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Litigious Abogados Family: New Names Added

Over the past few years Inside Timeshare has been reporting on the changing names of “FAKE” law firms based in Tenerife. We have dubbed them The Litigious Abogados Family, a family that has been growing at a very fast rate, with a new name and website every three to four months. This obviously keeps them one step ahead of the authorities.

The latest incarnations are just a couple of months apart, with the Legalizalos website registered on 14 March 2019, with an expiry date of 14 March 2020, the registrar of the website is again hidden by privacy protect.

According to the home page, the company was founded on Tuesday 30 May 1989, by Manuel Lamaconio Congana with the CIF Number A87531643 which again appears to be a fake as it does not come up on any searches.

Manuel Lacaconio Congana

They also show the usual photographs of lawyers and contact staff, along with some very dubious looking names, Jeromat Golebat Garcia, Juan Colabat Florevo, Armando Suletare Dolenas and Alejandra Olada Volindat.

Then on the 5 May 2019, the next in the family appears, Legal Izalos, with the website

Again, the website was registered on 5 May 2019, with an expiry date of 5 May 2010 with the registrant again hidden by privacy protect.

Both websites are the same from layout, logos names and photographs of the “lawyers”, also the same is the CIF Number A87531643, along with the founder Manuel Lamaconio Congana who set up the firm on Tuesday 30 May 1989.

Both are also using the same address: Calle Dr Miguel López González, Número 4 38003 Santa Cruz de Tenerife, along with the same telephone number 0034 822 686 029 and email address:

[email protected]

which is not linked to the website but is from a free email address provider.

There is no need to go through the pitch as it is the same one we have reported right from the start, but again it sounds very convincing with the consumers timeshare company about to go to court. This once again is backed up by some very convincing documents including very good fake court documents.

One thing we do know the outcome will be in the consumer’s favour and they will be awarded a huge amount by the court, they will then have to pay “TAX” to have the money released. This will be a cheque posted to them from Tenerife, but we do know from experience that the envelope will be open and the cheque missing.

In comes the next company, who are investigating the missing cheque, which, just happened to be “cashed” by a gang of either Ukranians, Romanians or some other East European gang. Oh yes, there will be an upfront fee for this to happen, as if it will!

Below is a list of names for the law firms and procuradors which have been used.

  1. 24hnotificaciones                                                                      
  2. Abogacia Española                                                                    
  3. Abogados Abel Garcia                                                              
  4. Amador Ganeca – Amador Juandoz Ganeca     
  5. Abogados AG – Armando Gonzalez Areca                           
  6. Abogados Amable Garcia                                                        
  7. Abogados Canarias                                                                   
  8. Abogados Galvera                                                                     
  9. Abogados Litigacion España – JDD                                       
  10. AG Abogados                                                                              
  11. Alberto Kalimro Galvera Abogados                                       
  12. Alberto Diendro Nabalez – Litigacion España                     
  13. Alberto Rogalvera                                                                      
  14. Alejandro Omross Procuradores                                            
  15. Amador Galeca Abogados                                                        
  16. Amador Ganeca                                                                          
  17. Amador Malodan Galeca                                                          
  18. Angel Alarcon Prieto Notario                                                  
  19. Armando Gareca Abogados                                                     
  20. Auxiliar Lawyers                                                                        
  21. Auxiliares Lawyers                                                                    
  22. Auxilium SA                                                                                
  23. Bulganu & Valentin Asesoria                                                  
  24. Carlos Igraim Procurador                                                        
  25. Carlos Ingramo Procuradores                                                
  26. Carlos Imgran Procuraduria                                                   
  27. Darstun Jilmo Davida Procurador                                        
  28. Davido Thursta Procurador                                                    
  29. Daniel Marco Yariz Procurador                                             
  30. Elias Elisa SA                                                                             
  31. Elinabeta Yessica Elierz Procuradores                                 
  32. Elisabetta Olias Asesoria                                                        
  33. Embalori Abogados                                                                 
  34. Emilio Leyes Catillianos                                                         
  35. European Union Complaints                                               
  36. EU Litigation Services                                                           
  37. Fernando Holaci                                                                     
  38. Ivana Birka Asesoria                                                              
  39. Jessica Kiegle Procurador y Notario                                   
  40. Juan Luis Partalabo Lawyer                                                
  41. La Litigacion Española                                                          
  42. Legalidad Abogados S.A.                                                       
  43. Legalidades Abogados                                                            
  44. Legalidades Tenerife                                                               
  45. Legitimous – legitimos Abogados                                         
  46. Litigacion abogados                                                                
  47. Litigacion Espana SL                                                              
  48. Litigaciones SL                                                                        
  49. Litigar Abogados                                                                    
  50. Litigious Lawyers -Litigious Abogados                             
  51. Luca Linder Trust                                                                  
  52. Luna Kinden Asesoria                                                          
  53. Manuel Amas Conde                                                            
  54. Manuel Cilavoz Varintos – Varintos Abogados               
  55. Manuel Diralam Abogados                                                 
  56. Manuel Hidualdo Abogados                                               
  57. Marco Cravina Asesoria – Marco Carvina                        
  58. Marco de Ciocci Translator                                                 
  59. Marco Gravinal Procurador                                                
  60. Miguel Mesa Martinez                                                          
  61. Miguel Mesa Montoya                                                          
  62. Nabalez Abogados – Alberto Dilendro Nabalez              
  63. Notario Yari Marca S.A.                                                       
  64. Owners Association                                                              
  65. Paulo Finucie Asesoria                                                        
  66. Paulo Morris Asesoria                                                          
  67. Poveda Lawyers                                                                     
  68. Procurador Ramon Juanco Comez                                    
  69. Procurador Ramon Josardo Golmerz                               
  70. Procuradores Alexander Bowross                                      
  71. Procuradores Comerz – Ramon Juanca Comez              
  72. Procuradores Golmerz                                                         
  73. Procuradores Gomerz – Ramon Josema Gomerz           
  74. Procuradores Gonzalez – Alfonso Emilio Gonzalez        
  75. Procuradores Igraim- Carlos Rihom Igraim                    
  76. Procuradores Omross – Alejandro Omross                       
  77. Procuradores Salinas – Miguel Salinas Procurador      
  78. Procuradores Raya – Miguel Earas Raya Procuradores  
  79. Procuradores Tabreul – Abel Deraza Tabreul                   
  80. Procuraduria Carlos Gregorio Ingramo                             
  81. Ramon Mesa Gorrin                                                              
  82. Ricardo Zanino Asesoria                                                       
  83. Roberto Arturo Sanson Abogados
  84. Rodrigo Hoya Asesoria
  85. Simone Mesa Martinez Abogados       
  86. Simone Meza Mendez                
  87. Thirstun & Robi Claims Asesoria  

This is a very sophisticated and well planned out fraud, the constant change of names and websites make it very difficult for the authorities to trace the perpetrators and so it continues. The use of official logos, registrations, very good fake court documents and the great story with the promise of receiving huge amounts are all very convincing, so convincing many have been taken in. Unfortunately they have later found that they have been subject to a very clever scam.

