2006 Code of Virginia § 55-79.84:1 - Bond to be posted by declarant
55-79.84:1. Bond to be posted by declarant.
A. The declarant of a condominium containing units which are required by thischapter to be registered with the Real Estate Board shall post a bond infavor of the unit owners' association with good and sufficient surety, in asum equal to $1,000 per unit, except that such sum shall not be less than$10,000, nor more than $100,000. Such bond shall be filed with the RealEstate Board and shall be maintained for so long as the declarant owns morethan ten percent of the units in the condominium or, if the declarant ownsless than ten percent of the units in the condominium, until the declarant iscurrent in the payment of assessments. However, the Board shall return a bondwhere the declarant owns one unit in a condominium containing less than tenunits, provided such declarant is current in the payment of assessments.
B. No bond shall be accepted for filing unless it is with a surety companyauthorized to do business in the Commonwealth, or by such other surety as issatisfactory to the Board and such bond shall be conditioned upon the paymentof all assessments levied against condominium units owned by the declarant.The Board may accept a letter of credit in lieu of the bond contemplated bythis section.
The Board may promulgate reasonable regulations which govern the return ofbonds submitted in accordance with this section.
(1977, c. 428; 1981, c. 480; 1984, c. 601; 1985, c. 107; 1988, c. 15; 1993,cc. 667, 900.)
Disclaimer: These codes may not be the most recent version. Virginia may have more current or accurate information. We make no warranties or guarantees about the accuracy, completeness, or adequacy of the information contained on this site or the information linked to on the state site. Please check official sources.