies providing life insurance, property and casualty insurance, workers' compensation insurance, or health and disability insurance; and (G) an amount distributable from a trust or custodial fund established under a plan to provide health, welfare, pension, vacation, severance, retirement, death, stock purchase, profit sharing, employee savings, supplemental unemployment insurance, or similar benefits. (14) "Record" means information that is inscribed on a tangible medium or that is stored in an electronic or other medium and is retrievable in perceivable form. (15) "State" means a State of the United States, the District of Columbia, the Virgin Islands, the Commonwealth of Puerto Rico, or any territory or insular possession subject to the jurisdiction of the United States. (16) "Utility" means a person who owns or operates for public use any plant, equipment, real property, franchise, or license for the transmission of communications or the production, storage, transmission, sale, delivery, or furnishing of electricity, water, steam, gas or any other service as defined in title 30 Virgin Islands Code, section 1, subsection (a). History: Added July 11, 2008, No. 6999, § 1, Sess. L. 2008, pp. 59, 60.

(a) Property is presumed abandoned if it is unclaimed by the apparent owner during the time set forth below for the particular property: (1) traveler's check, 15 years after issuance; (2) money order, seven years after issuance; (3) stock or other equity interest in a business association or financial organization, including a security entitlement under title 11A Virgin Islands Code, Article 8, five years after the earlier of (i) the date of the most recentitle 11A Virgin Islands Code, Article 8stribution unclaimed by the apparent owner, or (ii) the date of the second mailing of a statement of account or other notification or communication that was returned as undeliverable or after the holder discontinued mailings, notifications, or communications to the apparent owner; (4) debt of a business association or financial organization, other than a bearer bond or an original issue discount bond, five years after the date of the most recent interest payment unclaimed by the apparent owner; (5) a demand, savings, or time deposit, including a deposit that is automatically renewable, five years after the earlier of maturity or the date of the last indication by the owner of interest in the property; but a deposit that is automatically renewable is deemed matured for purposes of this section upon its initial date of maturity, unless the owner has consented to a renewal at or about the time of the renewal and the consent is in writing or is evidenced by a memorandum or other record on file with the holder; (6) money or credits owed to a customer as a result of a retail business transaction, three years after the obligation accrued; (7) gift certificate, three years after December 31 of the year in which the certificate was sold, but if redeemable in merchandise only, the amount abandoned is deemed to be 60 percent of the certificate's face value; (8) amount owed by an insurer on a life or endowment insurance policy or an annuity that has matured or terminated, three years after the obligation to pay arose or, in the case of a policy or annuity payable upon proof of death, three years after the insured has attained, or would have attained if living, the limiting age under the mortality table on which the reserve is based; (9) property distributable by a business association or financial organization in a course of dissolution, one year after the property becomes distributable; (10) property received by a court as proceeds of a class action, and not distributed pursuant to the judgment, one year after the distribution date; (11) property held by a court, government, governmental subdivision, agency, or instrumentality, one year after the property becomes distributable; (12) wages or other compensation for personal services, one year after the compensation becomes payable; (13) deposit or refund owed to a subscriber by a utility, one year after the deposit or refund becomes payable; (14) property in an individual retirement account, defined benefit plan, or other account or plan that is qualified for tax deferral under the income tax laws of the United States, three years after the earliest of the date of the distribution or attempted distribution of the property, the date of the required distribution as stated in the plan or trust agreement governing the plan, or the date, if determinable by the holder, specified in the income tax laws of the United States by which distribution of the property must begin in order to avoid a tax penalty; and (15) all other property, five years after the owner's right to demand the property or after the obligation to pay or distribute the property arises, whichever first occurs. (b) At the time that an interest is presumed abandoned under subsection (a), any other property right accrued or accruing to the owner as a result of the interest, and not previously presumed abandoned, is also presumed abandoned. (c) Property is unclaimed if, for the applicable period set forth in subsection (a), the apparent owner has not communicated in writing or by other means reflected in a contemporaneous record prepared by or on behalf of the holder, with the holder concerning the property or the account in which the property is held, and has not otherwise indicated an interest in the property. A communication with an owner by a person other than the holder or its representative who has not in writing identified the property to the owner is not an indication of interest in the property by the owner. (d) An indication of an owner's interest in property includes: (1) the presentment of a check or other instrument of payment of a dividend or other distribution made with respect to an account or underlying stock or other interest in a business association or financial organization or, in the case of a distribution made by electronic or similar means, evidence that the distribution has been received; (2) owner-directed activity in the account in which the property is held, including a direction by the owner to increase, decrease, or change the amount or type of property held in the account; (3) the making of a deposit to or withdrawal from a bank account; and (4) the payment of a premium with respect to a property interest in an insurance policy; but the application of an automatic premium loan provision or other nonforfeiture provision contained in an insurance policy does not prevent a policy from maturing or terminating if the insured has died or the insured or the beneficiary of the policy has otherwise become entitled to the proceeds before the depletion of the cash surrender value of a policy by the application of those provisions. (e) Property is payable or distributable for purposes of this chapter notwithstanding the owner's failure to make demand or present an instrument or document otherwise required to obtain payment. History: Added July 11, 2008, No. 6999, § 1, Sess. L. 2008, pp. 62-64.

Tangible property held in a safe deposit box or other safekeeping depository in the Virgin Islands in the ordinary course of the holder's business and proceeds resulting from the sale of the property permitted by other law, are presumed abandoned if the property remains unclaimed by the owner for more than five years after expiration of the lease or rental period on the box or other depository. History: Added July 11, 2008, No. 6999, § 1, Sess. L. 2008, p. 64.

Except as otherwise provided in this chapter or by other statute of the Virgin Islands, property that is presumed abandoned, whether located in the Virgin Islands or another State, is subject to the custody of the Virgin Islands if: (1) the last known address of the apparent owner, as shown on the records of the holder, is in the Virgin Islands; (2) the records of the holder do not reflect the identity of the person entitled to the property and it is established that the last known address of the person entitled to the property is in the Virgin Islands; (3) the records of the holder do not reflect the last known address of the apparent owner and it is established that: (A) the last known address of the person entitled to the property is in the Virgin Islands; or (B) the holder is domiciled in the Virgin Islands or is a government or governmental subdivision, agency, or instrumentality of the Virgin Islands and has not previously paid or delivered the property to the Virgin Islands of the last known address of the apparent owner or other person entitled to the property; (4) the last known address of the apparent owner, as shown on the records of the holder, is in a State that does not provide for the escheat or custodial taking of the property and the holder is domiciled in the Virgin Islands or is a government or governmental subdivision, agency, or instrumentality of the Virgin Islands; (5) the last known address of the apparent owner, as shown on the records of the holder, is in a foreign country and the holder is domiciled in the Virgin Islands or is a government or governmental subdivision, agency, or instrumentality of the Virgin Islands; (6) the transaction out of which the property arose occurred in the Virgin Islands, the holder is domiciled in a State that does not provide for the escheat or custodial taking of the property, and the last known address of the apparent owner or other person entitled to the property is unknown or is in a State that does not provide for the escheat or custodial taking of the property; or (7) the property is a traveler's check or money order purchased in the Virgin Islands, or the issuer of the traveler's check or money order has its principal place of business in the Virgin Islands and the issuer's records show that the instrument was purchased in a State that does not provide for the escheat or custodial taking of the property, or do not show the State in which the instrument was purchased. History: Added July 11, 2008, No. 6999, § 1, Sess. L. 2008, pp. 65, 66.

A holder may deduct from property presumed abandoned a charge imposed by reason of the owner's failure to claim the property within a specified time only if there is a valid and enforceable written contract between the holder and the owner under which the holder may impose the charge and the holder regularly imposes the charge, which is not regularly reversed or otherwise canceled. The amount of the deduction is limited to an amount that is not unconscionable. History: Added July 11, 2008, No. 6999, § 1, Sess. L. 2008, p. 66.

Draft A record of the issuance of a check, draft, or similar instrument is prima facie evidence of an obligation. In claiming property from a holder who is also the issuer, the administrator's burden of proof as to the existence and amount of the property and its abandonment is satisfied by showing issuance of the instrument and passage of the requisite period of abandonment. Defenses of payment, satisfaction, discharge, and want of consideration are affirmative defenses that must be established by the holder. History: Added July 11, 2008, No. 6999, § 1, Sess. L. 2008, p. 66.

(a) A holder of property presumed abandoned shall make a report to the administrator concerning the property. (b) The report must be verified and must contain: (1) a description of the property; (2) except with respect to a traveler's check or money order, the name, if known, and last known address, if any, and the social security number or taxpayer identification number, if readily ascertainable, of the apparent owner of property of the value of $50 or more; (3) an aggregated amount of items valued under $50 each; (4) in the case of an amount of $50 or more held or owing under an annuity or a life or endowment insurance policy, the full name and last known address of the annuitant or insured and of the beneficiary; (5) in the case of property held in a safe deposit box or other safekeeping depository, an indication of the place where it is held and where it may be inspected by the administrator, and any amounts owing to the holder; (6) the date, if any, on which the property became payable, demandable, or returnable, and the date of the last transaction with the apparent owner with respect to the property; and (7) other information that the administrator by rule prescribes as necessary for the administration of this chapter. (c) If a holder of property presumed abandoned is a successor to another person who previously held the property for the apparent owner or the holder has changed its name while holding the property, the holder shall file with the report its former names, if any, and the known names and addresses of all previous holders of the property. (d) The report must be filed before November 1 of each year and cover the 12 months next preceding July 1 of that year, but a report with respect to a life insurance company must be filed before May 1 of each year for the calendar year next preceding. (e) The holder of property presumed abandoned shall send written notice to the apparent owner, not more than 120 days or less than 60 days before filing the report, stating that the holder is in possession of property subject to this chapter, if: (1) the holder has in its records an address for the apparent owner which the holder's records do not disclose to be inaccurate; (2) the claim of the apparent owner is not barred by a statute of limitations; and (3) the value of the property is $50 or more. (f) Before the date for filing the report, the holder of property presumed abandoned may request the administrator to extend the time for filing the report. The administrator may grant the extension for good cause. The holder, upon receipt of the extension, may make an interim payment on the amount the holder estimates will ultimately be due, which terminates the accrual of additional interest on the amount paid. (g) The holder of property presumed abandoned shall file with the report an affidavit stating that the holder has complied with subsection (e). History: Added July 11, 2008, No. 6999, § 1, Sess. L. 2008, pp. 66-68.

(a) Except for property held in a safe deposit box or other safekeeping depository, upon filing the report required by section 658, the holder of property presumed abandoned shall pay, deliver, or cause to be paid or delivered to the administrator the property described in the report as unclaimed, but if the property is an automatically renewable deposit, and a penalty or forfeiture in the payment of interest would result, the time for compliance is extended until a penalty or forfeiture would no longer result. Tangible property held in a safe deposit box or other safekeeping depository may not be delivered to the administrator until 120 days after filing the report required by section 658. (b) If the property reported to the administrator is a security or security entitlement under title 11A Virgin Islands Code, Article 8, the administrator is an appropriate person to make an indorsement, instruction, or entitlement order on behalf of the apparent owner to invoke the duty of the issuer or its transfer agent or the securities intermediary to transfer or dispose of the security or the security entitlement in accordance with title 11A Virgin Islands Code, Article 8. (c) If the holder of property reported to the administrator is the issuer of a certificated security, the administrator has the right to obtain a replacement certificate pursuant to title 11A Virgin Islands Code, Article 8-405 but an indemnity bond is not required. (d) An issuer, the holder, and any transfer agent or other person acting pursuant to the instructions of and on behalf of the issuer or holder in accordance with this section is not liable to the apparent owner and must be indemnified against claims of any person in accordance with section 661. History: Added July 11, 2008, No. 6999, § 1, Sess. L. 2008, p. 68.

(a) The administrator shall publish a notice not later than November 30 of the year next following the year in which abandoned property has been paid or delivered to the administrator. The notice must be published in a newspaper of general circulation in the Virgin Islands. If a holder does not report an address for the apparent owner, or the address is outside the Virgin Islands, the notice must be published in the district in which the holder has its principal place of business within the Territory. The advertisement must be in a form that, in the judgment of the administrator, is likely to attract the attention of the apparent owner of the unclaimed property. The form must contain: (1) the name of each person appearing to be the owner of the property, as set forth in the report filed by the holder; (2) the last known address or location of each person appearing to be the owner of the property, if an address or location is set forth in the report filed by the holder; (3) a statement explaining that property of the owner is presumed to be abandoned and has been taken into the protective custody of the administrator; and (4) a statement that information about the property and its return to the owner is available to a person having a legal or beneficial interest in the property, upon request to the administrator. (b) The administrator is not required to advertise the name and address or location of an owner of property having a total value less than $50, or information concerning a traveler's check, money order, or similar instrument. (c) The administrator shall keep an online, searchable database that allows the public to search all property and funds that have been collected by the Lieutenant Governor pursuant to this chapter. The database must include at least the following information: (1) The name of each person appearing to be the owner of the property; (2) The last known address of each person appearing to be the owner of the property; (3) A description of the properly considered to be abandoned or unclaimed; (4) The value of the property; (5) The date on which the property was transferred to the administrator; (6) Clear instructions on the process by which a person may claim the abandoned or unclaimed property, including access to forms; and (7) A secure verification of the identity of the person appearing to be the owner of the property. (d) Not later than 30 days after the abandoned or unclaimed property is paid or delivered to the administrator, the administrator shall add all information required under subsection (c) to the database. History: Added July 11, 2008, No. 6999, § 1, Sess. L. 2008, pp. 68, 69; amended Aug. 8, 2022, No. 8588, § 1, Sess. L. 2022, p. 169, 170.

(a) In this section, payment or delivery is made in "good faith" if: (1) payment or delivery was made in a reasonable attempt to comply with this chapter; (2) the holder was not then in breach of a fiduciary obligation with respect to the property and had a reasonable basis for believing, based on the facts then known, that the property was presumed abandoned; and (3) there is no showing that the records under which the payment or delivery was made did not meet reasonable commercial standards of practice. (b) Upon payment or delivery of property to the administrator, the Government of the Virgin Islands assumes custody and responsibility for the safekeeping of the property. A holder who pays or delivers property to the administrator in good faith is relieved of all liability arising thereafter with respect to the property. (c) A holder who has paid money to the administrator pursuant to this chapter may subsequently make payment to a person reasonably appearing to the holder to be entitled to payment. Upon a filing by the holder of proof of payment and proof that the payee was entitled to the payment, the administrator shall promptly reimburse the holder for the payment without imposing a fee or other charge. If reimbursement is sought for a payment made on a negotiable instrument, including a traveler's check or money order, the holder must be reimbursed upon filing proof that the instrument was duly presented and that payment was made to a person who reasonably appeared to be entitled to payment. The holder must be reimbursed for payment made even if the payment was made to a person whose claim was barred under section 670(a). (d) A holder who has delivered property other than money to the administrator pursuant to this chapter may reclaim the property if it is still in the possession of the administrator, without paying any fee or other charge, upon filing proof that the apparent owner has claimed the property from the holder. (e) The administrator may accept a holder's affidavit as sufficient proof of the holder's right to recover money and property under this section. (f) If a holder pays or delivers property to the administrator in good faith and thereafter another person claims the property from the holder or another State claims the money or property under its laws relating to escheat or abandoned or unclaimed property, the administrator, upon written notice of the claim, shall defend the holder against the claim and indemnify the holder against any liability on the claim resulting from payment or delivery of the property to the administrator. (g) Property removed from a safe deposit box or other safekeeping depository is received by the administrator subject to the holder's right to be reimbursed for the cost of the opening and to any valid lien or contract providing for the holder to be reimbursed for unpaid rent or storage charges. The administrator shall reimburse the holder out of the proceeds remaining after deducting the expense incurred by the administrator in selling the property. History: Added July 11, 2008, No. 6999, § 1, Sess. L. 2008, pp. 69-71.

Account If property other than money is delivered to the administrator under this chapter, the owner is entitled to receive from the administrator any income or gain realized or accruing on the property at or before liquidation or conversion of the property into money. If the property was an interest bearing demand, savings, or time deposit, including a deposit that is automatically renewable, the administrator shall pay interest at a rate of 9 percent a year or any lesser rate the property earned while in the possession of the holder. Interest begins to accrue when the property is delivered to the administrator and ceases on the earlier of the expiration of 10 years after delivery or the date on which payment is made to the owner. Interest on interest bearing property is not payable for any period before the effective date of this chapter, unless authorized by law superseded by this chapter. History: Added July 11, 2008, No. 6999, § 1, Sess. L. 2008, p. 71.

(a) Except as otherwise provided in this section, the administrator, within three years after the receipt of abandoned property, shall sell it to the highest bidder at public sale at a location in the Virgin Islands which in the judgment of the administrator affords the most favorable market for the property. The administrator may decline the highest bid and reoffer the property for sale if the administrator considers the bid to be insufficient. The administrator need not offer the property for sale if the administrator considers that the probable cost of sale will exceed the proceeds of the sale. A sale held under this section must be preceded by a single publication of notice, at least three weeks before sale, in a newspaper of general circulation in the Virgin Islands. (b) Securities listed on an established stock exchange must be sold at prices prevailing on the exchange at the time of sale. Other securities may be sold over the counter at prices prevailing at the time of sale or by any reasonable method selected by the administrator. If securities are sold by the administrator before the expiration of three years after their delivery to the administrator, a person making a claim under this chapter before the end of the three-year period is entitled to the proceeds of the sale of the securities or the market value of the securities at the time the claim is made, whichever is greater, plus dividends, interest, and other increments thereon up to the time the claim is made, less any deduction for expenses of sale. A person making a claim under this chapter after the expiration of the three-year period is entitled to receive the securities delivered to the administrator by the holder, if they still remain in the custody of the administrator, or the net proceeds received from sale, and is not entitled to receive any appreciation in the value of the property occurring after delivery to the administrator, except in a case of intentional misconduct or malfeasance by the administrator. (c) A purchaser of property at a sale conducted by the administrator pursuant to this chapter takes the property free of all claims of the owner or previous holder and of all persons claiming through or under them. The administrator shall execute all documents necessary to complete the transfer of ownership. History: Added July 11, 2008, No. 6999, § 1, Sess. L. 2008, pp. 71, 72.

(a) Except as otherwise provided by this section, the administrator shall promptly deposit in the General Fund of the Treasury of the Virgin Islands all funds received under this chapter, including the proceeds from the sale of abandoned property under section 663. The administrator shall retain in a separate trust fund at least $100,000 from which the administrator shall pay allowed claims. The administrator shall record the name and last known address of each person appearing from the holders' reports to be entitled to the property and the name and last known address of each insured person or annuitant and beneficiary and with respect to each policy or annuity listed in the report of an insurance company, its number, the name of the company, and the amount due. (b) Before making a deposit to the credit of the General Fund of the Treasury of the Virgin Islands, the administrator may deduct: (1) expenses of sale of abandoned property; (2) costs of mailing and publication in connection with abandoned property; (3) reasonable service charges; and (4) expenses incurred in examining records of holders of property and in collecting the property from those holders. History: Added July 11, 2008, No. 6999, § 1, Sess. L. 2008, p. 72.

(a) After property has been paid or delivered to the administrator under this chapter, another State may recover the property if: (1) the property was paid or delivered to the custody of the Virgin Islands because the records of the holder did not reflect a last known location of the apparent owner within the borders of the other State and the other State establishes that the apparent owner or other person entitled to the property was last known to be located within the borders of that State and under the laws of that State the property has escheated or become subject to a claim of abandonment by that State; (2) the property was paid or delivered to the custody of the Virgin Islands because the laws of the other State did not provide for the escheat or custodial taking of the property, and under the laws of that State subsequently enacted the property has escheated or become subject to a claim of abandonment by that State; (3) the records of the holder were erroneous in that they did not accurately identify the owner of the property and the last known location of the owner within the borders of another State and under the laws of that State the property has escheated or become subject to a claim of abandonment by that State; (4) the property was subjected to custody by the Virgin Islands under section 655(6) and under the laws of the State of domicile of the holder the property has escheated or become subject to a claim of abandonment by that State; or (5) the property is a sum payable on a traveler's check, money order, or similar instrument that was purchased in the other State and delivered into the custody of the Virgin Islands under section 655(7), and under the laws of the other State the property has escheated or become subject to a claim of abandonment by that State. (b) A claim of another State to recover escheated or abandoned property must be presented in a form prescribed by the administrator, who shall decide the claim within 90 days after it is presented. The administrator shall allow the claim upon determining that the other State is entitled to the abandoned property under subsection (a). (c) The administrator shall require another State, before recovering property under this section, to agree to indemnify the Virgin Islands and its officers and employees against any liability on a claim to the property. History: Added July 11, 2008, No. 6999, § 1, Sess. L. 2008, pp. 72-74.