For the full history of all these “FAKE” law firms and procurators, use the search box and type in Litigious Abogados, this will bring up every article where they have been mentioned. As you will see they go back at least 3 years.

Remember do your homework because


Start the Week: More Scam Companies Appearing

Welcome to the start of another week in the world of timeshare, today we highlight more scams appearing especially in regards to Eze Group. Several readers have been contacting Inside Timeshare with more information which does look a little disturbing considering the amount of knowledge the callers have on the member’s information.

We begin with a text received on one of our regular reader’s mobile phone, the text has been sent from +44 7860 015136 which is a number operated by the O2 network. This number is obviously new as it has not shown up on any of the who calls me websites yet.

The text received offers “NO WIN NO FEE” claim to get money back paid to Eze Group:

“Did you join EZE GROUP ? Would you like your MONEY BACK ? EZE GROUP has closed down , START your NO WIN NO FEE CLAIM TODAY.Reply YES for more information.”

There is no indication as to any company name so at present, we have no idea who is behind it, but it is obvious that they do have “client” details including their mobile numbers. Once we have more details we shall publish them here.

The next is a company called Mosaic Exchange Limited, Company Number 11764274 with the registered address

71-75 Shelton Street London Greater London United Kingdom WC2H 9JQ.

The company was registered on 14 January 2019 with the director named as Sean Michael who also has directorships with two other companies, Invictus Exchange Limited, Company Number 11260210 with the registered address

71-75 Shelton Street London Greater London United Kingdom WC2H 9JQ

and Vaway Limited Company Number 11060271, which has an active proposal to strike off.

There does not appear to be a website for this company but the email address is given as [email protected] which as we know is the free email provider Gmail, so it is not linked to any website.

Again the story is the same, the caller who is using the number 0203 745 1086 with two names being identified as Ruth Firth and Sarah Baker, is one that is very familiar to us, they state they are appointed by the courts to reimburse Eze Group (Regency Shores SL) client money which is being held by the courts. They also state that they have a “long standing relationship” with The Madrid High Court, Central Bank of Spain and the Portuguese Chamber of Commerce. Not bad considering the company is less than 6 months old!

Another address is also given 1-3 The Long Acre Covent Garden London WC2E 9LH which just happens to be a restaurant called Five Guys.

Now all this sounds very good, but they do want an upfront fee of £725 to do the work for the client, just coincidentally this is the exactly the same amount which every other “scam” company is asking for. So along with the fact they all seem to have very good information as to the purchase and personal details of the clients, which leads us to believe they are either employees, ex-employees of Eze Group or they have purchased the data, it also looks as though they may all be working together to maximise the money they can scam.

As always, never believe what you are told in cold calls, texts or emails, question them as to how they have your information, get as many details of the company as possible, but never pay them a thing. If you need help in checking them out, use our contact page and we will point you in the right direction.

Remember no courts, either UK or Spanish will appoint or employ private companies or third parties to contact potential victims, they also do not have any funds held or seized from Eze Group.

Do your homework and keep your money safe.

Friday’s Letter from America

Welcome to this week’s edition of Letter from America, following on from our previous articles on the timeshare bills put forward by Florida and Nevada, Attorney Mike Finn submits his thoughts on this subject with the introduction by Inside Timeshares very own Irene Parker.

But first, a reminder that today is the first day of the Platinum Protest in Orlando, even if you can’t make it, please enter your support for them on the Diamond Resorts Owners Advocacy page on Facebook. We hope to bring you a report from them next week.

Lawyers and Their Important Role in Consumer Protection

By Attorney Mike Finn

Why You Should Sign our Petition asking a lawmaker to sponsor a Bill in 2021 requiring that timeshare buyers be offered 24 hours to review a perpetual timeshare contract before signing.

By Jordan Raskin

May 17, 2019

Our petition preparing to launch:  

https://www.care2.com/?fbclid=IwAR3w3tungUxAWYjY3fSro_WJBRUKB9pe99LiJ_9ur8T5WZOyC9wHsyswqZc

Provide the timeshare consumer 24 hours to review, at least think about, their decision to sign a lifelong perpetual contract, with no secondary market, often without even having tried the product, and often not allowed access to the booking site until after the rescission period.

This offer could be waived if the buyer chooses, either due to the certainty that the buyer wants the product, or the need to sign because the vacation is ending soon.

This offer should not be buried in the electronic fine print. It should be a separate disclosure presented and signed before the sales presentation. The price per point offer would be required to be maintained for 24 hours.

What’s so unfair about that?  

Introduction by Irene Parker

Never mind a lawyer! We’d settle for our mom, dad, son, or daughter!

Both the Florida and Nevada Bills referenced in Mike Finn’s article below, asking that timeshare exit providers provide buyers 24 hours to review their contract before signing, died in committee: Florida HB 2639 and Nevada SB 348 bill are dead  

SB 1430 Companion Bill to Florida HB 2639 Vacation and Timeshare Plans

http://www.flsenate.gov/Session/Bill/2019/01430

SENATE – Died in Innovation, Industry, and Technology

How do you separate the wheat from the chaff? There are legitimate lawyers and lawyers with questionable business practices. I have contacted a number of exit company providers to inquire about the volume of calls they received. Two of the major exit companies say they receive between 3,000 to 3,500 calls each month from timeshare buyers desperately seeking release from timeshares they were told would be easy to sell. Each company only accepts less than 200 callers as clients, as the member must meet specific criteria of unfair and deceptive sales practices.  

Before we begin with Mike Finn’s article,  

If you are going to be in the Orlando area this weekend May 17-19 Friday – Saturday, please support our Platinum Protestors. Locations and dates provided: https://insidetimeshare.com/fridays-letter-from-america-49/

Now onto:

“Why Kill All the Lawyers?”

By Attorney Mike Finn

“Add to that advantage the fact that the purchaser purchases on the same day they’ve been introduced to the product with no ability to consult with or review the multipage purchase contract with their own legal representative and you can begin to understand the owner/purchaser’s situation years later when they ultimately seek to terminate their arguably lifelong contractual obligations contained within their timeshare purchase contract.”

It’s hard to say anything about lawyers that haven’t already been said. They are both revered and reviled as staunch proponents and champions of justice or as avaricious opportunists. The profession is comprised of all types, from the most learned jurists to the slightly seamier side of humanity. We lawyers share the same spectrum of positive human qualities and negative frailties as the rest of our species.

The import of this article is less related to the issues of lawyers individually, but rather to the role of the attorney as consumer advocate within the legal system. I speak to the issue of what removing lawyers, or significantly diminishing their role to effectively represent their consumer clients, does to strengthen or weaken consumer protection in general, as a matter of national policy.

Currently, there is pending in at least two states with a significant timeshare presence, Nevada and Florida, House and Senate Bills sponsored by ARDA, the timeshare industry’s trade association. Ostensibly, per the statements made by ARDA’s political arm, ARDA-ROC (American Resort Development Assoc.-Resort Owners Coalition), the primary intent of these Bills is to enhance consumer protection. However, to some of us on the consumer side of the equation, we suspect there may be a darker, more industry serving purpose. These Bills seek to regulate two separate and quite distinct groups, lawyers and timeshare exit companies.

