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REGISTRATION, DEPARTMENT OF HOUSING

AND URBAN DEVELOPMENT

Part
1700 Introduction.
1710 Land registration.
1715 Advertising, sales practices, posting of notices of suspension.
1720 Formal procedures and rules of practice.

PART 1700—INTRODUCTION

Subpart A-Authority and Organization Sec. 1700.1 Scope of authority and purpose. 1700.5 Authority of Secretary. 1700.10 Delegation of authority. 1700.15 Establishment of office. 1700.20 Administrator. 1700.25 Principal divisions. 1700.30 Public information. 1700.35 Separability of provisions. Subpart B-Delegations of Basic Authority and

Functions 1700.80 Director of the Examination Di

vision, Office of Interstate Land

Sales Registration, and Deputy. 1700.85 Director of the Land Sales En

forcement Division, Office of Interstate Land Sales Registra

tion, and Deputy. 1700.90 Director of the Policy Develop

ment and Control Division, Office of Interstate Land Sales

Registration. 1700.95 Acting Administrator. 1700.100 Assistant Deputy Administrator.

AUTHORITY: Sec. 1419, 82 Stat. 598 (15 USC 1718).

SOURCE: 39 FR 19778, June 4, 1974, unless otherwise noted.

Subpart A-Authority and Organization § 1700.1 Scope of authority and pur

pose. A land developer is required by the Interstate Land Sales Full Disclosure Act, Title XIV of Public Law 90–448, 82 Stat. 590, 15 USC 1701, enacted on August 1, 1968 (hereafter sometimes referred to as the Act) to make full disclosure in the sale or lease of certain

undeveloped, subdivided land. The Act makes it unlawful (except with respect to certain exempted transactions) for any developer to sell or lease, by use of the mail or by any means in interstate commerce, any such land offered as part of a common promotional plan unless the land is registered with the Secretary of Housing and Urban Development and a printed property report is furnished to the purchaser or lessee in advance of the signing of an agreement for sale or lease. § 1700.5 Authority of Secretary.

Section 1416(a) of the Act vests authority and responsibility for its administration in the Secretary of Housing and Urban Development (hereafter in this part referred to as the Secretary), and authorizes the Secretary to delegate any of his functions, duties and powers thereunder to employees of the Department of Housing and Urban Development. $ 1700.10 Delegation of authority.

(a) The Secretary has delegated to the Interstate Land Sales Administrator and the Deputy Administrator all of the authority to exercise the power and authority vested in him under the Act except the authority to:

(1) Conduct hearings in accordance with 5 USC 556 and 557.

(2) Issue orders or determinations after such hearings.

(3) Issue rules and regulations under section 1416(a) of the Interstate Land Sales Full Disclosure Act 15 USC 1701

1720, Title XIV of the Housing and Urban Development Act of 1968 prescribing rights of appeal from the decisions of hearing examiners.

(4) Transmit evidence of apparent violations of the Act to the Attorney General of the United States for the institution of any appropriate criminal proceedings under section 1415(a) of the Act.

(5) Sue and be sued.

(b) The Secretary has further authorized the Administrator to redelegate any of the delegated authority to employees of the Department. $ 1700.15 Establishment of Office.

There is established, as an organizational unit of the Department of Housing and Urban Development, the Office of Interstate Land Sales Registration. § 1700.20 Administrator.

The Office of Interstate Land Sales Registration is headed by the Interstate Land Sales Administrator who shall be designated by the Secretary. $ 1700.25 Principal divisions.

The following Divisions have been established within the Office of Interstate Land Sales Registration:

(a) Examination Division. (b) Land Sales Enforcement Division. (c) Policy Development and Control Division. $ 1700.30 Public information.

(a) In general. The identifiable records of the Office of Interstate Land Sales Registration are subject to the provisions of 5 USC 552, as implemented by Part 15—Public Information, Subtitle A, of this title.

(b) Availability of information and records. Information concerning land sales registrations and copies of statements of record may be obtained from the following address: Office of Interstate Land Sales Registration,

Department of Housing and Urban Development, 451 Seventh Street, sw., Washington, D.C. 20410.

In addition, statements of record may be reviewed at such address on any business day from 9 a.m. to 4:15 p.m.

(c) Nonapplicability of exemptions authorized by 5 USC 552. Section 1405(d) of the Act specifically provides that information contained in or filed with any statement of record shall be made available to the public. The exemptions from

public disclosure authorized by 5 USC 552, as set forth in § 15.21 of this title, are not applicable to information contained in or filed with a statement of record.

