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tues

The Tuesday Slot with Irene

This week Irene explains the trials and tribulations of a veteran and his dealings with a major timeshare developer, you can see the interview in the Youtube video attached to the article.

These stories are becoming more common, especially now that they are getting coverage, it is a very sorry state of affairs when men and women who give their all, are then treated in the most despicable manner. One of the most disturbing facts that has come to light is that some of the sales agents are ex service personnel themselves, the only explanation is they use this “brotherhood” bond as a tool. They actually have no morals, just the greed of the pay cheque!

Inside Timeshare leaves it to you the reader to make up your own mind.

January 13, 2018 was an Overwhelmingly Sad Day

Anthony and Ashley Davis Share their Timeshare Experience

Whistleblowers of America

Help for military and government workers who seek justice

https://www.gofundme.com/whistleblowers-of-america

Army seal

By Irene Parker

January 16, 2017

https://www.law.cornell.edu/uscode/text/18/4

18 USC 4 Misprision of a Felony

Whoever, having knowledge of the actual commission of a felony cognizable by a court of the United States, conceals and does not as soon as possible make known the same to some judge or other person in civil or military authority under the United States, shall be fined under this title or imprisoned not more than three years, or both.

(June 25, 1948, ch. 645, 62 Stat. 684; Pub. L. 103–322, title XXXIII, § 330016(1)(G), Sept. 13, 1994, 108 Stat. 2147.)

Information provided by Scotty Black, MS Criminal Justice

Inside Timeshare is receiving an escalation in timeshare complaints reported by our readers, including 14 active duty and retired military in the last 60 days, directed against four timeshare companies. Anthony and Ashley Davis complained about a timeshare up-sell. Since they recorded the actual presentation, we called the FBI. After explaining what happened, the agent I spoke with advised me to direct timeshare members to contact the FBI public access phone line if they feel they were a victim of white-collar crime, financial institution fraud, which the FBI defines as “deceit, concealment, violation of trust and bait and switch.” Members seeking to report should contact their local FBI field office and report orally their allegations. The public access line is available 24/7. Members should also file with IC3.gov along with other regulatory agencies listed on our complaint form.

http://insidetimeshare.com/file-timeshare-complaint-revised/

The Nevada Real Estate Division in the past dismissed timeshare complaints with a “You don’t have proof” response, but for the first time, Anthony actually recorded a bait and switch. In addition, one advocate with experience working economic crimes under cover is encouraged by her Nevada Real Estate Division response. They are listening, no longer dismissing.

Anthony and Ashley, an army couple, told their story during an interview we recorded in Orlando January 13, 2018. We also recorded their recording of the predatory sales presentation that we have made available to law enforcement and regulatory authorities. My husband and I struggled with a GoPro donated to our advocacy group, so our first attempt posted below is a little rough. It’s a start.

hero  Ashley describes her husband as a hero.

Anthony’s military service consisted of three tours in Iraq and Afghanistan. At age 26, he is 90% disabled. Ashley’s is active with the Army National Guard Military Police. Anthony was medically discharged from the Army due to traumatic brain injury. He suffers from seizures, in addition to symptoms associated with PTSD.  Some cannot fight back, but Anthony took advantage of resources available to veterans seeking to rehabilitate. Anthony earned an MBA. He currently works as a credit analyst for Ford Motor. Prior to Ford Motor, Anthony worked for Nissan in arbitrations.

Anthony continues to defend his country by advocating for timeshare members who feel they were victimized by predatory timeshare sales and marketing. Anthony sacrificed his health to keep our country safe. We humbly thank him for advocating for us. This is the first report from a timeshare member in which we don’t have to say “alleged”. Recording a person to person meeting is legal in Nevada.

https://p2lawyers.com/blog/2016/1/31/is-it-legal-to-record-a-conversation-in-nevada-without-the-other-partys-consent

Here’s what happened

Anthony and Ashley bought a trial timeshare program in 2016, and attended the required timeshare presentation in Florida. They purchased 7500 annual timeshare points May 2017. This purchase required a new member “orientation” which took place in Las Vegas, November 2017. Told if they did not buy an additional 7500 points, their maintenance fees would be $250,000 over the next ten years because they did not receive a letter. Had they received the letter, they were told they would not have to buy points and maintenance fees would only increase 2 to 5% instead of the 10 to 15% under the old program. Knowing they could never afford $250,000, they purchased an additional 7500 points.  This second purchase of annual points required a ludicrous second new member “orientation” which took place in Florida Saturday, January 13, 2018. Anthony and Ashley had to incur the cost of airfare and Uber, flying to Orlando from Nashville to stay two days in order to attend this mandatory orientation, leaving their five kids in Nashville with relatives. Again they were told their first two purchases were worthless. I found their story overwhelmingly sad.  

https://www.youtube.com/watch?v=phUjnrIG3bI

Thank you Anthony and Ashley – you are timeshare advocates now. On behalf of all timeshare members and all Americans, we deeply thank you for your service and for your sacrifice.

salute      

We started Saturday, January 13 in the U.S. with a message from a timeshare advocate from the EU who forwarded me a post designed to smear Canarian Legal Alliance. I informed Charles Thomas. As he was tracking down the libelous offender, he learned Canarian Legal Alliance lost one of their long-standing associates, Ian Smart. So January 13 was not a good day, but soldiers and advocates don’t give up. We respond to adversity and we move forward to work toward justice, accountability, transparency and respect for all timeshare members. We are hoping timeshare developers will work with us to stop the “pitching of heat” to sell a timeshare product.

Contact Inside Timeshare or a member sponsor advocacy group if you need help with a timeshare concern.  

https://www.facebook.com/timeshareadvocategroup/

https://www.facebook.com/groups/DiamondResortsOwnersAdvocacy/

https://tug2.com/Home.aspx

https://www.facebook.com/groups/180578055325962/

https://www.facebook.com/groups/465692163568779/

https://www.facebook.com/groups/1639958046252175/

divided

Thank you to Ashley and Anthony, Inside Timeshare hope that a resolution is around the corner, we also hope that the developers take note and reign in these unscrupulous agents. Timeshare has a bad reputation already, but these people are just making it worse. Inside Timeshare will continue to highlight these cases in the hope that the developers and the authorities eventually put an end to these practices.

tues

The Tuesday Slot with Irene

In this weeks Tuesday Slot we welcome a new contributor Karen Krokosh, but first a quick look at what has been happening in Europe especially in the courts.

The year has certainly not started well for the timeshare industry, the first week of January has seen the Supreme Court in Madrid rule on 6 occasions against Silverpoint from Tenerife.

This court has declared these six contract null and void as they were over the 50 year period allowed by law, what is known as perpetuity, they also contained the points or floating weeks systems.

tribunal-supremo

The court also reaffirmed the position of the taking of any payment within the given cooling off period, even if taken by a third party as prohibited. This cooling off period was introduced to protect consumers and allow them to decide whether they wished to continue with the purchase, as these are usually made as decisions on the day.

The total amount the court has awarded in these cases is a staggering 321,274€ with legal fees and legal interest.

In another case against Silverpoint, the High Court in Tenerife has ordered the return of over £31,000 plus legal fees and legal interest to a British client. Again the contract was declared null and void as it contained the points or floating weeks system.

In the Court of First Instance at Maspalomas, another British client has been awarded over £19,000 plus legal fees and legal interest, with the contract being declared null and void. In this case the contract was sold by Anfi and was for a duration of over 50 years, which is not allowed under the Spanish Timeshare Law 42/98.

All these cases have been brought on behalf of client by the law firm Canarian Legal Alliance, so contrary to what the timeshare industry is is saying, this law firm is doing what it says and winning on behalf of their clients.

As they say the proof is in the pudding!

On with this weeks Tuesday Slot.

Sell My Timeshare Now,

A Timeshare Listing Service for Buyers or Sellers

Diamond Member Karen Krokosh Issues a Warning

face1

By Inside Timeshare Contributor Karen Krokosh

Comments about SMTN follow Karen’s article

January 9, 2017

I responded to a Sell My Timeshare Now (SMTN) solicitation. Not only did the company over promise the ability to sell Diamond’s non-deeded U.S. Collection points, they told me they could help me recoup expenses by renting my points. DRI does not allow renting through a third party site. As a resource for timeshare members, SMTN should abide by Diamond’s official rental policy by not accepting rental listings. Here is the current DRI rule:

2.5.1 A Member is not prohibited from periodically renting the Accommodation reserved for the Use Period or the reserved Other Redemption Opportunity pursuant to these Club Rules.

However, the use of Points to reserve Accommodations or Other Redemption Opportunities for commercial purposes or for any other purpose other than the personal use of the Member or the Member’s family and guests is prohibited. Use by a Member of public advertising or an online website to seek renters shall be deemed a prohibited commercial use.

Members who are primary developers of Club Resorts (that is, members of the Diamond Resorts International group of companies) and providers of Other Redemption Opportunities are specifically exempted from this restriction, and are entitled to use their reserved Accommodations and reserved Other Redemption Opportunities for promotional, rental, or other commercial purposes.

Diamond is not the only timeshare with little or no resale value. While some timeshares like Disney, Hilton and Marriott can be sold, it has been widely reported Diamond’s non-deeded points are especially difficult to sell. I contacted a few members of the Licensed Timeshare Resale Broker Association. Not one would accept a DRI listing, feeling the restrictions the company places on the use of secondary points are too severe.

http://www.licensedtimeshareresalebrokers.org/

SMTN agent Sandra Van Lanen suggested a list price of $12,000 for 3,000 points. We paid about $12,000, so in no way was that price realistic as I dropped my price from $12,000 to $7,500, $5,000 and $1,000 with no offers. What was SMTN’s response? They said, “It takes time.” There are about 15,000 Diamond Resorts members on a variety of Facebooks and websites and I’ve learned many of them would be willing to give away their Diamond points. I would have been laughed off these sites posting these ludicrous amounts. I am committed to exposing this company and others that are taking advantage of those already burdened by loan payments and maintenance fees.

Here’s what I paid SMTN:

The original “Advertising and Marketing” product was priced at $1,798. I was given a discounted referral of $1,498 USD, but paid initially a deposit of $699, agreeing to pay the remaining balance of $799 when the timeshare sells. Since that is never in almost all Diamond cases, I decided to cancel the lifetime listing. When you cancel, SMTN has the right to bill you for the remaining balance.

promotion

I have also learned many of the listing and resale companies are staffed by former timeshare executives and sales agents. Some are legitimately trying to help those desperate to get out of their timeshare, but others prey on the desperate. This is a Department of Justice report about timeshare resale and release scams:

https://search.justice.gov/search?query=timeshare+fraud&op=Search&affiliate=justice

Many timeshare buyers report they were sold a timeshare by deceit. I looked up the definition of racketeering. While timeshare exit plans are not violent crime against property, I see a similarity. The sales agents who sold us the problem are now the ones coming around to “help” us. “A common example of a racket would be if a group of people cut the tires of cars on a specific street, and then that same group, or one in concert with the one cutting tires offered ‘protection’ to the owners of the cars for a price. This fits the definition of a racket because without the organization’s slashing of tires in the first place, the demand for ‘protection’ would be low or non-existent.”

https://www.investopedia.com/terms/r/racketeering.asp

I have been trying to get rid of this timeshare for years. I was so relieved to find the member sponsored Diamond Resorts Advocacy Owners Facebook where I learned that Diamond has launched a new program called Transitions and from what Inside Timeshare told me, I am eligible! I am hopeful, waiting to hear back.

https://www.facebook.com/groups/DiamondResortsOwnersAdvocacy/

Comments about Sell My Timeshare Now by Irene Parker

After Friday’s article about the importance of Better Business Bureau ratings, I checked the SMTN BBB rating. My red flag was raised when I learned Karen paid up front money to list her Diamond points. Accepting upfront money to sell your timeshare is illegal in Florida, but it seems companies can work around the law by calling it an ad or subscription fee, or a market analysis.

http://insidetimeshare.com/fridays-letter-america-31/

SMTN has been sold twice since 2010. Scott Roberts is the owner of Vacation Innovations and SMTN is a wholly owned subsidiary of V.I.