There can be no argument that some regulation is warranted, specifically in regard to the unlicensed and unregulated timeshare exit companies; however, this ‘shotgun style’ approach of lumping-in lawyers with this proposed legislation will if passed, create some chilling and decidedly consumer-unfriendly impacts on the timeshare consumer/owner.

To further distinguish these totally disparate entities, lawyers are already both licensed and extensively regulated by their respective State Bar Associations. Additionally, as lawyers, (and unlike exit companies) we are specifically trained and educated to handle matters involving contract disputes, as well as debtor/creditor rights issues and other relevant matters that may well arise in the course of a controversy. Without getting too far into the weeds, I think it’s fair to state that the pending State Bills are clearly designed to severely limit and restrict the involvement of both timeshare exit companies and, from my perspective, more importantly, lawyers, in terms of their ability to provide services to timeshare owners seeking third-party assistance in terminating or modifying their timeshare purchase contracts.

To summarize the owners’ plight, many owners didn’t realize that their purchase contracts did not include a way to terminate their contract when they could no longer utilize their timeshares because of life changes, like aging, job loss, divorce, death of a spouse, or other major life changing events. This issue wouldn’t be so troublesome if it were not for the fact that there exists little to no resale value or market for these timeshare interests, trapping owners who cannot continue to derive any benefit from their ownership, but remain legally bound by their purchase contract, subject to annual rising maintenance fees and other contractual liabilities.

The ‘timeshare exit’ industry sprang into existence to fill the market void created when the timeshare developers themselves were unwilling to offer owners relief from essentially ‘lifelong and perhaps beyond’ contracts. This exit industry includes lawyers who focus on consumer timeshare owner issues as part and parcel of their law practices, and exit companies, non-lawyers who claim industry knowledge and apparent ability to act on behalf of timeshare owners in their negotiations with timeshare developers or property owner associations.

The focus of this article will remain on the lawyer and not the exit company. It’s important to distinguish between these two different kinds of organizations and avoid comparing the two. They are completely and totally unlike and should not be combined or grouped together in these Bills. It’s impossible to make any logical form of comparison beyond stating that each seek to represent the consumer timeshare/owner in dealing with the respective owner’s timeshare situation. Combining the two and treating them as equals in proposed legislation is grossly inaccurate and inappropriate. It only adds to consumer confusion!

Attorneys have undergone extensive education and training and have prepared for and passed a state mandated Bar examination in order to prepare themselves for dealing with contested and controversial legal issues. Our legal system is by definition adversarial in nature. Justice involves a process by which parties on each side of a controversy present, through their selected legal representative, their respective position to an impartial determiner of the facts in order to produce a just outcome. Indeed, our very symbol of justice is a robed and blindfolded woman holding a scale aloft in her hand.

Each side, through its appointed legal representative, presents its best case to the referee, hearing officer, or judge and jury. At the end of the contest, the winning side, through presentation of evidence and persuasion, tipped the scales in its favor. This is our legal system, or at least the portion of it that decides controversies. Add to our justice system the requirement that each side starts off with a level playing field. Neither side has gained an unfair advantage prior to the contest commencement. As a condition of fundamental fairness, may the side with the most compelling case for justice win!

What can skewer the ‘level playing field’ aspect of the justice model, is if one of the players gets to the game before the other side, gaining a one-sided advantage. Arguably, that’s exactly what the Timeshare Developer has been able to do. Since the state requires the Developer to register and apply for a license to market timeshares within that particular state, the Developer has prepared its purchase contracts and other disclosure documentation and submitted them to the appropriate state agency well in advance of its initial sale. It’s probably fair to suggest that these purchase agreements were prepared by an able team of lawyers with the Developer’s best interests in mind. In fact, the only remaining task for the Developer’s sales team at the time of consumer purchase is to fill in the blanks on the preprinted purchase contract with the purchaser’s name and other pertinent information.

Add to that advantage the fact that the purchaser purchases on the same day they’ve been introduced to the product with no ability to consult with or review the multipage purchase contract with their own legal representative and you can begin to understand the owner/purchaser’s situation years later when they ultimately seek to terminate their arguably lifelong contractual obligations contained within their timeshare purchase contract.

Now that you can envision, from the consumer’s perspective, the un-level playing field that the consumer finds themselves on at termination time, and add to that the circumstances that would exist if the Timeshare Developers are successful in passing these new laws. These Bills, if passed, would further restrict the consumers’/owners’/members’ ability to seek justice within the legal system, if the lawyers’ ability to represent the consumer is constrained and restricted.

From where I sit, as lawyer representing timeshare owner/consumers, it appears that the timeshare industry is dissatisfied with its already existing unfair advantage over their consumer and still seeks to tilt the field further in their favor. My advice to them (not that I anticipate them appreciating any of it) is to show a kinder, gentler aspect to your loyal owners by either recognizing and permitting an easier contract termination, or, at minimum, not further attempting to restrict their right to effective legal representation as they seek relief from their onerous timeshare purchase contracts.

Respectfully submitted,

Michael D. Finn, Esq.

Thank you Mike and Irene for this week’s edition of Letter from America, these articles are certainly helping many timeshare owners see exactly what is going on in the murky world of timeshare.

If you have any views or comments on any article published then use our contact page we would love to hear from you. Do you have a story to tell, be it a positive one or a “Nightmare on Timeshare Street”, which you would like to share, then contact us and we will help you to submit an article.

Well, that is all for this week, remember the Platinum Protest and show your support, have a great weekend and join us again next week.

News from the Canaries: Tauro Beach; Nordic Consulting

Over the past few years Inside Timeshare has been following the story of the Anfi Tauro Beach Project. This was the creation of a manmade beach along with the development of the land to build a commercial centre and hotels. As we know there has been much controversy over the project, with the Head of the Coastal Authority José María Hernández de León being sacked and charged. His trial has now begun.

The former head is being prosecuted for illegally authorising the creation of an artificial beach at Tauro. The project was being financed by Anfi, who saw this as their flagship project, it would also involve the illegal importation of sand from the Western Sahara, which is banned by International law as well as Spanish and European law.


José María Hernández de León

On the first day of the trial, the charges are of prevarication and falsehood, which Hernández denies vehemently, stating he always proceeded within the law. The Environmental Prosecutor has called for a jail term of three and a half years.

This trial is set to open up a can of worms, especially if it turns out that Anfi had influenced the passing of the plans and the starting of the work without the correct permissions and licences.

The Mayor of Mogan Onalia Bueno was also being investigated for authorising the work to start before the permissions were signed, several months after the fact. That investigation is still underway.

We shall bring you the latest news on this trial as it emerges.

Link to the news report on the first day

https://cadenaser.com/emisora/2019/05/15/ser_las_palmas/1557931479_570338.html?ssm=fb

Link to all articles relating to this story published by Inside Timeshare.

https://insidetimeshare.com/?s=tauro+beach

Information has been received by Inside Timeshare that Nordic Consulting Canary Islands, based in Tenerife and run by the Farhoud brothers is now targeting Dutch clients of Silverpoint.