Administrator (a) A person, excluding another State, claiming property paid or delivered to the administrator may file a claim on a form prescribed by the administrator and verified by the claimant. (b) Within 90 days after a claim is filed, the administrator shall allow or deny the claim and give written notice of the decision to the claimant. If the claim is denied, the administrator shall inform the claimant of the reasons for the denial and specify what additional evidence is required before the claim will be allowed. The claimant may then file a new claim with the administrator or maintain an action under section 667. (c) Within 30 days after a claim is allowed, the property or the net proceeds of a sale of the property must be delivered or paid by the administrator to the claimant, together with any dividend, interest, or other increment to which the claimant is entitled under sections 662 and 663. (d) A holder who pays the owner for property that has been delivered to the State and which, if claimed from the administrator by the owner would be subject to an increment under sections 662 and 663, may recover from the administrator the amount of the increment. History: Added July 11, 2008, No. 6999, § 1, Sess. L. 2008, p. 74.

A person aggrieved by a decision of the administrator or whose claim has not been acted upon within 90 days after its filing may maintain an original action to establish the claim in the Superior Court of the Virgin Islands, naming the administrator as a defendant. If the aggrieved person establishes the claim in an action against the administrator, the court may award the claimant reasonable attorney's fees. History: Added July 11, 2008, No. 6999, § 1, Sess. L. 2008, p. 74.

(a) The administrator may decline to receive property reported under this chapter which the administrator considers to have a value less than the expenses of notice and sale. (b) A holder, with the written consent of the administrator and upon conditions and terms prescribed by the administrator, may report and deliver property before the property is presumed abandoned. Property so delivered must be held by the administrator and is not presumed abandoned until it otherwise would be presumed abandoned under this chapter. History: Added July 11, 2008, No. 6999, § 1, Sess. L. 2008, pp. 74-75.

Commercial Value; Immunity From Liability If the administrator determines after investigation that property delivered under this chapter has no substantial commercial value, the administrator may destroy or otherwise dispose of the property at any time. An action or proceeding may not be maintained against the Virgin Islands or any officer or against the holder for or on account of an act of the administrator under this section, except for intentional misconduct or malfeasance. History: Added July 11, 2008, No. 6999, § 1, Sess. L. 2008, p. 75.

(a) The expiration, before or after the effective date of this chapter, of a period of limitation on the owner's right to receive or recover property, whether specified by contract, statute, or court order, does not preclude the property from being presumed abandoned or affect a duty to file a report or to pay or deliver or transfer property to the administrator as required by this chapter. (b) An action or proceeding may not be maintained by the administrator to enforce this chapter in regard to the reporting, delivery, or payment of property more than 10 years after the holder specifically identified the property in a report filed with the administrator or gave express notice to the administrator of a dispute regarding the property. In the absence of such a report or other express notice, the period of limitation is tolled. The period of limitation is also tolled by the filing of a report that is fraudulent. History: Added July 11, 2008, No. 6999, § 1, Sess. L. 2008, p. 75.

(a) The administrator may require a person who has not filed a report, or a person who the administrator believes has filed an inaccurate, incomplete, or false report, to file a verified report in a form specified by the administrator. The report must state whether the person is holding property reportable under this chapter, describe property not previously reported or as to which the administrator has made inquiry, and specifically identify and state the amounts of property that may be in issue. (b) The administrator, at reasonable times and upon reasonable notice, may examine the records of any person to determine whether the person has complied with this chapter. The administrator may conduct the examination even if the person believes it is not in possession of any property that must be reported, paid, or delivered under this chapter. The administrator may contract with any other person to conduct the examination on behalf of the administrator. (c) The administrator at reasonable times may examine the records of an agent, including a dividend disbursing agent or transfer agent, of a business association or financial association that is the holder of property presumed abandoned if the administrator has given the notice required by subsection (b) to both the association or organization and the agent at least 90 days before the examination. (d) Documents and working papers obtained or compiled by the administrator, or the administrator's agents, employees, or designated representatives, in the course of conducting an examination are confidential and are not public records, but the documents and papers may be: (1) used by the administrator in the course of an action to collect unclaimed property or otherwise enforce this chapter; (2) used in joint examinations conducted with or pursuant to an agreement with another State, the federal government, or any other governmental subdivision, agency, or instrumentality; (3) produced pursuant to subpoena or court order; or (4) disclosed to the abandoned property office of another State for that State's use in circumstances equivalent to those described in this subdivision, if the other State is bound to keep the documents and papers confidential. (e) If an examination of the records of a person results in the disclosure of property reportable under this chapter, the administrator may assess the cost of the examination against the holder at the rate of $200 a day for each examiner, or a greater amount that is reasonable and was incurred, but the assessment may not exceed the value of the property found to be reportable. The cost of an examination made pursuant to subsection (c) may be assessed only against the business association or financial organization. (f) If, after the effective date of this chapter, a holder does not maintain the records required by section 672 and the records of the holder available for the periods subject to this chapter are insufficient to permit the preparation of a report, the administrator may require the holder to report and pay to the administrator the amount the administrator reasonably estimates, on the basis of any available records of the holder or by any other reasonable method of estimation, should have been but was not reported. History: Added July 11, 2008, No. 6999, § 1, Sess. L. 2008, pp. 75-77.

(a) Except as otherwise provided in subsection (b), a holder required to file a report under section 658 shall maintain the records containing the information required to be included in the report for 10 years after the holder files the report, unless a shorter period is provided by rule of the administrator. (b) A business association or financial organization that sells, issues, or provides to others for sale or issue in the Virgin Islands, traveler's checks, money orders, or similar instruments other than third-party bank checks, on which the business association or financial organization is directly liable, shall maintain a record of the instruments while they remain outstanding, indicating the State and date of issue, for three years after the holder files the report. History: Added July 11, 2008, No. 6999, § 1, Sess. L. 2008, p. 77.

The administrator may maintain an action in the Virgin Islands or another State to enforce this chapter. The court may award reasonable attorney's fees to the prevailing party. History: Added July 11, 2008, No. 6999, § 1, Sess. L. 2008, p. 77.

Actions With Other States (a) The administrator may enter into an agreement with another State to exchange information relating to abandoned property or its possible existence. The agreement may permit the other State, or another person acting on behalf of a State, to examine records as authorized in section 671. The administrator by rule may require the reporting of information needed to enable compliance with an agreement made under this section and prescribe the form. (b) The administrator may join with another State to seek enforcement of this chapter against any person who is or may be holding property reportable under this chapter. (c) At the request of another State, the Attorney General of the Virgin Islands may maintain an action on behalf of the other State to enforce, in this territory, the unclaimed property laws of the other State against a holder of property subject to escheat or a claim of abandonment by the other State, if the other State has agreed to pay expenses incurred by the Attorney General in maintaining the action. (d) The administrator may request that the Attorney General of another State or another attorney commence an action in the other State on behalf of the administrator. With the approval of the Attorney General of the Virgin Islands, the administrator may retain any other attorney to commence an action in the Virgin Islands on behalf of the administrator. The Virgin Islands shall pay all expenses, including attorney's fees, in maintaining an action under this subsection. With the administrator's approval, the expenses and attorney's fees may be paid from money received under this Act. The administrator may agree to pay expenses and attorney's fees based in whole or in part on a percentage of the value of any property recovered in the action. Any expenses or attorney's fees paid under this subsection may not be deducted from the amount that is subject to the claim by the owner under this chapter. History: Added July 11, 2008, No. 6999, § 1, Sess. L. 2008, pp. 77, 78.

(a) A holder who fails to report, pay, or deliver property within the time prescribed by this chapter shall pay to the administrator interest at the annual rate of nine percent on the property or value thereof from the date the property should have been reported, paid or delivered. (b) Except as otherwise provided in subsection (c), a holder who fails to report, pay, or deliver property within the time prescribed by this chapter, or fails to perform other duties imposed by this chapter shall pay to the administrator, in addition to interest as provided in subsection (a), a civil penalty of $200 for each day the report, payment, or delivery is withheld, or the duty is not performed, up to a maximum of $5,000. (c) A holder who willfully fails to report, pay, or deliver property within the time prescribed by this chapter, or willfully fails to perform other duties imposed by this chapter, shall pay to the administrator, in addition to interest as provided in subsection (a), a civil penalty of $1,000 for each day the report, payment, or delivery is withheld, or the duty is not performed, up to a maximum of $25,000, plus 25 percent of the value of any property that should have been but was not reported. (d) A holder who makes a fraudulent report shall pay to the administrator, in addition to interest as provided in subsection (a), a civil penalty of $1,000 for each day from the date a report under this chapter was due, up to a maximum of $25,000, plus 25 percent of the value of any property that should have been but was not reported. (e) The administrator for good cause may waive, in whole or in part, interest under subsection (a) and penalties under subsections (b) and (c), and shall waive penalties if the holder acted in good faith and without negligence. History: Added July 11, 2008, No. 6999, § 1, Sess. L. 2008, pp. 78, 79.

(a) An agreement by an owner, the primary purpose of which is to locate, deliver, recover, or assist in the recovery of property that is presumed abandoned is void and unenforceable if it was entered into during the period commencing on the date the property was presumed abandoned and extending to a time that is 24 months after the date the property is paid or delivered to the administrator. This subsection does not apply to an owner's agreement with an attorney to file a claim as to identified property or contest the administrator's denial of a claim. (b) An agreement by an owner, the primary purpose of which is to locate, deliver, recover, or assist in the recovery of property is enforceable only if the agreement is in writing, clearly sets forth the nature of the property and the services to be rendered, is signed by the apparent owner, and states the value of the property before and after the fee or other compensation has been deducted. (c) If an agreement covered by this section applies to mineral proceeds and the agreement contains a provision to pay compensation that includes a portion of the underlying minerals or any mineral proceeds not then presumed abandoned, the provision is void and unenforceable. (d) An agreement covered by this section which provides for compensation that is unconscionable is unenforceable except by the owner. An owner who has agreed to pay compensation that is unconscionable, or the administrator on behalf of the owner, may maintain an action to reduce the compensation to a conscionable amount. The court may award reasonable attorney's fees to an owner who prevails in the action. (e) This section does not preclude an owner from asserting that an agreement covered by this section is invalid on grounds other than unconscionable compensation. History: Added July 11, 2008, No. 6999, § 1, Sess. L. 2008, pp. 79, 80.

This chapter does not apply to property held, due, and owing in a foreign country and arising out of a foreign transaction. History: Added July 11, 2008, No. 6999, § 1, Sess. L. 2008, p. 80.

(a) An initial report filed under this chapter for property that was not required to be reported before the effective date of this chapter but which is subject to this chapter must include all items of property that would have been presumed abandoned during the 10-year period next preceding the effective date of this chapter as if this chapter had been in effect during that period. (b) This chapter does not relieve a holder of a duty that arose before the effective date of this chapter to report, pay, or deliver property. Except as otherwise provided in section 670(b), a holder who did not comply with the law in effect before the effective date of this chapter is subject to the applicable provisions for enforcement and penalties which then existed, which are continued in effect for the purpose of this section. History: Added July 11, 2008, No. 6999, § 1, Sess. L. 2008, p. 80.

The administrator may adopt rules necessary to carry out this chapter. History: Added July 11, 2008, No. 6999, § 1, Sess. L. 2008, p. 80.

This chapter shall be applied and construed to effectuate its general purpose to make uniform the law with respect to the subject of this chapter among States enacting it. History: Added July 11, 2008, No. 6999, § 1, Sess. L. 2008, p. 80.

If any provision of this chapter or the application thereof to any person or circumstance is held invalid, the invalidity does not affect other provisions or applications of this chapter which can be given effect without the invalid provision or application, and to this end the provisions of this chapter are severable. History: Added July 11, 2008, No. 6999, § 1, Sess. L. 2008, p. 80.

History: Repealed. July 11, 2008, No. 6999, § 1, Sess. L. 2008, p. 57.

History: Repealed. July 11, 2008, No. 6999, § 1, Sess. L. 2008, p. 57.

History: Repealed. July 11, 2008, No. 6999, § 1, Sess. L. 2008, p. 57.

History: Repealed. July 11, 2008, No. 6999, § 1, Sess. L. 2008, p. 57.

History: Repealed. July 11, 2008, No. 6999, § 1, Sess. L. 2008, p. 57.

History: Repealed. July 11, 2008, No. 6999, § 1, Sess. L. 2008, p. 57.

(a) Every person in possession of land out of which any rent is due, whether it was originally demised in fee, or for any other estate or freehold, or for any term of years, shall be liable for the amount of proportion of rent due from the land in his possession, although it is only a part of what was originally demised. (b) Such rent may be recovered in an action, and the deed or demise, or any other instrument in writing, if any, showing the provisions of the lease, may be used in evidence by either party to prove the amount due from the defendant. (c) Nothing contained in this section shall deprive landlords of any other legal remedy for the recovery of their rents, whether secured to them by their leases or provided by law.

All estates at will or by sufferance may be terminated by either party, by three months' notice in writing given by the other party. When the rent received in a lease at will is payable at periods of less than three months the time of such notice shall be sufficient if it is equal to the interval between the times of payment. In all cases of neglect or refusal to pay the rent due on a lease at will, fourteen days' notice to quit, given in writing by the landlord to the tenant, shall be sufficient to terminate the lease.

Violence; Release From Rental Agreement (a) (1) A landlord may not include in a residential rental or lease agreement a provision authorizing the landlord to terminate the agreement or to impose a penalty on a residential tenant for calls made by the residential tenant for peace officer assistance or other emergency assistance in response to a domestic violence or domestic abuse situation. A residential tenant may not waive the tenant's right to call for police or other emergency assistance. (2) If a tenant to a residential rental or lease agreement gives the landlord at least 14 days written notice that the tenant has been the victim of domestic violence or domestic abuse and provides to the landlord evidence of domestic violence or domestic abuse in the form of a police report written within the 90 days preceding the notice and the residential tenant seeks to vacate the premises due to fear of imminent danger for self or children because of the domestic violence or domestic abuse, then the landlord shall release the tenant from the residential rental or lease agreement, and the tenant may terminate the residential rental agreement or lease agreement and vacate the premises without further obligation except as otherwise provided in this subsection. The notice given by the tenant must specify the termination date. (3) If a tenant to a residential rental agreement or lease agreement terminates the residential rental or lease agreement and vacates the premises pursuant to paragraph paragraph (2)ubsection then the tenant (A) is not liable for damages to the dwelling unit incurred after the release date; and (B) is not subject to any fee solely because of termination of the rental agreement. (4) Notwithstanding the release from a rental agreement of a tenant who is a victim, any other tenant under the agreement remains subject to the rental agreement. A person named in a court order as the perpetrator of the domestic violence who invokes an early lease termination under this section is deemed to have interfered with the residential rental agreement between the landlord and tenant regardless of whether the person named in an order is a party to the rental agreement, and the person named in an order may be civilly liable for all economic losses incurred by a landlord for the domestic violence early lease termination. This civil liability includes unpaid rent, early lease termination fees, costs to repair damage to the premises and any reductions or waivers of rent previously granted to the tenant who was the victim of domestic violence. (A) The landlord shall return the security deposit to the tenant victim upon termination of the lease or rental agreement. (B) This paragraph may not be construed as prohibiting the landlord from retaining a security deposit when the damage to the premises is not caused by an act of domestic violence. (C) Nothing in this section may be construed as limiting a landlord's right to terminate a tenancy pursuant to subchapter II of this chapter against a victim for actions unrelated to the act of domestic violence. (D) Nothing in this section may prevent the landlord from seeking possession against a tenant or lessee of the premises who perpetuated the violence or abuse that was the cause of or resulted in damage to the landlord's premises or violation of the lease or rental agreement. (E) Nothing in this section authorizes the termination of tenancy and eviction of a residential tenant solely because the residential tenant is the victim of domestic violence or domestic abuse. History: Added Aug. 20, 2010, No. 7180, § 4, Sess. L. 2010, pp. 110-112.

No person shall enter upon any land, tenement or other real property, but in cases where entry is given by law; and in such cases the entry shall not be made with force, but only in a peaceful manner.

(a) When a forcible entry is made upon any premises, or when an entry is made in a peaceable manner and the possession is held by force, the person entitled to the premises may maintain an action to recover the possession thereof. (b) If the unpaid rent or the value of the real property involved does not exceed $500, exclusive of interest and costs, the Superior Court shall have exclusive jurisdiction of such action. In all other cases, the Superior Court and the district court shall have concurrent jurisdiction. History: Amended Sept. 9, 1976, No. 3876, § 5, Sess. L. 1976, p. 197.

In an action under this subchapter it shall be sufficient to state in the complaint a description of the premises with convenient certainty, that the defendant is in possession thereof, that he entered upon the same with force, or unlawfully holds the same with force, as the case may be, and that the plaintiff is entitled to the possession thereof.

Except as provided in this chapter and the rules of court, an action for forcible entry and detainer shall be conducted in the same manner as other civil actions.

Upon the filing of the complaint, a summons shall be served and returned within 3 days, requiring the defendant to appear within 3 days after service thereof, and show cause why a judgment of dispossession should not be entered against him. In the event of the failure of the defendant to appear and show cause, judgment shall be rendered against him by default.

No continuance shall be granted for a longer period than two days, unless the defendant applying therefor gives an undertaking to the adverse party, with good and sufficient security, to be approved by the court, conditioned for the payment of the rent that may accrue if the judgment be rendered against the defendant, and all costs.

The execution, should judgment of restitution be rendered, may be in the following form: To the Marshal for the ____________________ Whereas a certain action for the forcible entry and detention (or the forcible detention, as the case may be) of the following described premises, to wit: ____________________, lately tried before me, wherein ____________________ was plaintiff and ____________________ was defendant, judgment was rendered on the ____________________ day of ____________________, anno Domini ____________________, that the plaintiff ____________________, have restitution of said premises; and also that he recover costs in the sum of ____________________ In the name of the Government of the United States Virgin Islands you are therefore hereby commanded to cause the defendant to be forthwith removed from said premises, said plaintiff to have restitution of the same; also, that you levy on the goods and chattels of said defendant, and make the costs aforesaid and all accruing costs; and of this writ make legal service and due return. Witness my hand this ____________________ day of ____________________, anno Domini ____________________ ____________________

If judgment is rendered against the defendant for the restitution of the real property described in the complaint or any part thereof, no appeal shall be taken by the defendant from such judgment until, in addition to any undertaking otherwise required by law upon appeal, he gives an undertaking to the adverse party, with two sureties, who shall justify in like manner as bail upon arrest, for the payment to the plaintiff of twice the rental value of the real property of which restitution is adjudged from the rendition of such judgment until final judgment in the action, if such judgment shall be affirmed upon appeal.

(a) The following shall be deemed cases of unlawful holding by force within the meaning of this chapter- (1) When the tenant or person in possession of any premises fails or refuses to pay any rent due on the lease or agreement under which he holds, or deliver up the possession of the premises for three days after demand made for such possession; (2) When, after a notice to quit as provided in this chapter, any person continues in the possession of any premises at the expiration of the time limited in the lease or agreement under which such person holds, or contrary to any condition or covenant thereof, or without any written lease or agreement therefor. (b) An action for the recovery of the possession of the premises may be maintained in the case specified in subdivision (2) of subsection (a) of this section when the notice to quit has been served upon the tenant or person in possession for the period of 3 days before the commencement thereof, unless the leasing or occupation is for the purpose of farming or agriculture, in which case the notice shall be served for the period of 6 months before commencement of the action. (c) The provisions of this section are suspended during the effective period of subchapter III of this chapter relating to rent control, and this section shall take effect upon the termination of such subchapter under section 846 of this title.

A notice to quit shall be in writing and shall be served upon the tenant or person in possession by being delivered to him or left at the premises in case of his absence therefrom.

The service of a notice to quit upon a tenant or person in possession does not authorize an action to be maintained against him for the possession of the premises before the expiration of any period for which such tenant or person has paid the rent of such premises in advance.

When the leasing or occupation is for the purpose of farming or agriculture, the tenant or person in possession shall, after the termination of such lease or occupancy, have free access to the premises to cultivate and harvest or gather any crop or produce of the soil planted or sown by him before the service of notice to quit.

In an action to recover the possession of any land, tenement or other real property, where the entry is forcible or when the possession thereof is unlawfully held by force, the merits of the title shall not be inquired into, and three years' quiet possession of the premises immediately preceding the commencement of such action by the party in possession, or those under whom he holds, may be pleaded in bar thereof, unless the estate of such party in the premises is ended.

The total court fees and costs for the summary proceedings provided for by this chapter shall be $2.00.

Unless otherwise agreed in writing, upon the request of a tenant, the landlord of a dwelling unit/commercial unit shall install a water and/or electric meter for the purpose of recording the amount of water and/or electricity used by the tenant. Nothing contained in this section shall prohibit the landlord from assessing costs and charges against the tenant for water and/or electricity; provided that the tenant shall be charged based on the amount of water and/or electricity the tenant uses. History: Added May 29, 1998, No. 6232, § 8, Sess. L. 1998, p. 329.