(d) Duplication fee-property report. Notwithstanding the provisions of $ 15.14, Schedule of Fees, of this title, copies of a Property Report on file with the Office of Interstate Land Sales Registration will be provided upon request for a fixed fee of $2.50 per copy regardless of the number of pages duplicated. Payment may be made in cash or by check or money order payable to the Department of Housing and Urban Development. Personal checks are acceptable. $ 1700.35 Separability of provisions.

If any clause, sentence, paragraph, or part of these regulations shall, for any reason, be adjudged by any court of competent jurisdiction to be invalid, such judgment shall not affect, impair, or invalidate the remainder thereof, but shall be confined by its operation to the clause, sentence, paragraph, or part thereof directly involved in the controversy in which such judgment shall have been rendered. Subpart B-Delegations of Basic Authority

and Functions $ 1700.80 Director of the Examination

Division, Office of Interstate Land

Sales Registration, and Deputy. To the position of Director of the Examination Division, Office of Interstate Land Sales Registration, and under his supervision to the position of Deputy Director there are delegated and assigned the following authorities and responsibilities:

(a) To receive and examine all statements of record (other than those partial statements of record filed in connection with requests for Exemption Orders or Exemption Advisory Opinions) and property reports filed under the provisions of the Interstate Land Sales Full Disclosure Act and all amendments and corrections to such statements.

(b) To determine the adequacy of disclosure of statements of record and property reports and amendments thereto and to effect corrections, additions, and deletions in such statements and reports deemed necessary to achieve the purposes of the Interstate Land Sales Full Disclosure Act.

(c) To recommend to the Administrator that he find effective or declare not effective statements of record filed under

the Interstate Land Sales Full Disclosure the following authorities and responsiAct and to prepare evidence in connec- bilities: tion with hearings and other administra- (a) To receive, examine, and recomtive proceedings relative to statements of mend approval or disapproval of develrecord declared not effective.

opers' claims and requests for statutory $ 1700.85 Director of the and Sales

and regulatory exemptions from the Act. Enforcement Division, Office of In

(b) To perform all functions incident terstate Land Sales Registration, and

to mail and correspondence control. Deputy.

(c) To develop and recommend regu

latory and legislative changes. To the position of Director of the Land

(d) To recommend office policy, to Sales Enforcement Division, Office of

review examinations to determine conInterstate Land Sales Registration, and

sistency of application of office policy, under his supervision to the position of

and to develop training programs to imDeputy Director, there are delegated and

plement office policy as needed. assigned the following authorities and

(e) To maintain and coordinate the responsibilities:

efforts of the Office of Interstate Land (a) To receive, examine, and make

Sales Registration with the efforts of determination with respect to complaints arising from the alleged failure of a

those State agencies having responsibildeveloper subject to the Act to comply

ity for land sales functions. with the requirements of the Act and f 1700.95 Acting Administrator. Regulations issued thereunder and to negotiate resolutions of such complaints

The Deputy Administrator and the and compliance by such developers.

Assistant Deputy Administrator in the (b) To recommend actions by the Ad

order named, are designated by the Administrator to achieve compliance by

ministrator to act in his place and stead developers deemed subject to the Act who in the event of his absence or inability to have not complied with any or all of the act, having the title of "Acting Adminrequirements of the Act and Regulations istrator” with the powers, duties, and issued thereunder.

rights delegated by the Secretary's Dele(c) To conduct, on his own initiative, gation of Authority published in the or in response to information received,

FEDERAL REGISTER on March 9, 1972, 37 reviews to determine the existence of FR 5071. such noncompliance and secure compliance with the requirements of the Act

$ 1700.100 Assistant Deputy Adminisand Regulations thereunder.

trator. (d) To recommend suspension by the The Assistant Deputy Administrato is Administrator of statements of record on designated by the Administrator to pera determination of noncompliance with form routine matters concurrently with the requirements of the Act and Regula

the Deputy Administrator. tions thereunder. (e) To recommend action to secure

PART 1710—LAND REGISTRATION permanent or temporary injunctions or restraining orders to prevent acts or

Subpart A-General Requirements

Sec. practices in violation of the provisions of

1710.1 Definitions. the Act and Regulations thereunder and

1710.2 Official address. to require compliance therewith.

1710.5 General applicability. (f) To prepare evidence in connection 1710.10 Statutory exemptions. with hearings or other administrative

1710.11 Statutory exemptions-determinaproceedings or injunctions or restraining

tion required.