The calls are being made by a former sales agent Geert de Greef, in the call, he is offering the client the chance to take legal action through the courts against Silverpoint, the cost 15,000€, but he then drops the price to 10,000€.

Geert de Greef apparently is also sending out a POA (poder) without the agreement of the client. In the agreement all the client’s details including passport numbers are present, this only leads us to believe that he is working from the official client data held by Silverpoint. So does this mean that they are cooperating with Silverpoint or have the details been stolen?

This is something we leave you the reader to decide, whichever it is, it certainly is not ethical and may even be in breach of data protection laws due to the information that they are holding such as passport details.

If you have been contacted by Nordic Consulting and especially Geert de Greef, contact Inside Timeshare and we will point you in the right direction, remember it may not be illegal to cold call but holding personal information without your knowledge or permission is.

The Tuesday Slot

Today on The Tuesday Slot we welcome another new contributor Laura Crow with her very own “Nightmare on Timeshare Street”, with an introduction by Inside Timeshares very own Irene Parker. These stories are now becoming all too familiar on our pages, with new “Nightmares” being received on an almost daily basis. It seems that not a single day goes by without another email pleading for help, many of these are from seniors and veterans. We do have to ask when will the industry change the way it works?

It is now only a few days to go before the start of the Platinum Protests in Orlando, the dates are 17 to 19 May, see the link at the end of Laura’s article.

We are timeshare trapped!

By Laura Crow

Tuesday, May 14, 2019

Introduction by Irene Parker

Laura Crow was told the California Attorney General only acts when it is in the interest of the public? Why then, have Arizona, New York, Tennessee, Missouri and Wisconsin AGs, to name a few, launched investigations and negotiated settlements when they received a volume and pattern of timeshare complaints?

Timeshares rank second on the list of complaints to the state in Connecticut in 2018, according to the state Office of the Attorney General

Do you have a story idea? We want to hear from you! Fill out the complaint form on the NBC CT Responds page or call 844-303-RESP, (844) 303-7377. More #NBCCT Responds archive here.

https://www.nbcconnecticut.com/news/local/Timeshare-Troubles–What-To-Do-Before-You-Buy-and-Sell-504017151.html

Each state has a different protocol for filing a timeshare complaint. In California and Nevada, timeshare complaints must be filed with the state’s real estate division against a particular agent. Filers should also file a complaint against the principal broker over all the brokers in the state.

Those who feel they experienced unfair and deceptive timeshare sales practices should also file complaints with the FTC and the FBI at IC3.gov. Inside Timeshare has received reports of unfair and deceptive sales practices from over 800 families. Many members report being financially and emotionally devastated, having believed false claims told to them by timeshare sales agents, like the common complaints voiced today by Laura Crow. Seniors suffer physical harm as many report loss of sleep, weight loss, and symptoms of, or a recurrence of, cardiac and blood pressure problems over the stress of their timeshare nightmare.

There has been no federal enforcement. Attorneys General who have launched investigations and negotiated settlements are appreciated, but investigations and settlements have been mere speed bumps along an enormous revenue stream.

Please reach out to the FTC and FBI if you experienced unfair and deceptive timeshare sales practices:  https://insidetimeshare.com/fridays-letter-from-america-47/

One of the Wyndhamtestimonials by current and former employees Laura discovered:

“Liars liars pants on fire”

Former Employee – Timeshare Sales in Daytona Beach, FL

Doesn’t Recommend

Neutral Outlook

CEO

I worked at Wyndham Destinations full-time (More than a year)

Pros

Free coffee, nice view, some friendly co-workers, company parties were fun, decent discounts

Cons

The timeshare sales department is filled with a bunch of liars. New hires have to sit through specific training on what is and is not allowed to tell customers. You are in no way allowed to tell customers that the timeshares are a good investment, that points can be used to pay the management fees, or that the timeshares can be rented out during peak periods to give them a return on their money. ALL THESE THINGS ARE NOT ALLOWED, BUT TOP SALES PEOPLE SAY ALL THESE LINES AND EVEN MORE LIES TO MAKE SALES. The top sales team are all a bunch of vultures lying to people to make a living. Customers get beaten down during the process. I’ve seen documents forged and old terms given to customers to secure their signature. If you have a conscience, do not work there. If you like lying to people to make money and can obtain a real estate license and have a clean background, lying to people during a timeshare presentation is much more lucrative than lying to people on the phone. If this is the type of scummy person you choose to be, then Wyndham is a great fit. If you are a salesperson who grows a conscience, there are other jobs at Wyndham you can do, so you don’t need to just quit. Just try to transfer to a different department.

Laura Crow’s Nightmare on Timeshare Street

I am a California resident and have found other California residents online in the same leaky timeshare boat as me. We have all filed a complaint with the California Attorney General and were all told that the Attorney General can’t intervene on behalf of individuals. They only act when it is in the interest of the public. Well, how many members of the public does it take to get some kind of action?

After attending a Wyndham WorldMark presentation four years ago, we left believing we could travel anywhere, any time. Europe was the big selling point. The selling point for my husband was that we could make good money by renting out our timeshare. The timeshare would pay for itself! As many have reported, timeshares are worthless. In no way should timeshares be pitched as an income producing investment. I would advise you to run the other way if you ever encounter sales agents spouting such falsehoods.

We are trapped in a contract that has not delivered the financial gains or freedom our sales representatives assured us it would. Instead, it has turned into a financial burden. We are left with the constant stress of this hanging over us, waiting for the next hit to our credit report.

Wyndham and WorldMark could care less. I will send them a draft of this article, but safe to say they will say something like it didn’t matter what our sales agents said. That’s why the public needs to know a timeshare sales agent can get away with saying anything to make a sale. What product would you buy for $25,000 to $100,000 or more that becomes worthless a second after your contract rescission period ended, should you need to dispose of the product?   

Our experiences with Wyndham are the same as so many other timeshare buyers, irrespective of the company. Instead of boring you with our Wyndham narrative, I will draw your attention to the lethargy and inaction on the part of regulatory authorities, authorities who are supposed to have our best interests at heart.

I understand that the BBB is not a government agency and has no power to enforce the law or compel a business to act ethically, but I wonder how it is possible for Wyndham to have such a volume of complaints (over 2000) and bad reviews, yet still maintain a C+ rating. About the time when I filed my BBB complaint, there was a warning from the BBB about a pattern of complaints concerning sales practices. That warning has mysteriously been taken down. How did that happen? My next step is to contact Alexis Castro at the Nevada BBB to find out.

It was the same story with the CDRE (California Division of Real Estate). Mr Aiu of the compliance division has been good enough to communicate with me but told me cases are judged on an individual basis, so no point mobilizing a group to achieve strength in numbers.

Hmm, where have we heard that before? The Catholic Church sex abuse scandal and #metoo comes to mind. This dismissal plays right into the hands of Wyndham. My complaint basically comes down to ‘he said, she said’ but ‘we said, he said’ is needed. Someone, somewhere, a regulator, a lawmaker, a media outlet; something needs to happen. If women followed Mr Aiu’s advice, we would still not be allowed to vote.