As used in this subchapter, unless it is otherwise provided or the context requires a different construction, application, or meaning- "accommodations" means any building, structure or part thereof, or land appurtenant thereto, or any other real or personal property rented or offered for rent for living, dwelling, or business purposes in the Virgin Islands, including land rented for the location of a superficiary house; "landlord" includes an owner, lessor, sub-lessor, or other person entitled to receive rent for the use or occupancy of any housing or business accommodations; "maximum rent ceiling" means the maximum rent which may be demanded or received for the use or occupancy of accommodations; "rent" means the consideration, including any bonus, benefit, or gratuity demanded or received per day, week, month, year, or other period of time, as the case may be, for the use or occupancy of accommodations; and "tenant" includes a sub-tenant, lessee, sub-lessee, or other person entitled to the use or occupancy of any housing or business accommodations, other than the owner.

The provisions of this subchapter shall be administered and enforced by a Rent Control Officer, under the direction and general supervision of the Commissioner of Housing, Parks and Recreation. There shall be a Rent Control Officer for St. Croix, and a Rent Control Officer for Saint Thomas and Saint John. History: Amended May 26, 1959, No. 412, § 1, Sess. L. 1959, p. 19; Mar. 29, 1968, No. 2136, Sess. L. 1968, Pt. I, p. 389; May 23, 1969, No. 2469, § 5, Sess. L. 1969, p. 124.

In addition to any other powers granted to him by this subchapter or other law, the Rent Control Officer may- (1) with the approval of the Commissioner of Housing, Parks and Recreation, promulgate, issue, amend, or rescind such rules and regulations as he deems necessary for the proper administration of this subchapter; (2) issue such orders as he deems necessary or proper to carry out the purposes and provisions of this subchapter or to prevent the circumvention or evasion hereof; (3) make such studies and investigations, and obtain and require the furnishing of such information under oath or affirmation or otherwise, as he deems necessary or proper, to assist him in prescribing any regulation or order under this subchapter, or in administering and enforcing this subchapter or any regulations or orders hereunder; and (4) for such purposes, require- (A) by subpoena or otherwise, the attendance and testimony of witnesses and the production of documents at any designated place; (B) persons to permit the inspection and copying of documents and the inspection of housing and business accommodations; and (C) by regulation or order, the making and keeping of records and other documents. History: Amended Mar. 29, 1968, No. 2136, Sess. L. 1968, Pt. I, p. 389; May 23, 1969, No. 2469, § 5, Sess. L. 1969, p. 124.

The maximum rent ceilings in the Virgin Islands shall be as follows- (1) for housing accommodations, rents in force and effect on July 1, 1947; (2) real property used for business purposes or on which superficiary houses are constructed, rents in force and effect on July 1, 1947; (3) for newly constructed housing or business accommodations first rented on and after the aforesaid maximum rent date, or accommodations changed on or after such date, so as to result in an increase or decrease of the number of dwelling or business units in such accommodations, the first rent for such accommodations after the change or maximum rent date as the case may be, but in no event more than the maximum rent provided for such accommodations by an order of the Rent Control Officer upon application properly made; and (4) for housing accommodations or real property used for business purposes or on which superficiary houses are constructed, not rented on July 1, 1947, and not covered by clause (3) this section, the last rent in force and effect prior to July 1, 1947. History: Amended May 23, 1969, No. 2469, § 5, Sess. L. 1969, p. 124.

All rentals shall be deemed unjust and unreasonable if they are in an amount greater than as set forth or authorized in this subchapter.

(a) Any landlord may petition the Rent Control Officer to adjust the maximum rent ceiling applicable to his accommodations to compensate for a substantial major capital improvement or structural change as distinguished from repair, replacement, or maintenance. (b) Any tenant may petition the Rent Control Officer to adjust the maximum rent ceiling applicable to his premises on the ground that unduly high rents are being charged or that the maximum rent ceiling permits the receipt of rent substantially in excess of the prevailing rent for equivalent accommodations. History: Amended May 23, 1969, No. 2469, § 5, Sess. L. 1969, p. 124.

(a) Any petition filed under section 836 of this title shall be promptly considered by the Rent Control Officer. Pursuant thereto, he shall hold a hearing, which shall be conducted in accordance with regulations promulgated under clause (1) of section 833 of this title. At this hearing, the landlord and tenant shall be given an opportunity to be heard or to file written statements, with due regard to be given to the utility and relevance of the information offered and the need for expedition. (b) After the hearing referred to in subsection (a) of this section, the Rent Control Officer shall make findings of fact and issue an appropriate order. If the order is favorable to the landlord pursuant to a petition filed by him under subsection (a) of section 836 of this title, it shall provide for an adjustment of the maximum rent ceiling in such manner or amount as the Rent Control Officer deems proper to compensate the landlord for the capital improvement or structural change referred to in such subsection, in whole or in part, if the Rent Control Officer finds the adjustment necessary or appropriate to carry out the purposes of this subchapter; but no such adjusted maximum ceiling shall permit the receipt of rent in excess of the rent generally prevailing for comparable accommodations as determined by the Rent Control Officer. If the order is favorable to the tenant pursuant to a petition filed under subsection (b) of section 836 of this title, it shall, as the case may be, fix a new maximum rent ceiling which shall be substantially equal to that fixed for other properties of like kind and use, or provide for an adjustment of the existing maximum rent ceiling in such manner or amount as, in the judgment of the Rent Control Officer, will effectuate the purposes of this subchapter and provide a fair and reasonable rent for the premises. Copies of the findings and order of the Rent Control Officer shall be served upon the parties to the proceeding. (c) Any adjusted maximum rent ceiling ordered under this section shall be the maximum rent ceiling for the accommodations subject thereto, except that, if the order of adjustment is stayed or set aside by the Commissioner of Housing, Parks and Recreation or the court, the maximum rent ceilings theretofore applicable to such accommodations under this subchapter shall remain in full force and effect. History: Amended Mar. 29, 1968, No. 2136, Sess. L. 1968, Pt. I, p. 389; May 23, 1969, No. 2469, § 5, Sess. L. 1969, p. 124.

Any person aggrieved by an order of the Rent Control Officer issued under this subchapter may appeal to the Commissioner of Housing, Parks and Recreation within 10 days after issuance of the order. The Commissioner shall issue an order affirming, modifying, or reversing the order from which the appeal was taken. History: Amended Mar. 29, 1968, No. 2136, Sess. L. 1968, Pt. I, p. 389; May 23, 1969, No. 2469, § 5, Sess. L. 1969, p. 124.

(a) Within 10 days after issuance of an order of the Commissioner of Housing, Parks and Recreation under section 838 of this title, any aggrieved party may file a petition to review such action in the district court and shall forthwith serve a copy of such petition upon the Commissioner. Thereupon the Commissioner shall certify and file with the court a transcript of the record upon which the other complained of was entered. Upon the filing of such transcript the court shall have exclusive jurisdiction to affirm or set aside such order or remand the proceedings. The Commissioner may at any time, upon reasonable notice and in such manner as he deems proper, rescind, modify or set aside, in whole or in part, any such order, at any time, notwithstanding the pendency of the petition to review. (b) No order shall be set aside or remanded unless the petitioner establishes to the satisfaction of the court that the order is not in accordance with law, or is not supported by substantial evidence. (c) The commencement of proceedings under this section shall not operate as a stay of the order of the Commissioner. History: Amended Mar. 29, 1968, No. 2136, Sess. L. 1968, Pt. I, p. 389.

(a) No action shall be maintained to recover the possession of rented premises in the Virgin Islands, except upon the ground that- (1) the owner seeks, in good faith, to recover possession of the premises for his own personal use; (2) the owner desires, in good faith, to recover possession of the premises for the purpose of demolishing them with the intention of constructing a new building, plans for which have been completed and the owner is actually ready to construct same; (3) the tenant maintains a nuisance on the premises, causes and permits unreasonable damage to the premises, or repeatedly engages in or permits serious misconduct on the premises; or (4) the tenant refuses or fails to pay the rent due on the premises. (b) No action to recover possession for nonpayment of rent shall be maintainable unless the landlord proves that the rent is no greater than the amount for which the tenant is liable for the month preceding the default. Nothing in clause (4) of subsection (a) of this section or this subsection shall preclude the tenant from interposing the defense that the rent claimed or contracted is unjust and unreasonable and that the agreement under which the action is brought is oppressive and violative of the provisions of this subchapter.

(a) When a landlord has been granted recovery of the premises under clause (1) or (2) of subsection (a) of section 840 of this title, the court, on application of the occupant, shall stay the issuance of an order of eviction for a reasonable period of not more than 6 months at a time, if, upon the application, it appears that- (1) the applicant, although he has made due and reasonable efforts to secure suitable premises, cannot secure them; or (2) by reason of other facts, it would occasion extreme hardship to the applicant or his family if the stay is not granted; and (3) the application is made in good faith. (b) A stay under subsection (a) of this section, if granted, shall be on condition that the tenant or occupant shall make a deposit in court for the period of the stay or pay to the landlord or deposit in court installments equivalent to the reasonable rental rate for which he would be liable. Such amounts shall also include all accrued rents unpaid by the occupant prior to the period of the stay.

Penalties Premises recovered by an owner in accordance with clause (1) or (2) of subsection (a) of section 840 of this title shall not thereafter be leased to or occupied by any tenant, lessee, or person other than the owner recovering possession of the same for his own personal use, unless notice in writing, by registered mail, is served upon the evicted tenant or tenants if his or their whereabouts be known, or if his or their whereabouts are unknown then by posting the notice on the premises involved, granting an optional resumption of tenancy at the same rental as theretofore which option shall expire unless accepted by the tenant or tenants in writing, by registered mail, within 30 days after service of the notice upon the evicted tenant or tenants. Any owner violating the provisions of this section shall be liable to each evicted tenant for double the amount of rent received from any new tenant or occupant, or $50, whichever is greater; and in addition shall be liable to each evicted tenant upon the resumption of tenancy in an amount equal to the damages suffered by the tenant as a result of the eviction and resumption of tenancy.

In any action for the recovery of possession of rented premises, written notice to quit must have been served upon the tenant or person in possession for a period of 30 days before the commencement of such action.

(a) If any landlord receives rent in violation of any provisions of this subchapter, or of any regulation or order thereunder prescribing a rent ceiling, the tenant paying such rent or the Rent Control Officer on behalf of such tenant may bring an action for double the amount by which the rent paid exceeds the applicable rent ceiling or for $50 whichever is greater, plus attorney's fees and costs as determined by the court. (b) Whoever wilfully violates any provision of this subchapter or any regulation, order or requirement thereunder, or wilfully commits any acts with intent to evade this subchapter or any regulation or order or requirement thereunder, shall be fined not more than $100. Any person against whom a judgment has been entered under subchapter (a) of this section shall not be subject to prosecution under this subsection. (c) No person shall be held liable for damages or penalties in any court on any grounds for or in respect of anything done or omitted to be done in good faith pursuant to any provisions of this subchapter or any regulation or order. The Rent Control Officer may intervene in any action wherein a party relies for ground of relief or defense upon this subchapter or any regulation, order, or requirement thereunder. History: Amended May 23, 1969, No. 2469, § 5, Sess. L. 1969, p. 124.

This subchapter shall not apply to hotels or transient lodging houses.

The provisions of this subchapter shall remain in force and effect only for the duration of the public emergency with respect to the shortage of housing and business accommodations declared to exist by Ordinance of the Municipal Council of Saint Thomas and Saint John approved December 5, 1947 (Bill no. 92), which ordinance was made applicable throughout the Virgin Islands by section 13 of the Act of the Legislature approved March 31, 1955, Number 24. Upon declaration by Resolution or Act of the Legislature that such emergency has ceased to exist, the provisions of this subchapter shall have no further application.

As used in this chapter, unless the context otherwise requires: (a) "Apartment" or "condominium unit" means a part of the property intended for any type of independent use, including one or more rooms or enclosed spaces located on one or more floors (or part or parts thereof) in a building and with a direct exit to a public street or highway or to a common area leading to such street or highway. (b) "Apartment owner" means the person owning, or the persons owning jointly or in common, an apartment and the common interest appertaining thereto; Provided, That to such extent and for such purposes, including the exercise of voting rights, as shall be provided by lease filed with the board of directors, a lessee of an apartment shall be deemed to be the owner thereof. (c) "Apartment number" means the number, letter, or combination thereof, designating the apartment in the declaration. (d) "Association of apartment owners" means all of the apartment owners acting as a group in accordance with the bylaws and declaration. (e) "Building" means a building or group of buildings having a total of five or more apartments, and comprising a part of the property. (f) "Common areas and facilities", unless otherwise provided in the declaration or lawful amendments thereto, means and includes: (1) the land on which the building is located, whether leased or in fee simple. (2) the foundations, columns, girders, beams, supports, main walls, roofs, halls, corridors, lobbies, stairs, stairways, fire escapes, and entrances and exits of the buildings; (3) the basements, yards, gardens, parking and areas and storage spaces; (4) the premises for the lodging of janitors or persons in charge of the property; (5) installations of central services such as power, light, gas, water collection, storage and distribution system, hot and cold water, refrigeration, air conditioning and incinerating; (6) the elevators, tanks, pumps, motors, fans, compressors, ducts and in general all apparatus and installations existing for common use; (7) such community and commercial facilities as may be provided for in the declaration; and (8) all other parts of the property necessary or convenient to its existence, maintenance and safety, or normally in common use. (g) "Common expenses" means and includes: (1) all sums lawfully assessed against the apartment owners by the Association of Apartment Owners; (2) expenses of administration, maintenance, repair or replacement of the common areas and facilities; (3) expenses agreed upon as common expenses by the Association of Apartment Owners; (4) expenses declared common expenses by provisions of this chapter, or by the declaration or the bylaws. (h) "Common profits" means the balance of all income, rents, profits and revenues from the common areas and facilities remaining after the deductions of the common expenses. (i) "Condominium" means real property within given bounds with separate ownership of individual units thereon and with all the unit owners owning, as tenants in common, an interest in common areas. (j) "Declaration" means the instrument by which the property is submitted to the provisions of this chapter, as hereinafter provided, and such declaration as from time to time may be lawfully amended. (k) "Limited common areas and facilities" means and includes those common areas and facilities designated in the declaration as reserved for use of certain apartment or apartments to the exclusion of the other apartments. (l) "Majority" or "majority of apartment owners" means the apartment owners with 51 percent or more of the votes in accordance with percentages assigned in the declaration to the apartments for voting purposes. (m) "Person" means individual, corporation, partnership, association, trustee or other legal entity. (n) "Property" means and includes the land, the building, all improvements and structures thereon, whether leasehold or in fee simple, and all easements, rights, and appurtenances belonging thereto, and all articles of personal property intended for use in connection therewith, which have been or are intended to be submitted to the provisions of this chapter. History: Added July 2, 1965, No. 1490, § 3, Sess. L. 1965, Pt. I, p. 394; amended Sept. 18, 1969, No. 2545, §§ 1-3, Sess. L. 1969, p. 268; Oct. 25, 1978, No. 4224, Sess. L. 1978, p. 249.

Whenever the sole owner or sole lessee or all of the owners or all of the lessees of a property expressly declare, through the execution and recordation of a master deed or lease, together with a declaration, which declaration shall set forth the particulars enumerated by section 910 of this title, his or their desire to submit the property to the regime established by this chapter, there shall thereby be established a horizontal property regime with respect to the property, and this chapter shall be applicable to the property. In the event that the master deed or lease is already recorded, the recordation of the declaration shall be deemed sufficient to achieve the same result. History: Added July 2, 1965, No. 1490, § 3, Sess. L. 1965, Pt. I, p. 394; amended Sept. 18, 1969, No. 2545, § 4, Sess. L. 1969, p. 269.

Once property is submitted to the provisions of this chapter: (a) Each apartment, together with its undivided interest in the common area and facilities, shall for all purpose, including the provisions of subtitle 2 of Title 33, constitute real property and may be separately conveyed, encumbered, leased or otherwise disposed of and may be inherited or devised by will, entirely irrespective of the building of which it forms part, and the separate title to each such apartment shall be recordable in the district in which the same is located. (b) Each apartment owner shall be entitled to the exclusive ownership and possession of his apartment. (c) Each apartment may be held and owned by more than one person as joint tenants, as tenants in common, as tenants by the entireties (in the case of husband and wife) or in any other real property relationship recognized by the laws of the Virgin Islands. History: Added July 2, 1965, No. 1490, § 3, Sess. L. 1965, Pt. I, p. 394.

Apartment Planned But Not Completed; Apartment Under Construction (a) In cases of the conveyance or encumbrance of an apartment which has been planned but whose construction has not yet begun, the share of the grantor or the encumbrancer, as the case may be, in the common elements of the proposed building and his right to have the apartment constructed for him shall be deemed acquired by the new owner, or encumbered, and the new owner or person to whom the encumbrance is made shall be deemed subrogated to the rights and interest of the grantor or encumbrancer for all legal purposes. (b) In the case of the conveyance or encumbrance of an apartment already under construction, the share to which subsection (a) of this section applies shall be deemed acquired or encumbered, as the case may be, and the part of the apartment already constructed shall be deemed individually acquired or encumbered, the new owner or person to whom the encumbrance is made being also subrogated to the rights and interest of the grantor or encumbrancer for all legal purposes. History: Added July 2, 1965, No. 1490, § 3, Sess. L. 1965, Pt. I, p. 394.

(a) Each apartment owner shall be entitled to an undivided interest in the common areas and facilities in the percentage expressed in the declaration. Such percentage shall be computed by taking as a basis the value of the apartment in relation to the value of the property. (b) The percentage of the undivided interest of each apartment owner in the common areas and facilities as expressed in the declaration shall have a permanent character and shall not be altered without the consent of all of the apartment owners expressed in an amended declaration duly recorded. The percentage of the undivided interest in the common areas and facilities shall not be separated from the apartment to which it appertains and shall be deemed to be conveyed or encumbered with the apartment even though such interest is not expressly mentioned or described in the conveyance or other instrument. (c) The common areas and facilities shall remain undivided and no apartment owner or any other person shall bring any action for partition or division of any part thereof, unless the property has been removed from the provisions of this chapter as provided in sections 915 and 925 of this title. Any covenant to the contrary shall be null and void. (d) Each apartment owner may use the common areas and facilities in accordance with the purposes for which they were intended; without hindering or encroaching upon the lawful rights of the other apartment owners. (e) The necessary work of maintenance, repair and replacement of the common areas and facilities and the making of any additions or improvements thereto shall be carried out only as provided herein and in the bylaws. (f) The Association of Apartment Owners shall have the irrevocable right, to be exercised by the manager or Board of Directors, to have access to each apartment from time to time during reasonable hours, as may be necessary for the maintenance, repair or replacement of any of the common areas and facilities therein or accessible therefrom, or for making emergency repairs therein necessary to prevent damage to the common areas and facilities or to another apartment or apartments. History: Added July 2, 1965, No. 1490, § 3, Sess. L. 1965, Pt. I, p. 394.

Each apartment owner shall comply strictly with the bylaws and the administrative rules and regulations adopted pursuant thereto, as either of the same may be lawfully amended from time to time, and with the covenants, conditions and restrictions set forth in the declaration or in the deed to his apartment. Failure to comply with any of the same shall be ground for an action to recover sums due, for damages or injunctive relief or both maintainable by the manager or Board of Directors on behalf of the Association of Apartment Owners or, in a proper case, by an aggrieved apartment owner. History: Added July 2, 1965, No. 1490, § 3, Sess. L. 1965, Pt. I, p. 394.

No apartment owner shall do any work which would jeopardize the soundness or safety of the property, reduce the value thereof or impair any easement or hereditament without in every such case the unanimous consent of all the other apartment owners being first obtained. History: Added July 2, 1965, No. 1490, § 3, Sess. L. 1965, Pt. I, p. 394.

Payment (a) Subsequent to recording the declaration as provided in this chapter, and while the property remains subject to this chapter, no lien shall thereafter arise or be effective against the property. During such period liens or encumbrances shall arise or be created only against such apartment and the percentage of undivided interest in the common areas and facilities, appurtenant to such apartment, in the same manner and under the same conditions in every respect as liens or encumbrances may arise or be created upon or against any other separate parcel of real property subject to individual ownership; Provided, That no labor performed or materials furnished with the consent or at the request of an apartment owner or his agent or his contractor or subcontractor shall be the basis for the filing of a lien pursuant to applicable law against the apartment or any other property of any other apartment owner not expressly consenting to or requesting the same, except that such express consent shall be deemed to be given by the owner of any apartment in the case of emergency repairs thereto. Labor performed or materials furnished for the common areas and facilities, if duly authorized by the Association of Apartment Owners, the manager or Board of Directors in accordance with this chapter, the declaration or bylaws, shall be deemed to be performed or furnished with the express consent of each apartment owner and shall be the basis for the filing of a lien pursuant to applicable law against each of the apartments and shall be subject to the provisions of subparagraph (b) of this section. (b) In the event a lien against two or more apartments becomes effective, the apartment owners of the separate apartments may remove their apartment and the percentage of undivided interest in the common areas and facilities appurtenant to such apartment from the lien by payment of the fractional or proportional amounts attributable to each of the apartments affected. Such individual payment shall be computed by reference to the percentages appearing on the declaration. Subsequent to any such payment, discharge or other satisfaction the apartment and the percentage of undivided interest in the common areas and facilities appurtenant thereto shall thereafter be free and clear of the lien so paid, satisfied or discharged. Such partial payment, satisfaction or discharge shall not prevent the lienor from proceeding to enforce his rights against any apartment and the percentage of undivided interest in the common areas and facilities appurtenant thereto not so paid, satisfied or discharged. History: Added July 2, 1965, No. 1490, § 3, Sess. L. 1965, Pt. I, p. 394.

