Judge orders timeshare resort to close down

A judge in Toronto has ordered the closure of two timeshare properties managed and run by Wyndham Vacation Clubs. The resort has 250 units spread over 2 locations situated in a major ski and golf resort with 11,000 timeshare owners owning units there.

Following a survey which was ordered by the judge investigating the case, found that the majority of owners wished to get out of their contracts as the properties had not been maintained to an acceptable standard and had fallen into disrepair. In addition to this the timeshare contracts were ‘in perpetuity’ meaning they were lifelong agreements and upon the event of the owners death, the timeshare and any debts and bills associated to it would be passed on to unwilling family members.

The judge concluded that following the survey and so many owners expressing concern that the timeshares were no longer fit for purpose, the properties should be sold and handled by liquidators going forward. The properties will now be put up for sale, however, timeshare owners are unlikely to receive any money from the sale but will be allowed to exit their contracts free of charge.

Following the announcement the resort would be sold, timeshare advocate for owners at the resort Karen Levins told MSN News “Many owners have been saying for a long time that the resorts are past their prime and that timeshare ownership in Ontario has not been a good model, especially because for these particular resorts there was a contractual in-perpetuity clause that bound owners to pay their maintenance fees forever. Even after they die, the responsibility to pay those maintenance fee transfers over to their heirs, so even death doesn’t get you out of your timeshare commitment.”

Do you have a timeshare contract in perpetuity?

Terminating a timeshare contract is difficult for a reason, simply put resorts do not want you to stop paying maintenance fees, that is why it is so difficult for you to surrender your ownership.

A perpetuity clause essentially means that you will own your timeshare forever and your children and their children will be liable for the fees when you pass away. This is a scary thought for many people who have likely been through the timeshare turmoil mill for some time and do not want to pass the burden on to their loved ones. You can’t simply give up your timeshare either, if you have an in perpetuity contract, Very few companies let you do that as losing you as a member means they will lose out on management fees. Even if this is an option with your resort, bear in mind that any financial investments you have ever made during your ownership will be lost and you cannot get your membership back if you change your mind.

You may be able to make a claim!

Many Timeshare owners who have been trying to get out of Timeshare for years are just happy to be free from the crippling maintenance fees and an inflexible holiday system, however making a claim is still possible under certain circumstances. Timeshare Finance Claims are the leading provider of regulated timeshare claims in the UK. Contact us today to be considered for a no win no fee claim.

Judge rules against Timeshare resort!

A judge in the U.S has ruled against one of the biggest timeshare giants despite their repeated attacks on the timeshare termination attorney.

A federal Judge in the U.S has ruled in favour of timeshare exit attorney Mitchell Reed Sussman. The resort had been accusing the firm of falsely advertising timeshare exit services, a tactic that most large resorts have been employing of late.

Following a battle in the courts, the judge ruled in favour of the firm, stating the resorts accusations were without merit and the firm were acting within the law and any statements they made on their website about being able to help people in the U.S end their timeshare contracts were “literally true”.

During proceedings, the judge heard from timeshare owners who explained how resort representatives had lied and went to extraordinary lengths just to make a sale. Several witnesses also described how once they were converted to a holiday points system, there is no limit on how many points a resort can sell, so when an individual tries to book they will often find no availability for vacations and what they paid for.

In a statement on their website Sussman writes: “Timeshare developers have been bullying people into signing contracts they don’t want and can’t afford for years.” Sussman claims that these tactics are just another example of the economic divide that exists in our country with mammoth corporations taking advantage of the little guy. “Luckily, the courts are beginning to see what the developers are trying to do.”