(a)
The sale of lots in a subdivision consisting of noncontiguous parts is exempt from the registration requirements of the Act if—
(1)
Each noncontiguous part of the subdivision contains twenty or fewer lots; and
(2)
Each purchaser or purchaser's spouse makes a personal, on-the-lot inspection of the lot purchased prior to signing a contract.
(b)
For purposes of this exemption, interruptions such as roads, parks, small bodies of water or recreational facilities do not serve to break the contiguity of parts of a subdivision.
(c)
The sale must also comply with the anti-fraud provisions of § 1710.4 (b) and (c) of this part.
[45 FR 40479, June 13, 1980, as amended at 49 FR 31368, Aug. 6, 1984]