The common profits of the property shall be distributed among, and the common expenses shall be charged to, the apartment owners according to the percentage of the undivided interest in the common areas and facilities. History: Added July 2, 1965, No. 1490, § 3, Sess. L. 1965, Pt. I, p. 394.

The declaration shall contain the following particulars: (1) Description of the land, whether leased or in fee simple, on which the building and improvements are or are to be located. (2) Description of the building, stating the number of stories and basements, the number of apartments and the principal materials of which it is or is to be constructed. (3) The apartment number of each apartment, and a statement of its location, approximate area, number of rooms, and immediate common area to which it has access, and any other data necessary for its proper identification. (4) Description of the common areas and facilities. (5) Description of the limited common areas and facilities, if any, stating to which apartments their use is reserved. (6) Value of the property and of each apartment, and the percentage of undivided interest in the common areas and facilities appertaining to each apartment and its owner for all purposes, including voting. (7) Statement of the purposes for which the building and each of the apartments are intended and restricted as to use. (8) The name of a person to receive service of process in the cases hereinafter provided, together with the residence or place of business of such person which shall be within the judicial district in which the building is located. (9) Provision as to the percentage of votes by the apartment owners which shall be determinative of whether to rebuild, repair, restore, or sell the property in the event of damage or destruction of all or part of the property. (10) Any further details in connection with the property which the person executing the declaration may deem desirable to set forth consistent with this chapter. (11) The method by which the declaration may be amended, consistent with the provisions of this chapter. History: Added July 2, 1965, No. 1490, § 3, Sess. L. 1965, Pt. I, p. 394; amended Sept. 18, 1969, No. 2545, § 5, Sess. L. 1969, p. 269.

Deeds of apartments shall include the following particulars: (1) Description of the land as provided in section 910 of this title, or the post-office address of the property, including in either case the book, page and date of recording of the declaration. (2) The apartment number of the apartment in the declaration and any other data necessary for its proper identification. (3) Statement of the use for which the apartment is intended and restrictions on its use. (4) The percentage of undivided interest appertaining to the apartment in the common areas and facilities. (5) Any further details which the grantor and grantee or lessor and lessee may deem desirable to set forth consistent with the declaration of this chapter. History: Added July 2, 1965, No. 1490, § 3, Sess. L. 1965, Pt. I, p. 394; amended Sept. 18, 1969, No. 2545, § 6, Sess. L. 1969, p. 269.

Simultaneously with the recording of the declaration there shall be filed in the office of the Recorder of Deeds for the district where the property is situated a set of the floor plans of the building showing the layout, location, apartment numbers and dimensions of the apartments, stating the name of the building or that it has no name, and bearing the verified statement of a registered architect, licensed land surveyor or licensed professional engineer certifying that it is an accurate copy of portions of the plans of the building as filed with and approved by the Department of Public Works. If such plans do not include a verified statement by such architect, licensed land surveyor or engineer that such plans fully and accurately depict the layouts, location, apartment numbers and dimensions of the apartments as built, there shall be recorded prior to the first conveyance of any apartment an amendment to the declaration to which shall be attached a verified statement of a registered architect, licensed land surveyor or licensed professional engineer certifying that the plans theretofore filed, or being filed simultaneously with such amendment, fully and accurately depict the layout, location, apartment numbers and dimensions of the apartments as built. Such plans shall be kept by the Recorder of Deeds in a separate file for each building, indexed in the same manner as a conveyance entitled to record, numbered serially in the order of receipt, each designated "Apartment ownership", with the name of the building, if any, and each containing a reference to the book, page and date of recording of the declaration. Correspondingly, the record of the declaration shall contain a reference to the title number of the floor plans of the building affected thereby. History: Added July 2, 1965, No. 1490, § 3, Sess. L. 1965, Pt. I, p. 394; amended Apr. 21, 1970, No. 2698, Sess. L. 1970, p. 72.

Apartment At Time of First Conveyance At the time of the first conveyance or lease of each apartment, every mortgage and other lien affecting such apartment, including the percentage of undivided interest of the apartment in the common areas and facilities, shall be paid and satisfied of record, or; the apartment being conveyed or leased and its percentage of undivided interest in the common areas and facilities shall be released therefrom by partial release duly recorded. History: Added July 2, 1965, No. 1490, § 3, Sess. L. 1965, Pt. I, p. 394; amended Sept. 18, 1969, No. 2545, § 7, Sess. L. 1969, p. 269.

(a) The declaration, any amendment or amendments thereof, any instruments by which the provisions of this chapter may be waived, and every instrument affecting the property or any apartment shall be entitled to be recorded. Neither the declaration nor any amendment thereof shall be valid unless duly recorded. (b) In addition to the records and indexes required to be maintained by the Recorder of Deeds, said Recorder shall maintain an index or indexes whereby the record of each declaration contains a reference to the record of each conveyance of an apartment affected by such declaration, and the record of each conveyance of an apartment contains a reference to the declaration of the building of which such apartment is a part. History: Added July 2, 1965, No. 1490, § 3, Sess. L. 1965, Pt. I, p. 394.

(a) All of the apartment owners may remove a property from the provisions of this chapter by an instrument to that effect, duly recorded, provided that the holders of all liens affecting any of the apartments consent thereto or agree, in either case by instruments duly recorded, that their liens be transferred to the percentage of the undivided interest of the apartment owner in the property as hereinafter provided. (b) Upon removal of the property from the provisions of this chapter, the property shall be deemed to be owned in common by the apartment owners. The undivided interest in the property owned in common which shall appertain to each apartment owner shall be the percentage of undivided interest previously owned by such owner in the common areas and facilities. History: Added July 2, 1965, No. 1490, § 3, Sess. L. 1965, Pt. I, p. 394.

The removal provided for in the preceding section shall in no way bar the subsequent resubmission of the property to the provisions of this chapter. History: Added July 2, 1965, No. 1490, § 3, Sess. L. 1965, Pt. I, p. 394.

The administration of every property shall be governed by bylaws a true copy of which shall be annexed to the declaration and made a part thereof. No modification of or amendment to the bylaws shall be valid unless set forth in an amendment to the declaration and such amendment is duly recorded. History: Added July 2, 1965, No. 1490, § 3, Sess. L. 1965, Pt. I, p. 394.

The bylaws may provide for the following: (a) The election from among the apartment owners of a Board of Directors, the number of persons constituting the same, and that the terms of at least one-third of the directors shall expire annually; the powers and duties of the Board; the compensation, if any, of the directors; the method of removal from office of directors; and whether or not the Board may engage the services of a manager or managing agent. (b) Method of calling meetings of the apartment owners; what percentage, if other than a majority of apartment owners shall constitute a quorum. (c) Election of a President from among the Board of Directors who shall preside over the meetings of the Board of Directors and of the Association of Apartment Owners. (d) Election of a Secretary who shall keep the minute book wherein resolutions shall be recorded. (e) Election of a Treasurer who shall keep the financial records and books of account. (f) Maintenance, repair and replacement of the common areas and facilities and payments therefor, including the method of approving payment vouchers. (g) Manner of collecting from the apartment owners their share of the common expenses. (h) Designation and removal of personnel necessary for the maintenance, repair and replacement of the common areas and facilities. (i) Method of adopting and of amending administrative rules and regulations governing the details of the operation and use of the common areas and facilities. (j) Such restrictions on and requirements respecting the use and maintenance of the apartments and the use of the common areas and facilities, not set forth in the declaration, as are designed to prevent unreasonable interference with the use of their respective apartments and of the common areas and facilities by the several apartment owners. (k) The percentage of votes required to amend the bylaws. (l) Other provisions as may be deemed necessary for the administration of the property consistent with this chapter. History: Added July 2, 1965, No. 1490, § 3, Sess. L. 1965, Pt. I, p. 394.

Annual Audit The manager or Board of Directors, as the case may be, shall keep detailed, accurate records in chronological order, of the receipts and expenditures affecting the common areas and facilities, specifying and itemizing the maintenance and repair expenses of the common areas and facilities and any other expenses incurred. Such records and the vouchers authorizing the payments shall be available for examination by the apartment or the condominium unit owners upon reasonable notice in advance at convenient hours of week days. The manager or Board of Directors shall also provide a copy of the profit and loss statement and bank statements on an annual basis, to each Apartment or Condominium unit owner of an Apartment or Condominium having ten or fewer units. An annual audit by an independent auditor shall be made of the books and records for Apartments or Condominiums with eleven or more apartment or condominium units. For Apartments or Condominiums with ten or fewer apartments or condominium units, any owner may request that, an audit by an independent auditor be made of the books and records. Except as otherwise provided in the declaration, bylaws, rules, regulations or other instrument, or by vote of the owners, an Apartment or Condominium unit owner who requests an audit is responsible for all fees charged by the independent auditor. History: Added July 2, 1965, No. 1490, § 3, Sess. L. 1965, Pt. I, p. 394; amended Aug. 18, 2015, No. 7746, § 1(a)-(c), Sess. L. 2015, p. 41, 42.

Apartment No apartment owner may exempt himself from liability for his contribution towards the common expenses by waiver of the use or enjoyment of any of the common areas and facilities or by abandonment of his apartment. History: Added July 2, 1965, No. 1490, § 3, Sess. L. 1965, Pt. I, p. 394.

Each apartment and its percentage of undivided interest in the common areas and facilities shall be deemed to be a parcel and shall be subject to separate assessment and taxation under the provision of subtitle 2 of Title 33. Neither the building, the property nor any of the common areas and facilities shall be deemed to be a parcel. History: Added July 2, 1965, No. 1490, § 3, Sess. L. 1965, Pt. I, p. 394.

(a) All sums assessed by the Association of Apartment Owners but unpaid for the share of the common expenses chargeable to any apartment shall constitute a lien on such apartment prior to all other liens except only (i) tax liens on the apartment in favor of the Government of the United States Virgin Islands, and (ii) all sums unpaid on a first mortgage of record. Such lien may be foreclosed by suit by the manager or Board of Directors, acting on behalf of the apartment owners, in like manner as a mortgage of real property. In any such foreclosure the apartment owner shall be required to pay a reasonable rental for the apartment, if so provided in the bylaws, and the plaintiff in such foreclosure shall be entitled to the appointment of a receiver to collect the same. The manager or Board of Directors, acting on behalf of the apartment owners, shall have the power, unless prohibited by the declaration, to bid in the apartment at foreclosure sale, and to acquire and hold, lease, mortgage and convey the same. Suit to recover a money judgment for unpaid common expenses shall be maintainable without foreclosing or waiving the lien securing the same. (b) Where the mortgagee of a first mortgage of record or other purchaser of an apartment obtains title to the apartment as a result of foreclosure of the first mortgage, such acquirer of title, his successors and assigns, shall not be liable for the share of the common expenses or assessment by the Association of Apartment Owners chargeable to such apartment which became due prior to the acquisition of title to such apartment by such acquirer. Such unpaid share of common expenses or assessments shall be deemed to be common expenses collectible from all of the apartment owners including such acquirer, his successors and assigns. History: Added July 2, 1965, No. 1490, § 3, Sess. L. 1965, Pt. I, p. 394.

Common Expenses In a voluntary conveyance the grantee of an apartment shall be jointly and severally liable with the grantor for all unpaid assessments against the latter for his share of the common expenses up to the time of the grant or conveyance, without prejudice to the grantee's right to recover from the grantor the amounts paid by the grantee therefor. However, any such grantee shall be entitled to a statement from the manager or Board of Directors, as the case may be, setting forth the amount of the unpaid assessments against the grantor and such grantee shall not be liable for, nor shall the apartment conveyed be subject to a lien for, any unpaid assessments against the grantor in excess of the amount therein set forth. History: Added July 2, 1965, No. 1490, § 3, Sess. L. 1965, Pt. I, p. 394.

The manager or the Board of Directors, if required by the Declaration, bylaws or by a majority of the apartment owners, or at the request of a mortgagee having a first mortgage of record covering an apartment, shall have the authority to, and shall obtain insurance for the property against loss or damage by fire and such other hazards under such terms and for such amounts as shall be required or requested. Such insurance coverage shall be written on the property in the name of such manager or of the Board of Directors of the Association of Apartment Owners, as trustee for each of the apartment owners in the percentages established in the declaration. Premiums shall be common expenses. Provisions for such insurance shall be without prejudice to the right of each apartment owner to insure his own apartment for his benefit. History: Added July 2, 1965, No. 1490, § 3, Sess. L. 1965, Pt. I, p. 394.

If, within 60 days of the date of the damage or destruction to all or part of the property, it is not determined by the Association of Apartment Owners to repair, reconstruct or rebuild, then and in that event: (a) the property shall be deemed to be owned in common by the apartment owners; (b) the undivided interest in the property owned in common which shall appertain to each apartment owner shall be the percentage of undivided interest previously owned by such owner in the common areas and facilities; (c) any liens affecting any of the apartments shall be deemed to be transferred in accordance with the existing priorities to the percentage of the undivided interest of the apartment owners in the property as provided herein; and (d) the property shall be subject to an action for partition at the suit of any apartment owner, in which event the net proceeds of sale, together with the net proceeds of the insurance on the property, if any, shall be considered as one fund and shall be divided among all the apartment owners in a percentage equal to the percentage of undivided interest owned by each owner, in the property, after first paying out of the respective shares of the apartment owners, to the extent sufficient for the purposes, all liens on the undivided interest in the property owned by each apartment owner. History: Added July 2, 1965, No. 1490, § 3, Sess. L. 1965, Pt. I, p. 394.

Without limiting the rights of any apartment owner, actions may be brought by the manager or Board of Directors, in either case in the discretion of the Board of Directors, on behalf of two or more of the apartment owners, as their respective interest may appear, with respect to any cause of action relating to the common areas and facilities or more than one apartment. Service of process on two or more apartment owners in any action relating to the common areas and facilities or more than one apartment may be made on the person designated in the declaration to receive service of process. History: Added July 2, 1965, No. 1490, § 3, Sess. L. 1965, Pt. I, p. 394.

(a) All apartment owners, tenants of such owners, employees of owners and tenants, or any other person that may in any manner use property or any part thereof submitted to the provisions of this chapter shall be subject to this chapter and to the declaration and bylaws of the Association of Apartment Owners adopted pursuant to the provisions of this chapter. (b) All agreements, decisions and determinations lawfully made by the Association of Apartment Owners in accordance with the voting percentage established in this chapter, the declaration of bylaws shall be deemed to be binding on all apartment owners. History: Added July 2, 1965, No. 1490, § 3, Sess. L. 1965, Pt. I, p. 394.

History: Repealed. July 3, 2009, No. 7075, § 12, Sess. L. 2009, p. 111.

History: Repealed. July 3, 2009, No. 7075, § 12, Sess. L. 2009, p. 111.

History: Repealed. July 3, 2009, No. 7075, § 12, Sess. L. 2009, p. 111.

History: Repealed. July 3, 2009, No. 7075, § 12, Sess. L. 2009, p. 111.

History: Repealed. July 3, 2009, No. 7075, § 12, Sess. L. 2009, p. 111.

History: Repealed. July 3, 2009, No. 7075, § 12, Sess. L. 2009, p. 111.

Location of Property Or Unimprovement (a) No lending institution doing business in this territory shall discriminate, on a basis that is arbitrary or unsupported by a reasonable analysis of the lending risks associated with a residential mortgage transaction, in the granting, withholding, extending, modifying or renewing, or in the fixing of the rates, terms, conditions or provisions of any residential mortgage loan or in any written application for a loan on residential real property to be occupied in whole or in part by the applicant and that is within the mortgagee's service area on the basis that such property is located within a specific neighborhood or geographic area or that such loan would be secured by unimproved real estate. (b) It shall not be a violation of this section if the residential mortgage loan is made pursuant to a specific public or private program, the purpose of which is to increase the availability of mortgage loans within a specific neighborhood or geographic area. (c) A mortgagee shall inform each applicant in writing of the specific reasons for any adverse action on an application for a mortgage loan or for an extension, modification, or renewal of a loan. If the reason for any adverse action taken by a mortgagee is based in whole or in part on the location or unimprovement of the collateral property, the mortgagee shall inform the applicant in writing of the estimated market value of the subject property on which it relied and the lending standards which it used in taking such adverse action. A mortgagee shall not be liable to any seller or agent of the seller of such property on account of the disclosure of the market value of such property estimated according to a reasonable appraisal rendered to the lender as part of the application process. (d) For the purposes of this section, adverse action means refusal either to grant financing at the terms and for the amount requested or to make a counter offer acceptable to the applicant. (e) Any person claiming to have been aggrieved as a result of a violation of this section may bring a civil action in Superior Court. Upon finding that a lending institution has committed a violation of this section, the court may award actual damages or punitive damages in the amount of five thousand dollars whichever is greater, but in no event less than two thousand five hundred dollars, and may, in its discretion, award court costs and attorney's fees. History: Added Oct. 19, 1984, No. 5014, § 224(a), Sess. L. 1984, p. 370.

Advances (a) Any mortgage or other instrument given for the purpose of creating a lien on real property may, and when so expressed therein or when so expressed in a separate loan agreement specifically referred to therein and incorporated by reference (which loan agreement need not be recorded) shall, secure not only existing indebtedness, but also future advances, whether such advances are obligatory or to be made at the option of the lender, or otherwise, to the same extent as if such future advances were made on the date of the execution of such mortgage or other instrument, although there may be no advance made at the time of the execution of such mortgage or other instrument and although there may be no indebtedness outstanding at the time any advance is made. Such lien, as to third persons with or without the actual knowledge therein, shall be valid as to all such indebtedness as future advances from the time the mortgage or other instrument is recorded as provided by this title. The total amount of the indebtedness that may be so secured may decrease or increase from time to time, but the total unpaid balance so secured at any one time shall not exceed a maximum principal amount which must be specified in such mortgage or other instrument, plus interest thereon, service charges and any disbursements made for the payment of taxes, assessments, or insurance on the property covered by the lien, with interest on such disbursements. (b) Any such mortgage or other instrument, and all such existing indebtedness, future advances and disbursements thereunder, interest thereon, and service charges, shall have preference to and priority over any lien which is subsequent in time to the time such mortgage or other instrument is recorded as provided by this title. Nothing herein shall be construed to limit any agreement between the lender and the borrower as to the time period for the repayment of such existing indebtedness, future advances and disbursement, interest, and service charges. History: Added Feb. 13, 1992, No. 5769, § 2, Sess. L. 1992, p. 16.

This chapter is known and may be cited as "The Virgin Islands Timeshare Act". History: Added July 1, 2021, No. 8467, § 1, Sess. L. 2021, p. 61.

(a) The purpose of this chapter is to: (1) Give statutory recognition to timesharing in the Territory; (2) Regulate timeshare plans located in the Territory, whether or not offered or sold in the Territory, and regulate the sale of timeshare plans located outside the Territory when the sale occurs in the Territory; (3) Require that developers of timeshare plans: (A) Make certain disclosures to purchasers and prospective purchasers of timeshare interests; (B) Deposit certain funds with an escrow agent; (C) Provide a rescission right for purchasers of timeshare interests; and (D) Comply with the one-to-one use-right to use-night requirement; (4) Establish disclosures required for the offer of exchange programs in the Territory; (5) Provide for the non-judicial foreclosure of timeshare interests; (6) Provide for a securities exemption for the offer or sale of timeshare interests offered in compliance with this chapter; (7) Require the establishment of a timeshare association; (8) Provide for sanctions for violations of any provisions of this chapter, which will permit courts of competent jurisdictions to impose fines or imprisonment for misdemeanors and felonies and a claim for appropriate relief by any person adversely affected; and (9) Exempt existing timeshare plans created prior to the enactment of this chapter from certain provisions of this chapter but allow the voluntary adoption of certain provisions. (b) The purposes of the non-judicial foreclosure section are to: (1) Recognize that timeshare interests are used for vacation experience rather than for homestead or investment purposes; (2) Recognize that the economic health and efficient operation of the vacation ownership industry are in part dependent upon the availability of an efficient and economical process for all timeshare interest foreclosures; (3) Recognize the need to assist both owners' associations and mortgages by simplifying and expediting the process for the judicial and trustee foreclosure of assessment liens and mortgage liens against timeshare interests; (4) Improve judicial economy and reduce court congestion and the cost to taxpayers by establishing streamlined procedures for the judicial and trustee foreclosure of assessment liens and mortgage liens against timeshare interests; (5) Recognize that nearly all timeshares interest foreclosures are uncontested; (6) Protect the ability of consumers who own timeshares interests located in this Territory to choose a judicial proceeding for the foreclosure of an assessment lien or a mortgage lien against their timeshare interest; and (7) Recognize that the use of the trustee foreclosure procedure established under section 1110 of this chapter has the same force as the use of the judicial foreclosure procedure against a timeshare interest with respect to the provisions of this chapter or any other applicable law; however, owners are not subject to deficiency judgement even if the proceeds from the sale of the timeshare interest are insufficient to offset the amount secured by the lien. History: Added July 1, 2021, No. 8467, § 1, Sess. L. 2021, p. 61, 62.