1710.12 orders in connection with suspensions of

Statutory exemptions—when in.

applicable. statements of record or other action in 1710.13 Regulatory exemptions. connection with noncompliance under 1710.14 Regulatory exemptions-exempthe Act and Regulations thereunder.

tion order required-limited of

fering. $ 1700.90 Director of the Policy Devel- 1710.15 Exemption advisory opinions.

opment and Control Division, Office 1710.17 Concurrent submission request of Interstate Land Sales Registration.

for exemption/Statement of

Record To the position of Director of the

1710.18 NO-Action Letters. Policy Development and Control Divi- 1710.20 Statement of Record and Propsion there are delegated and assigned

erty Report-form and filing.

Sec.

(d) “Developer" means any person 1710.21 Statement of Record, consolida

who, directly or indirectly, sells or leases, tions, amendments-effective

or offers to sell or lease, or advertises for date.

sale or lease any lots in a subdivision. 1710.22 Consolidated Statements of Record.

(e) “Exemption advisory opinion” 1710.23 Amendments-Statement of Rec means the formal written decision of

ord and Property Report-form the Secretary, pursuant to g 1710.10 or and filing.

$ 1710.13, stating whether or not a par1710.25 State filings in general.

ticular method of sale is exempt from 1710.26 State filings-acceptable filings.

the requirements of this part. Such de1710.27 State filings-consolidations and

cision shall be issued on the basis of an amendments.

examination of the information sub1710.32 Use of Property Reports—misstatements or omissions prohibited;

mitted and will not be considered bindrepresentation of HUD approval

ing if such information is incomplete or prohibited.

inaccurate in any material respect. 1710.35 Payment of fees.

(f) "Exemption order” means the for1710.45 Suspensions.

mal written decision of the Secretary, Subpart B-Reporting Requirements

pursuant to $ 1710.14, to exempt any 1710.101 Claim of Exemption-format of

subdivision or any lots in a subdivision affirmation.

from the requirements of this part. 1710.102 Statement of Reservations, Re

(g) "Interstate Commerce" means strictions, Taxes and Assess trade or commerce among the several

ments-format and instructions. States or between any foreign country 1710.103 Affirmation-purchaser's on-the

and any State. lot inspection-format.

(h) "Lot” means any portion, piece, 1710.105 Statement of Record-format and

division, unit, or undivided interest in Instructions. 1710.110 Property Report and lease adden

land if such interest includes the right dum-format and instructions.

to the exclusive use of a specific portion 1710.115 State Property Report disclaimer.

of the land. 1710.120 Statement of Record-State filing. (i) “Offer" means any inducement, 1710.125 Partial Statement of Record-re solicitation, or attempt to encourage a quest for exemption.

person to acquire a lot in a subdivision, AUTHORITY: Sec. 1419 of the Interstate

(j) "OILSR” means the Office of InLand Sales Full Disclosure Act, 82 Stat. 598; terstate Land Sales Registration. 15 U.S.C. 1718.

(k) “Person" means an individual, or SOURCE: 38 FR 23875, Sept. 4, 1973, unless

an unincorporated organization, partnerotherwise noted.

ship, association, corporation, trust, or

estate. Subpart A-General Requirements (1) "Purchaser" means an actual or $ 1710.1 Definitions.

prospective purchaser or lessee of a lot As used in this chapter:

in a subdivision. (a) “Act” means the Interstate Land

(m) "Rules and regulations” refer to

all rules and regulations adopted purSales Full Disclosure Act, 82 Stat. 590,

suant to the Act, including the general 15 U.S.C. 1701, which became effective in

requirements published in this part. its original form on April 28, 1969.

(n) "Sale" means any obligation or (b) “Blanket encumbrance" means a arrangement for consideration to purtrust deed, mortgage, judgment, or any chase or lease a lot directly or indirectly. other lien or encumbrance, including an

The terms "sale" or "seller" include in option or contract to sell, or a trust their meanings the terms "lease" and agreement, affecting a subdivision or af

"lessor". fecting more than one lot offered within

(0) "Secretary" means the Secretary a subdivision, except that such term

of Housing and Urban Development or shall not include any lien or other en

his duly authorized representatives.

(p) “State" includes the several States, cumbrance arising as the result of the

the District of Columbia, the Commonimposition of any tax assessments by any

wealth of Puerto Rico, and the territories public authority.

and possessions of the United States. (c) "Date of filing" means the date a (q) "Subdivision" means any land, loStatement of Record, amendment or cated in any State or in a foreign counconsolidation, accompanied by the ap try, which is divided or proposed to be plicable fee, is received by the Secretary. divided into 50 or more lots, whether

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