ARDA, The American Resort Development Association has been quoted as saying; “Timeshares are a highly regulated product.” Big timeshare paints a portrait of happy timeshare campers idling on the beach, but there are thousands of complaints to be found on the internet. Comments from current and former Wyndham employees, like the comment above and additional comments below, support my allegations. If you would like to test my thesis, compare the number and nature of complaints about a hotel brand, contrasted with the number of complaints directed against that same company’s timeshare brand.   

There are state and federal laws prohibiting unfair and deceptive sales tactics, yet the timeshare industry is going strong. I read about lawsuits and AG cases against Wyndham, like the $20 million a jury awarded to former Wyndham sales agent and whistleblower Trish Williams. Even that has done little to stop unfair and deceptive sales. Wyndham and other companies pay out some money, toss in some media window-dressing dollars, and carry on like nothing happened.

I am in it to win it. I will be reaching out to the media, starting with NBC. I will continue to search out agencies that may intervene or advocate on my and other owners’ behalf. Until the FTC, the FBI, or more state AGs act, public awareness is our only safeguard. That is why I am writing this article. It is not acceptable for timeshare sales agents to lie, deceive, misrepresent and withhold information about their product in order to make a sale.

Here are more Glassdoor.com anonymous reviews by current and former Wyndham sales agents rating the company. Their comments support our allegations of deceptive sales practices.

https://www.glassdoor.com/Reviews/Employee-Review-Wyndham-Destinations-RVW3171503.htm

Here are some reviews by salespeople at Wyndham. You are enabling this behaviour by

Helpful (4)

“If you have integrity – don’t even think to work here”

Cons

You are 100% on commission. The only way to sell is lying to customers, the quota is very high and management is very unprofessional. On an everyday basis, you will hear from current owners how disappointed they are with timeshare product – it makes very hard to sell a product that does not do any good for people.

“In House Sales”

The way to making real $ is if you are okay with lying to people, otherwise, you can make an average living 40K or so. The biggest issue is that upper management acts like they have blinders on, making employees sign statements that they will not say certain things, while direct managers teach the sales techniques that encourage embellishments! Really?

Nov 7, 2018

Helpful (1)

“Sales Rep”

Current Employee – Outside Sales Representative in New Orleans, LA

Recommends

Positive Outlook

CEO

I have been working at Wyndham Destinations full-time (Less than a year)

Pros

I can’t even think of one

Cons

Wyndham Destinations over promises and vastly under delivers on potential income – the possibility for large income prospects are there though minutely small. The fact is it’s very hard to even make a living wage. It’s timeshare sales so very very few leads are actually even viable. Additionally, management regularly and actively encourages sales reps to oversell what clients are actually buying, to mislead, misdirect and ultimately be dishonest with prospects and do anything to get the sale.

Aug 21, 2018

Helpful (1)

“Vacation Ownership Sales”

Former Employee – Inside Sales Representative in Atlantic City, NJ

Doesn’t Recommend

Negative Outlook

CEO

I worked at Wyndham Destinations full-time (More than 3 years)

Pros

Some of the people that work there are nice.

Cons

Being trained to lie to clients to sell them points to travel. If you don’t lie, there is no way to make money. Taking advantage of older people and ripping off their retirement funds is not my idea of how to make a living. The worst thing is that management rewards the biggest liars by sending them off on a beautiful vacation and calls it “President’s Club”. If you ever meet a President’s Club sales rep, RUN! There is nothing they are about to tell you that is remotely close to being true.

Jun 30, 2018

Helpful (1)

May 11, 2018

“Vacation Ownership Sales”

Former Employee – Sales Associate in Clearwater, FL

Neutral Outlook

CEO

I worked at Wyndham Destinations full-time (Less than a year)

Pros

Can make great friends among certain Co-workers, free meals, beautiful office space, earning potential is attainable if you possess the skill sets.

Cons

Favouritism from management, unethical sales process, you should not have to lie about what you’re selling if the product is as good as you say it is. Draw sucks

“Front Line Sales – Not for everyone”

Former Employee – Front Line Sales Representative in New Orleans, LA

Doesn’t Recommend

Neutral Outlook

CEO

I worked at Wyndham Destinations full-time

Pros

I genuinely liked most of the people I worked with.

Cons

Marketing can bring in some completely unqualified tours so when you work on straight commission, it can be extremely frustrating. Management’s take on it is complete oblivion if that marketer meets (and exceeds) their numbers. This job can be emotionally draining – especially when you talk to people about vacationing all day and then get little wiggle room to take your own time off (again, management will bend over … if you are selling). I never sacrificed my morals to make a sale but, unfortunately, I saw many people that did.

“Scam”

Former Employee – Vacation Sales Consultant in Clermont, FL

Doesn’t Recommend

Negative Outlook

CEO

I worked at Wyndham Destinations (Less than a year)

Pros

Work life balance. nothing else is good about this job.

Cons

If you are heartless and enjoy lying to people including elders and single moms, then maybe you can do very well here.

Save the Date!

The Platinum Protest is this weekend May 17-19 in Orlando. Contact Inside Timeshare for more information. On May 17 protesters will meet outside the Florida timeshare division office.

Contact Inside Timeshare if you would like to join Laura Crow’s efforts. Here are some self-help groups we feel are not industry influenced. There are honest sales agents and many who use and enjoy their timeshare. That doesn’t mean sales agents who deliberately mislead should be allowed to continue unchecked, report after report confirms, especially in Florida and Nevada. Thank you, Laura Crow, as we welcome our newest active advocate for change.

We seek to provide timeshare members with 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://everythingabouttimeshares.com/consider-exchange-options/

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

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

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

Well that’s it for today, if you have any comments or would like to share your views with others, then use our contact page, Inside Timeshare would love to hear from you.

Start the Week

Welcome to the start of another week in the world of timeshare, we begin today with yet another company that has sprung up in relation to the recent Eze Group court case. Again the same old story, appointed by the courts to get victims their money back, for a fee that is.

The company name is H&K Limited, apparently based in Walthamstow East London, however, there is a company registered at Company House by the name of HK Limited, but it was dissolved on 12 December 2017.

The company number was 10334162 and the registered address was located at 18 Janeston Court 1-3 Wilbury Crescent, Hove, England, BN3 6FT

There does not seem to be any website and the email address they give is [email protected]

Again this is a free email address providers such as gmail, yahoo and hotmail, so it is not linked to any website.

The company directors were Abdul Haseeb and Yousaf Shah, Haseeb has no links to any other company but Shah was a director of another dissolved company called Helping the Children.

It may be that the persons behind the latest scam could just be using the company name, as when it is googled it does come up on the listings as a registered company. So unless you click on the link you would think that it is genuine.

Now as we have reported on another similar company A&K Advisory Limited, very similar name, the story is the same. Regency Shores, one of Eze Groups Tenerife based companies have recently lost in the High Court. Low and behold along comes H&K with the great news that money has been set aside and they have been appointed by the courts to pay it out to victims.