The BBB has assigned SMTN a D rating. I called SMTN and talked to Mike. The first question I asked Mike is, “Can I rent my DRI points through SMTN?” Mike said renting DRI points is no problem. When I informed him DRI does not allow the renting of points through a third party site like SMTN, Mike said he would have someone from legal call me. We did not hear back. Irina Allen is one DRI member who had her Diamond account suspended, accused of renting points on RedWeek.

http://insidetimeshare.com/monday-start-another-week/

This is what BBB notes on SMTN, providing a good example of how the Better Business Bureau can assist consumers by providing important information.

According to BBB files this company has a pattern of complaints that centers around the company’s advertising claims. Complainants allege they are guaranteed a time frame in which their timeshare will sell. Many consumers allege the company makes a promise that their timeshare will sell quickly. The company responds to the complaints and reiterates the company policy which reads the company does not guarantee when a timeshare will sell.

On March 23, 2016 BBB reviewed the complaints on file and determined the pattern described above has not been eliminated. BBB sent a letter to the company requesting cooperation in responding to and eliminating the pattern of complaints.

BBB received a response from Sell My Timeshare Now (SMTN) who addressed concerns raised. SMTN has introduced a video that consumers are encouraged to view that clearly outlines their services. In their business model explanation SMTN says that: “…SMTN never promises buyers are waiting; does not request wire transfers, greendot moneypak payment or purchase of prepaid credit cards; does stand behind the services it promises and always strives to deliver excellent service to all of its clients”… Additionally, SMTN hired a law firm to review the complaints and details surrounding each one. This review of these recordings has shown that the communications between SMTN and individual consumers (when they are available) has been shown to differ. SMTN has also instituted training for salespeople. They are to only make promises that are consistent with the guarantees and promises made by the company in writing. SMTN is recording calls made by their sales people to confirm the training is being followed. SMTN now has a policy for their salespeople who consistently fail to comply with the training which results in their dismissal from the company. Finally, they informed BBB that they will be further training their customer care employees to offer to help earlier in the process and be sure to make certain the consumer is satisfied with the resolution.

On December 5, 2017 representatives of SMTN met with the BBB to update us on improvements they are making to their organization. They have taken steps toward improving customer service by hiring a new Customer Service Manager. They have put in place an “audit group” that will contact consumers on the day they sign the contract with SMTN and then again 90 days out as a way to ensure customer satisfaction. It is anticipated that by proactively working with their customers, the number of complaints will be reduced substantially. BBB will work closely with SMTN to follow their progress and to continue to address any complaints that may come in.

Consumers are, once again, requested to contact SMTN prior to filing a complaint with BBB at 1-877-815-4227.

This Business Is Not BBB Accredited

Sell My Timeshare Now, LLC

D

Customer Review Rating:

35%

62%

[12] Positive Reviews

[1] Neutral Reviews

[21] Negative Reviews

[34] Total Customer Reviews

[107] Total Customer Complaints

Composite Score:

Sell My Timeshare Now, LLC has received 1.93 out of 5 stars based on 34 Customer Reviews and a BBB Rating of D.

This content is provided by the business and may contain advertising. BBB does not review or endorse this content.

https://www.bbb.org/concord/business-reviews/timeshare-resale-and-rental-marketing/sell-my-timeshare-now-in-portsmouth-nh-92008632/Alerts-and-Actions

According to a post found on RedWeek, published on the internet, SMTN does seem to charge a considerable upfront fee. A member had asked whether they should buy timeshare points through SMTN.

Good question. Here is the straight scoop:

ken1193

1 month ago

Sometimes you will find a timeshare of interest on the SMTN site which may be available at a price acceptable to you. HOWEVER, you will have NO say or ANY choice regarding the “closing” entity. Closing costs through SMTN are quite excessive — multiple times the cost of customary and usual closing costs. You have no option to conduct a SMTN transaction “in person”, but that is the case in most any resale timeshare transaction, so SMTN is not unique in that regard. It would frankly be both highly unusual and entirely unnecessary to conduct a resale timeshare transaction “in person”. Objective, third party “closers” who have no association with either buyer or seller (not an available option via SMTN, unfortunately) look out for the interests of BOTH buyer and seller, holding all funds in escrow until closing if necessary. This obviously eliminates any need for any travel or physical presence by either the buyer or the seller just to “close” on a resale transaction.

With SMTN, you essentially have to determine ALL of the collective costs as a buyer and then ask yourself if that bottom line figure is acceptable to YOU to acquire that particular timeshare listing, despite the exorbitant closing costs. Far more often than not, the answer will be NO, but there are (relatively rare) exceptions. In all fairness, in the performance of your due diligence you really have to look at the big picture and ask yourself if the TOTAL expenditure involved justifies acquisition of that particular timeshare for YOU. You obviously first need to accurately determine the bottom line total figure before you can possibly make that fully informed evaluation and personal decision.

SMTN of course has nothing whatsoever to do with maintenance fees, regardless of the resort involved. Maintenance fees are determined only by individual resorts — and they are engraved in stone. That said, I would certainly want to verify the accuracy of any figures SMTN indicates as maintenance fees. This is very easily done by contacting the resort directly for confirmation of any figures claimed by SMTN in their listings.

Last edit by ken1193 on Nov 28, 2017 05:27 AM.

https://www.redweek.com/forums/messages?thread_id=14010;page=last

Keep calm Homework

Thank you to Karen for her advice! We look forward to hearing more from Karen as our first new Inside Timeshare contributor of 2018.  Contact Inside Timeshare or one of these member sponsored U.S. timeshare groups if you need help with a timeshare. It can save you money.

https://www.facebook.com/timeshareadvocategroup/

https://www.facebook.com/groups/DiamondResortsOwnersAdvocacy/

https://tug2.com/Home.aspx

https://www.facebook.com/groups/180578055325962/

https://www.facebook.com/groups/465692163568779/

https://www.facebook.com/groups/1639958046252175/

If you require any information regarding this article or any other published on Inside Timeshare, please use the comments or contact form and we will get back to you. If you are considering using the services of any company and are unsure of how to check them we will also be pleased to help.

 

money

Money Vs Morals

A Fraudulent Timeshare Sale can pose a National Security Threat

One Marine sacrifices, not only his money and his security clearance, but also his air unit command, as a result of believing a timeshare sales agent.

Secretary of the Navy, Richard Spencer, former Marine Corp pilot and investment banking and capital market underwriter, was also president of Crossroads Investment, LLC, a leading venture capital and private equity fund-of-fund investment firm.   

http://www.navy.mil/navybio_ldr.asp?id=1001

NNSA

December 27, 2017

By Irene Parker

Inside Timeshare received an alarming response in response to last week’s article about Samuel Melendez. Mr. Melendez spent 21 years in the U.S. Army, working with soldiers and colleges to teach them chemical, biological and nuclear defense. A Diamond Platinum member, he alleges he and his wife Delores were up-sold by deceit and bait and switch by Diamond Resorts top selling sales agent Rick Casper at DRI’s Polo Towers resort.

Inside Timeshare has been informed one Marine lost more than his money and security clearance. He lost his air unit command, as a consequence of believing a timeshare sales agent. He was forced into foreclosure which jeopardized his security clearance. We will not name the Marine who lost his air unit command, or the timeshare company, because Inside Timeshare has received reports directed against four timeshare companies offering members of our armed forces deals like the ability to rent for a profit, the ability to easily sell vacation points, or buy vacation points at a special military discount price that does not exist. Fifteen active duty and retired military and law enforcement personnel allege they were sold by deceit.

Marine

Former Marine Jeff Diehl describes how his Vacation Village sales agent over promised the income that could be generated from renting his week.

Jeff Diehl

http://insidetimeshare.com/fridays-letter-america-30/

Jeff expressed outrage after hearing a fellow Marine lost his command post due to predatory timeshare sales. He sees such tactics as a threat to our national security. “It would be easy for anyone, seeking to do our country harm, to get hired to sell vacation points in an effort to remove an armed service member from their command post,” said Jeff. Jeff is encouraging service members to write to the Secretary of the Navy Robert Spencer and Commandant of the Marines Robert B. Neller, as well as other directors of our armed forces.

I fear Secretary of the Navy Robert Spencer, a former top venture capitalist, may have conflicting feelings about how Diamond Resorts, owned by Apollo Global Management, achieve their sales target. Apollo is the third largest private equity company. Secretary of the Navy Spencer is a former Marine Corp pilot and a former investment banking and capital market underwriter. He was also president of Crossroads Investment, LLC, a leading venture capital and private equity fund-of-fund investment firm. Mr. Spencer was sworn in August, 2017. Apollo manages Diamond as a fund of funds.  

Our fifteen Timeshare Advocacy Group™ military and law enforcement members have mobilized as a unit of armed forces to put an end to timeshare’s predatory sales and marketing targeting the military. Jeff, a retired Marine and disabled, is the unit commander. All fifteen allege they were sold a timeshare by deceit and bait and switch. Four are worried about losing their security clearance. Four are disabled.

https://www.mca-marines.org/gazette/2017/11/242nd-marine-corps-birthday-message-commandant-marine-corps

Given dismal regulatory enforcement, we fear the only court open to any timeshare buyer alleging deceit is the court of public opinion, so in addition to 15 members of the Army, Navy, Coast Guard, Air Force and Marines, alleging they were victimized by Vacation Village, Bluegreen, Wyndham and Diamond timeshare sales agents, four members of our media outreach committee will assist our military in an effort to reach mainstream media.

Diamond Resorts is offering free passes to the military and to first responders for their upcoming invitational golf tournament to be held in Orlando January 12 – 14. Model and golf pro Blair O’Neal is featured.  

https://www.insidethegate.com/2017/12/military-first-responders-to-receive-complimentary-tickets-to-third-annual-diamond-resorts-invitational/

USN

Navy computer technicians Amanda and George Jones are also worried about their Navy security clearances. Amanda and George say they were told by two Diamond sales agents, at two different locations, there are many companies that specialize in refinancing timeshares. Banks will not finance timeshares. They too could be forced into foreclosure and lose their security clearance, unable to afford the 18% timeshare loan interest rate.

Amanda and George Jones were featured in last week’s article. Mary Bowling, former #2 top selling Diamond Resorts sales agent, describes in a lawsuit, how the deceptive “price freeze” works.

Amanda and George Jones

http://insidetimeshare.com/tuesday-slot-irene-3/

Here is the “price freeze” script

Case 1:17-cv-00562-DKW-RLP filed in Hawaii District Court Page 10 of complaint

#43 Owners Update is deceptive because it is to sell points.

#44 Customer is told the current “list price” but the agent has to see someone else.

#48 the sales agent has customer sign a form indicating they were updated and the agent has to have the manager sign off.

#49 the sales manager has reviewed all prior customer contracts and the manager falsely states the customer was given a “price freeze” but none exists.

#50 (In bold) because of the “price freeze” only today can the customer buy for the discounted price.

#51 (In bold) the price given is the real price planned from the outset.

#52 the “price freeze” never existed because (a) The special deal available to this customer only is available to anyone and (b) Urgent to buy only for today

#54 this is lucky news for the customer – brand new information!

#55 the sales agent waits for the customer to “step in”

George and Amanda Jones “step in”

We went to an orientation in Orlando presented by DRI sales agent Jonathan Pineda at DRI’s Resort Mystic Dunes March 2017. (This is the second complaint Inside Timeshare has received from our readers directed against Mr. Pineda) We ended up purchasing an additional 4000 points for $15,732. Our loan balance $13,271.16 is financed at 18.6794%. Jonathan (like our first Virginia DRI sale agent), said both loans could be refinanced and combined by companies that specialize in refinancing timeshares. He said we would have to wait until we made our first payment (long after the contract rescission period). When we asked for a company name, Jonathan said we could google it.  

