SC HB 3491 Delayed in Senate


Issue Brief

House Bill 3491 by Rep. Bill Sandifer (R-Seneca) was introduced to add consumer protections to regulate timeshare resale and transfer companies in South Carolina. The bill will, among other things, require any person who offers timeshare resale advertising services or timeshare transfer services to obtain a signed written contract from a timeshare owner before they can offer timeshare those resale services. If a resale service provider requires fees to be paid in advance (other than fees for advertising specific services) those fees must be held in escrow until all of the promised services are completed. Finally, this legislation would provide that anyone who knowingly assists or participates in a plan that involves the transfer of a resale vacation timeshare to a person who has no intention of paying maintenances fees would be guilty of an unfair trade practice under South Carolina law.


The proposed legislation will help protect South Carolina timeshare owners by providing them more information to help them make better choices about how to resell their timeshare and necessary protections (e.g. a written agreement with a stated rescission period). It will also help to curtail fraudulent transfer practices that negatively affect timeshare owners and homeowners’ associations alike. 

Position/Call to Action

ARDA and ARDA-ROC support this consumer protection legislation and will continue throughout 2013 and into 2014 to strongly advocate for its passage.

Issue Updates

Despite ARDA-ROC's best efforts to pass HB 3491 in the 2013 session, the bill was unfortunately held on 2nd reading in the Senate when the Legislature adjourned Sine Die on June 6, 2013.  When the Legislature returns to Session in January 2014, HB 3491 will be considered again by the Senate as it is currently drafted.

Prior Actions: 

HB 3491 was amended and approved by the Senate Judiciary Committee and sent to the full Senate for consideration on May 29.

 HB 3491 unanimously passed the South Carolina House of Representatives on March 20 and is now in the Senate awaiting action.  

HB 3491 was taken up by the House Labor, Commerce and Industry Committee March 5 where the full committee unanimously passed the strike-all amendment which was jointly submitted to the committee by ARDA, ARDA-ROC, and the Department of Consumer Affairs. The bill will now be sent on to the House floor where it could possibly be on the calendar for a vote as early as Friday this week.   

The House Labor, Commerce and Industry Committee will take up HB 3491 on March 5 at 2:30 pm. Since receiving unanimous support by the Real Estate Subcommittee last Tuesday, ARDA-ROC and the South Carolina Department of Consumer Affairs have worked together to improve the bill by drafting changes to the contract and escrow requirement sections. Those changes will be introduced to and hopefully approved by the full LCI Committee on the 5th. 


On Tuesday, February 26, HB 3491 passed unanimously out of the Real Estate Subcommittee of the Committee on Labor, Commerce and Industry.  Certain amendments were added to the bill "in concept" with language to be finalized in the next several days.  Once the conceptual amendments are added, the bill will be enhanced to provide for additional provisions related to the escrow of funds when collected in advance for timeshare transfer services. From here, the bill will be heard in the full Committee for discussion and possible approval.  Please check back in the next several days for updates on this legislation. 

HB 3491 was referred to the House Committee on Labor, Commerce and Industry Committee (where Rep. Sandifer is the Chairman) and will be heard in the LCI Real Estate Subcommittee on February 26. 


































































































Prior Actions:  

















HB 3491 failed to pass prior to the conclusion of the 2014 South Carolina Legislative Session.  The bill will not carry over into 2015.  ARDA-ROC will revisit resale and transfer issues in South Carolina over the next several months to determine the best course of action moving forward. 

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