Problem is they need a £725 advanced fee to do so. No doubt the money will need to be paid by bank transfer to the “Escrow Account”, the only thing is the account will obviously in the name of a private individual.

The important point to remember is that Birmingham Crown Court trial was against Dominic O’Reilly, Stephanie O’Reilly and Eze Europe Ltd, the court did not set aside any money for victims. There is however an investigation under The Proceeds of Crime Act.

As for Regency Shores, there has been no court action either in Tenerife or in the UK, even though they are under investigation. No charges have yet been brought.

Remember, no court will appoint, instruct or allow any private company or third party to contact any victim of fraud, this would be down to the investigating authorities before the trial ever takes place.

The recurring question from all enquiries Inside Timeshare has received on this matter is how have they got such accurate details, such as what was purchased, how much for, when purchased, full names, addresses along with home and mobile numbers?

The answer is very simple, these scams are either being setup and run by ex-employees who have stolen company records or they have been purchased from existing or ex-employees. I would actually suspect that these scams are being run by ex-employees, the reason, they seem to know the workings of the company very well.

So to recap, there is no money waiting or being held at court, courts do not use third party companies, payments are never paid to private individuals, emails should always be linked to company websites and never pay any money upfront especially by bank transfer.

If you have been contacted with a similar story by a company with another name, Inside Timeshare would like to hear from you. If you require any further information on how it may be possible for you to get something back by doing it yourself, use our contact page and we’ll get back to you.

The Tuesday Slot: Diamond v Aaronson Trial

Welcome to another edition of The Tuesday Slot, today Irene Parker reports on days 2 and 3 of the Diamond v Aaronson Law Firm trial, which ended 3 days earlier than expected with a settlement.

Yesterday Inside Timeshare published the article about the Modern Honolulu Hotel and the redundancy of workers, this has already prompted many comments from our readers. The one factor they all share is their disgust at the lack of compassion and sheer greed of Diamond Resorts. Well, this is a fact we are all too well aware of at Inside Timeshare, as our “Nightmare on Timeshare Street” stories have shown.

So now for Irene’s report on the trial that has kept our readers in suspense.

Diamond Resorts v Aaronson Law Firm Trial

Lawsuit Resolved by Settlement

Anatomy of a Timeshare Trial:  A Summary

By Irene Parker

May 7, 2019

Day 1: https://insidetimeshare.com/fridays-letter-from-america-48/

The lawsuit Diamond Resorts filed against Austin Aaronson resolved by settlement Thursday, May 2nd on day three of what had been anticipated to be a six-day trial.

The crux of the lawsuit seemed to focus on a man in a grey suit that appeared in a video on Austin Aaronson’s website alleging that Diamond misappropriated maintenance fees. Diamond Resorts owns 10 to 15% of outstanding points. Currently, there are over a billion points outstanding. Members own approximately 85% of the outstanding points. Mr Charles Meltz, attorney for Mr Aaronson, presented the following figures:  

Member assessments budgeted: $141 million

Actual member assessments paid: $146 million

Developer assessments budgeted: $8.6 million

Actual developer assessments paid: $4.8 million

Plaintiff’s witnesses included Steven Wolf who testified that he conducted a forensic examination of 120 Diamond members who had stopped paying loans and maintenance fees. Diamond sells timeshare points as Collections. Diamond’s US Collection, Hawaii Collection and Diamond Resorts International Points were examined, in addition to an examination of maintenance fees and Club Fees that had not been collected.

Each group was broken down into three periods of time:

  • Period A consisted of the period of time from when a Diamond member had retained Austin Aaronson, going forward to July 31, 2018
  • Period B 30 days prior to retaining Mr Aaronson, and
  • Period C, the period of time beyond 30 days, prior to retaining Mr Aaronson.

For example, concerning the US Collection:

Period C beyond 30 days: $242,365,904 in uncollected funds

Period B 30 days prior to retaining Mr Aaronson: $295,455 in uncollected funds

Period A from the time Mr Aaronson was retained: $2,365,904

Total for the four groups in uncollected funds: $4,578,838

Judge Dalton asked if this amount had been reduced to summary judgment. It had not. He ruled that this amount was speculative.

Plaintiff’s witness Steven Wolf is with Capstone Advisory Group, LLC

http://www.mondaq.com/p/873000/Steven+Wolf/Capstone+Advisory+Group%2C+LLC

Mr Wolf’s firm was paid $250,000 for the forensic analysis and $475 per hour to observe the trial from 10 a.m. to 5 p.m. April 30 and May 1 through his testimony that continued through Thursday morning May 2.

Three former Diamond members testified as witnesses for the Plaintiff.

Witness 1 testified that buying additional points did not improve availability. He had purchased a total of 26,500 points. Diamond had sued witness 1 for $170,000, which included arbitration fees. The judgement against witness 1 was wiped clean in exchange for his testimony. Witness 1 confirmed that he was aware of Mr Aaronson’s website that stated the firm had leverage over Diamond resorts due to misappropriated maintenance fees and a breach of fiduciary duty.

Witness 2 testified on behalf of his mother about his contacting Aaronson Law Firm and that he was told Aaronson Law Firm had leverage over Diamond because Diamond was not handling maintenance fees correctly.

Witness 3 was role played, reading a prior deposition. The wife had testified at an earlier deposition. Her husband was retired Army, 100% disabled, exposed to Agent Orange. He suffers from PTSD. She testified that they went to a Branson sales centre and purchased 3,000 points for $16,030.  They wanted to learn how to use the system but were told to come back within 90 days for an orientation. They attended an orientation in November 2015. At the orientation, they were told by Branson sales agent Kimberly that they had not purchased enough points. They ended up buying 27,000 additional points for $72,850 which they could not afford.

This brings to five, the number of Agent Orange disabled veterans harmed by their decision to purchase Diamond points:

  1. 70% Disabled Agent Orange exposed Army Veteran George Yamada who reported he purchased Diamond points as an investment. George is a pension administrator. https://www.opednews.com/articles/Let-s-Honor-our-Veterans–by-Irene-Parker-Fraud-180908-59.html
  2. A 100% disabled veteran, up-sold by a Diamond sales agent Inside Timeshare has received 21 complaints against. This veteran was issued a $170,000 1099 C after his loan was terminated. We pointed him in the right direction so his CPA could resolve the 1099.
  3. Leo Gomez was told he must switch from Premier Vacation Club to US Collection because his resort went bankrupt. Leo only had 30 days left to live when he contacted me, suffering from pancreatic cancer. He did not call to complain. He wanted to know what he could do about the loan. It was not true Leo needed to switch from PVC to US Collection. I own the same points. Leo was 100% Agent Orange disabled. His last words to me were, “I want my story told.” Leo earned two Purple Hearts. https://www.opednews.com/articles/A-Fourth-Agent-Orange-Vete-by-Irene-Parker-Fraud-180917-513.html
  4. A 100% disabled Agent Orange veteran earned a Purple Heart because he had been shot in Vietnam. His dispute has been resolved.