We were told we were buying our second purchase in Orlando at a price point that was almost unheard of and was not being offered to any new Diamond customers right now. “I can’t believe your first sales agent didn’t tell you about this price from the first purchase!” Jonathan said.  If we did not buy that day we would lose out and would go from $2.85 per point to $10 from that day on. He said not to go to any future promotional events because it would change our price point. Jonathan said parents had died and the children did not want the points so DRI was reselling at this low price.

Jonathan also said that we needed to get to Gold so that we could pay our maintenance fees with points. We have since learned only Platinum members can use points to pay maintenance fees at $.04 per point. He said it would be worth it to spend all our savings so that we would not have to pay maintenance fees. We were not comfortable so we only bought 4000 points.

USArmy

Samuel Melendez, Army veteran

http://insidetimeshare.com/nightmares-timeshare-street/

Mr. Melendez is the eighth Rick Casper Platinum DRI member to reach out to Inside Timeshare, and the only complainant not to have been resolved. The Melendez complaint was dismissed. Mr. Melendez said he received an email from their DRI Consumer Advocate hospitality agent, with the family’s initials on their contract, confirming the oral representation clause.

Platinum members are Diamond’s most loyal customers. They are unsuspecting because they have dealt with the company for years without major complaints until their encounter with Rick Casper or others with questionable business practices.

We’re not sure if Rick Casper is still with DRI. Like Elvis, some members report Rick Casper and Wadji Kassas (another name frequently mentioned) are no longer with the company, while others tell us Casper and Kassas are still working at DRI. I can imagine them holed up in a special Platinum bunker.

Inside Timeshare also published the story of army veteran Terry Carter, diagnosed with blood cancer. Terry lived next to a burn pit in Iraqi. Bluegreen offered this family a loan cancellation but no refund. Terry says he will not give up without a fight. Sold in a group presentation, promised the ability to sell their timeshare at a profit should they need to sell, the family is demanding a 50% refund. Bluegreen’s defense is the family used the timeshare for 19 days since making their first purchase in 2013. They stopped making loan payments in July.

Terry Carter http://insidetimeshare.com/tuesday-slot-irene-2/

One of the worst upsell stories was reported to Inside Timeshare by Karen Vartan, another disabled vet. She was contacted by DRI marketing in San Diego. As a Platinum member for more than five years, Karen was hosted by the Diamond Resorts East Coast Mystic Dune Sales Team in Arlington, Virginia. Karen says she was told if she purchased 25,000 additional DRI points, added to her exiting 57,000 points she would have 82,000. But if purchased today only, double points – 165,000 – allowing Karen to be able to pay her maintenance fees with points left over to travel. The program does not exist. Diamond’s response was again to provide Karen with her initials on her contract acknowledging that Karen “did not rely on any oral representation to make her purchase.”

Canada is also represented in our military victim report  

Canada

Roxanne and Terry Hurley

http://insidetimeshare.com/timeshare-advocacy/

Inside Timeshare directed Roxanne and Terry Hurley to Diamond Resorts Consumer Advocacy department over a year ago after the family reported they lost their entire life savings to DRI. Chalk it up to a bad decision, but having served in the Canadian army their entire career, they have nothing left. DRI did provide some help. We are not lawyers, so are not privy to the terms, but the family thought it would be alright, not violating the non-disclosure agreement, to admit they are still DRI members. Roxanne’s mom’s condition has worsened since she reached out to us. With no secondary market, their savings wiped out, their dream vacation future turned into a financial tragedy.

homeland

Law Enforcement is also at risk

Lela Renea is a Florida detective trying to work with Bluegreen to resolve her complaint.  Inside Timeshare, back in July, published Detective Renea’s article describing how she feels she was a victim of a Bluegreen bait and switch. We will not use the word “alleged” because if anyone knows they were baited and switched, it’s a detective.  

Detective Renea  http://insidetimeshare.com/fridays-letter-america-11/

Scotty Black, MS Criminal Justice, also works in law enforcement. Inside Timeshare will publish Scotty’s battle with Diamond Resorts in an upcoming article. Detective Renea and Scotty could also lose their security clearances if forced into foreclosure.

There are others who have moved on. We will not republish their articles or mention their names, as they have signed a mutual release agreement, agreeing not to say anything bad about Diamond Resorts.

When will this industry wake up? Never, I fear if there is not some federal enforcement. Members cannot even file a complaint effectively with the weakened Consumer Financial Protection Bureau if the timeshare company finances the loan because, as not the actual lender, there is no drop down CFPB menu choice to select a timeshare company. Only banks are listed.

monay v morals

According to FBI agents I spoke with, and several attorneys, hiding behind the oral representation clause is not legal but continues as a hamster wheel because there is no federal timeshare enforcement. In our opinion, state enforcement is, in some states, influenced by powerful lobby dollars. With so little enforcement, unscrupulous sales agents have little to fear. Lie to make the sale, force the member into foreclosure, take back the points, resell for full value to the next consumer.

Virginia Attorney General Mark Herring has dismissed all Diamond Resorts complaints, submitted by members who contacted Inside Timeshare, despite Arizona Attorney General Mark Brnovich issuing an against DRI accusing the company of violating the Arizona Consumer Fraud Act. The AZ AG office received, according to a source, 400 complaints, and an additional 500 complaints after the press release.

https://www.azag.gov/press-release/attorney-general-brnovich-announces-800000-settlement-diamond-resorts

We do not dispute there are many timeshare members, having not yet experienced a life crisis, who use and enjoy their vacation points. We know there are honest timeshare companies, like Disney Vacation Club, and honest timeshare sales agents, but it would take another lengthy article to list the lawsuits that have evolved, like the Wyndham whistleblower Trish Williams $20 million jury award describing TAFT days – tell them any blank think on slow sales days.

At least timeshare members, those who find Inside Timeshare or one of the self-help groups listed below, are not silenced and isolated.

We seek to provide timeshare members a way to proactively address membership concerns; to advocate for timeshare reform; to obtain greater disclosure from the company; to advocate for a viable secondary market; and to educate prospective buyers.

https://www.facebook.com/timeshareadvocategroup/

https://www.facebook.com/groups/DiamondResortsOwnersAdvocacy/

https://tug2.com/Home.aspx

https://www.facebook.com/groups/180578055325962/

https://www.facebook.com/groups/465692163568779/

https://www.facebook.com/groups/1639958046252175/

help

          

 

nightmare

More Nightmares on Timeshare Street

Today’s article is rather disturbing, it highlights how members of the armed services and veterans are being targeted by unscrupulous sales agents. For people who put their lives on the line, this behaviour is particularly obnoxious.

Timeshare Wars

Samuel Melendez, our Advocacy group thanks you for your service to our country

troops

By Irene Parker

Diamond and ARDA seek to destroy me. I know that sounds melodramatic, but sources tell me it’s true.  I’m confident this will happen sooner rather than later. The industry and ARDA’s answer to our advocacy efforts is to behead the messengers rather than examine the business practices of top selling agents. I’m told one executive even commented, “They are victimizing the uneducated,” in regard to Timeshare Advocacy Group™ and our efforts.

Please read the American Resort Development Association’s (ARDA) Code of Ethics and Eron Grant’s article about the code before reading the following ten reader reports about their allegations of deceit.

http://www.arda.org/ethics/

http://insidetimeshare.com/fridays-letter-america-14/

Diamond Resorts and Bluegreen each give $1 million a year in the form of voluntary “opt out” donations to the timeshare lobby, a PAC, called ARDA ROC. Members are told it is a nonprofit that helps timeshare members. It is doubtful many members even know what the letters ARDA ROC stand for. Marriott’s contribution is an “opt in” donation. It took several calls to have my $7 removed from my account. When I called in November, I was told it was a delinquency. Having researched timeshare for over two years, I was able to determine the $7 was moved from one account to another. I suspect it was to have me forget about it as it mushed into the 2018 invoice.    

In a span of ten days, Inside Timeshare has been contacted by seven active duty and retired military, describing how they say they were defrauded by predatory timeshare sales agents from four companies.  A 100 page summary of 249 complaints against timeshare sales agents and companies is available upon request by regulatory authorities. Of the 249 complaints, 233 are against Diamond Resorts.  I am a Diamond member. I did not choose to do business with Diamond. We were acquired in the ILX Arizona acquisition. If I were instead a Bluegreen member, 233 out of 249 complaints would be against Bluegreen. Bluegreen members have their own Advocacy group supporting members who want out of their Dream Vacation that can become a Nightmare when a life crisis occurs.  

troops2

Today we thank Samuel Melendez who spent 21 years in the army training soldiers, working with colleges, teaching chemical, biological and nuclear defense. When a military family is forced into foreclosure because they were lied to about being able to sell back points or finance at a lower rate, they don’t just lose their money. This can jeopardize their security clearance and their job.  Amanda Jones, featured in Tuesday’s article, has suggested individual base commanders be informed in the hope they will ban service members from attending timeshare presentations and events. “The Diamond sales agent that sold us points said he was a Marine. If he is not, that’s stolen valor. Base commanders need to be aware of the predatory nature of timeshare sales. My husband George and I, Navy computer technicians, feel we were victimized.”   

The Tuesday Slot with Irene

If seven members of the military, describing how they say they were defrauded were not enough in a week, Gay and Ed Brewer called me yesterday. My husband and I owned a bioavailability pharmaceutical research laboratory, but I have heard more grave medical conditions in the last two years assisting timeshare members, than I did in ten years as president of our company.   

Gay Brewer, 74 and Ed Brewer, 77

First, here is Diamond’s Rebuttal to my article written for Jim Cramer’s TheStreet about Apollo’s acquisition of Diamond dated June 30, 2016.

It is also incorrect to state that Diamond Resorts is “not interested” in liquidity in the resale market for timeshares because the company profits from “reclaiming” vacation ownership interests that are defaulted on by the customer. To the contrary, Diamond Resorts understands that customers experience life events that change the circumstances from when they originally purchased vacation ownership interests. That is why the company not only permits resales, but we also recently announced a new “Transitions Program” to launch soon, and will allow those in good standing to relinquish their points to the company in a simple, safe and respectful manner.

https://www.thestreet.com/story/13624491/1/is-apollo-returning-to-its-junk-roots-with-its-acquisition-of-diamond-resorts.html#2

The snag is “in good standing” because almost all timeshare members contacting Inside Timeshare say they were pressured into high interest rate loans. All timeshare companies can and do cancel loans. I’ve come to learn it is a matter of who wears down whom first.

According to Gay Brewer,

Ed’s heart stopped beating three times this past year. He has had a prior heart attack. He has had a Pacemaker defibrillator implanted which has fired three times. He cannot fly on an airplane or be exposed to high altitudes. He is monitored 24/7 by a Holter monitor. We had to evacuate our California home due to the Liberty fire. At present we are receiving 12 collection calls a day (six each) from Diamond’s collection agents.

Deneice Vargas, another Diamond member in foreclosure (her husband Louis is diagnosed with Bell’s palsy), told me “When DRI Consumer Advocates are not busy advocating for members by researching and providing the member’s initials on the fine print, in response to “the sales agent said”, they make collection calls.” The oral representation clause may make this legal robbery, but Social Media is eventually going to catch up. Several attorneys have told me the oral representation does not allow timeshare companies to get away with sale agents who lie, but there is virtually no enforcement. State enforcement is spotty at best.