As used in this chapter, unless the context clearly requires otherwise: (a) "Accommodation" means any apartment, condominium or cooperative unit, cabin, lodge, hotel or motel room, or any other private or commercial structure that: is affixes to real property; is designed for occupancy or use by one or more individuals; and is part of a timeshare plan. An accommodation in which a door or doors connecting two or more separate rooms are capable of being locked to create two or more private dwellings constitutes only one accommodation unless the timeshare instrument provides that timeshare interests may be separately conveyed in such locked-off portions. (b) (1) "Advertisement" means: (A) Any promotional brochure, pamphlet, advertisement, or other material to be disseminated to the public in connection with the sale of a timeshare plan; (B) Any radio or television advertisement; (C) Any lodging or vacation certificate; (D) Any standard oral sales presentation; (E) Any billboard or other sign posted on or off the premises; (F) Any photograph, drawing, or artist's representation of accommodations or amenities of a timeshare plan which exists, or which will or may exist; (G) Any paid publication relating to a timeshare plan which exists, or which will or may exist; and (H) Any other promotional device used, or statement related to a timeshare plan, including any prize and gift promotional offer. (2) The term "advertisement" does not include: (A) Any stockholder communication, such as an annual report or interim financial report, proxy material, registration statement, securities prospectus, registration, property report, or other material required to be delivered to a prospective purchaser by an agency of any other state or territory or the Federal Government; (B) Any communication addressed to and relating to the account of any person who has previously executed a contract for the sale and purchase of a timeshare interest in the timeshare plan to which the communication relates, except when directed to the sale of timeshare interest in a different timeshare plan or in a different component site if a multisite timeshare plan; (C) Any audio, written, or visual publication or material relating to an exchange company or exchange program; (D) Any audio, written or visual publication or material relating to the promotion of the availability of any accommodations or amenities, or both, for transient rental, so long as a mandatory tour of a timeshare property or attendance at a mandatory sales presentation is not a term or condition of the availability of such accommodations or amenities, or both, and so long as the failure of any transient renter to take a tour of a timeshare property or attend a sales presentation does not result in the transient renter's receiving less than what was promised to the transient renter in such materials; (E) Any oral or written statement disseminated by a developer to broadcast or print media, other than paid advertising or promotional material, regarding plans for the acquisition or development of timeshare property, including possible accommodations or amenities of a timeshare property or possible component sites of a multisite timeshare plan pursuant to section 1117 of this chapter; however, any rebroadcast or any other dissemination of such oral statements to a prospective purchaser by a developer in any manner, or any distribution of copies of newspaper or magazine articles, press releases, or any other dissemination of such written statements to a prospective purchaser by a developer in any manner, constitutes advertising material; (F) Any materials delivered to a purchaser after the purchase contract is executed that are not delivered for soliciting the sale of a timeshare interest in a different timeshare plan or a different component site in a multisite timeshare plan, if such materials do not contain any statements that would be in violation of section 1117 of this chapter; and (G) Any material exclusively shown, displayed, or presented in a sales center or during a sales presentation, if such material do not contain any statements that would be in violation of section 11176 of this chapter and that any description of any amenity that is not required to be built or that has not been completed conspicuously labeled as "NEED NOT BE BUILT," "PROPOSED," or "UNDER CONSTRUCTION." (c) "Amenities" mean all recreational amenities made available to owners of a timeshare plan. (d) "Assessment" means the amount assessed against or collected from an owner by the timeshare association or its managing entity in a fiscal year to cover expenditures, charges, reserves, or liabilities related to the operation of a timeshare plan, or timeshare properties managed by the same managing entity. (e) "Closing" means: (1) For any plan selling timeshare estates, conveyance of the legal or beneficial title to a timeshare estate as evidenced by the delivery of a deed for conveyance of legal title, or other instrument for conveyance of beneficial title, to the purchaser or the Recorder of Deeds for recording or conveyance of equitable title to a timeshare estate as evidence by the irretrievable delivery of an agreement for deed to the Recorder of Deeds for recording. (2) For any plan selling timeshare licenses or personal property timeshare interest, the final execution and delivery by all parties of the last document necessary for vesting in the purchaser the full rights available under the plan. (f) "Common expense" means those expenses, fees, or charges properly incurred for the maintenance, operation, and repair of the accommodations or facilities or both constituting the timeshare plan, or any other expenses, fees or charges designated as common expenses in a timeshare instrument. (g) "Component site" means a specific geographic location where accommodations that are part of a multisite timeshare plan are located. Separate phases of a single timeshare property in a specific geographic location and under common management are deemed a single component site. (h) "Conspicuous type" means any typeface: (1) (A) in upper-and lower-case letters two-point sizes larger than the largest non-conspicuous type, exclusive of headings, on the page on which it appears, but not less than ten-point type, or (B) where the use of ten-point type would be impractical or impossible with respect to a particular piece of written advertising material, a different style of type or print that is conspicuous under the circumstances; and (2) separated on all sides from other type and print where conspicuous type is required separated on all sides from other type and print; conspicuous type may be utilized in contract for purchase of public offering statements only where required by law or as authorized by the Department. (i) "Department" means the Virgin Islands Department of Licensing and Consumer Affairs. (j) "Developer" means: (1) (A) any person, excluding a sales agent, who creates a timeshare plan, is in the business of selling timeshare interests or employs a sales agent to sell timeshare interest; or (B) any person who succeeds in the developer's interest by sale, lease, assignment, mortgage or other transfer if such person (i) offers not less than twelve timeshare interests in a particular timeshare plan, and (ii) is in the business of selling timeshare interest or employs a sales agent to sell timeshare interests. (2) The term "developer" does not include a timeshare association that sells timeshare interest acquired by the timeshare association through foreclosure, non-judicial foreclosure, or deed in lieu of foreclosure. (k) "Dispose or disposition" means a voluntary transfer of any legal or equitable timeshare interest, but does not include the transfer or release of a real estate lien or of a security interest. (l) "Electronic" means relating to technology having electrical, digital magnetic, wireless, optical, electromagnetic, or similar capabilities. (m) "Escrow account" means an account established solely for the purposes set forth in this chapter. (n) "Escrow agent" means a bonded escrow company, a financial institution whose accounts are insured by a governmental agency or instrumentality, a licensed title agent, a licensed real estate broker or a licensed attorney who is responsible for the receipt and disbursement of funds in accordance with section 1104 of this chapter. The escrow agent is independent of the developer. For a timeshare plan located exclusively in the Territory, the escrow agent shall have an office in and be licensed in the Territory. (o) "Exchange company" means any person or entity who owns or operated an exchange program. (p) "Exchange discloser" statement means a written statement that includes the information required by section 1108 of this chapter. (q) "Exchange program" means any method, arrangement or procedure for the voluntary exchange of timeshare interest among owners. (r) "Facility" means any permanent amenity, including any structure furnishing, fixture, equipment, service, improvement, or real or personal property, improved or unimproved, other than an accommodation of the timeshare plan, which is made available to the purchasers of a timeshare plan. The term does not include an incidental benefit as defined in this section. (s) "Independent" for purposes of determining the eligibility of an escrow agent means that: the escrow agent is not a relative of the developer as defined in 28 V.I.C. § 171(11), or an employee of the developer or managing entity, or of any officer, director, affiliate or subsidiary thereof; there is no financial relationship, other than the payment of fiduciary fees, between the escrow agent and the developer, or managing entity, or any officer, director affiliate or subsidiary thereof; and compensation paid by the developer to an escrow agent for services rendered is not paid from funds in the escrow account unless the developer is otherwise entitled to receive the disbursement of such funds from the escrow account in accordance with this chapter. (t) "Managing entity" means the timeshare association or person who operates or maintains the timeshare plan. (u) "Multisite timeshare plan" means a plan in which an owner has: (1) a specific timeshare interest, which is the right to use and occupy accommodations at a specific timeshare property and the right to use and occupy accommodations at one or more other component sites created by or acquired solely through the reservation system of the timeshare plan; or (2) a nonspecific timeshare interest, which is the right to use and occupy accommodations at more than one component site created by or acquired solely through the reservation system plan, but which does not include a right to use and occupy a particular accommodation. (v) "Notice" means delivery by hand, the United States Postal Service, courier service, telefax, or electronic mail, provided in each instance that receipt of delivery is obtained. (w) "offering" or "offer" means any advertisement intended to result in a person purchasing and interest in a timeshare plan. (x) "One-to-one owner to accommodation ratio" has the meaning set forth in section 1109 of this chapter. (y) "Owner" means any person, other than a developer, who has acquired a timeshare interest. (z) "Promotion" means any program, activity or contest, or any gift, prize or other item of value, used to induce any person, to attend a timeshare sales presentation. (aa) "Purchaser" means any person, other than a developer, who acquires a legal or equitable interest in a timeshare plan by means of a voluntary transfer other than as a security for an obligation. (bb) "Regulated party" means any developer, exchange company, seller, managing entity, timeshare association, timeshare association director, timeshare association officer, manager, management firm, escrow agent, trustee, any prospective assignees or agents, or any other person having duties or obligations pursuant to this chapter. (cc) "Reservation system" means the method, arrangement or procedure by which an owner, in order to preserve the use and occupancy of an accommodation of a multisite timeshare plan for one or more timeshare periods, is required to compete with other owners in the same multisite timeshare plan regardless of whether the reservation system is operated and maintained by the multisite timeshare plan, a managing entity, exchange company or any other person. If an owner is required to use an exchange program as the owner's principal means of obtaining the right to use and occupy the accommodation and amenities of the plan, such arrangement is considered a reservation system. If the exchange company uses a mechanism to exchange timeshare periods among members of the exchange program, the use of the mechanism is not considered a reservation system of a multisite timeshare plan. (dd) "Sale or sell" means the transfer of an interest in a timeshare plan for value. The term does not include administrative or closing costs associated with the sale of the timeshare interest. (ee) "Sales agent" means a person who, directly or through the person's employees, agent or independent contractors sells or offers to sell timeshare interest in a timeshare plan to any individual located in this Territory and is licensed by the Department of Licensing and Consumer Affairs. (ff) "Single-site timeshare plan" means a timeshare plan in which an owner's right to use and occupy accommodations is limited to a single timeshare property. (gg) "Timeshare association" means an association composed of all owner of a timeshare interest created pursuant to section 1111 of this chapter. (hh) "Timeshare disclosure statement" means the statements and information required by section 1107 of this chapter. (ii) "Timeshare estate" means an arrangement under which the owner receives a right to occupy a timeshare property and a real estate interest in the timeshare property. (jj) "Timeshare interest" means a timeshare estate or timeshare use. (kk) "Timeshare instrument" means any document creating or regulating a timeshare plan and the use of the timeshare interests. (ll) "Timeshare period" means the period of time within which the owner of a timeshare interest is entitled to the exclusive possession, occupancy and use of an accommodation. (mm) "Timeshare plan" means any arrangement, plan, scheme or similar method, excluding an exchange program, but including a membership agreement, sale, lease, deed, license or right-to-use agreement, by which a purchaser, in exchange for consideration, receives an ownership right in or the right to use accommodations on a recurring basis for a period of time less than a year during a given year, but not necessarily consecutive years, regardless of whether the period of time is determined in advance. The term does not include any arrangement, plan, scheme or similar method wherein the contractually specified maximum total financial obligation on the purchaser's part is $3,000 or less during the entire term of the plan, or the term is for a period of three years or less, regardless of the purchaser's contractually specified maximum total financial obligation, if any. For purposes of determining the term of such use and occupancy rights, the period of any automatic renewals which a purchaser, in the purchaser's sole discretion, may elect to exercise, whether or not for additional consideration, are not included. For purposes of determining the term of such use and occupancy rights, the period of any automatic renewals are included unless a purchaser has the right to terminate the membership at any time and receive a pro rata refund or the purchaser receives a notice no less than 30 days and no more than 60 days prior to the date of renewal informing the purchaser of the right to terminate at any time prior to the date of automatic renewal. (nn) "Timeshare property" means one or more accommodations and any related amenities subject to the same timeshare instrument and any other property or property rights appurtenant to such accommodations and amenities. (oo) "Timeshare use" means any arrangement under which the purchaser receives a right to occupy a timeshare property, but under which the purchaser does not receives a real estate interest in the timeshare property. History: Added July 1, 2021, No. 8467, § 1, Sess. L. 2021, p. 62-69.

(a) A timeshare plan may be created in any accommodation, unless expressly prohibited by the timeshare instruments. (b) Timeshare interests may be created in the form of a contractual interest, lease, condominium, trust, cooperative, undivided ownership interest, or any form of subdivision permitted by law. (c) A timeshare interest in a multisite timeshare plan consisting of a trust that contains property both within this Territory and outside of this Territory may be situated outside of this Territory, and the timeshare interest may be conveyed and encumbered pursuant to the terms of the trust and the law of the situs jurisdiction. The nature and quality of the timeshare interest as depicted in the disclosures required by the situs jurisdiction must be recognized within this Territory. (d) No action for partition of an accommodation may be maintained except as permitted by the timeshare instrument. History: Added July 1, 2021, No. 8467, § 1, Sess. L. 2021, p. 69.

(a) For a timeshare plan located exclusively in this Territory, the developer of a timeshare plan shall: (1) Deposit with an escrow agent 100 percent of all funds and other property that are received during the seven-day cancellation period provided for in section 1106(b) of this chapter. The deposit of such funds and property must be evidenced by and pursuant to an executed escrow agreement between the escrow agenda and the developer, the provisions of which must include: (A) That its purpose is to protect the purchaser's right to a refund if the purchaser cancels the purchase contract for a timeshare interest within a seven-day cancellation period; (B) That funds may be disbursed to the developer by the escrow agent from the escrow account only in compliance with this section and after expiration of the purchaser's seven-day cancellation period and in accordance with the purchase contract; (C) That the escrow agent may release funds to the developer from the escrow account only after receipt of a sworn statement from the developer that no cancellation notice was received before expiration of the seven-day period; and (D) A provision governing the location of the escrow account. (2) Deposit 100 percent of all funds and other property received from a purchaser of a timeshare interest after the seven-day cancellation period has ended in an escrow account when interests in real property are being sold, according to a purchase contract which will transfer title to the purchaser. The establishment of such an escrow account must be evidence by and pursuant to an executed escrow agreement between the escrow agent and the developer, which may be the same escrow agreement contemplated by subsection (a)(1), the provision of which must include: (A) That its purposes is to protect all deposits and payments made by a purchaser toward the purchase price until the deed is delivered to the purchaser, whether physically or by recording the deed, or until the purchaser and developer enter into a purchase contract or agreement for deed, which will transfer title to the purchaser and a memorandum of contract or agreement for deed is recorded. (B) That funds may be disbursed to the developer by the escrow agent from the escrow account only after title has been delivered to the purchaser physically or delivered for recording the Recorder of Deeds in the judicial division were the real property underlying the timeshare plan is located or at such other time as may be agreed upon in writing by the purchaser and developer. However, in the case of a timeshare estate sold by purchase contract which will transfer title to the purchaser or agreement for deed, funds may be disbursed to the developer only after the recording of the memorandum of contact or agreement for deed and, if necessary, a notice to creditors with secured interests in the property underlying the timeshare plan and, if the property is encumbered by a deed to secure debt mortgage instrument, a non-disturbance instrument has been recorded in the public records of the district or districts in which the timeshare property is located; or alternatively, after the developer records a notice to the creditors and obtains a release of lien for a timeshare interest, funds may be disbursed pertaining to that timeshare interest; and (C) A provision governing the location of the escrow account. (3) Except as provided in section 1105 of this chapter, if a developer contracts to sell a timeshare interest and the construction of the building in which the timeshare interest is located has not been completed when the cancellation period expires, the developer shall maintain all funds received from the purchaser under the purchase contract in the escrow or trust account until construction of the building is completed. The documentation required for evidence of completion of construction includes: a certificate of occupancy, a certificate of substantial completion, evidence of a public safety inspection from a government agency in the applicable jurisdiction, or any other evidence acceptable to the escrow agent. If the promised improvements in any future additional phase in which the timeshare interest being purchased is located are not completed within six months after the date promised to the purchaser in the timeshare instruments or timeshare disclosure statement, the purchaser shall have a new seven-day cancellation period to cancel the purchase contract unless such delay was the result of any circumstance that is outside the reasonable control of the developer such as war, national or local emergency, labor disputes of any kind, hurricane, fire or other force majeure event. (4) Notify the purchaser of the name and address of the escrow agent or the name, address, and account number of the bank or savings and loan company where the developer maintains the funds. The escrow agreement must authorize the purchaser or the purchaser's representative to examine said trust account. (b) Excluding any encumbrance placed against a purchaser's timeshare interest securing the purchaser's payment of purchase money financing for the purchase, a developer is not entitled to the release of any escrowed funds until the developer has provided evidence satisfactory to the escrow agent of one of the following: (1) That the timeshare interest, together with any other property or rights to property appurtenant to the timeshare interest, including any amenities represented to the purchaser as being part of the timeshare plan, are free and clear of any of the claims of the developer, any purchaser of the underlying fee, a mortgage, judgement creditor, or other lienor or person having an interest in or lien or encumbrance against the timeshare interest or appurtenant property or property rights to be sold or conveyed; (2) That the developer, any purchaser of the underlying fee, a mortgage, judgement creditor, or other lienor or person having an interest in or lien or encumbrance against the timeshare interest, timeshare property, or appurtenant property or property rights, including any amenities represented to the purchaser as being part of the timeshare plan, has recorded a subordination and notice to creditors document in the jurisdiction in which the timeshare interest is located. The subordination document must expressly provide that the interest holder's right, lien or encumbrance does not adversely affect, and is subordinate to, the rights of the purchasers of the timeshare interests in the timeshare plan regardless of the date of purchase, from and after the effective date of the subordination document; (3) That the developer, any purchaser of the underlying fee, a mortgagee, judgement creditor, or other lienor or person having an interest in a lien or encumbrance against the timeshare interest, timeshare property, or appurtenant property or property rights, including any amenities represented to the purchaser as being part of the timeshare plan, has transferred the subject accommodations or amenities or all use rights therein to a nonprofit organization or an owners' association, whose purpose is to hold the subject accommodations or amenities for the use and benefit of the purchasers of the timeshare plan and who shall act as a fiduciary to the purchasers, if the developer has transferred control of such organization or association to the purchasers or does not exercise such developer's voting rights in such organization or association with respect to the subject accommodations or amenities. Prior to the transfer, any lien or encumbrance against the accommodation or amenity must be made subject to a subordination and notice to the creditors document pursuant to paragraphparagraph (2)his subsection; or (4) Alternative arrangements have been made that are adequate to protect the rights of the purchasers of the timeshare interests and are approved by the escrow agent. (c) An escrow agent for a timeshare plan located exclusively in this Territory shall deposit funds escrowed pursuant to this section in an account in a branch of a financial institution located in this jurisdiction. (d) An escrow agent holding funds escrowed pursuant to this section may invest such escrowed funds if the funds are held by a financial institution whose accounts are insured by a governmental agency or instrumentality. The right to receive the interest generated by any such investments must be as specified by a written agreement the developer and the purchaser. (e) Each escrow agent shall maintain separate books and records for each timeshare plan and shall maintain such books and records according to generally accepted accounting principles. (f) An action brought by a purchaser for a violation of this section may be brought in the jurisdiction where the timeshare plan is located. (g) The escrow agent has a duty to each purchaser to maintain the escrow account in accordance with good accounting principles and to release funds from escrow only in accordance with this section. History: Added July 1, 2021, No. 8467, § 1, Sess. L. 2021, p. 69-72.