These veterans put their life on the line to protect me. I will do all I can to do my part to reform timeshare because of the 806 families who have contacted Inside Timeshare, 103 veterans and active duty service members. Five Agent Orange veterans so stressed because they purchased too many timeshare points are five Agent Orange disabled veterans too many.

Attorney Charles Meltz asked about the likelihood of someone age 88 meeting the obligations of a ten-year loan.

Diamond’s attorney Richard Epstein of Greenspoon Marder responded,

“Are old people allowed to take vacations?”

This comment follows recent publications describing how the Lusk family, nearly 90, were sold $150,000 worth of timeshare points, as reported by USA Today and Diane Burkhardt’s father sold $250,000 worth of Diamond points between the ages of 86 to 88, after Diamond refused to take back the timeshare that her father had purchased and paid for free and clear at age 85, reported by Consumer Affairs.

Inside Timeshare has heard from way too many seniors who purchased a timeshare from several developers. These seniors are stressed beyond words. Most have maintained a high credit score their entire life, now bracing for timeshare foreclosure. They signed off on high-interest rate loans and sometimes higher interest rate credit cards.

Seniors don’t need this.    

Lawsuit details:

Diamond Resorts International Inc, Diamond Resorts U.S. Collection Development, Hawaii Collection Development LLC, and Diamond Resorts Management Inc, filed a lawsuit against Austin N. Aaronson and Aaronson, Austin, PA.

Case No. 6:17-1394-ORL-37-DCI

Attorneys Richard W. Epstein, Jeffrey A. Backman, and Olga M Vieira of Greenspoon Marder LLP are plaintiffs’ attorneys. Mr Aaronson is represented by Charles J. Meltz of Grower Ketcham, Eide, Telan & Meltz, P.A.

As reported by ABA Journal January 30, 2018:

Diamond Resorts had claimed Aaronson and his law firm solicited timeshare members in an advertising campaign that weaves a false narrative, causing timeshare members to stop contract payments and subjecting Diamond Resorts to baseless arbitration proceedings.

Aaronson had claimed his firm’s advertising was not false or misleading because it constituted opinion or puffery.

http://www.abajournal.com/news/article/judges_refuse_to_toss_suits_claiming_law_firms_interfered_with_timeshare_co

Mr Meltz, attorney for Aaronson, reported how Diamond maintenance fees had more than doubled from 2007 to 2015 from $.07 per point to $.145 per point and that there is no secondary market for Diamond points.

After Thursday’s lunch break, Judge Dalton would not allow Diamond’s next witness to testify. After a consultation, attorney Richard Epstein announced that they had reached a settlement. He then asked Judge Dalton to instruct me not to report details of the settlement. Judge Dalton kindly said to me that I could report that the lawsuit was resolved by settlement.

Two additional Plaintiff witnesses had testified. The first was Kathleen Wheeler, who serves on several Diamond Resort Boards. She is one of four asset managers. The second was Lisa Levere, VP of Operations and Financial Services. Both testified as to the audited care and attention taken to ensure maintenance fees are not misappropriated. Due to the settlement reached, the defence did not have an opportunity to call any of their witnesses to support their allegations that Diamond misappropriated maintenance fees. I was looking forward to hearing how witnesses called by the defence were to support their claims.

I was employed by CASA, Court Appointed Special Advocates for children in foster care. For three years I wrote court reports and edited our volunteers’ CASA reports. I attended all hearings and trials. I miss Family Court, so I have to admit I am a courthouse buff. Following are the trials remaining for the rest of 2019:

Westgate v. Mitchell Sussman, Esq. – 6:17-cv-1467 (MD FL)

July 1, 2019 trial before Judge Dalton (cross-MSJ’s pending)

OL v. RHA 17-cv-1542-Orl-31DCI (MD FL)

August 5, 2019 trial before Judge Presnell (cross-MSJ’s pending)

Wyn v. Totten Franqui Law Firm 9:18-cv-81055 (SD FL)

September 10, 2019 trial before Judge Middlebrooks

I will be there

We seek to provide timeshare members with 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://everythingabouttimeshares.com/consider-exchange-options/

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

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

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

Thank you, Irene, Inside Timeshare and our readers really appreciate you giving up your valuable time to attend the hearing and covering this story. One thing is certain, Inside Timeshare will continue to report on Diamond Resorts and any other timeshare company, we do this in the interest of our readers and all consumers. We make no apology about it and do not really care if it upsets the industry!

If you have any comments on this or any article published, please use our contact page, we welcome and value them.

Have you had a “Nightmare on Timeshare Street” if so, we would love to hear from you. If you would like your story to be shared with our readers lets us know and we will be happy to publish.

Start the Week: Hotel Employees to be Laid off in Hawaii

Welcome to the start of another week in the world of timeshare, unfortunately, we begin with bad news. It has been reported that around 78 employees have been given notice at the Modern Honolulu Hotel, a Diamond Resorts owned property.

Modern Honolulu

The Modern Honolulu is a full-service hotel, purchased by Diamond Resorts in April 2018, it is also one of the 21 hotels and timeshares in the network of Diamond Resorts managed or affiliated properties internationally.

Diamond has expressed an interest in either partially or fully converting the hotel into timeshare use. They have also planned on reducing guest services such as daily room service, banquets, meetings and catering. It has also been reported they have not yet received any timeshare registration approval from the Department of Commerce and Consumer Affairs or any of the relevant permits required to build or renovate hotel rooms for timeshare use.

The layoffs will account for around 30% of the workforce, it will impact many departments such as housekeeping, banquets, pool, in-room dining, reservations and of course the bar, restaurant and kitchens. These workers are being represented by the trade union UNITE HERE Local 5.

According to Gemma Weinstein, President of Unite Here Local 5, “Timeshares have shown over and over again that they hurt Hawaii more than they help. They pay less than hotels, the work is harder, and they provide less jobs. They negatively affect the guests’ experience in Hawaii by charging exorbitant maintenance fees while cutting guest services. Companies like Diamond Resorts are bad for Hawaii.” She also pointed out that this is going to destroy the lives of 78 families.

One worker a housekeeper at the Modern Honolulu expressed her fears that this was going to hurt her family, she holds down three jobs to support them, but the job at the Modern is the only one that provides family medical coverage.

It is also noted that this decision comes very close after Diamond Resorts CEO Mike Flaskey informed Fox News that “his company is benefiting from the Trump administration’s tax cuts and deregulation.” It was also reported that Diamond Resorts in March “failed to issue paychecks to workers on time, resulting in workers incurring fees and penalties.”

Readers of Inside Timeshare are very familiar with the stories of the sales tactics of Diamond Resorts, with the incessant preying on the elderly and the many disabled service veterans we have highlighted. This is just another in the sorry tale of a company that seems to have no morals, just an insatiable appetite for money.

We will keep you updated as and when more information comes in, follow the links below for more on this story.

https://www.hawaiinewsnow.com/2019/05/03/dozens-employees-be-laid-off-waikiki-hotel-converts-timeshare/?fbclid=IwAR1pEMhF0qwr2FAe81n5c5xCUr-f_az49719GUkbvC0Q3F4FWzePHHVwTmY

Tomorrow we continue with the Diamond v Aaronson trial where Irene Parker reports on days 2 and 3 and the early ending of the trial. So join us again tomorrow.

