S.D. Admin. R. 20:69:12:16

Current through Register Vol. 51, page 67, December 16, 2024

Section 20:69:12:16 - Responsible managing employee - Designation, duties, and change

The commission may not accept the filing of a corporate time-share agent or corporate plan manager unless the corporation has designated a responsible managing employee and prescribed the RME's duties, responsibilities, and obligations.

The corporate RME is responsible for the direct management of the corporation's time-share operations. The commission does not consider the corporate RME to have the direct management of the corporation's time-share operation unless the RME meets the following requirements:

(1) Is a bona fide employee of the corporation and has direct control, supervision, and management of the corporation's time-share operations;

(2) Has full knowledge and control of the corporation's accounting practices;

(3) Has full knowledge and control over the moneys belonging to and in the custody of the corporation in connection with the time-share operation; and

(4) Has full access to all books, records, and documents materially related to the corporation's part in the time-share operation whether they are kept in the state or out-of-state.

The name, address, and telephone number of the RME must be filed with the commission. If there is a change in RME, the name of the new RME must be reported to the commission in writing within ten days after the change. A plan manager may manage one or more time-share plans. A plan manager may have one or more RMEs. If a developer or plan manager of two or more time-share plans, at least one of which includes time-share units located in this state, maintains its principal office or has primary management and accounting functions out-of-state, the duties of the RME specified in this section may be divided between two or more RMEs provided that at least one RME is located in the state.

S.D. Admin. R. 20:69:12:16

10 SDR 68, effective 1/1/1984; 10 SDR 121, amended May 17, 1984, retroactively effective 1/1/1984; 12 SDR 102, effective 12/22/1985; 12 SDR 151, 12 SDR 155, effective 7/1/1986; transferred from

General Authority: SDCL 36-21A-89, 43-15B-6.

Law Implemented: SDCL 43-15B-2, 43-15B-3, 43-15B-6.