(a) In lieu of the deposit of funds in an escrow or trust account as required by section 1104, the escrow agent may accept from the developer a surety bond, irrevocable letter of credit or other form of financial assurance, including financial assurance posted in another jurisdiction. (b) The amount of the financial assurance provided under this section must be in an amount equal to or greater than the amount of funds that would otherwise be placed in an escrow or trust account under section 1104. (c) The amount of the financial assurance provided under this section for timeshare property under construction must be no less than: (1) The amount equal to or more than the amount of funds that would otherwise be required to be placed in an escrow or trust account under section 1104(a)(3); or (2) The amount necessary to assure completion of all accommodations promised to be completed along with all furniture, fixtures and any other promised improvements as portrayed in the timeshare instruments or timeshare disclosure statement. The surety bond may provide for the reduction of the bond amount as work is completed if the bond reductions have been approved by the escrow agent pursuant to the escrow agreement or an amendment thereto. If the developer is considering future additional phases, the amount need not include the cost of completion of those phases so long as they have not been promised as part of the timeshare instruments. (d) The type of surety bond provided under this section may include, but not be limited to, a completion of construction bond or escrow bond. Such bond insurance must maintain a Triple A training (AAA) rating by Standard & Poor's, Moody's, Duff & Phelps, or Fitch, as determined by the escrow agent. (e) The developer shall make documents related to the escrow or trust account or the financial assurance provided available to the escrow agent upon the escrow agent's request. History: Added July 1, 2021, No. 8467, § 1, Sess. L. 2021, p. 73.

Disclosures (a) A purchaser may cancel a purchase contract before midnight of the seventh calendar day after the date the purchaser signs and receives a copy of the purchase contract or receives the required timeshare disclosure statement set forth in section 1107, whichever is later. A developer may offer a cancellation period that is longer than seven calendar days if desired or required in the jurisdiction where the timeshare property is located. Closing under the purchase contract may not occur prior to the expiration of the seven- day cancellation period. (b) A purchaser may not waive any right of cancellation under this section. A purchase contract or any other writing containing a waiver of such right means the transaction is voidable by the purchaser for a period of 18 months after execution. (c) If a purchaser elects to cancel a purchase contract under this section, the purchaser may do so by hand- delivering notice of cancellation to the developer, by mailing notice by prepaid mail, or by faxing notice to the developer or to the developer's agent for service of process, or by providing notice by overnight common carrier delivery service to the developer or the developer's agent for service of process. (d) Cancellation is without penalty, and all payments made by the purchaser before cancellation must be refunded and any negotiable instrument executed by the purchaser must be returned not later than 30 days after the date on which the developer receives a timely notice of cancellation or on or before the fifth day after the date the developer receives good funds from the purchaser, whichever is later. (e) Each purchase contract must contain the following language, in conspicuous type, or similar language or type if required by the jurisdiction in which the timeshare property or properties are located, with the developer's name and address and the address of the managing entity inserted where indicated: "PURCHASER'S RIGHT TO CANCEL BY SIGNING THIS CONTRACT, YOU ARE INCURRING AN OBLIGATION TO PURCHASE A TIMESHARE INTEREST. YOU MAY, HOWEVER, CANCEL THIS CONTRACT WITHOUT PENALTY OR OBLIGATION BEFORE MIDNIGHT OF THE SEVENTH CALENDAR DAY AFTER THE DATE YOU SIGN AND RECEIVE A COPY OF THE PURCHASE CONTRACT, OR RECEIVE THE REQUIRED TIMESHARE DISCLOSURE STATEMENT, WHICHEVER IS LATER. IF YOU DECIDE TO CANCEL THIS CONTRACT, YOU MAY DO SO BY EITHER HAND-DELIVERING NOTICE OF CANCELLATION TO THE DEVELOPER, BY MAILING NOTICE BY PREPAID UNITED STATES MAIL OR BY FAXING NOTICE TO THE DEVELOPER OR THE DEVELOPER'S AGENT FOR SERVICE OF PROCESS, OR BY PROVIDING NOTICE BY OVERNIGHT COMMON CARRIER DELIVERY SERVICE TO THE DEVELOPER OR THE DEVELOPER'S AGENT FOR SERVICE OF PROCESS. YOUR NOTICE OF CANCELLATION IS EFFECTIVE ON THE DATE SENT, IF MAILED OR SENT BY OVERNIGHT COMMON CARRIER, OR WHEN TRANSMITTED FROM THE PLACE OF ORIGIN, IF FAXED, TO (INSERT NAME OF DEVELOPER) AT (INSERT ADDRESS OR DEVELOPER). FOR YOUR PROTECTION, SHOULD YOU DECIDE TO CANCEL, YOU SHOULD EITHER SEND YOUR NOTICE OF CANCELLATION BY CERTIFIED MAIL WITH A RETURN RECEIPT REQUESTED OR OBTAIN A SIGNED AND DATED RECEIPT IF DELIVERING IT IN PERSON OR BY OVERNIGHT COMMON CARRIER. A PURCHASER SHOULD NOT RELY ON STATEMENTS OTHER THAN THOSE INCLUDED IN THIS CONTRACT AND THE DISCLOSURE STATEMENT. SHOULD YOU CANCEL, ANY PAYMENTS MADE BY YOU UNDER THE CONTRACT AND ANY NEGOTIABLE INSTRUMENT EXECUTED BY YOU WILL BE RETURNED WITHIN THIRTY DAYS FOLLOWING RECEIPT BY THE DEVELOPER OF YOUR CANCELLATION NOTICE, OR ON OR BEFORE THE FIFTH CALENDAR DAY AFTER THE DATE THE DEVELOPER RECEIVES GOOD FUNDS FROM THE PURCHASER, WHICHEVER IS LATER, AND ANY SECURITY INTEREST ARISING OUT OF THE TRANSACTION WILL BE CANCELLED. (f) Immediately following the required statements in subsection (e), there must be a space reserved for the signature of the purchaser. (g) The purchase contract must also include the following: (1) The name and address of the developer; (2) The name and address of the timeshare plan being offered; (3) For a multisite specific timeshare interest, the name and location of the timeshare property to which the specific interest relates; (4) A statement that the purchaser should refer to the timeshare disclosure statement for more information required to be provided to the purchaser; (5) A statement disclosing the amount of the periodic assessments currently assessed against or collected from the purchasers of the timeshare interest; (6) The purchaser's address for purposes of any notice required under this chapter; and (7) The date the purchaser signs the contract. (h) The information required to be provided by this section may be provided in the purchase contract or in an exhibit to the purchase contract, or it may be provided in part in both the purchase contract and in an exhibit to the purchase contract if all of the information is provided. (i) A purchase contract that does not contain the required statements set forth in subsection (e) is voidable for a period of 18 months after execution. (j) A purchaser can elect to receive the purchase contract by electronic means, as long as the developer gives the purchaser the option of receiving the purchase contract in paper format or by electronic means. History: Added July 1, 2021, No. 8467, § 1, Sess. L. 2021, p. 73-75.

(a) Before a prospective purchaser signs any agreement to acquire a timeshare interest, the developer shall provide a disclosure statement to the prospective purchaser and shall obtain from the purchaser a written acknowledgement of receipt of the timeshare disclosure statement. (b) The timeshare disclosure statement must include the following information and must contain a date indicating when the disclosure information was last updated. For a multisite timeshare plan, the information can be presented in chart from where appropriate: (1) The name and address of the developer. (2) The type of timeshare plan offered. (3) A description of the type of interest and the usage rights the purchaser will receive, whether single-site site, multisite specific site, or multisite nonspecific site. (4) A description of the duration and operation of the timeshare plan. (5) The name and address of the escrow agent, and the account number of the bank or savings and loan company where the escrowed funds are maintained. (6) A description of the method by which owners' use of the accommodations is scheduled. Where a reservation system is used for scheduling timeshare periods, the following information is to be provided: (A) The entity responsible for operating the reservation system, its relationship to the developer and the duration of any agreement for operation of the reservation system; (B) A summary of the rules governing access to and use of the reservation system; (C) The existence of and an explanation regarding any priority reservation features that affect an owner's ability to make reservations for the use of a given accommodation on a first-come, first- served basis; and (D) For a multisite specific interest timeshare plan, a description of how usage rights are provided for the specific site and for the other component sites in the multisite plan. (7) For each component site in a timeshare plan, the following information must be provided: (A) A description of the existing or proposed accommodations, including the number of bedrooms, number of bathrooms, sleeping capacity, a description of the minimum duration being purchased, and a statement indicating whether the accommodation contains a full kitchen. If the accommodations are proposed or incomplete, the estimated date for commencement, completion and availability of the accommodations must be provided. (B) A description of any existing or proposed amenities and, if the amenities are proposed or incomplete, a schedule for commencement, completion, and availability of the amenities; and (C) The extent to which financial arrangements have been provided for the completion of all promised accommodations and amenities that are committed to be built. (8) A description of the method and timing for performing maintenance of the accommodations. (9) A statement indicating that on an annual basis the one-to-one owner to accommodation ratio is maintained. (10) For multisite timeshare plans, a description of the following: (A) Any periodic adjustment or amendment to the reservation system that may be conducted from time to time in order to respond to actual owner use patterns and changes in owner use demand for the accommodations existing at the time within the multisite timeshare plan; and (B) Any right to make any additions, substitutions, or deletions of accommodations, amenities or component sites, and a description of the basis upon which accommodations, amenities or component sites may be added to, substituted in, or deleted from the multisite timeshare plan. (11) A statement that a timeshare association exists or will be established and a description of its powers and responsibilities or reasonably expected powers and responsibilities. (12) The name and principal address of the timeshare association and managing entity, if any of the timeshare plan. Multisite timeshare plans must also provide a description of the relationship between the multisite timeshare plan managing entity and the managing entity of the component sites of the multisite timeshare plan, if different from the multisite timeshare plan managing entity. (13) The projected assessments and a description of the method for calculating and apportioning those assessments among owners, but such assessments must be allocated among all timeshare interests on a reasonable basis. In the event the developer is not paying assessments for unsold units, the developer shall guaranty the level of assessments. If the developer intends to guarantee the level of assessments for the timeshare plan, a statement disclosing that the developer may be excused from the payment of the developer's share of the common expenses which would have been assessed against developer-owned timeshare interests during a stated period of time during which the developer has guaranteed to each owner in the timeshare instrument that the assessment for common expenses imposed upon the owners would not increase over a stated dollar amount, and that the developer is obligated to pay all common expenses incurred during the guarantee period in excess of the total revenues of the timeshare plan. (14) Any initial fee or special fee due from the purchaser at closing, together with a description of the purpose and method of calculating the fee. (15) A description of any lien, defect or encumbrance on or affecting title to the timeshare interest and, if applicable, a copy of each written warranty provided by the developer. (16) A description of any bankruptcy of the developer that is pending or that has occurred within the past five years, pending civil or criminal suit, adjudication or disciplinary actions material to the timeshare plan of which the developer has knowledge. (17) Any current or anticipated fees or charges to be paid by owners for the use of any accommodations or amenities related to the timeshare plan, and a statement that the fees or charges are subject to change. (18) A description of the insurance respectively insuring the (i) timeshare property against damage and destruction, (ii) timeshare association against liability to others, and (iii) owners of timeshare interests against liability to others. (19) A description of the type of insurance coverage necessary to protect the owner and reasonably repair or replace the accommodations and amenities. (20) The extent to which a timeshare interest may become subject to a tax lien or other lien arising out of claims against owners of different timeshare interests. (21) A description of the purchaser's right to cancel the purchase contract. (22) A statement disclosing any right of first refusal or other restraint on the transfer of all or any portion of a timeshare interest. (23) A statement disclosing that any deposit made in connection with the purchase of a timeshare interest must be held by the escrow agent until the expiration of any right to cancel the contract or until construction is completed, if applicable, and that if the purchaser elects to exercise the right of cancellation, any deposit must be returned to the purchaser, as set forth in section 1104 of this chapter, or, if applicable, a statement disclosing that the developer has provided a surety bond, irrevocable letter of credit or other form of financial assurance in an amount equal to or in excess of the funds that would otherwise be held by the escrow agent, and that if the purchaser elects to exercise the right of cancellation, any deposit must be returned to the purchaser, as set forth in section 1105 of this chapter. (24) If applicable, a statement that the assessments collected from the owners may be placed in a common account with the assessments collected from the owners of other timeshare properties managed by the same managing entity. (25) If the timeshare plan provides owners with the opportunity to participate in an exchange program, the name and address of the exchange company and the method by which an owner accesses the exchange program. (26) Relating to the governing documents of the timeshare plan, the following documents, if applicable, including any amendments to them, must be provided to purchasers: the declaration and any applicable documents creating the timeshare plan; the timeshare association articles of incorporation; the timeshare association bylaws; the timeshare association rules; reservation rules and regulations, and any lease or contract, excluding the purchase contract and other loan documents required to be signed by the purchaser at closing. For multi-site timeshare plans where a specific interest is offered, applicable governing documents for both the specific site and the multi-site timeshare plan must be provided. The items referenced in the subsection may be included as exhibit to the timeshare disclosure statement or as a supplement thereto. (c) A timeshare disclosure statement delivered to a purchaser may be the timeshare disclosure statement issued or approved by another jurisdiction so long as the requirements of this section are satisfied. (d) A purchaser may elect to receive the timeshare disclosure statement by electronic means, so long as the developer gives the purchaser the option of receiving the timeshare disclosure statement in paper format or by electronic means. History: Added July 1, 2021, No. 8467, § 1, Sess. L. 2021, p. 75-79.

(a) If a prospective purchaser is also offered participation in any exchange program, at or before the time the prospective purchaser signs the agreement to acquire the timeshare interest, the developer shall deliver to the prospective purchaser the exchange disclosure statement of any exchange company whose service is advertised or offered by the developer or other person in connection with the disposition. (b) If participation in an exchange program is offered for the first time after a disposition has occurred, any person offering that participation shall also deliver an exchange disclosure statement to the purchaser before the execution by the purchaser of any instrument relating to participation in the exchange program. (c) In all cases, the person offering participation in the exchange program must obtain from the purchaser a written acknowledgement of receipt of the exchange disclosure statement. (d) The exchange disclosure statement must include: (1) The name and address of the exchange company; (2) The names of all officers, directors, and shareholders owning 5 percent or more of the outstanding stock of the exchange company; (3) Whether the exchange company or any of its officers or directors has any legal or beneficial interest in any developer or managing entity for any timeshare plan participating in the exchange program and, if so, the name and location of the timeshare plan and the nature of the interest; (4) Unless the exchange company is also the developer or an affiliate, a statement that the purchaser's contract with the exchange company is a contract separate and distinct from the purchase contract; (5) Whether the purchaser's participation in the exchange program is dependent upon the continued affiliation of the timeshare plan with the exchange program; (6) Whether the purchaser's membership or participation, or both, in the exchange program is voluntary or mandatory; (7) A complete and accurate description of the terms and conditions of the purchaser's contracted relationship with the exchange company and the procedure by which changes thereto may be made; (8) A complete and accurate description of the procedure to qualify for and effectuate exchanges; (9) A complete and accurate description of all limitations, restrictions, or priorities employed in the operation of the exchange program, including limitations on exchanges based on seasonality, accommodation size, or levels of occupancy, expressed in a conspicuous statement and, if such limitations, restrictions, or priorities are not uniformly applied by the exchange program, a clear description of the manner in which they are applied; (10) Whether exchanges are arranged on a space-available basis and whether any guarantees of fulfillment of specific requests for exchanges are made by the exchange program; (11) Whether and under what circumstances a purchaser, in dealing with the exchange company, may lose the use and occupancy of such purchaser's timeshare interest in any properly applied for exchange without such purchaser being provided with substitute accommodations by the exchange company; (12) The fees or range of fees for participation by purchasers in the exchange program, a statement whether any such fees may be altered by the exchange company, and the circumstances under which alterations may be made; (13) The name and address of the site of each timeshare property, accommodation, or amenity which is participating in the exchange program; (14) The number of accommodations in each property participating in the exchange program which are available for occupancy, and which qualify for participation in the exchange program, expressed within the numerical groupings: 1-5, 6-10, 11-20, 21-50, and 51 and over; (15) The number of purchasers with respect to each timeshare plan or other property which are eligible to participate in the exchange program expressed within the numerical groupings: 1-100, 101- 249, 250-499, 500-999, and 1,000 and over, and a statement of the criteria used to determine those purchasers who are currently eligible to participate in the exchange program; (16) The disposition made by the exchange company of timeshare interests deposited with the exchange program by purchasers eligible to participate in the exchange program and not used by the exchange company in effecting exchanges; (17) The following information: (A) The number of purchasers eligible to participate in the exchange program; such number must disclose the relationship between the exchange company and purchasers as being either free- paying or gratuitous in nature; (B) The number of timeshare properties, accommodations, or amenities eligible to participate in the exchange program categorized by those having a contractual relationship between the developer or the timeshare association and the exchange company and those having solely a contractual relationship between the exchange company and purchasers directly; and (C) The percentage of confirmed exchanges, which is the number of exchanges confirmed by the exchange company divided by the number of exchanges properly applied for, together with a complete and accurate statement of the criteria used to determine whether an exchange request was properly applied for; (18) The number of timeshare interests for which the exchange company has an outstanding obligation to provide an exchange to a purchaser who relinquished a timeshare interest during the year in exchange for a timeshare interest in any future year; (19) The number of exchanges confirmed by the exchange company during this year; and (20) A conspicuous statement to the effect that the percentage described in subsection (d)(17)(C) of this subsection is a summary of the exchange requests entered with the exchange company in the period reported, and that the percentage does not indicate a purchaser's probabilities of being confirmed to any specific choice or range of choices, since availability at individual locations may vary. (e) A purchaser may elect to receive the exchange disclosure statement by electronic means, so long as the purchaser has the option of receiving the exchange disclosure statement in paper format or by electronic means. History: Added July 1, 2021, No. 8467, § 1, Sess. L. 2021, p. 79-82.

All timeshare plans must maintain a one-to-one owner accommodation ratio, which means the ratio of the number of owners eligible to use the accommodations of a timeshare plan on a given night to the number of accommodations available for use within the timeshare plan on that night, such that the total number of owners eligible to use the accommodations of the timeshare plan during a given calendar year never exceeds the total number of accommodations available for use in the timeshare plan during that year. For purposes of the calculation under this section, each owner must be counted at least once, and no individual accommodation may be counted more than 365 times per calendar year or more than 366 times per leap year. An owner who is delinquent in the payment of timeshare plan assessments continue to be considered eligible to use the accommodations of the timeshare plan for purposes of calculating the one-to-one owner to accommodation ratio. History: Added July 1, 2021, No. 8467, § 1, Sess. L. 2021, p. 82.