The Brewers were Monarch owners. Like so many, they were told they had to give up their deeded week. This was not true. Four or five contracts later, after the last up-sell at Diamond’s Polo Towers Resort, they decided they regretted buying points due to disappointment in availability. While I find good value in Arizona and Orlando using points, limited availability is a major complaint voiced by Diamond and Bluegreen members. The Brewers have written to DRI Consumer Advocacy:

Diamond Resorts Consumer Advocacy

We are asking our loans be cancelled due to medical and financial hardship. We were told we would not be able to use our Monarch week unless we bought DRI points and that our Monarch week was worthless. We were never told of the option to deed back the week to DRI. Due to the burden of medical bills, we have not made payments since July and will not be able to make future payments.

We contacted Exit Timeshare as they guarantee timeshare release but they said they would charge us $28,000. I contacted Irene Parker. She told us to contact Diamond Resorts Consumer Advocacy instead. She said DRI Advocates have helped many in our situation. We were not aware there was a DRI Advocacy program.

Please contact us as soon as possible. It was never our intention not to meet this obligation, despite the fact that there was never adequate availability when we tried to book and we were never told of the option to deed back our Monarch week. We have learned that on TUG Timeshare Users Group, DRI is accepting more than 95% of requests, if in good standing.  

Thank you for your consideration.

Gay Brewer

army

Samuel Melendez Response to DRI Advocate Ben from Irene Parker

Mr. Melendez, DRI Complaint #207/233, is the eighth Platinum member to contact Inside Timeshare alleging financial institution fraud, deceit and bait and switch by DRI agent Rick Casper. The depth of corruption and the degree of criminality is now over my head, based on Karen Varten’s and Samuel and Delores Melendez report preceded by 231 others. Mr. Melendez and Ms. Varten have both reported a negative outcome.  

The Melendez family Edward Jones financial planner contacted me, so I am responding on the family’s behalf. I retired from Edward Jones Hawaii. Their EDJ financial planner had researched timeshare a little and found a law firm offering legal assistance for well over $10,000. He asked me if he should refer the family to this lawyer. I have nothing against the firm he mentioned, but I told the EDJ broker to hold off because I have referred seven other Rick Casper Platinum up-sells to Diamond Resorts Consumer Advocacy and they have helped all of them. They reported a positive outcome, albeit one needed the assistance of the Arizona Attorney General. What did Mr. Melendez receive from their Diamond Consumer Advocate as a response? Basically, they received a reminder of the oral representation clause, and their initials on the fine print, despite seven other identical Rick Casper complaints from members who received positive outcomes.

I spent a good two hours on the phone Monday with the FBI. My new neighbor is a federal prosecutor on sabbatical from California. I asked him for advice, but he only knows about murders. After speaking with the FBI (for the fourth time), and a few lawyers, I am convinced the oral representation clause does not hold water when used to hide behind. The FBI explained what it’s going to take, so we are filing complaints first on the FBI website IC3.gov and then orally, on the FBI tip hotline, found on the FBI website. Rick Casper is not the only DRI sales agent pitching bogus resale and maintenance fee programs that don’t exist. We have recently received complaint about a Las Vegas sales agent by the name of Adam Mendenhall offering point upgrades that would allow paying maintenance fees at $.30 per point. This program does not exist. DRI sales agents that make $1 to $2 million a year in commission tend to get more attention.  

One of our core advocates is a Tampa detective. She has advised us to file with the Nevada Real Estate Division. She was duped by Bluegreen. Like the detective, Scotty Black, DRI Complaint #164, works in law enforcement and has a MS in Criminal Justice. At least I have some help.

George and Amanda Jones, DRI Complaint #211, a married couple living in Virginia, are Navy computer technicians. Scotty, George and Amanda cannot afford their timeshare because of being told it would be easy to get their timeshare refinanced at a lower rate because the DRI sales agents told them there are many companies that specialize in refinancing timeshares, among other allegations. Forced into foreclosure, they could lose their security clearance and their job.  

Last week I was contacted by seven members of the armed forces, active duty and retired, four DRI complaints. Only the Air Force is not represented. Karen Varten, DRI Complaint #219, a Platinum up-sell, was contacted by DRI Marketing San Diego, hosted by Florida DRI sales agents in Virginia. Karen owned 57,000 points. She was told if she bought 25,000 additional points (totaling  82,000), if purchased today, she would have double points so 165,000 points to cover all maintenance fees and still have points left to travel. What was the response to her complaint? She was provided her initials on the contract.   

Preying on the young and old is bad enough, but Mr. Melendez taught our young men and women in the army how to defend themselves against biological, chemical and nuclear weapons. He sent a lot of those young people to war, and some of them did not return, protecting (alleged) predators like Rick Casper and, as the reports below offer compelling and compounding evidence, Diamond Resorts as well. Circumstantial evidence is still evidence.

Mr. Melendez has filed complaints with the FBI and the BBB. In the unlikely event DRI will help this family, please contact him by Wednesday, before we publish this article. There would be nothing that would make me happier than to end the year with a happy outcome for someone who spent 21 years teaching soldiers how to be protected from biological, chemical and nuclear weapons, instead of forcing this family to fork over – more than $10,000 the family will need to pay an attorney to get them out of this mess if DRI does not help them. After the last Rick Casper up-sell, their monthly payment has escalated from $431 a month to $2200. They told me they told Mr. Casper they were worried about passing this burden on to their heirs.  

All of the Platinum members listed below liked DRI, but now tell me they think this is the most crooked company in existence. I feel a little like Martin Luther, thinking the Catholic Church would appreciate his exposing corruption in the Catholic Church.  ARDA has had the same reaction as the Pope did then. A copy of all reports is sent to ARDA’s General Council and CEO in the hoping they will read their Code of Ethic.  

Irene Parker

Seven other Rick Casper Platinum up-sells totaling $819,000 including Mr. Melendez $133,000.

1 CL $75,000

During our meeting we were told about all the new changes that had been discussed at the Dinner that would allow us to sell our points. My husband has Cancer so all that was going through his mind was trying to make a choice that would help me later on if the Chemo doesn’t work and when Rick Casper convinced him this was the answer that’s all my husband heard. When we were in that office he was Stage 4. He has Colo-rectal Cancer that has spread to his Liver and Lungs. Our Las Vegas trip was something we wanted to do before my husband started his treatment.

I don’t understand how the DRI finance team could even approve us for a $75,000 loan for Timeshare Points when we had been turned down from two different companies while trying to refinance our house just this past year. Both requests were for under $100,000.

2 Nancy Callahan, age 69 $142,000

http://insidetimeshare.com/another-nightmare-timeshare-street/

3 KK, age 61 $117,000

We have a picture of Rick and pitch

Questionnaire sheet last two questions: Had you attended dinner? What is your exit strategy? Apollo had dinners informing members Cloobeck was leaving.  Not everyone heard the presentation so Rick was talking to members Platinum about the Legacy program. He said DRI never allowed you to sell points. This will. He knows real estate people can get $5 on resale for DRI points. New members are paying $9 so if you buy at $4 it is easy to sell. He had contacts that he could set us up with. 12/29/2016

4 RB, age 66 $75,000

Mr. Casper said on at least four occasions I was eligible for a Pool Party Upgrade that would provide an exit strategy. He said the program was about to expire so I needed to write a sentence that said I wanted to do this and he would get the purchase approved. I never received a copy of the sentence. The purpose of the purchase, according to Mr. Casper, was to make my existing points more valuable. Mr. Casper went on to explain that this exit strategy would allow me to monitor and sell the points. He mentioned that he is a family man and does not want to pass his points and maintenance fees on to his kids.

5 JH, age 56 $132,000

“The main benefit that he presented was the ability to convert points directly into cash at $0.30 per point. If at any time during the year we had leftover points we could be reimbursed for those points in cash.  All we had to do was contact Dan Percy and he would process the transaction and put the money on our reloadable Visa card.”

I continued to ask questions about each benefit so that I would be certain.  I worded questions differently to see if I would get the same answer.  I threw out this scenario; “If at the end of the year I have 30,000 points still sitting in my account, you’re telling me that I can get reimbursed cash for these points at $0.30 per point.”  His response; “Absolutely – You contact Dan Percy and he will load $9,000 onto the Visa card.” We purchased 40,000 points to get us to the level of “Super Platinum”.

6 AC, age 68 $55,000

http://insidetimeshare.com/wednesday-article-america/

We purchased an additional 20,000 points on July 16, 2016 for $55,200 from Richard Casper, at Cancun Resort, Las Vegas. The reason we purchased these points is because Rick told us if we went from Gold, to Platinum status, he could sell the points if we needed to. In addition, he told us we could substantially reduce our maintenance fees by submitting receipts to him for goods and services. We have never seen a tangible way to reduce our current $8,685 maintenance fees.  

We contacted Richard Casper by email on April 7, 2017 because we need to sell the 20,000 points. We received an autoreply stating to contact VP Dan Percy. We talked with Dan Percy on April 14, 2017. He stated that Diamond Resorts sales personnel don’t assist people who need to sell points and are not allowed to provide any company names that buy and sell timeshare.

In addition, during our sales presentation with Richard Casper July, 2016 we asked about combining our eight contracts. He advised that any free and clear points sold on the resale market will have the same benefits except loyalty level as long as no more than 20,000 points to one individual and it would be better not to combine the points. He stated that many Gold owners would be happy to buy 20,000 points at the lower price to become Platinum owners.  

7 JM, age 61 $90,000

Rick Casper was introduced to me as a Platinum specialist. Mr. Casper said I made a big mistake buying Hawaii points and a bigger mistake transferring the 20,000 points I bought in Daytona, due to a class action lawsuit against DRI members causing exorbitant increases in maintenance fees because of storm related beach erosion.  

Mr. Casper said I had to transfer back to US Collection and if I owned 100,000 points I would be unofficially known as a double platinum member and I would be able to sell any unused points in November and December each year back to Diamond at 30 cents per point, as DRI could sell those points annually to other members. Mr. Casper said this was closely regulated by the authorities. Mr. Casper said by selling these point back to DRI at 30 cents per points I could pay some or all of my maintenance fees for that year and any years to follow. Mr. Casper said this would allow my children not to have to pay maintenance fees.  

“You are really passing your children a bill.  We have a new program if you reach me in November to let me know what you did not use. Diamond will buy them back at $.30 for that year only to, ‘put them back in the kitty’. We need the points because we can sell them to other people who need them.” He illustrated the money we would be paid on a piece of paper.  “What are you waiting for? This is a no brainer,” he said. Mr. Casper convinced me to return to the US Collection the 20,000 points I had transferred in Hawaii 2015 due to beach erosion. I purchased an additional 30,000 points. I now owned 115,000 points.

In November 2016 I called Rick Casper to inform him I had 80,000 points I wished to cash in so that I would receive $24,000 (at 30 cents per point) as Mr. Casper illustrated during our sales presentation.  However, he denied any knowledge of any such arrangement. I explained I had a guest with me at the time, S L, who heard everything he said.  .

Mr. Casper said the reason for the 30 cent per point program was due to the sale of Diamond to Apollo. Mr. Casper said Mr. Cloobeck wanted to do something for members who owned over 100,000 points to show his appreciation so he included the 30 cent per point program in the terms of the Apollo buyout.  SL and I clearly remember this conversation

My current loan payment at the time of the presentation was $1,650 per month. Mr. Casper multiplied that by 12 totaling $19,800 in payments annually plus $14,000 per annum in maintenance fees or $33,880 for annual maintenance fees and loan payments combined. He divided this figure by 12 resulting in $2,816 per month. In the 50,000 additional points Mr. Casper offered, he stated it would only cost an additional $400 per month or $4,800 per year. If I sold back the additional 50,000 points at 30 cents per point I would receive a check back for $15,000.

As stated previously, when I contacted Rick Casper to sell back 80,000 points, he acted as if he did not know what I was talking about. I own a truck leasing business and S is a secondary school teacher. In no way did we misunderstand the figures above.  

