                                 CODE OF VIRGINIA

STATUTE OF LIMITATIONS; ACTIONS; LIMITATION ON RESCISSION RIGHTS (§ 55.1-2231)

A. Except as otherwise provided in &#xA7; 55.1-2237, a judicial proceeding where
the sufficiency of the time-share instrument, the accuracy of the public
offering statement, or validity of any contract of purchase is in issue and a
rescission of the contract or damages is sought shall be commenced within two
years after the date of the contract of purchase, notwithstanding that the
purchaser&#8217;s terms of payments may extend beyond this period of limitation;
however, with respect to the enforcement of provisions in the contract of
purchase that require the continued furnishing of services and the reciprocal
payments to be made by the purchaser, the period of bringing a judicial
proceeding shall continue for a period of two years for each breach.
			Rescission of the contract shall not be granted by the court unless (i) the
inaccuracy of the public offering statement or the insufficiency of the
time-share instrument directly and adversely affected the purchaser&#8217;s
right to participate in the time-share program or to own his time-share or (ii)
at the time of the contract, the developer has sold more time-shares than there
are time-share units that have been completed or bonded to accommodate such
sales. Further, if damages are awarded, the amount of the damages shall be
limited to actual damages sustained.

B. If a developer has substantially complied in good faith with the provisions
of this chapter, a nonmaterial error or omission shall not be actionable. A
nonmaterial error or omission shall not be sufficient to permit a purchaser to
cancel a contract after the cancellation period provided by &#xA7; 55.1-2221 has
expired.

HISTORY: 1981, c. 462, § 55-383; 2006, c. 653; 2008, c. 376; 2019, c. 712.