§ 1708. — Certification of substantially equivalent State law.
[Laws in effect as of January 24, 2002]
[Document not affected by Public Laws enacted between
January 24, 2002 and December 19, 2002]
[CITE: 15USC1708]
TITLE 15--COMMERCE AND TRADE
CHAPTER 42--INTERSTATE LAND SALES
Sec. 1708. Certification of substantially equivalent State law
(a) Criteria; request by State
(1) A State shall be certified if the Secretary determines--
(A) that, when taken as a whole, the laws and regulations of the
State applicable to the sale or lease of lots not exempt under
section 1702 of this title require the seller or lessor of such lots
to disclose information which is at least substantially equivalent
to the information required to be disclosed by section 1707 of this
title; and
(B) that the State's administration of such laws and regulations
provides, to the maximum extent practicable, that such information
is accurate.
(2) In the case of any State which is not certified under paragraph
(1), such State shall be certified if the Secretary determines--
(A) that, when taken as a whole, the laws and regulations of the
State applicable to the sale or lease of lots not exempt under
section 1702 of this title provide sufficient protection for
purchasers and lessees with respect to the matters for which
information is required to be disclosed by section 1707 of this
title but which is not required to be disclosed by such State's laws
and regulations; and
(B) that the State's administration of such laws and regulations
provides, to the maximum extent practicable, that (i) information
required to be disclosed by such laws and regulations is accurate,
and (ii) sufficient protection for purchasers and lessees is made
available with respect to the matters for which information is not
required to be disclosed.
(3) Any State requesting certification must agree to accept a
property report covering land located in another certified State but
offered for sale or lease in the State requesting certification if the
property report has been approved by the other certified State. Such
property report shall be the only property report required by the State
with respect to the sale or lease of such land.
(b) Filing of State disclosure materials and related documentation for
purposes of Federal statement of record and property report
requirements; acceptance by Secretary
After the Secretary has certified a State under subsection (a) of
this section, the Secretary shall accept for filing under sections 1704
through 1707 of this title (and declare effective as the Federal
statement of record and property report which shall be used in all
States in which the lots are offered for sale or lease) disclosure
materials found acceptable, and any related documentation required, by
State authorities in connection with the sale or lease of lots located
within the State. The Secretary may accept for such filing, and declare
effective as the Federal statement of record and property report, such
materials and documentation found acceptable by the State in connection
with the sale or lease of lots located outside that State. Nothing in
this subsection shall preclude the Secretary from exercising the
authority conferred by subsections (d) and (e) of section 1706 of this
title.
(c) Notice to State upon failure to meet requirements and remedial
action necessary for certification
If a State fails to meet the standards for certification pursuant to
subsection (a) of this section, the Secretary shall notify the State in
writing of the changes in State law, regulation, or administration that
are needed in order to obtain certification.
(d) Periodic review of certified States' laws, regulations, and
administration; withdrawal of certification
The Secretary shall periodically review the laws and regulations,
and the administration thereof, of States certified under subsection (a)
of this section, and may withdraw such certification upon a
determination that such laws, regulations, and the administration
thereof, taken as a whole, no longer meet the requirements of subsection
(a) of this section.
(e) State and local governmental authorities affected; cooperation with
State authorities
Nothing in this chapter may be construed to prevent or limit the
authority of any State or local government to enact and enforce with
regard to the sale of land any law, ordinance, or code not in conflict
with this chapter. In administering this chapter, the Secretary shall
cooperate with State authorities charged with the responsibility of
regulating the sale or lease of lots which are subject to this chapter.
(Pub. L. 90-448, title XIV, Sec. 1409, Aug. 1, 1968, 82 Stat. 594; Pub.
L. 96-153, title IV, Sec. 404, Dec. 21, 1979, 93 Stat. 1129.)
Amendments
1979--Subsec. (a). Pub. L. 96-153 substituted provisions setting
forth criteria for determinations respecting certifications of
substantially equivalent State law for purposes of disclosure
requirements of this chapter, for provisions relating to cooperation
with State authorities in administering this chapter.
Subsec. (b). Pub. L. 96-153 substituted provisions relating to
filing requirements for State disclosure materials and related
documentation for purposes of Federal statement of record and property
report requirements, for provisions relating to the jurisdiction of the
particular State real estate commission or similar body.
Subsecs. (c) to (e). Pub. L. 96-153 added subsecs. (c) to (e).
Effective Date of 1979 Amendment
Amendment by Pub. L. 96-153 effective on effective date of
regulations implementing such amendment, but in no case later than six
months following Dec. 21, 1979, see section 410 of Pub. L. 96-153, set
out as a note under section 1701 of this title.