There was undue pressure to open a Barclaycard. I explained that I did not need an additional credit card. Rick Casper insisted I open a Barclaycard. I feel the Barclaycard is part of the strategy used to play out what I consider to be a con. 

I then spoke with Dan Percy and then Seth Johnson. I thought Mr. Johnson and I were close to a resolution when he suddenly stopped responding to me.   

At a meeting in Palm Springs, CA between Christmas and New Year’s 2016, we met with someone who seemed to be an ombudsman about the poor accommodation we had been assigned. During the course of our meeting I mentioned Rick Casper. She closed her book and said, “This meeting is over.”  I asked several times why and she finally said Rick Casper was under investigation.

I want to return to the 50,500 points I originally owned prior to the deceitful sales. I was not unhappy with Diamond until the deception started.

8 The first Monarch complaint I read in 2015 back in the day when I thought the Cancun Resort was in Cancun.

Burns

Former DRI CEO David Palmer’s friend from ADW Capital, recommended Diamond’s stock because there is no secondary market. This is a mock interview I published after reading the above complaint, shortly before I received an executive perk agreement leaked to us about how Diamond founder and former CEO Stephen Cloobeck was allowed, as a perk, 50 hours use of the most expensive aircraft in the DRI fleet with the flight crew, for non-business use. Last time we checked, Mr. Cloobeck is running for Nevada Governor, lauded for donating $400,000 to the victims of the Las Vegas shooting.  

http://insidetimeshare.com/new-across-atlantic/

Leon Black, founder of Apollo Global Management, is worth $6.5 billion, according to Bloomberg. David Palmer earned $19 million in two years, a small portion of the wealth generated for his family during his tenure as DRI CEO.  As a former stockbroker and financial planner, I have nothing against generating great wealth, but not like this.

Diamond’s response to the six military who say they were defrauded: Free tickets for military members for their next event.

https://www.insidethegate.com/2017/12/military-first-responders-to-receive-complimentary-tickets-to-third-annual-diamond-resorts-invitational/

 

tues

The Tuesday Slot with Irene

Cameron House on the banks of Loch Lomond, a luxury 5 star spa resort, which also has timeshare interest at Cameron Lodges, was the scene of a tragic fire yesterday. Details of how the fire started have yet to be determined.

It has been reported that two people have died, they had only just married on Friday, it has also been reported that their young son was rescued by a firefighter.

Inside Timeshare and our readers offer our condolences to the family.

Judge Rules in Favor of Diamond Resorts in Billion Dollar Lawsuit

Plaintiffs did not opt out of the arbitration clause

Top Producer Sues Diamond in Hawaii Court:

Mary Bowling: An Accidental Whistleblower  

dollar gavel

By Irene Parker

Tuesday, December 19

A federal court judge in Nevada ruled in Diamond Resort Internationals favor in a lawsuit alleging thousands of elderly consumers were sold by deceptive and fraudulent means. The ruling is a lesson to consumers on the importance of opting out of DRI’s arbitration clause within thirty days of signing a Diamond timeshare contact. According to several lawyers I contacted, DRI has one of the only timeshare contracts that contain a class action ban, forcing arbitration. Arbitration rulings are binding and private.

Attorneys for Plaintiffs Ilona and Lester Harding argued the contract language, stating buyers could opt out of arbitration, was ambiguous, as the Harding’s contract stated they had 30 days to opt out, but the contract did not state when the 30 days began. After the lawsuit was filed, Diamond amended their contract. It now reads, “Buyers can opt out of arbitration 30 days from the signing of the contract.” An appeal is being considered. Our February 1, 2017 article describing the lawsuit:

http://insidetimeshare.com/1billion-law-suit-diamond-resorts-international/

Arbitration clauses made headlines recently when Congress, in a tight vote, reversed a July 2017 Consumer Financial Protection Ruling that would not allow arbitration clauses to bar consumers from joining class-action lawsuits.

In an October 24 Inside Timeshare article we examined arbitration. Taken from Chris Parker’s City Pages article, Minnesota Attorney General Lori Swanson said, “Though arbitration may sound preferable to the expense and anguish of court, it hands a major advantage to companies. The costs savings aren’t much: Arbitrators usually charge $300-$400 per hour minimum, and some bill into the thousands of dollars. But arbitration clauses typically bar the consumer from joining class-action suits. The strategy has emboldened fraud on a massive scale. City Pages “The Plot to Kill Consumer Protection”

http://insidetimeshare.com/tuesday-slot-arbitration/

Former DRI Top Producer Mary Bowling Sues Diamond Resorts 

In a separate lawsuit filed in Hawaii District Court November 17, 2017, Diamond fired former top selling agent (#2 nationally) Mary Bowling due to customer complaints, but Ms. Bowling alleges she was fired for refusing to travel from Kauai to Florida to receive an award. Due to her disability, she could not endure such a long flight. Ms. Bowling states in her complaint, there were customer complaints directed against other sales agents, but they were not fired. Inside Timeshare (as of December 16) has received 231 Diamond complaints from our readers of which 221 allege they were sold a timeshare by agents employing deceptive practices, so Ms. Bowling’s allegations do not come as a surprise to Inside Timeshare. Over and over the complaint begins:

“Oh, you should have been invited to a dinner!”

“Oh, you should have received a letter!”

Navy computer technicians George and Amanda Jones have allowed us to use their Diamond experience as an example, but first, here are excerpts from the lawsuit filed by Mary Bowling. Ms. Bowling alleges deceitful practices are endorsed and encouraged. It is the opinion of Inside Timeshare Diamond is not alone in employing such tactics. We have received complaints directed against several major timeshare companies.

Interestingly, Mary Bowling is suing, not because of deceptive sales, but because she was terminated when no one else was. She applied for FMLA 2-12-16 and was terminated 2-15-16.

Case 1:17-cv-00562-DKW-RLP filed in Hawaii District Court

Page 10 of complaint

#43 Owners Update is deceptive because it is to sell points.

#44 Customer is told the current “list price” but the agent has to see someone else.

#48 the sales agent has customer sign a form indicating they were updated and the agent has to have the manager sign off.

#49 the sales manager has reviewed all prior customer contracts and the manager falsely states the customer was given a “price freeze” but none exists.

#50 (In bold) because of the “price freeze” only today can the customer buy for the discounted price.

#51 (In bold) the price given is the real price planned from the outset.

#52 the “price freeze” never existed because (a) The special deal available to this customer only is available to anyone and (b) Urgent to buy only for today

#54 this is lucky news for the customer – brand new information!

#55 the sales agent waits for the customer to “step in”

us navy

By George and Amanda Jones, Navy computer technicians

We contacted Irene Parker at Inside Timeshare because we are angry about what the sales agents in Virginia and Orlando told us about refinancing. We are asking both of our loans be cancelled and all monies refunded. We knew we could not afford this vacation product at the interest rate being charged.

January 2017 we purchased 7500 Diamond points at Virginia Beach Ocean Air

Purchase price $28,200

Loan Balance is $24,163.36 and the interest rate 15.99%

Sales agent Tony Jones said we would be able to refinance the loan. He told us there were refinancing companies that specialize in timeshare. We have since learned banks don’t finance timeshares. We had questions and planned to refinance but decided to wait until the orientation. We had a bunch of questions but Tony never answered the phone.

(Note from Irene: In bold are statements George and Amanda say were made to them, supporting Ms. Bowling’s allegations. Diamond’s response, identical to other timeshare companies, was to produce their initials and signatures found throughout the contract, allowing timeshare sales agents to say anything under the sun to sell points.)  

In Virginia Tony said the price we paid was the normal price. We paid $3.76 per point.

We went to an orientation in Orlando at DRI Resort Mystic Dunes March 2017

Sales agent Jonathan Pineda (This is the second complaint Inside Timeshare has received from our readers directed against Mr. Pineda)   

4000 points purchased for $15,732

Loan Balance $13,271.16 at 18.6794%

Like Tony told us, Jonathan said both loans could be refinanced and combined because other companies specialize in refinancing timeshares so it would be no problem to contact one of them after we made our first payment. When I asked for the name of a company, Jonathan said we could just google it.

We were told we were buying the second purchase in Orlando at a price point that was almost unheard of and was not being offered to any new Diamond customers right now. “I can’t believe your first sales agent didn’t tell you about this price point from the first purchase!” Jonathan said.  Jonathan said if we did not buy that day we would lose out on this price and we would go from $2.85 price points to $10 from that day on if we did not buy that day. From this point forward if we ever went to an annual update without the intention to buy we would have to pay $10. He said don’t go to any future promotional events because it would change our price point. Jonathan said parents had died so the children did not want the points so DRI was reselling at this low price. He said DRI broke the points up into smaller portions.

Jonathan said that we needed to get to Gold so that we could pay our maintenance fees with points. We have since learned only Platinum members can use points to pay maintenance fees at $.04 per point. He said it would be worth it to spend all our savings so that we would not have to pay maintenance fees. We were not comfortable so we only bought 4000 points, which still depleted our savings.

We did not have our member number so we could not even get online (Numerous complaints made by DRI and other timeshare company members, illustrate how the rescission period is dodged.)

Thank you to George and Amanda for sharing their story and to Mary Bowling for coming forward. Inside Timeshare has heard from six active duty or retired military. Scotty Black, MS Criminal Justice, is in law enforcement. Scotty also alleges he was duped by a DRI sales agent. Scotty is one of our advocates. He forwarded Mary Bowling’s complaint to Inside Timeshare. These are people who put their life on the line for us. When service members are forced into foreclosure it can jeopardize their security clearance.

US military

Inside Timeshare did not realize we were launching a new Timeshare Wars series when we published former Marine Jeff Diehl’s “Grandview at Las Vegas” Vacation Village story or former Army Terry Carter’s “Another Military Family Wages War against Timeshare” Bluegreen experience. Thursday retired army Samuel Melendez and disabled veteran Karen Varten share their story.   

http://insidetimeshare.com/fridays-letter-america-30/

http://insidetimeshare.com/tuesday-slot-irene-2/

Inside Timeshare has also interviewed or heard from three former DRI sales agents, one manager, and two senior managers supporting Ms. Bowling’s allegations. This former Diamond timeshare agent shares her experience:

“Another reason people don’t leave the room is because in many instances the sales agent has used influence/manipulative tactics to build trust with the customer. One sales manager at another timeshare company told me to order a copy of The CIA Document on Human Manipulation. Many times the sales agent does not even know what is in the contract or how the program really works and is just repeating the jargon given to them by management to get the deal done. In my opinion, management is well aware of the deceit preying on the goodness of people. These corporate contracts, protected by the oral representation clause, are like putting a baby in with a lion.”

Inside Timeshare reached out to Diamond Resorts for comment. The company did not respond.

Social Media is allowing members to talk to other members. If you have a timeshare concern, contact Inside Timeshare or one of these self-help groups.

https://www.facebook.com/timeshareadvocategroup/

https://www.facebook.com/groups/DiamondResortsOwnersAdvocacy/

https://tug2.com/Home.aspx

https://www.facebook.com/groups/180578055325962/

https://www.facebook.com/groups/465692163568779/

https://www.facebook.com/groups/1639958046252175/

united

Thank you Irene for that very informative article.

Now for some latest news from Canarian Legal Alliance, who have announced another two rulings against Anfi from the Court of First Instance in Maspalomas.

Their clients contracts have both been declared null and void, with one client being awarded over £16,000 including over £5,000 in maintenance fees and legal interest. The second client will receive over 29,000€ plus legal interest.

As you are all aware the CEO of Anfi José Luis Trujillo has been sending letters out to members in an effort to discredit CLA, below are some figures showing the number of new cases with what has been paid out and what is waiting to be executed by the courts.

