514E-23 Requirements for trustees. If time share units are conveyed to a trustee pursuant to section 514E-19, the following requirements shall be met:

(1) The trustee must be a bank, savings and loan association, or a trust company meeting the requirements of any rules adopted by the director pursuant to chapter 91.

(2) The trustee must at all times:

(A) Maintain fidelity bonds in a form approved by the director in such amounts and providing coverage as required by rules adopted by the director pursuant to chapter 91; and

(B) Maintain a policy of errors and omissions insurance in a form approved by the director in such amounts and providing coverage as required by rules adopted by the director pursuant to chapter 91. [L 1982, c 186, 11]

 

 

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