Amends the Bankruptcy Code to provide that if the trustee rejects a debtor's executory contract for the sale of an interest in a timeshare plan, where the purchaser has not given up his right to use the timeshare premises, such purchaser may treat the contract as terminated and receive a lien on the timeshare interest for any part of the price already paid (except payments in previous years). Permits the purchaser, in the alternative, to continue to exercise his rights to use the timeshare premises if he continues to make installment and maintenance payments.

Permits the purchaser to offset against such continued payments any damages occurring after the trustee's rejection caused by the nonperformance of any of the debtor's obligations.

Permits the purchaser, where the trustee has assigned the contract to a third party, to terminate his contract rather than participate with the assignee in the premises.