  • 430 new cases against timeshare resorts in 2017
  • 107 of them against ANFI
  • 77 SUPREME COURT victories against various timeshare  resorts (Spanish legal History ),  32 of the SUPREME COURT victories are against ANFI
  • 1,210,169.11€ in pay-outs already received  by our clients from ANFI
  • 5,516,694.81 €-  already won in the courts against ANFI and ready for executions

It just seems ridiculous that the CEO can deny that Anfi is losing in the light of these figures which are verifiable from the courts themselves.

If you require any further information about this or any other article, contact Inside Timeshare and we will be pleased to help.

Just in from Madrid Supreme Court

The Supreme Court has just ruled for the 78th time, on this occassion it has been against the Tenerife company Silverpoint. The court has declared the contract null and void, awarding over £7,000 plus legal fees and interest to a British client.

 

alone

The Tuesday Slot with Irene

In this week’s Tuesday slot Irene Parker looks at another military family who have fallen foul of deceptive sales practices. As usual Irene sent a draft of the article to Bluegreen for comment, at the eleventh hour, Bluegreen responded.

They have offered to cancel the loan, so fair play to them, Inside Timeshare thanks Bluegreen for taking note. The article has been changed in light of this, but is being published as a warning to other consumers to be aware and do their due diligence. Irene will also be writing a follow up article on Bluegreen’s response to the BBB.

Another Military Family Wages War against Timeshare

Will Bluegreen Honor those whose sacrifice is so great?

Terry and Linda Carter

soldier

By Irene Parker

December 12

Terry Carter served his country in Iraq and Afghanistan. He was discharged for medical reasons. Burdened with caregiving, Linda Carter reached out to Inside Timeshare for help. The family alleges they were sold a Bluegreen timeshare by deceit and a “bait and switch” told the timeshare would be easy to sell for a profit.

After filing a Better Business Bureau complaint, Linda was informed December 11, 2017, their loan would be cancelled, but they would not receive a refund. One reason listed was because they had used their points. What does use of the points you had been paying for, have to do with being told you bought the timeshare on the promise that the points would be easy to sell? This is one of the most common complaints voiced by our readers.

The oral representation clause included in all timeshare contracts states: “I did not rely on any oral representation to make my purchase.” This translates to “Never believe anything a timeshare sales agent says.” The family tells their story hoping to warn others to think twice before buying any product that can’t be sold, or if sold, brings only pennies on the dollar.  

Linda was initially upset because she thought a loan cancellation would only stop the phone calls, but the hit on their credit would prevent them from obtaining a loan through the VA to buy a house. The representative ended their conversation saying she would love to help them book a vacation though! Linda was astonished. Terry has been diagnosed with blood cancer common among vets living near a burn pit.

I told Linda about the class action lawsuit Mike Finn of the Finn Law Group initiated that resulted in over 11,000 Bluegreen members getting foreclosed changed to “charged off” on their credit report.   

“Several developers are using a similar trust based hybrid product like Marriott’s. I think Bluegreen may have initiated it originally, but don’t hold me to that. Yes, the products are very similar. I felt Bluegreen was intentionally hurting their defaulted owners with their credit reporting as ‘foreclosures’, when I knew this was incorrect for the same reason as the allegations in the Marriott lawsuit, namely that the interest the ‘owner’ ends up with is personalty, not real estate. You cannot accurately call a personalty repossession a ‘foreclosure’ as there’s no legal procedure to ‘foreclose’ on personalty, according to UCC codes. My efforts to get Bluegreen to change were ignored; hence our litigation which resulted in at least 11,000 individuals getting foreclosures redacted from their credit reports. However, in our preparation, at the last minute, we researched the Florida timeshare act and realized Florida had anticipated our move! The statute was modified to define the Bluegreen timeshare plan as “real estate”. It was like legislating a duck into a goose,” as Mike explained in our Marriott article about the racketeering lawsuit filed against Marriott Vacation Club alleging Marriott charges closing costs and other fees associated with real estate, when the product is a right to use product, like a gym membership.

https://www.finnlawgroup.com/learning-center/timeshare-vs-vacation-home

A lifetime is a long time to bet nothing will happen to make the timeshare unaffordable. Inside Timeshare has heard from 237 angry and desperate timeshare buyers of which 222 allege they were sold or up-sold by deceit and bait and switch. Almost all allege they were told their points would be easy to sell.

Terry’s story

After 9/11 Terry volunteered to go to Iraq. He was close to retirement so he felt it was the last thing he would be able to do for his country. After he got in country, he again volunteered with six other guys to be on a team deployed to Basra where the British had a FOB.

A forward operating base (FOB) is any secured forward military position, commonly a military base, used to support tactical operations. (Wikipedia)

Terry was the lead man for the C-RAM program.

C-RAM: Counter Rocket, Artillery, and Mortar, abbreviated C-RAM or Counter-RAM, is a set of systems used to detect and/or destroy incoming artillery, rockets and mortar rounds in the air before they hit their ground targets, or simply provide early warning. (Wikipedia)

He and his guys would monitor incoming fire. Basra was one of those places where they were the only Americans so it was hard to get medicine and supplies. Terry and the guys lived in tents next to burn pits where the British burned anything that could be burned. He received a letter stating that he lived next to the pits.

Then there was Afghan. Terry was there for eighteen months until he was sent home after a diagnosis of blood cancer. He also served twenty years in the National Guard. Terry is 55 years old.

I really don’t know what else to say – he lived army ‘til he couldn’t anymore.

thankyou

Terry and Linda

There are two more words to say.

Linda and Terry’s complaint sent to Bluegreen November 16, 2017

We were told in Gatlinburg at a group presentation that Bluegreen points were an investment and could be sold for a profit. My husband was diagnosed with blood cancer in 2014. We can no longer afford the timeshare and now know the agent lied about being able to sell Bluegreen points. We are not concerned that we cannot make a profit as the agent claimed, but have learned Bluegreen points are virtually worthless should a member need to sell. Bluegreen agents should not sell points based on the points being an investment. There were several in the room who heard this claim as it was made in the group presentation and in our individual meeting. Also, Cammie said all we had to do is when we got back home was go to our bank as we wouldn’t have a problem getting a lower interest rate. This was not true. Banks will not finance timeshare. Please help us.

Linda Carter

Thank you to Linda and Terry for sharing their story. Our advocates feel that until deceit and bait and switch on the front end of the timeshare sale is acknowledged and addressed, nothing will change.  

Business etiquette advice for customer service representatives (Article link not included as the article had “We Buy Timeshares” ads all over it)  

  1. Return calls promptly. Respond to messages as soon as possible, especially if the issue is time-sensitive. If the phone message relates to a complex issue that will take time to assess, have the courtesy to touch base with the person, acknowledge receipt of the call and let them know you are working on gathering the specific information. When possible, provide a timeline for when you will get back to the caller. For example, “I received your message inquiring about when our next shipment will be available. I have several phone calls in to our distributors, and I anticipate hearing back from them at the first of the week.”

customerphone

Inside Timeshare does return phone calls and emails promptly. Contact Inside timeshare or a member supported self-help group if you have a timeshare concern or would like to share your story.

https://www.facebook.com/timeshareadvocategroup/

https://www.facebook.com/groups/DiamondResortsOwnersAdvocacy/

https://www.facebook.com/groups/180578055325962/

https://www.facebook.com/groups/465692163568779/

https://www.facebook.com/groups/1639958046252175/

 

If you have any comments about this or any other article published, or you are looking for help and advice on any timeshare related matter, contact Inside Timeshare. We are here to give you the truth and the best advice possible.

  

 

monday

Start the Week

Welcome to the first article of the new week, over the weekend the debate on Los Claveles has seen the opposing views getting rather heated and personal.

One reader who is an owner at Los Claveles has sent in the following response to the article published on 30 November. Inside Timeshare has agreed not to publish the writer’s name and abide by his wishes.

His response is well written, it lays out his view on the situation in a clear and precise manner, giving a very good opposing argument.

Response to The Opposition View

The “Press Release” submitted by Mr Barrow, who is a director of the WimPen Holding Company at Las Casitas and has a long term family association with Mr Pengelly, is deeply flawed and highly questionable regarding the title “Los Claveles Club” which is a misrepresentation of the Official “Club Los Claveles” as defined in the Club Constitution. It takes no account of the unique ownership structure, governance and committee-led stewardship of the resort over many years that has resulted in the resort being financially strong, in sharp contrast to other former WimPen resorts. Without going into all the details, Mr Pengelly’s handling of the sale of the Los Claveles management contract to Onagrup is widely recognised as having been lacking in judgement and consideration for the owners, and disrespectful to their elected representatives in the weeks following the sale. Since then, Mr Pengelly has presided over flagrant abuses of statutes and constitutional frameworks  governing the community of owners at Los Claveles; disregarded a petition calling for his resignation and a vote of no confidence in him at the 2016 Escritura Community AGM, which he refused to accept (as a result of which ALL the owners left the room, except for 3 owner couples, calling the meeting illegal). In addition Mr. Pengelly has practised non-compliance with arbitration orders and awards; turned a blind eye to the physical assault of the Club President and intimidation of Club Members by an Onagrup employee; condoned false accusations of fraud being made by Onagrup to the Spanish Police against the Club President and Chairman; and allowed the unlawful sacking of long term staff members. As a result, his once decent reputation in the timeshare industry is now in tatters.

For the record, the notice of termination given to WimPen for Club Los Claveles on 31 March 2015 was not a “knee jerk reaction” as described by Mr Barrow but a considered decision precipitated by the arrogant attitude of Onagrup to the Club Committee and a flagrant disregard of the Club Constitution regarding rental policy.  It was a unanimous decision by elected committee members in response to the representations made to them by hundreds of concerned owners in the 2 months following the sale to Onagrup, and was also supported by the Escritura owners’ representative. Mr Barrow’s representation of this decision being based on the Club Chairman’s casting vote is wildly inaccurate and misleading. The notice of termination made provision for Club Members to have the final say at the subsequent AGM in June 2015. This was heavily influenced by the contribution of one single owner, a commercial lawyer by profession. He raised such fears in the minds of those attending that they would become personably liable for damages in a breach-of- contract claim from Onagrup that many changed their mind and voted not to risk that eventuality. Otherwise, the vote would have been much more conclusive in favour of the termination. This same owner subsequently changed his views and has since given his support to the committee. Regardless of this the view of Onagrup that it still held the management contract for the resort only came about because it combined the votes of both Club and Escritura owners despite the vote being taken separately. .

The issue here is not with the committee, as Mr Barrow would have owners believe. It is with WimPen, Onagrup and a minority of owners that he is now representing who are not prepared to accept the democratic constitutional process of governance of the resort. They refuse to accept that every effort was made by the Club Chairman to negotiate with Onagrup. even going to the lengths of travelling to Barcelona to meet with Onagrup senior management, prior to the members democratically voting at the SGM of January 2016 to take the dispute to arbitration because Onagrup would not agree to abide by the Club Constitution.

The situation now is that WimPen, i.e. Onagrup, is appealing the arbitration.  And much like Mr Barrow and the self-elected members of the protest action group he is leading, WimPen has taken it upon itself to illegally carry on managing Club Los Claveles without a contract which expired on 2 May 2017, claiming that it has a right to do so while the appeal is being heard. This is not so. Meanwhile, the Club Constitution is being completely disregarded by both Mr Barrow and WimPen in advocating that members should pay their maintenance fees to an illegal agent who has no contract to manage Club Los Claveles. This same agent is sending threatening letters to members who have followed the Constitution and paid their maintenance fees to the Club, refusing access to their accommodation until they pay again and blocking RCI members’ exchanges.

