Page:United States Statutes at Large Volume 92 Part 2.djvu/848

 92 STAT. 2128

PUBLIC LAW 95-557—OCT. 31, 1978

(3) by striking out the matter which precedes "when—" in clause (11) and inserting in lieu thereof the following: "(11) the sale or lease of real estate which is zoned by the J appropriate governmental authority for industrial or commercial development or which is restricted to such use by a declaration of "?' covenants, conditions, and restrictions which has been recorded in the official records of the city or county in which such real estate is located,". 15 USC 1702. (b) Section 1403 of such Act is amended— (1) by redesignating subsection (b) as subsection (c); and (2) by inserting after subsection (a) thereof the following: "(b) Unless the method of disposition is adopted by the purpose of 15 USC evasion of this title, the requirements of sections 1405 through 1408 1704-1707. shall not apply to the sale or lease of a lot which is located within a municipality or county where a unit of local government specifies minimum standards for the development of subdivision lots taking place within its boundaries, when— "(1) the subdivision meets all local codes and standards and is either zoned for single family residences or, in the absence of a zoning ordinance, is limited exclusively to single family residences; "(2) the lot is situated on a paved, public street or highway which has been built to a standard acceptable to the unit of local government in which the subdivision is located or a bond or other surety acceptable to the municipality or county in the full amount of the cost of the improvements has been posted to assure completion to such standards and the unit of local government has accepted or is obligated to accept the responsibility of maintaining the public street or highway; "(3) at the time of closing, potable water, sanitary sewage disposal, and electricity have been extended to the lot or the unit of local government is obligated to install such facilities within 180 days. For subdivisions which do not have a central water or sewage disposal system, rather than installation of water or sewer facilities, there must be assurances that an adequate potable water supply is available year-round and that the lot is approved for the installation of a septic tank; "(4) the contract of sale requires delivery of a warranty deed . to the purchaser within 180 days after the signing of the sales contract; "(5) a policy of title insurance is issued in connection with the transaction showing that, at the time of closing, title to the lot purchased or leased is vested in the seller or lessor subject only to such exceptions as may be approved in writing by the purchaser or lessee prior to recordation of the deed or execution of the lease; n c I:;i "(6) each and every purchaser or spouse has made a personal, on the lot inspection of the lot purchased or leased, prior to signing of a contract to purchase or lease; and "(7) there are no direct mail or telephone solicitations or offers of gifts, trips, dinners, or other such promotional techniques to induce prospective purchasers or lessees to visit the subdivision or to purchase or lease a lot.".

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