(a) General (1) A mortgage may confer a power of sale upon the mortgagee, trustees, or any other person to be exercised after a breach of the obligation for which that mortgage or transfer is a security. (2) A regular or special assessment under a timeshare plan and any late charges, reasonable fees and costs of collection, reasonable attorney's fees, if any, and interest, are a debt of the owner of the timeshare estate at the time the assessment or other sums are levied. If an assessment is delinquent, the timeshare association may recover all of the following: (A) Reasonable costs incurred in collecting the delinquent assessment, including reasonable attorney's fees; (B) A late charge not exceeding 10% of the delinquent assessment or $10, whichever is greater, unless the timeshare instrument specifies a late charge in a smaller amount, in which case any late charge imposed must not exceed the amount specified in the timeshare instrument; (C) Interest on all sums imposed in accordance with this section, including the delinquent assessments, reasonable fees and costs of collection, and reasonable attorney's fees, at an annual interest rate not to exceed 12%, commencing 30 days after the assessment becomes due, unless the timeshare instrument specifies the recovery of interest at a rate of a lesser amount, in which case the lesser rate of interest applies. (3) Nothing in this section may be construed as limiting the right of a trustee, mortgagee, timeshare association, or their authorized agent ("the "Foreclosing Party"), to enforce a lien in any other manner permitted by law. (4) Notwithstanding anything to the contrary contained in the governing documents of an existing timeshare association, the board of directors of the existing timeshare association may adopt the provisions of this section by a majority vote. (5) The provisions of this section apply only to the foreclosure of timeshare estates located within the Territory. (b) Notice Requirements (1) At least 30 days prior to recording a lien upon the timeshare estate to collect a debt that is past due, the Foreclosing Party shall notify the mortgagor or owner of records, as applicable, in writing by certified mail of the following: (A) A general description of the collection and lien enforcement procedures of the Foreclosing Party and the method of calculation of the amount due, and the following statement in conspicuous type: "IMPORTANT NOTICE: IF YOUR PROPERTY IS IN FORECLOSURE BECAUSE YOU ARE BEHIND IN YOUR PAYMENTS, IT MAY BE SOLD WITHOUT ANY COURT ACTION." (B) An itemized statement of the charges owed by the owner, including items on the statement which indicate the amount of any delinquent amounts owed, the fees and reasonable costs of collection, reasonable attorney's fees, and any late charges and interest, if any. (C) A statement that the owner is not liable to pay the charges, interest, and collection, if it is determined that the amount due was paid on time to the Foreclosing Party. (D) A statement that if the owner does not object to the use of the trustees foreclosure procedure, the owner will not be subject to a deficiency judgment even if the proceeds from the sale of the timeshare interest are insufficient to offset the amounts secured by the lien. (E) The notice must include an objection form with which the mortgagor or owner of records, as applicable, may object to the use of the non-judicial foreclosure procedure by signing and returning the objection form to the Foreclosing Party. The objection form must identify the mortgagor or owner of record, as applicable, the notice address of the mortgagor or owner of records, as applicable, the timeshare interest, and the return address of the Foreclosing Party and must state: "The undersigned exercises the right to object to the use of the non-judicial foreclosure procedure." (2) In addition to the requirements of this section, the Foreclosing Party shall serve a notice of default without the objection form on the person named as the owner of the timeshare estate in the timeshare association's records or the mortgagee, as applicable, or if that person has designated a legal representative, on that legal representative. An owner may designate a legal representative in writing that is mailed to the timeshare association in a manner that indicates that the timeshare association has received it. (3) In order for the lien to be enforced by non-judicial foreclosure, the notice of delinquent amounts owed must state the name and address of the Foreclosing Party to enforce the lien by sale. The notice of delinquent amounts owed must be signed by the person designated in the mortgage, timeshare instrument, or by the timeshare association for that purpose, as applicable. (4) The amount past due, plus any costs of collection, late charges, and interest assessed in accordance with this section constitute a lien on the owner's timeshare estate from and after the time the Foreclosing Party causes to be recorded with the judicial division in which the timeshare estate is located, a notice of delinquent amounts owed, which must state the amount due and other sums imposed in accordance with this section, a legal description of the owner's timeshare estate against which the amount due and other sums are levied, and the name of the mortgagor or record owner of the timeshare estate against which the lien is imposed. The itemized statement of the charges owed by the mortgagor or owner described in on paragraph (1) of this subsection must be recorded together paragraph (1)ce of delinquent amounts owed. (5) The notice of any default described in this section, recorded and mailed to any person pursuant to this section, must begin with substantially the statement, printed or types thereon, in conspicuous types as follows: IMPORTANT NOTICE: IF YOUR PROPERTY IS IN FORECLOSURE BECAUSE YOU ARE BEHIND IN YOUR PAYMENTS, IT MAY BE SOLD WITHOUT ANY COURT ACTION, and you may have the legal right to bring your account in good standing by paying all of your past due payments plus permitted costs and expenses within the time permitted by law for reinstatement of your account, which is normally five (5) business days prior to the date set for the sale of your property. You also have the right to object to a non-judicial foreclosure pursuant to applicable law by choosing to sign and send to the timeshare association or mortgagee, as applicable, the enclosed objection form, exercising your right to object to the use of non-judicial foreclosure and, thereafter, the timeshare association or mortgagee, as applicable, may thereafter proceed by filing a judicial foreclosure action. No sale date may be set until approximately 30 days from the date this notice of default may be recorded (which date of recordation appears on this notice). This amount is __________ as of __________ (date) and will increase until your account becomes current. While your property is in foreclosure, you still must pay other obligations, such as insurance and taxes, required by your timeshare instrument or mortgage, as applicable. If you fail to make future payments on the loan, pay taxes on the property, provide insurance on the property, or pay other obligations as required in the timeshare instrument or mortgage, as applicable, the timeshare association or mortgagee, as applicable, may insist that you do so in order to reinstate your account in good standing. In addition, the timeshare association or mortgagee, as applicable, may require as a condition to reinstatement that you provide reliable written evidence that you paid all senior liens, property taxes, and hazard insurance premiums. Upon your written request, the timeshare association or mortgagee, as applicable, will give you a written itemization of the entire amount you must pay. You may not have to pay the entire unpaid portion of your account, even though full payment was demanded, but you must pay all amounts in default at the time payment is made. However, you and the timeshare association or mortgagee, as applicable, may mutually agree in writing prior to the time the notice of sale is posted, which may not be earlier than three months after this notice of default is recorded to among other things, (i) provide additional time in which to cure the default by transfer of the property or otherwise; or (ii) establish a schedule of payments in order to cure your default; or both (i) and (ii). Following the expiration of the time period referred to in the first paragraph of this notice, unless the obligation being foreclosed upon, or a separate written agreement between you and your creditor permits a longer period, you have only the legal right to stop the sale of your property by paying the entire amount demanded by your creditor. To find out the amount you must pay, or to arrange for payment to stop the foreclosure, or if your property is in foreclosure for any other reason, contact: ________ at ________. If you have any questions, you should contact a lawyer. Notwithstanding the fact that your property is in foreclosure, you may offer your property for sale, provided the sale is concluded prior to the conclusion of the foreclosure. Remember, YOU MAY LOSE LEGAL RIGHTS IF YOU DO NOT TAKE PROMPT ACTION. (6) A copy of the recorded notice of delinquent amounts owed must be mailed by certified mail to every person whose name is shown as the mortgagor or as an owner of the timeshare estate in the timeshare association's records, as applicable, and the notice must be mailed no later than 10 calendar days after recordation. (7) After the expiration of 30 days following the recording of a lien created pursuant to this section, the lien may be enforced in any manner permitted by law, including sale by the court or sale by the Foreclosing Party designated in the notice of delinquent amounts owed. (8) The decision to initiate foreclosure by a timeshare association for a lien for delinquent amounts owed which has been validly recorded must be made by the board of directors and may be delegated to the managing entity. The board of directors and the managing entity shall maintain the confidentiality of the owner or owners of the separate interest by identifying the matter in the minutes by the legal description of the timeshare estate being foreclosed, rather than the name of the owner or owners. (9) The owner of a timeshare estate, at any time prior to entry of the decree of foreclosure, may pay to the Foreclosing Party the entire amount due, at the time payment is tendered, with respect to: all amounts of principal, interest, taxes, assessments, insurance premiums, or advances actually known by the beneficiary to be, and that are, in default and shown in the notice of default, under the terms of the timeshare instrument or the mortgage, as applicable, all amounts in default on recurring obligations not shown in the notice of default, and all reasonable costs and expenses that are actually incurred in enforcing the terms of the timeshare instrument or the mortgage, as applicable, and trustee's or attorney's fees, other than the portion of principal as would not then be due had no default occurred. Thereby, the owner of the timeshare estate may cure the default theretofore existing, and thereupon, all proceedings theretofore had or instituted must be dismissed or discontinued and the timeshare instrument or mortgage, as applicable, must be reinstated and must be and remain in, the same as if the acceleration had not occurred. If the mortgagor or owner of the timeshare instrument, as applicable, does cure the default, the Foreclosing Party, not later than 21 days following the reinstatement, shall execute and deliver to the Foreclosed Party a notice of rescission that rescinds the declaration of default and demand for sale and advises the Foreclosed Party of the date of reinstatement. The Foreclosing Party shall cause the notice of rescission to be recorded not later than 30 days after receipt of the notice of rescission and after all allowable fees and costs. No charge, except for the recording fee, may be made against the mortgagor or owner of the timeshare instrument, as applicable, for the execution and recordation of the notice which rescinds the declaration of default and demand for sale. (10) A non-judicial foreclosure by a Foreclosing Party to collect upon a debt for past due obligations is subject to a right of redemption. The redemption period within which the timeshare estate may be redeemed from a foreclosure sale under this paragraph ends 90 days after the sale. In addition to the requirements of this section, a notice of sale in connection with the foreclosure of a timeshare estate must include a statement that the property is being sold subject to the right redemption created in this section. (11) The owner may object to the Foreclosing Party's use of the non-judicial foreclosure procedure for as specific default at any time before the sale of the timeshare interest commences under subsection (c) of this section by delivering a written objection to the trustees using the objection form provided for in paragraph (1), subparagraph (D) of this subsection. If the Foreclosing Party receives the written objection from the owner, the Foreclosing Party may not proceed with the non-judicial foreclosure procedures as to the default under this subsection, and the Foreclosing Party may proceed thereafter only with a judicial foreclosure action as to that specified default. (c) Procedure for Sale (1) Before any sale of property may be made pursuant to this section, notice of the sale of property must be given by posting a written notice of the time of sale and of the street address and the specific place at the street address where the sale will be held, and describing the property to be sold, at least 20 days before the date of sale in one public place in the judicial division where the property is to be sold, and publishing a copy once a week for three consecutive calendar weeks. The first publication must be published at least 20 days before the date of sale, in a newspaper of general circulation, which may be a newspaper published electronically, in the judicial division in which the property or some part of the property is situated. (2) The notice of sale must contain the name, street address in the Territory, and either a toll-free telephone number in this Territory, and the name of the Foreclosing Party. In addition to any other description of the property, the notice must describe the property by giving its street address, if any, or other common designation, if any, and a tax assessor's parcel number: but if the property has no street address, the name and address of the beneficiary at whose request the sale is to be conducted, and a statement that directions may be obtained pursuant to a written request submitted to the beneficiary not later than 10 days from the first publication of the notice. Directions are deem reasonably sufficient to locate the property if information as to the location of the property is given by reference to the direction and approximate distance from the nearest crossroads, frontage road, or access road. If a legal description or tax assessor's parcel number and either a street address or another common designation of the property is given, the validity of the notice and the validity of the sale are not affected by the fact that the street address, other common designation, name and address of the beneficiary, or directions obtained therefrom are erroneous or that the street address, other common designation, name and address of the beneficiary, or other directions obtained therefrom are omitted. (3) The notice of sale must contain a statement of the total amount of the unpaid balance of the obligation secured by the property to be sold or the assessments owed to the timeshare association, as applicable, and reasonably estimated costs, expenses, advances at the time of the initial publication of the notice of sale; however, the Foreclosing Party does not incur liability for any good faith error in stating the proper amount, including any amount provided in good faith by or on behalf of the beneficiary. An inaccurate statement of this amount does not affect the validity of any sale to a bona fide purchaser for value, nor does the failure to post the notice of sale in a public place as provided by this subsection affect the validity of any sale to a bona fide purchaser for value. (4) A Foreclosing Party shall make a good faith effort to provide up-to-date information regarding a sale dates and postponements to persons who wish this information. This information must be made available free of charge. It must be made available via internet web site, a telephone recording that is accessible 24 hours a day, 7 days a week, or through any other means that allows 24 hours a day, 7 days a week, no cost access to updated information. A disruption of any of these methods of providing a sale date and postponement information to allow for reasonable maintenance or due to a service outage is not a violation of the good faith standard. (5) All sales of property made pursuant to this section must be held in the judicial division where the property or some part of the property is situated, and must be made at auction, to the highest bidder, between the hours of 9 a.m. and 5 p.m. on any business day, Monday through Friday. The sale must commence at the time and location specified in the notice of sale. Any postponement must be announced at the time and location specified in the notice of sale for commencement of sale. If the sale of more than one parcel of real property has been scheduled for the same time and location by the same Foreclosing Party, any postponement of any of the sales must be announced at the time published in the notice of sale, the first sale must commence at the time published in the notice of sale immediately after the announcement of any postponement, and each subsequent sale must take place as soon as possible after the preceding sale has been completed. (6) There may be a postponement or postponements of the sale proceedings, including a postponement upon instruction by the Foreclosing Party that the sale proceedings be postponed, at any time prior to the completion of the sale for any period of time not to exceed a total of 365 days from the date set forth in the notice of sale. The Foreclosing Party shall postpone the sale in accordance with any of the following: upon the order of any court of competent jurisdiction; if stayed by operation of law; by mutual agreement, whether oral or in writing, of any debtor and the Foreclosing Party, or at the discretion of the Foreclosing Party. If the sale proceedings are postponed for a period or periods totaling more than 365 days, the scheduling of any further sale proceedings must be preceded by giving a new notice of sale in the manner prescribed in this section. (7) Each and every bid made by a bidder at a sale pursuant to this section is deemed to be an irrevocable offer by that bidder to purchase the property being sold for the amount of the bid. Any second or subsequent bid by the same bidder or any other bidder for a higher amount is a cancellation of the prior bid. At the sale, the Foreclosing Party has the right to require every bidder to show evidence of the bidder's ability to deposit with the Foreclosing Party the full amount of the bidder's final bid in cash, a cashier's check, or a cash equivalent, which has been designated in the notice of sale as acceptable to the Foreclosing Party prior to, and as a condition to, the recognizing of the bid, and to conditionally accept and hold these amounts for the duration of the sale; and to require the last and highest bidder to deposit, if not deposited previously, the full amount of the bidder's final bid in cash, a cashier's check, or a cash equivalent, which has been designated in the notice of sale as acceptable to the Foreclosing Party, immediately prior to the completion of the sale, with the completion of the sale being so announced by the fall of the hammer or in another customary manner. The present beneficiary of the mortgage or lien for assessments under foreclosure has the right to offset his or her bid or bids only to the extent of the total amount due the beneficiary including the Foreclosing Party's fees and expenses. (8) A sale conducted pursuant to this section releases the owner's liability for all amounts secured by the lien. The lienholder has no right to any deficiency judgement against the owner after the sale of the owner's timeshare interest under this section. History: Added July 1, 2021, No. 8467, § 1, Sess. L. 2021, p. 82-89.

(a) Each timeshare plan located exclusively in this Territory and established after the effective date of this chapter must provide a timeshare association to act exclusively as managing entity for the timeshare plan pursuant to this chapter. The developer shall act as the managing entity until the developer clearly provides in the timeshare instrument or other recorded instrument that the timeshare association will serve as managing entity, which party has acknowledged in writing that it has accepted the duties and obligations of serving as managing entity. Other timeshare plans may be managed by a timeshare association that is created pursuant to this section, although it is not required. The remaining provisions of this section apply only to timeshare associations created pursuant to this section. A timeshare association must be treated as a nonprofit corporation under title 13 Virgin Islands Code, chapter 3. In the event of any conflict between the provisions of chapter 3 of title 13 and this section, this section controls. (b) The owners of timeshare interests are shareholders or members of the timeshare association. The officers and directors of the timeshare association have a fiduciary relationship to the owners. (c) The timeshare association is created upon the filing of the articles of incorporation with the Office of the Lieutenant Governor in the judicial division in which the principal place of business of the timeshare association is intended to be located. The articles of incorporation must be filed prior to the first closing of a timeshare interest in a timeshare plan and must set forth: (1) A corporate name for the timeshare association; (2) The street address of the initial principal office and, if different, the mailing address of the timeshare association; (3) The purpose or purposes for which the timeshare association is organized; (4) A statement of the manner in which the directors are to be elected or appointed, or instead, the articles of incorporation may provide that method of election of directors be stated in the bylaws; (5) Any provision, not inconsistent with this chapter or with any other law, which limits in any manner the corporate powers authorized under this chapter; (6) The street address of the timeshare association's initial registered office and the name of its initial registered agent at that address; and (7) The name and address of each incorporator. (d) The board of directors shall adopt the initial bylaws of a timeshare association. The power to alter, amend, or repeal the bylaws or adopt new bylaws is vested in the board of directors unless otherwise provided in the articles of incorporation or the bylaws. The bylaws may contain any provision for the regulation and management of the timeshare association not inconsistent with law or the articles of incorporation. (e) Every timeshare association organized under this section, unless otherwise provided in its articles of incorporation or bylaws, may: (1) Have succession by its corporate name for the period set forth in its articles of incorporation; (2) Sue and be sued and appear and defend in all actions and proceedings in its corporate name to the same extent as a natural person; (3) Adopt, use, and alter a common corporate seal; (4) Elect or appoint such officers and agents as its affairs and allow them reasonable compensation; (5) Adopt, change, amend, and repeal bylaws, not inconsistent with law or its articles of incorporation, for the administration of the affairs of the timeshare association and the exercise of its corporate powers; (6) Adopt, change, and amend the budget for the timeshare association; (7) Increase, by a vote of its members cast as the bylaws may direct, the number of its directors so that the number must not be less than three but may be any number in excess thereof; (8) Make contracts and guaranties, incur liabilities, borrow money at such rates of interest as the timeshare association may determine, issue its notes, bonds, and other obligations, and secure its obligations by mortgage and pledge of all or any of its property, franchises, or income; (9) Conduct its affairs, carry on its operations, and have offices and exercise the powers granted by this chapter in any state, territory, district, or possession of the United States or any foreign country; (10) Purchase, take, receive, lease, take by gift, devise, or bequest, or otherwise acquire, own, hold, improve, use, or otherwise deal in and with real or personal property, or any interest therein, wherever situated; (11) Acquire, enjoy, utilize, and dispose of patents, copyrights, and trademarks and any licenses and other rights or interests thereunder or therein; (12) Sell, convey, mortgage, pledge, lease, exchange, transfer, or otherwise dispose of all or any part of its property and assets; (13) Purchase, take receive, subscribe for, or otherwise acquire, own, hold, vote, use, employ, sell, mortgage, lend, pledge, or otherwise dispose of and otherwise use and deal in and with, shares and other interests in, or obligations of, other domestic or foreign timeshare associations, whether for profit or not for profit, associations, partnerships, or individuals, or direct or indirect obligations of the United States, or of any other government, state, territory, governmental district, municipality, or of any instrumentality thereof; (14) Lend money for its corporate purposes, invest and reinvest its funds, and take and hold real and personal property as security for the payment of funds loaned or invested; (15) Delegate its duties to a managing entity pursuant to a management agreement; (16) Have and exercise all powers necessary or convenient to effect any or all of the purposes for which the timeshare association is organized; and (17) Merge with other timeshare associations or other business entities, both for profit and not for profit, domestic and foreign, if the surviving timeshare association or other surviving business entity is a timeshare association not-for-profit or other business entity that has been organized as a not-for- profit entity under a governing statute or other applicable law that permits such a merger. (f) In anticipation of, or during any emergency defined in paragraph (6) of this subsection, the board of directors of a timeshare association may modify lines of succession to accommodate the incapacity of any director, officer, employee, or agent and relocate the principal office or designate alternative principal offices or regional offices or authorize the officers to do so. During an emergency defined in paragraph (6) of this subsection, unless emergency bylaws provide otherwise: (1) Notice of a meeting of the board of directors need be given only to those directors whom it is practicable to reach and may be given in any practicable manner, including by publication and radio; (2) One or more officers of the timeshare association present at a meeting of the board of directors may be deemed to be directors for the meeting, in order of rank and within the same rank in order of seniority, as necessary to achieve a quorum; (3) The director or directors in attendance at a meeting, or any greater number affixed by the emergency bylaws, constitute a quorum; (4) Corporate action taken in good faith during an emergency under this section to further the ordinary affairs of the timeshare association binds the timeshare association and may not be used to impose liability on a corporate director, officer, employee, or agent; (5) An officer, director, or employee acting in accordance with any emergency bylaws is only liable for willful misconduct; (6) An emergency exists for purposes of this section if a quorum of the timeshare association's directors cannot readily be assembled because of some catastrophic event, whether impending or already transpired; and (7) To the extent not in consistent with any emergency bylaws so adopted, the bylaws of the timeshare association must remain in effect during any emergency, and upon termination of the emergency, the emergency bylaws must cease to be operative. (g) The duties of the timeshare association include: (1) Management and maintenance of all accommodations and amenities constituting the timeshare plan. (2) Collection of all assessments for common expenses. (3) Providing each year to all owners an itemized annual budget that must include all estimated revenues and expenses. The budget must be the final budget adopted by the timeshare association for the current fiscal year. (4) Arranging for an annual audit of the financial statements of the timeshare plan by a certified public accountant. A copy of the audited financial statements must be made available to the owners upon written request to the managing entity. (5) Maintenance of all books and records concerning the timeshare plan so that all such books and records are reasonably available for inspection by any owner or the authorized agent of such owner. The timeshare association may charge the owner a reasonable fee for copying the requested information. If the information is available in electronic format, the timeshare plan must provide via electronic mail at no charge. (6) Maintain among its records a list in accordance with section 1115 of this chapter. (7) For timeshare plans requiring the use of a reservation system to schedule occupancy of accommodations, the timeshare association shall: (A) Provide for a reservation system for use by all owners in scheduling occupancy of the accommodations of the timeshare plan in accordance with the governing documents of the timeshare plan. (B) Manage the reservation and use of accommodations using those processes, analyses, procedures, and methods that are in the best interests of the owners as a whole to efficiently manage the timeshare plan and encourage the maximum use and enjoyment of the accommodations and other benefits made available through the timeshare plan. The managing entity may forecast anticipated reservation and use of the accommodations, including the right to take into account current and previous reservation and use of the accommodations, information about events that are scheduled to occur, seasonal use patterns, and other pertinent factors that affect the reservation or use of the accommodations. In furtherance of the provisions of this section, the managing entity is authorized to reserve accommodations, in the best interests of the owners as a whole, for the purposes of depositing such reserved use with an affiliated exchange program or renting such reserved accommodations in order to facilitate the use or future use of the accommodations or other benefits made available through the timeshare plan. (8) Performing any other functions and duties that are necessary and proper to maintain the accommodations or amenities, as provided in the purchase contract. (9) The timeshare association of any timeshare plan may deny the use of the accommodations and amenities of the timeshare plan, including the denial of the right to make a reservation or the cancellation of a confirmed reservation for timeshare periods in a floating reservation timeshare plan, to any owner who is delinquent in the payment of any assessments made by the timeshare association against such owner for common expenses or for ad valorem real estate taxes. An exchange company may elect to deny exchange privileges to any member whose use of the accommodations and amenities of the member's timeshare plan is denied pursuant to this section, and no exchange program or exchange company is liable to any of its members or third parties on account of any such denial of exchange privileges. (10) If the timeshare association has properly and timely given notice to a delinquent owner and to any affiliated exchange program, the timeshare association may give further notice to the delinquent owner that it may rent the delinquent owner's timeshare period, or any use rights appurtenant thereto, and apply the proceeds of such rental, net of any rental commissions, cleaning charges, travel agent commissions, or any other commercial reasonable charges reasonably and usually incurred by the timeshare association in securing rentals, to the delinquent owner's account. In securing a rental pursuant to this paragraph, the timeshare association is not required to obtain the highest nightly rental rate available, nor any particular rental rate, and the timeshare association is not required to rent the entire timeshare period; however, the timeshare association must use reasonable efforts to secure a rental that is commensurate with other rentals of similar timeshare periods or use rights generally secured at that time. Alternatively, the timeshare association may rent such accommodations at a bulk rate that is below the rate described herein but not less than $200 per week, which amount may be prorated for daily rentals. (11) Unless the articles of incorporation, the bylaws, or the provisions of this chapter provide for a higher quorum requirement not to exceed 33%, the percentage of voting interests required to make decisions and to constitute a quorum at a meeting of the members of a timeshare association is 15% of the voting interests. (12) All notices or other information sent by a board of directors of a timeshare association may be delivered to an owner by electronic mail, if the owner first consents electronically to the use of electronic mail for notice purposes in a manner that reasonably demonstrates that the owner has the ability to access the notice by electronic mail. The consent to receive notice by electronic mail is effective until revoked by the owner. Proxies or written consents on votes of any timeshare association may be received by electronic mail, have legal effect, and may be utilized for votes of an owners' association, if the electronic signature is authenticated through use of a password, cryptography software, or other reasonable means and that proof of such authentication is made available to the board of directors. (h) A member of a timeshare association is not, as such, personally liable for any act, debt, liability, or obligation of the timeshare association. (i) The frequency of all meetings of members of the timeshare association, the time and manner of notice of such meetings, the conduct and adjournment of such meetings, the determination of members entitled to notice or to vote at such meetings, and the number or voting power of members necessary to constitute a quorum, must be determined by or in accordance with the articles of incorporation or the bylaws. The place and time of all meetings may be determined by the board of directors, other officers or persons as are provided for in the articles of incorporation or the bylaws, and the holders of at least 5% of the voting power of a corporation when one or more written demands for the meeting, which describe the purpose for which the meeting is to be held, are signed, dated, and delivered to a corporate officer. (j) Members are not entitled to vote except as conferred by the articles of incorporation or the bylaws. A member who is entitled to vote may vote in person or, unless the articles of incorporation or the bylaws otherwise provide, may vote by proxy executed in writing by the member or by the member's authorized attorney in fact. (k) Where a timeshare interest is owned by one or more individuals or by an entity, a voting certificate that designates one of the record title owners or the corporate, partnership, or entity representative who is the person entitled to vote on behalf of such timeshare instrument, must be delivered to the timeshare association. (l) The board of directors must consist of three or more individuals, with the number specified in or fixed in accordance with the articles of incorporation or the bylaws. The number of directors may be increased or decreased from time to time by amendment to, or in the manner provided in, the articles of incorporation or the bylaws, but the corporation must never have fewer than three directors. Directors must be elected or appointed in the manner and for the terms provided in the articles of incorporation or the bylaws. (m) The board of directors may hold regular or special meetings in or out of this Territory. A majority of the directors present, whether or not quorum exists, may adjourn any meeting of the board of directors to another time and place. Meetings of the board of directors may be called by the chair of the board or by the president unless otherwise provided in the articles of incorporation or the bylaws. Unless the articles of incorporation or the bylaws provide otherwise, the board of directors may permit any or all directors to participate in a regular or special meeting by, or conduct the meeting through the use of, any means of communication by which all directors participating may simultaneously hear each other during the meeting. A director participating in a meeting by this means is deemed to be present in person at the meeting. (n) If there is a conflict between this section and other provisions of applicable law in this Territory, this section controls. History: Added July 1, 2021, No. 8467, § 1, Sess. L. 2021, p. 89-96.