Marilyn Fry, who has a close, long term tie with Mr Pengelly and family, also seeks to mislead by failing to explain that owners who do not follow the Club Constitution and deliberately pay their maintenance fee to WimPen automatically place themselves in conflict with the rules governing their membership of the Club and risk being suspended. However, the Club Chairman has simply reminded the tiny minority who have taken this course of action that they are in breach of the Constitution, that they have an outstanding debt to the Club and that they have therefore placed their membership of the Club at risk. A similar tiny minority have placed themselves in the position of paying their maintenance fee twice, i.e. once to the Club and a second time to WimPen simply because they took it upon themselves not to follow the committee’s instructions, or its process for overcoming WimPen’s illegal demands for gaining access to their Los Claveles accommodation.

Equally misleading is her statement about secrecy and censorship. The committee is bound by the rules of arbitration and is therefore restricted in what it can and cannot communicate to Club Members. No member has been banned from the owners’ website, and the normal rules of moderation apply to Los Claveles social media groups. A tiny number have been suspended for failing to comply with these rules.

The solution that is supported by 90% of the 971 members of Club Los Claveles who voted at the 2017 AGM, a record high number, is for WimPen to abide by the Club Constitution and Arbitration orders and awards, and to withdraw from the management of the Club, along with the Trustee FNTC, a company that was dismissed in 2012 but also refuses to go. This will allow the members to regain control of the Club, appoint their chosen Administrator, Trustee and management service providers, and restore the loyal staff who were wrongfully dismissed under Mr Pengelly’s watch. Only then will the resort return to peaceful normality, and continued prosperity and enjoyment for the owners.

As this article was being prepared for publication, Roger Barrow sent in the following, Inside Timeshare publishes this in order to try and keep a neutral and balanced stance.

LAS CASITAS AGM:

Dear Charles

Its a good news story for those Los Claveles owners who are interested and remember the days of happy AGMs where owners have full control, with healthy, friendly debate and a great get-together in the bar the evening before.

  1. Administrators report – Approved
  2. Accounts for year to Aug 2017 – Approved
  3. Budget and proposed 3% increase in fees ( first increase for 3 years)  – Approved
  4. President re-elected
  5. Reintroduction of Owners’ Representative – Approved
  6. Appointment of Wimpen for a further 3 years – Approved
  7. Bar Franchise offered further 3 year contract – Approved
  8. Charges for more than one WiFi connection – Approved
  9. Acceleration of upgrade of Lounge/Dining room – Approved
  10. Replacement of baths with walk in shower – Approved

Four different resorts approved new 3 year contracts for Wimpen at AGMs this weekend

Regards

Roger Barrow

As you can see, there does seem to be a very wide difference of opinion between the other resorts as well as the differing opinions at Los Claveles. Inside Timeshare will continue to publish articles showing the opposing views, especially those with a clear and precise argument.

As we were preparing for publication, the following news came in from Madrid:

The Supreme Court has once again ruled in favour of a former UK client of Silverpoint, this court has once again ruled as per their previous judgements.

In this case the court has awarded back over £45,000 plus legal fees and interest, also declaring the contract null and void. This is the 77th ruling made by Spain’s highest court and leaves no doubt that the interpretation of law 42/98 is correct.

If you need any help or advice on any timeshare related matter, Inside Timeshare is here to provide it. Contact Inside Timeshare and we will point you in the right direction.

time to talk

Los Claveles: A Difference of Opinion.

Over the past week Inside Timeshare has received many comments regarding the ongoing dispute at Los Claveles in Tenerife, it would appear there is a split among the owners. Not all are siding with the committee or agree with how the committee is handling the situation regarding the removal of Wimpen / Ona Group as the managing company.

los claveles3

Inside Timeshare first reported this story back in May when we received information of owners being refused admission to the resort, with the elderly Club President being threatened and manhandled. She was then accused of an assault and spent hours being questioned by the police.

It must also be remembered that the contract for Wimpen to act as the management company came to an end at the beginning of May, yet they still demanded that maintenance fees be paid to them. They even terminated the employment of many members of the resort staff, which considering they no longer had the contract to manage the resort would suggest they had no right to do so.

These are some of the comments received, they reflect the split in opinion between the owners and members of the club.

“The full results of the arbitration have yet to be released, so I don’t know how you can say “the judgement was in total favour of the owners and the owners committee”. It seems you are only telling one side of the story. Why haven’t you obtained a comment from WimPen?”

“I am surprised by your biased report above. Nobody has yet seen the result of the arbitration. Both sides have picked out bits that support their own claims. I am an owner at Los Claveles and am impressed by the manner Wimpen continue to conduct the running of Los Claveles . I have never received a threatening letter from Wimpen or Ona, nor have any if my friends who are owners there. The committee does not have a 100% support from owners as you have been led to believe. Nor will they.”

los claveles1

“Hi Susan many owners have published their threatening letters from Wimpen on Facebook or posted that they have received threatening letters as you well know. I have, myself received several, and I have exchanged many messages with you with evidence on Wimpen’s wrong doings, so please do not accuse the report above of being biased as it is not.”

“I believe the the constitution also says the committee should of also kept records of the coming and going at Los claveles so the blame game continues and yet the committee take no responsibility for the mess the owners are in no surprise there”

“Dennis, the Constitution, Clause 11.5, states that “the Committee shall maintain or cause to be maintained a register of owners”.

Wimpen were employed by the owners to maintain the Register on behalf of the owners.

Wimpen refused to comply with Arbitrator’s Awards to release the Register to the Committee so that the Committee could contact ALL owners with a true statement of the facts and call an AGM for all to attend. Wimpen, therefore denied ALL owners the opportunity to attend the AGM. Wimpey, in their wisdom, drafted Constitution Clause 19.4 which permits the Committee to hold meetings if the Register is not available.”

“I dont believe anyone has suggested the Committee has 100% support, I certainly have not seen that statement posted anywhere. I would indeed be an unusual situation to have 100% support for anything these days. However they certainly do have a large proportion of owners supporting them in this issue and one has to bear in mind that in this instance its weeks of ownership and not head count that carries the day not that I think it will make any difference. I can only assume that you have received no threats from Wimpen as no doubt you will have paid them the maintenance fees rather that the correct method of paying the Club as required under the Constitution. Thats the rule book for the resort that you signed up to comply with when you purchased.”

los claveles2

Inside Timeshare also received the following by email:

I have read your article and associated comments with interest and, whilst not wishing to turn your website into a battleground for our dispute, wish to submit the following response.

It is a shame that Onagrup/Wimpen and their supporters appear to operate double standards when it comes to ‘the right to respond’.

Since the dispute started in 2015 I have sent numerous communications and requests to Directors and employees of Wimpen, many have gone unanswered and others have been very selective as to which questions they reply to.

In 2000, Wimpen filed the Deed of Adaptation for Los Claveles, partly in accordance with Ley 42/98. In 2015 I requested a copy of the Deed from Ian Crane, Wimpen’s Director of Administration, but the reply was that ‘he was out of the office’. A few months later in 2016 I repeated the request but have still not yet received a copy of the Deed from Wimpen nor any reply.

The Club Constitution states that members are bound by the Regulations of the Community of Owners, copies of which are available on request from Wimpen. The Community of Owners is a separate entity within Los Claveles, registered with the Spanish fiscal authorities, NIF H38392122. In 2015 I emailed Jesus Monedero, Wimpens Director of Resort Finance and Community representative for Los Claveles, requesting a copy of the said regulations. To date I have not had a reply.

A similar request to Wimpens accounts department in 2015 resulted in them sending me an out of date copy of the Club Constitution.

Also in 2015, I emailed Ivan Pengelly, MD of Wimpen, requesting information about the Regulations of the Community of Owners, amongst other items. He totally avoided answering that specific point.

Again in 2015 I emailed Germán Castro, General Manager of Onagrup, and Ivan Pengelly, asking why they had not guaranteed that the future of Los Claveles would remain in the control of the owners and Club members. There has been no guarantee from either of them on that point.

Ivan Pengelly and Germán Castro both acknowledged this year that their contract with the Club expired on 02nd  May  2017. I later received a letter from Sr. Castro, dated May 11th to which I replied by email correcting the many inaccuracies contained within his letter and questioned why they continued to use the members register when they had previously acknowledged that they did not have a contract with the Club. Sr Castro did not have the courtesy to reply.

Earlier this year I noticed on my credit card statement that payment of fees using Wimpens online facility went to Wimpey Leisure SA, a company that ceased to exist in 2004. Further checks of previous statements revealed that this had been the case as far back as 2007. In August I emailed Wimpens accounts department querying this, as my credit card provider had said that it was very suspicious. Not having had a reply I then emailed the same query to Sr. Castro in September, suggesting that the Agencia Tributaria may be interested. To date I have still not had a reply.

Having received an invoice in September for fees due for my week 14 in 2018, I emailed the accounts department questioning why they had done so when they did not have a contract with the Club, and pointed out that this use of the members register breached Spain’s data protection laws and that the correct way to proceed was for Wimpen to invoice the Clubs representatives for fees due for the maintenance of the common areas of the resort. No reply was received and so, in October, I emailed Sr. Chinea Cruz, Wimpens registered Data Controller pointing out the many breaches of the data protection law which also includes installing CCTV without seeking the prior consent of owners. Again there has been no response.

Edward

We have also received the following letter from the Club Chairman to Mr Pengelly, click on the PDF to read it in full.

Pengelly DOA 211117.docx

As this article was about to be published Inside Timeshare received the following press release from the official opposition:

Los Claveles – Owners Fight Back

As you can see, there is a very big difference of opinion, one recurring theme is evident, the apparent lack of communication between all parties. Communication and dialogue is the only way this matter is going to be resolved, we know there will never be 100% agreement, but unless all parties are aware of the facts, nothing will be resolved.

Inside Timeshare will continue to follow this story and publish the latest news as and when it comes in, we thank all who have contributed. In response to Edwards opening comment not to turn the website into a “battle ground”, we do not see it that way, it is Inside Timeshares belief that by providing you with a forum to discuss these matters and to see the views of other parties, maybe, just maybe we will see this resolved. Then the Club can get back to what it was, a community enjoying each others company and holidays at this beautiful resort.

nightmare

The Never Ending Ownership: Another Nightmare on Timeshare Street.

Once again Tony Hetherington has highlighted the problem of timeshare ownership and the never ending membership. His article in MailOnline published 12 November (see link at the end for the full article), is the story of an elderly couple being hounded for £3,010 maintenance fees.

This couple are 80 years of age, they purchased their timeshare in 1993, this is now controlled by Cameron House Owners Club. Apparently they have been asking to sell since 2004, all maintenance fees had been paid upto 2012, when they returned their ownership certificates.

cameron logo

They have serious medical conditions and are unable to use the timeshare, they are also on limited pensions, so are unable to afford the ongoing costs. They are now being threatened with debt collectors if they do not pay.

Sounds a very familiar story, Inside Timeshare has been highlighting these types of cases for some time, especially those involving MacDonald Resorts, remember the case of Mrs B, which has still not been resolved even after nearly 2 years.

Mrs B and her sister are both in their 80’s not in good health and believed that their timeshare at Dona Lola Club in Spain had been transferred to a third party. Inside Timeshare has the notarised document that shows this to be the case. MacDonald’s refuse to accept this and are hounding them for around 3 years maintenance which they cannot afford to pay. Again the debt collectors have been sent in.

mcdonaldsresortlogo

In Spain these “perpetuity” contracts have been illegal since 4 January 1999, when Ley 42/98 was enacted. Under this law contracts must be for a minimum of 3 years and a maximum of 50 years. Many contracts for timeshares that have been sold since then which exceed the 50 year maximum are being declared null & void, with all the purchase price being returned. This law has been enforced by 69 Supreme Court rulings which all Spanish courts must abide by.

Timeshares such as MacDonalds and Cameron House use the perpetuity clause to lock in owners for ever, it also becomes part of their estate which is then the responsibility of whoever inherits the timeshare to continue to pay the maintenance. It doesn’t end there, it then becomes part of their estate, as so on it goes.

