                                 CODE OF VIRGINIA

ESCROW OF DEPOSITS (§ 55.1-2162)

A. Any deposit made in connection with the purchase or reservation of a
cooperative interest from a person required to deliver a public offering
statement pursuant to subsection C of &#xA7; 55.1-2154 shall be placed in escrow
and held either in the Commonwealth or in the state in which the unit that is a
part of that cooperative interest is located in an account designated solely for
that purpose by a title insurance company, attorney, or real estate broker
licensed under the laws of the Commonwealth, an independent bonded escrow
company, or an institution whose accounts are insured by a governmental agency
or instrumentality until (i) delivered to the declarant at closing, (ii)
delivered to the declarant because of the purchaser&#8217;s default under a
contract to purchase the cooperative interest, or (iii) refunded to the
purchaser.

B. Any deposit made in connection with the purchase of a cooperative interest
from a person not required to deliver a public offering statement shall be
placed in escrow in the same manner as prescribed in subsection A. Upon receipt
of the resale certificate called for in &#xA7; 55.1-2309, should the purchaser
elect to void the contract, the seller may deduct the actual charges by the
association for preparation of the certificate. Otherwise, the deposit shall be
promptly returned to the purchaser.

HISTORY: 1982, c. 277, § 55-485; 2019, c. 712; 2023, cc. 387, 388.