(a) With respect to any timeshare association for a timeshare plan created after the date this chapter is enacted, the timeshare association shall collect taxes and other fees assessed and billed by the Tax Assessor as agent for all owners of timeshare interests and shall remit all taxes collected to the Tax Collector. As more specifically described in regulations adopted by the Virgin Islands Office of the Tax Assessor, the timeshare association has the option of (i) remitting only taxes and other fees actually collected, in which case the Tax Collector shall have a tax lien on the delinquent timeshare interests pursuant to 33 V.I.C. § 2331, or (ii) paying 100 percent of all taxes and other fees assessed, in which case a tax lien in the name of the timeshare association attaches to the delinquent timeshare interests pursuant to 33 V.I.C. § 2332. The liability for taxes remains the responsibility of each individual owner and not the timeshare association, except for any property owned by the timeshare association. The right to contest or appeal any assessments or fees applies to the timeshare owner, except for any property owned by the timeshare association. In the case where a timeshare association elects option (ii), the timeshare association may contest or appeal the assessment. (b) Notwithstanding the foregoing, for timeshare plans in which purchasers of timeshare interests own a timeshare use, the Tax Collector shall assess the real property and improvements constituting the timeshare use plan and bill the owner of record of such real property and improvements. The owner of record of such timeshare use property is liable for the tax and shall remit to the Tax Collector the amount for all taxes assessed, and has the obligation to collect any and all taxes paid by such record owner from the owners of timeshare interests in the timeshare use plan. (c) Notwithstanding anything to the contrary contained in the governing documents of any existing timeshare association, a timeshare association may adopt any rules and regulations necessary to comply with this section and the regulations adopted by the Virgin Islands Office of the Tax Assessor; and the association's rules must include the manner in which billed taxes and other fees are allocated among the various timeshare interests in the timeshare plan. (d) Any timeshare association for a timeshare plan created prior to the date this chapter is enacted may elect to collect taxes or other fees on behalf of owners pursuant to subsection (a). In which case, the timeshare association shall have responsibility or liability for any taxes owed for up to three (3) years prior to the time that such election is made. The Tax Collector shall have a lien against the delinquent individual timeshare interest for any outstanding taxes and other fees still owing after the date of election, subject to subsection (e). In the event, and to any extent, a timeshare association for a timeshare plan created prior to the date this chapter is enacted does not elect to collect taxes or other fees on behalf of owners pursuant to subsection (a), taxes and other fees must continue to be assessed, billed, and collected in the same manner as done prior to the date this chapter was enacted. (e) With respect to any delinquent taxes and other fees assessed to any timeshare interest for the year 2019 and prior years, upon the resale or other conveyance of such timeshare interest, the Tax Collector shall release its lien for such delinquent taxes and other fees encumbering the timeshare interest upon receipt by the Tax Collector of a payment equal to the lesser of either (i) the total amount of such delinquent taxes and other fees, exclusive of all accrued interest and penalties, or (ii) eighty percent (80%) of the resale proceeds paid for the timeshare interest by a bona fide third party. Upon such payment, such delinquent taxes and other fees, as well as all accrued interest and penalties thereon, are deemed to be paid in full and fully satisfied. History: Added July 1, 2021, No. 8467, § 1, Sess. L. 2021, p. 96, 97.

Any timeshare plan offered in compliance with this chapter may not be construed as a security. History: Added July 1, 2021, No. 8467, § 1, Sess. L. 2021, p. 97.

(a) Any seller of a timeshare plan, who acts on behalf of an owner during the ordinary course of business in exchange for a commission or other compensation strictly on a transactional basis, must be a licensed by the Department at a fee to be determined by the Department. (b) This section does not apply to: (i) those individuals who offer for sale only timeshare interests in timeshare property located outside the Virgin Islands and who do not engage in any sales activity within the Virgin Islands, or (ii) those individuals who are direct employees of the developer, the timeshare association or its managing entity. For the purposes of this section, both timeshare licenses and timeshare estates are considered to be interests in real property. History: Added July 1, 2021, No. 8467, § 1, Sess. L. 2021, p. 97.

(a) During any period of time in which a timeshare association has entered into a contract with a manager or management firm to provide some or all of the management services to the timeshare plan, both the board of administration and the manager or management firm are considered the managing entity of the timeshare plan and are jointly and severally responsible for the faithful discharge of the duties of the managing entity. (b) The managing entity shall act in the capacity of a fiduciary to the purchasers of the timeshare plan. No penalty imposed by the Department pursuant to section 1116 of this chapter against any managing entity for breach of fiduciary duty may be assessed as a common expense of any timeshare plan. (c) Any timeshare association or other managing entity shall keep among its business records a complete list of the names and mailing addresses of all owners of timeshare interests in the timeshare plan. The timeshare association or managing entity shall update this list no less frequently than every six months. Notwithstanding any other provision of this chapter, the timeshare association or managing entity may not publish this list or any portion of this list of owners or provide a copy of the list or any portion of the list to any owner or to any third party, or use or sell the list for commercial purposes, except as required to accomplish legitimate association business. For the purposes of this section, "legitimate association business" includes, but is not limited to, a proxy solicitation for any purpose, including, but not limited to, the recall of one or more of the board members elected by the owners, or disposition of timeshare interests acquired by the timeshare association. (d) The timeshare association or other managing entity shall mail to those owners listed on the list of owners, materials provided by any owner, upon the written request of that owner, if the purpose of the mailing is to advance legitimate owners' association business. A mailing requested for the purpose of advancing legitimate owners' association business must occur within 30 days after receipt of a request from an owner. The board of directors of the timeshare association is responsible for determining the appropriateness of any requested mailing. The owner who requests the mailing must reimburse the timeshare association in advance for the timeshare association's actual costs in performing the mailing. (e) The timeshare association or other managing entity shall make available for inspection to the Department any books and records of the timeshare plan upon the request of the Department. The Department may enforce this subsection by making direct application to the Superior Court. (f) Any failure of the managing entity to faithfully discharge the fiduciary duty to purchasers imposed by this section or otherwise to comply with the provision of this section violates this chapter. History: Added July 1, 2021, No. 8467, § 1, Sess. L. 2021, p. 97, 98.

(a) The Department may enforce and ensure compliance with this chapter. In performing its duties, the Department has the following powers and duties: (1) To aid in the enforcement of this chapter, or any Department regulation adopted, or order issued pursuant to this chapter, the Department may make necessary public or private investigations within or outside the Virgin Islands to determine whether any person has violated or is about to violate this chapter, or any Department regulation adopted, or order issued pursuant to this chapter. (2) The Department may require or permit any person to file a written statement under oath or otherwise, as the Department determines, as to the facts and circumstances concerning a matter under investigation. (3) Notwithstanding any remedies available to purchasers, if the Department has reasonable cause to believe that a violation of this chapter, or of any Department regulation adopted or order issued pursuant to this chapter, has occurred, the Department may institute enforcement proceedings in its own name against any regulated party and may bring an action in Superior Court for declaratory or injunctive relief or for other appropriate relief, including restitution. (b) The Department may issue an order requiring a regulated party to cease and desist from an unlawful practice under this chapter and take such affirmative action as in the judgment of the Department will carry or to purposes of this chapter. (c) Any action commenced by the Department must be brought in the judicial division where the violation occurred. (d) Notice to any regulated party is complete when delivered by United States mail, return receipt requested, to the party's address currently on file with the Department or to such other address at which the Department is able to locate the party. (e) The use of any unfair or deceptive act or practice by any person in connection with the sales or other operations of an exchange program or timeshare plan is a violation of this chapter. The Department may institute proceedings against any such person and take any appropriate action authorized in this section in connection therewith, notwithstanding any remedies available to purchasers. History: Added July 1, 2021, No. 8467, § 1, Sess. L. 2021, p. 98, 99.

Prohibited (a) No advertisements, materials, or representations used in the offer or sale of timeshare interests may: (1) Contain any representation as to the guaranteed resale or rental of a timeshare interest through a resale program or rental program offered by or on behalf of the developer or its affiliate; (2) Contain an offer or inducement to purchase which purports to be limited as to quantity or restricted as to time unless the numerical quantity or time applicable to the offer or inducement is clearly and conspicuously disclosed; (3) Contain any statement that the timeshare interest being offered for sale can be further divided, unless a full disclosure is included as the legal requirements for further division of the timeshare interest; (4) Contain any asterisk or other reference symbol as a means of contradicting or changing the ordinary meaning of any previously made statement in the advertisement in such a manner as to mislead the public; (5) Misrepresent the size, nature, extent, qualities, or characteristics of the accommodations or amenities which comprise the timeshare plan; (6) Misrepresent or imply that an amenity or service is available for the exclusive use of a purchaser if a public right of access or use of the amenity or service exists; (7) Make any misleading or deceptive representation with respect to the timeshare disclosure statement, exchange disclosure statement, the purchase contract, the purchaser's rights, privileges, benefits, or obligations under the purchase contract or this chapter; (8) Misrepresent the conditions under which a purchaser or purchasers may participate in an exchange program; (9) Purport to have resulted through a referral unless the name of the person making the referral can be produced upon demand of any prospective purchaser; (10) Describe any proposed or uncompleted private amenities over which the developer has no control or documented right of use unless the estimated date of completion is set forth and evidence can be produced upon the demand of any prospective purchaser or the timeshare association that the completion and operation of the amenities are reasonably assured within the time represented in the advertisement or that no assurances of completion are provided; (11) Represent that any federal, state, territory, county, or municipal agency, board, or commission has recommended the timeshare plan or any of its documents; or (12) Contain any statement guaranteeing or offering to guarantee the sale or resale of any timeshare interest. (b) Advertisements, materials, or representations used in the offer or sale of timeshare interests may: (1) Portray possible accommodations or amenities to prospective purchasers in an advertisement, or a timeshare disclosure statement, without such accommodations or amenities being available for use by purchasers so long as the advertisement or timeshare disclosure statement complies with this section. (2) Portray possible accommodations or amenities to prospective purchasers by disseminating oral or written statements regarding same to broadcast or print media with no obligation on the developer's part to actually construct such accommodations or amenities but only so long as such oral or written statements are not considered an advertisement pursuant to section 1102(b) of this chapter. (3) Portray a possible component site of a multisite timeshare plan to prospective purchasers with no accommodations or amenities located at such component site being available for use by purchasers so long as the developer satisfies the following requirements: (A) A developer of a multisite timeshare plan may disseminate oral or written statements to broadcast or print media describing a possible component site with no obligation on the developer's part to actually add such component site to the multisite timeshare plan or to amend the developer's filing with the division, but only so long as such oral or written statements are not considered advertising material pursuant to section 1102(b) of this chapter. (B) A developer may make representations to purchasers in advertising material or in a purchaser public offering statement regarding the possible accommodations and amenities of a possible component site without such accommodations or amenities being available for use by purchasers so long as the advertising material or purchaser public offering statement complies with the provisions of this section. (C) In the event a developer makes any of the representations permitted by subsection (b) of this section, the purchase agreement must contain substantially the following conspicuous disclosure unless and until such time as the developer has committed itself in the timeshare instrument to adding the possible component site to the multisite timeshare plan, at which time the developer may portray the component site pursuant to the timeshare instrument without restriction: "[Description of possible component site] is only a possible component site which may never be added to the multisite timeshare plan. Do not purchase an interest in the multisite timeshare plan in reliance upon the addition of this component site." (4) Notwithstanding anything contained in this chapter to the contrary, a developer may communicate with existing owners regarding possible component sites without restriction, so long as all oral and written statements made to existing owners pursuant to this subsection comply with the provisions of this section. History: Added July 1, 2021, No. 8467, § 1, Sess. L. 2021, p. 99-102.

Any of the following committed by a developer or other person or entity is a violation of this chapter: (1) Failing to provide a copy of the required timeshare disclosure statement to the purchaser prior to the time the contract is signed by the purchaser; (2) Failing to provide a copy of the executed purchase contract to the purchaser; (3) Failing to escrow or return the deposit to a purchaser pursuant to section 1104 of this chapter; (4) Failing to maintain a one-to-one owner to accommodation ratio for a timeshare plan during a consecutive twelve-month period, as determined under section 1109 of this chapter; (5) Failing to maintain the records required pursuant to section 1115 of this chapter; (6) Making any of statements or representations that are prohibited pursuant to section 1117 of this chapter; or (7) Intentionally participating in a plan or scheme to transfer a resale timeshare interest to a transferee that the transferor knows or reasonably should have known does not have the ability, means or intent to pay all timeshare expenses and taxes associated with the resale timeshare interest. History: Added July 1, 2021, No. 8467, § 1, Sess. L. 2021, p. 102.

(a) If a developer or any other person or entity subject to this chapter violates any provision of this chapter, any person adversely affected by the violation may bring an action to: obtain a declaratory judgment that an act or practice violates chapter; enjoin in accordance with the principles of equity a developer or other person or entity who has violated or is violating this chapter; and recover actual damages and appropriate ancillary relief, including compensatory, consequential, or punitive damages. The court or arbitrator, as applicable, may also award reasonable attorney's fees. (b) A nonmaterial error or omission is not actionable if a developer has complied with the provisions of this chapter in good faith. Any nonmaterial error or omission is not sufficient to permit a purchaser to cancel a purchase contract after the period provided for cancellation expires under this chapter. (c) Any person who materially participates in any offer or disposition of any interest in, or the management or operation of, a timeshare plan in violation of this chapter or relevant regulations involving fraud, deception, false pretenses, misrepresentation, or false advertising or the disbursement, concealment, or diversion of any funds or assets, which conduct adversely affects the interests of a purchaser, and which person directly or indirectly controls a regulated party or is a general partner, officer, director, agent, or employee of such regulated party, is jointly and severally liable, unless such person did not know, and in the exercise of reasonable care could not have known, of the existence of the facts giving rise to the violation of this chapter. A right of contribution exists among jointly and severally liable persons. (d) Any person who knowingly and willfully violates or intentionally fails to comply with the escrow provisions of section 1104 of this chapter, upon conviction, must be fined not more than fifty-thousand ($50,000), imprisoned for not more than two (2) years, or be punished by both fine and imprisonment. The failure to establish an escrow account or to place funds therein as required in this section is prima facie evidence of an intentional and purposeful violation of this section. (e) Any person who knowingly and willfully violates or intentionally fails to comply with the fiduciary duties set forth in the management provisions of section 1115, including failing to maintain records and providing records when required, upon conviction, must be fined not more than five-thousand ($5,000) per each act of violation, or imprisonment for not more than one year, or be punished by both that fine and imprisonment. (f) Any developer, interest holder, trustee, or officer or director of an owner's association who intentionally fails to comply with the provisions of this chapter concerning the establishment of a trust or owners' association, conveyances of property into the trust or owners' association, and conveyances or encumbrances of trust or owners' association property, upon conviction, must be fined not more than ten- thousand ($10,000), imprisoned for not more than two years, or be punished by both that fine and imprisonment. The failure to establish a trust or owners' association, or to transfer property into the trust or owners' association, or the failure of a trustee or officer or director of an owners' association to comply with the trust agreement, articles of incorporation, or bylaws with respect to conveyances or encumbrances of trust owners' association property, as required by this chapter, is prima facie evidence of an intentional and purposeful violation of this chapter. History: Added July 1, 2021, No. 8467, § 1, Sess. L. 2021, p. 102, 103.

(a) Except for sections 1102, 1104, and 1114, this chapter does not apply retroactively to timeshare plans existing prior to June 30, 2021. Notwithstanding the foregoing, any developer may adopt the provisions of section 1110 of this chapter for mortgages entered into prior to June 30, 2021. However, by adopting the provisions of section 1110 of this chapter, the developer subjects itself to the provisions of this chapter and the developer must comply with the provisions of this chapter applicable to a developer. Notwithstanding the foregoing or anything to the contrary contained in the governing documents of an existing timeshare association, an existing timeshare association has the right to adopt any provision of this chapter upon a majority vote of the members of the timeshare association, but the provisions of section 1110 and section 1112 of this chapter may be adopted upon a majority vote of the board of directors of the timeshare association. (b) This chapter does not apply to offers or sales to an existing owner of a timeshare interest offered by that developer or an affiliate of that developer if the developer or the affiliate authorizes the owner to cancel the purchase contract until midnight of the seventh calendar day after the date of the execution of the contract; and provides the owner with all of the timeshare disclosure documents required by law in the jurisdiction in which the timeshare is located. History: Added July 1, 2021, No. 8467, § 1, Sess. L. 2021, p. 103, 104.