So as Tony Hetherington puts it “Even death does not bring an end to the bills. It could claim against your estate, blocking bequests to family, friends or charities, while it pockets annual fees for a timeshare that will stand unused”.

Some timeshare companies do have exit policies, Diamond for instance would have allowed this couple out free of charge under their exceptional circumstances programme, which this couple would clearly fall into.

MacDonald Resorts which has a very poor reputation on this matter, usually charges 4 years maintenance for release, but this is only offered every two years and is limited to participants on a first come first served basis.

These perpetuity contracts and the behaviour of these timeshare operators is totally unfair, at least Spain has addressed the problem, it is time for the Scottish and English law makers to address this and bring in the laws such as Spain to limit the duration of contracts and enforce reasonable exit programs. The industry cannot be trusted to do it themselves, until this is done we will be seeing many more cases such as this couple and Mrs B.

Follow the links below to Tony Hetheringtons’ latest article and his previous article from July 2014, the next two links are articles relating to Mrs B.

tony hetherington
Tony Hetherington

http://www.dailymail.co.uk/money/investing/article-5073153/TONY-HETHERINGTON-s-time-leave-Cameron-House-Hotel.html

http://www.thisismoney.co.uk/money/experts/article-2698355/TONY-HETHERGINGTON-Even-death-not-rid-timeshare.html

http://insidetimeshare.com/illness-not-reason-surrender-timeshare/

http://insidetimeshare.com/bbc-scotland-investigates-problems-timeshare-contracts/

If you have any questions or concerns about similar circumstances, or have purchased in Spain and would like to know if you are eligible to claim, contact Inside Timeshare and we will point you in the right direction.

If you have been contacted by any company or are thinking of dealing with a company regarding claims or relinquishment and want to know if they are genuine, Inside Timeshare will help you find the information.

homework

letter from america

Friday’s Letter from America

Welcome to this week’s Friday’s Letter from America, we decided to run with this particular article following the news from Europe on Monday that Diamond was closing its sales offices in Europe. Obviously this will have a great impact on the many employees, who are now out of work and will need to find jobs in an ever decreasing sales industry.

As usual before we go on with our article, this week has not been a very good one for Silverpoint in Tenerife, with another loss at the High Court and also at the Supreme Court.

The judge at the High Court Number 2, found serious breaches of the timeshare laws, declaring the client’s contract null and void and ordering the return of over £49,000 plus legal interest.

At the Supreme Court in Madrid, the judges upheld previous rulings and declared another Silverpoint contract null and void. This particular client will now receive over 28,000€ plus all legal fees and legal interest. Another happy ex Silverpoint owner.

As usual these were clients of the Arguineguin law firm Canarian Legal Alliance. So this does go to show that in spite of what many timeshare companies are claiming, such as the article published on Wednesday about Anfi attacking CLA, this law firm is doing what it says.

CLA Logo

Now on with Friday’s Letter.

Inside Timeshare leapt at the chance to publish details of CLARITY, Diamond Resort’s program to promote accountability, transparency and respect for the Customer. The program was introduced after Arizona Attorney General Mark Brnovich issued an Assurance of Discontinuance accusing the company of violating Arizona’s Consumer Fraud Act. The Arizona Attorney General received hundreds of Diamond complaints. One source informed us the office received 400 complaints leading up to the investigation and 500 more complaints after the press release.

https://www.azag.gov/press-release/attorney-general-brnovich-announces-800000-settlement-diamond-resorts

Diamond Resorts also provided a Diamond Resorts Consumer Advocacy Department to assist members from day one if they have concerns about their timeshare.

Inside Timeshare continues to receive complaints from members almost daily, with common complaints:

Purchase more points as that will be the only way to sell points. (Diamond’s secondary market restrictions make Diamond points almost impossible to sell.)

Purchase more points because that will provide you with the ability to pay maintenance fees by tendering excess points at 30 cents per point. (No such program exists as this is an adulteration of a 30/30 program designed for other purposes.)

Agents working for the same company selling against each other from the Hawaii Collection to the US Collections telling the member they made a mistake purchasing the collection they purchased, depending on which side of the Pacific the member is on.

Inside Timeshare has forwarded members complaints to Diamond’s PR firm and to ARDA. Both have ignored the complaints, but it is unlikely ARDA will enforce their Code of Ethics against a corporate member that gives ARDA a million dollars a year from Diamond members who unwittingly are billed $7 as an “opt-out” voluntary donation on their maintenance fee invoice. It is doubtful the average timeshare members understands even what the initials ARDA ROC stand for.

After reading complaint after complaint from our Nightmare on Timeshare series, I am certain our EU Diamond agents did not stoop to such tactics. Did this contribute to sales targets not being met?  Inside Timeshare has received 187 reader complaints, of which 178 are from Diamond Resort members.

Diamond Resorts Consumer Advocacy never returned Marsha’s call. One of Diamond’s Advocacy “hospitality” agents left one message but never returned her calls. CEO Michael Flaskey ignored Marsha Young.

A representative from Barclay’s Bank did contact Marsha Young. Although they cannot help, as Barclays does not physically open credit card applications, Marsha appreciated the respect she was given by at least being acknowledged.

You be the judge of Marsha’s story.

How Buying a Timeshare can be Financially Devastating

Luke

Introduction by Irene Parker

Since our first Inside Timeshare US member story was published October 2016, we have received 186 member complaints, of which 171 allege they were sold by deceit and bait and switch, meeting the FBI definition of White Collar Crime. Of the 186 complaints, 177 are from Diamond Resorts members. We don’t dispute there are many timeshare members who use and enjoy their timeshare points, but many have not yet been made aware of the lack of or limited secondary market. The majority of complaints allege they were told to buy more points because only at the next loyalty level could they sell points or be able to offset maintenance fees. Neither program exists. These members are stuck with a product they paid thousands of dollars for, felt were sold by deceit, incur maintenance fees and can’t sell. Their network of friends and family want nothing to do with timeshare. Sales centers should take note as Social Media no longer keeps members silenced and isolated. Diamond Resorts did not respond to our request for comment.

November 10

By Marsha Young

The vacation memories my husband and I shared together at Embassy Suites and Sunterra in Hawaii on the island of Maui are my most treasured, but our memories so precious have been destroyed. Maybe not the memories, but the timeshare we knew and loved has turned into a financial trap.

My husband passed away in 2011. I still travel some with friends and family and I enjoyed the flexibility of the point program until I succumbed to high pressure sales. In the past, when explaining the struggles of raising a family, or other reasons why we could not upgrade, agents would not push us when my husband and I said no, so I was not prepared for what happened. In an effort to warn others to seek counsel before you sign a perpetual contract after a six hour sales session, with rising maintenance fees, and no secondary market, I share my story.  

My problems began at the Diamond Resorts sales center at Williamsburg Virginia May 2017. I told the hospitality agent about how I had been deceived previously by a Hawaii sales agent. She told me she understood and explained that is why sales were stopped at the Williamsburg center for a while until a new program called CLARITY was put in place. My Williamsburg sales agents were Richard Rodgers and Mark Schilling. I told them I did not want to spend any more money as the maintenance fees were going up so much for the Hawaii Collection. They told me I should transfer my Hawaii points to the US Collection because maintenance fees would be less. The cost was never discussed. I thought there would be no charge. I saved the paper they used showing points transferring over to the US Collection. They also encouraged me to open a Barclay credit card because it accumulated points rather than miles, but neglected to tell me the card would be charged $7,100 for a down payment. I had sent an email to both Richard and Mark telling them I did not want to spend more money. The sales presentation lasted six hours. I was exhausted. When I got home and went to my DRI account. I was shocked at the new $34,000 mortgage. The maintenance fees did not go down.

I did not know where to turn so I called a friend who is an investment advisor. He called Mark Schilling. Mr. Schilling’s response was, “She signed the contract. The QA session was videoed.” Recorded QA Sessions are part of the new CLARITY program. The sales presentation is what needs to be taped because that is when sales agents make promises not kept.

Richard Rodgers told me $400 a month would be the maintenance fee but it is the mortgage payment, so I owe maintenance fees on top of the mortgage payment. I was also told I could still book Hawaii, but in July 2017 I went to a meeting in Hawaii and was told I should not have transferred to the US Collection, because I would not be able to get back into Hawaii. They also said the value of the Hawaii Collection was more valuable and had the highest availability. Jessica Ocegueda was the sales agent. She said I had traded down and if I want to go to Hawaii on US Collection points in all likelihood “it’s not going to happen.” I have learned from other members you still can book in Hawaii with US points. I was convinced to transfer all my US Collection points to Hawaii Collection.

After six hours, there is insufficient time or energy to review an inch high stack of documents. Diamond Resorts Consumer Advocacy never responded to my complaint, but they did send the Consumer Financial Protection Bureau and Barclays Bank my initials for the charge on a document.

  • Of the $138,000 approximate purchase price, $66,915 was taken back as credit for the US points and the balance financed was approximately $70,000
  • The down payment charged to my personal credit card was $8,529
  • A Barclaycard was charged $7,100
  • The monthly payment is $917.58
  • Estimated maintenance fee is $7,418

sad

At age 71, I watched my credit score plummet from the 800s to the 700s. I am a widow living on a teacher’s pension. I learned from reading Inside Timeshare articles and joining an Advocacy Facebook page, many have been told if they purchased more timeshare points, maintenance fees would go down. While the maintenance fee per point may decline a cent or two, the maintenance fee invoice does not decline. It’s easy for the resort defending their position to say, “You were confused,” but the volume of complaints found on the internet speak of sleight of hand, in my opinion.   

Not knowing where to turn I had contacted Irene Parker. Irene told me about the new CLARITY program Diamond Resorts implemented after the Arizona Attorney General issued an Assurance of Discontinuance, accusing DRI of violating the Arizona Consumer Fraud Act. She also said Diamond Resorts now provides an advocacy department for those who have concerns about their purchase. CLARITY is supposed to be about accountability, transparency and respect for the customer. I received none and was ignored by DRI Advocacy. It feels like the customer is always wrong.       

The actions of these agents have taken away my financial security. I feel trapped. It is not as easy or as enjoyable to travel without my husband. I can still travel with friends and would have been able to remain a Diamond customer had I not succumbed to an upgrade for reasons that were not necessary or true.  

I should have learned from the first bad experience I had in Hawaii. In Hawaii, I had been charged $2,995 for a program called the Sampler. I was refunded for that purchase because I did not know a credit card had been charged then until I returned home. Diamond said the agent, Mr. Frank Rippe, had been fired. They also said he had been the top selling agent of that particular product.

It is my hope timeshare members will continue to reach out to other members. It is a sad day when vacation timeshare plan buyers need a support group and a media outreach plan to warn other potential buyers.

act now

We seek to provide Diamond Resort members a way to proactively address membership concerns; to advocate for timeshare reform; to obtain greater disclosure from the company; to advocate for a viable secondary market; and to educate prospective buyers.

https://www.facebook.com/timeshareadvocategroup/

https://www.facebook.com/groups/DiamondResortsOwnersAdvocacy/

https://www.facebook.com/groups/180578055325962/

As we read many stories such as this it no longer comes as any surprise, what does seem to be a recurring theme is the age group of the people that contact us. They also all have the same story, credit scores being destroyed, after years of no defaults.

One thing that did make me chuckle in Marsha’s story is Diamonds comment on the the sacking of the sales agent, “he had been the top selling agent of that product”, well that is not surprising if he was being that devious!

Once again Inside Timeshare thanks all those who provide us with the information and contribute their stories, if you would like to contribute contact Inside Timeshare. If you just require any information about your membership or about any company that contacts you or even thinking of doing business with, but don’t know where to start, contact us and we will point you in the right direction.

Have a good weekend and join us next week.

weekend