Subdivision 1. Advertisement.
"Advertisement" means any written or printed
communication or any communication by telephone or transmitted on radio, television, electronic
means or similar communications media published in connection with the offer or sale of
subdivided lands or any communication made to induce prospective purchasers to visit or attend
an offer or sales presentation.
Subd. 2. Agent.
"Agent" means any person who represents, or acts for or on behalf of, a
subdivider in disposing of subdivided lands or lots in a subdivision, and includes a real estate
salesperson or broker, but does not include an attorney at law whose representation of another
person consists solely of rendering legal services.
Subd. 3. Blanket encumbrance.
"Blanket encumbrance" means a trust deed or mortgage or
mechanics lien or any other lien or financial encumbrance, securing or evidencing money debt
and affecting lands to be subdivided or affecting more than one lot, parcel, unit or interest of
subdivided land; or an agreement affecting more than one lot, parcel unit or interest by which
the subdivider holds the subdivision under an option, contract for deed, contract to purchase or
trust agreement, except a lien or other encumbrance arising as a result of the imposition of a tax
assessment by a public authority so long as no portion thereof is past due.
Subd. 4. Commissioner.
"Commissioner" means the commissioner of commerce of the state
of Minnesota or the commissioner's authorized delegate.
Subd. 5. Sale; sell.
"Sale" or "sell" means every contract or agreement to convey an interest,
including a leasehold interest, in subdivided land for value.
Subd. 6. Notice.
"Notice" means a communication from the commissioner. Notice to
subdividers shall be deemed complete when personally served upon or mailed to the subdivider's
address currently on file with the commissioner.
Subd. 7. Offer.
"Offer" includes every inducement, solicitation or attempt to encourage a
person to acquire a lot, unit, parcel or interest in land.
Subd. 8. Option.
"Option" means, and is limited to, an offer to sell or to purchase respecting
which a consideration of not more than 15 percent of the total purchase price is exchanged to
guarantee that the offer will not be withdrawn or revoked for an agreed period of time.
Subd. 9. Person.
"Person" means an individual, corporation, government or governmental
division or agency, business trust, estate, trust, partnership, unincorporated association, two or
more of any of the foregoing having a joint or common interest or any other legal or commercial
Subd. 10. Purchaser.
"Purchaser" means a person who acquires or attempts to acquire
or succeeds to an interest in land.
Subd. 11. Subdivision; subdivided land.
"Subdivision" or "subdivided land" means any real
estate, wherever located, improved or unimproved, which is divided or proposed to be divided for
the purpose of sale or lease, including sales or leases of any timeshare interest, unit in a common
interest community, or similar interest in real estate.
Subd. 12. Subdivider.
"Subdivider" means a person whose interest in subdivided land is
offered or advertised, by the person or the person's agent, for disposition.
Subd. 13. Timeshare interest.
"Timeshare interest" means a right to occupy a unit or any
of several units during intermittent time periods over a period of at least three years, including
renewal options, whether or not coupled with a freehold estate or an estate for years.
Subd. 14. Improved lots.
"Improved lots" means lots which have or will have within a
two-year period from the date of purchase, a permanent residential structure thereon, and are not
devoted to or used as a time share interest, unit in a common interest community, or similar
interest in real estate.
Subd. 15. Advance payment.
"Advance payment" means any money paid in advance
regardless of its descriptive nomenclature, including but not limited to, management fee, listing,
security, or advance fee or payment in connection with the resale of a timeshare interest.
History: 1973 c 413 s 1; 1974 c 440 s 1; 1980 c 516 s 2; 1983 c 289 s 114 subd 1; 1984 c
452 s 1-5; 1984 c 655 art 1 s 92; 1986 c 444; 1989 c 252 s 4; 1999 c 11 art 3 s 4,5