Friday’s Letter from America

Welcome to another edition of Friday’s Letter from America, this week Inside Timeshares Irene Parker reports on day 1 of the trial she attending in Orlando, Florida. This is a case between Diamond Resorts and Aaronson Law Firm, this is yet another law firm being taken to court by the timeshare industry.

So unlike our usual Friday editions, we will forego news from Europe and go straight to Irene’s report.

Diamond Resorts v Aaronson Law Firm Trial

Day 1 of 6: Jury Selection and Opening Arguments

Anatomy of a Timeshare Trial

By Irene Parker

May 3, 2019

Having recently experienced Part I of a deposition that lasted six hours against another law firm that provides timeshare exit assistance, I was motivated to attend a six-day timeshare trial in Orlando District Court that began Tuesday, April 30. The cost of a deposition or a six-day trial is staggering. Ultimately, the timeshare member pays. It’s too bad we can’t just sit down and talk to each other, but I guess attorneys have to make a living.

Diamond Resorts International Inc., Diamond Resorts U.S. Collection Development, Hawaii Collection Development LLC, and Diamond Resorts Management Inc, filed a lawsuit against Austin N. Aaronson and Aaronson, Austin, PA.

Case No. 6:17-1394-ORL-37-DCI

Attorneys Richard W. Epstein, Jeffrey A. Backman, and Olga M Vieira of Greenspoon Marder LLP are plaintiffs’ attorneys. Mr Aaronson is represented by Charles J. Meltz of Grower Ketcham, Eide, Telan & Meltz, P.A.

As reported by ABA Journal January 30, 2018:

The Florida suit was filed against Orlando lawyer Austin Aaronson and his firm Aaronson, Austin. In a Jan. 26 ruling, U.S. District Judge Roy Dalton Jr. of Orlando tossed RICO and malicious prosecution claims by Diamond Resorts but allowed claims for false advertising under the Lanham Act, tortious interference with contract, trade libel and deceptive trade practices.

Diamond Resorts had claimed Aaronson and his law firm solicited timeshare members in an advertising campaign that weaves a false narrative, causing timeshare members to stop contract payments and subjecting Diamond Resorts to baseless arbitration proceedings.

Aaronson had claimed his firm’s advertising was not false or misleading because it constituted opinion or puffery.

http://www.abajournal.com/news/article/judges_refuse_to_toss_suits_claiming_law_firms_interfered_with_timeshare_co

Opening day started with jury selection. Six of the eighteen potential jurors reported a negative timeshare experience:

  1. Lots of pressure from a timeshare presentation in the 80s,
  2. Purchased Marriott 30 years ago, lots of pressure,
  3. Westgate was difficult to exchange and was unsellable. An attorney was contacted. The attorney said Westgate is not sellable. Timeshare is a waste of money.
  4. Negative experience,
  5. Agents are pushy and don’t give up,
  6. An engineer said he had a negative bias.

Judge Dalton explained that Plaintiffs are required to convince the jury that Austin Aaronson is guilty by a preponderance of evidence. Criminal trials require a stricter standard – beyond a reasonable doubt.

The four claims against Austin Aaronson are:

  1. False advertising that harmed the reputation of Diamond Resorts and caused damages,
  2. Tortious interference,
  3. Intentionally publishing disparaging information on a website,
  4. Deceptive and unfair practices.

There are a total of 134 joint exhibits.

Mr Epstein, attorney for Diamond Resorts stated that there are few complaints against Diamond Resorts. He alleged Aaronson accused Diamond of wholesale unsavoury conduct.

Mr Meltz, attorney for Aaronson, reported how maintenance fees had more than doubled from 2007 to 2015 from $.07 per point to $.145 per point and that there is no secondary market for Diamond points. He explained how Diamond Resorts controlled Board of Directors hires Diamond Resorts managers to manage Diamond properties. As to the claim that Diamond misappropriated maintenance fees, both sides will bring in accounting expert witnesses to prove or disprove how maintenance fees were misappropriated.

In a lighthearted moment, Judge Dalton asked one of the Plaintiff attorneys if she was chewing gum. She was. She was asked to leave the courtroom to dispose of her gum.

Judge Dalton instructed the jury not to read newspapers, Facebook posts or blogs about the case. He said in the old day’s reporters attended the trials, but these days they just talk to those who attended as they exit the courtroom. He said he was amazed that when he reads an article about one of his trials, how little of what was reported actually happened in the courtroom. I was proud that Inside Timeshare will be in attendance for the duration of the trial taking copious notes.

Inside Timeshare and our readers just want the timeshare industry to admit that unfair and deceptive sales practices exist on the front end of the sale. I have always said half a problem goes away when confronted, but I doubt this will happen.

I have contacted four timeshare exit providers. Two of the larger firms report receiving 3,000 calls a month from members desperately seeking release from a timeshare contract. These firms only accept 100 to 150 cases as they require a strong case of unfair and deceptive practices. This stay vacationed or else strategy has created a timeshare exit industry timeshare developers want to crush, but Social Media is not going to put this Pandora back in her box. The lack of a secondary market is financially devastating family after family.

Greenspoon Marder contends all is well because Diamond Resorts has 460,000 timeshare members with few complaints. I feel 6,000 families reaching out to just two timeshare exit providers monthly is a real problem. There is no other product that has spawned an entire industry devoted to responding to customers with nowhere to turn, desperately seeking release from unused and unwanted timeshares. Many report they learned they were duped just days or minutes past the rescission period.

In Florida, timeshare division reviewers received 1,600 complaints in 2017 and 1,600 complaints in 2018, mostly about the initial sales presentation, 50% seniors. The AG engaged 42, mostly about timeshare resales. That means 1,600 families annually feel they were duped by a timeshare, there is no secondary market, maintenance fees doubled in seven years for at least one timeshare company, and this is not a problem.

Yes, it is.   

We seek to provide timeshare members with 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://everythingabouttimeshares.com/consider-exchange-options/

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

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

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

Than you Irene, we look forward to further reports on this trial and I’m sure that all Inside Timeshare readers are hoping that the outcome will be in Favour of Aaronson. One thing is certain, Diamond does not like criticism, but Inside Timeshare will continue to publish the “Nightmare on Timeshare Street” stories of our readers, be they Diamond or any other timeshare company.

In Spain, Diamond has lost in the courts for selling illegal contracts, along with other timeshare companies, many of them are the big players in Europe. Spanish timeshare law is based on the European Timeshare Directives but has been strengthened to protect consumers of unfair, misleading, predatory sales tactics and illegal contracts. It leads the way in Europe and we may see other countries following suit.

If you have any comments on this or any article or have a “Nightmare on Timeshare Street” story of your own, then use our contact page and get in touch we look forward to hearing from you.

Have a great weekend and join us again next week.  


Friday’s Letter from America

Welcome to this weeks Letter from America, today Irene Parker sets out instructions on how to file complaints with the FBI and the FTC (Federal Trade Commission). Unfortunately, many of the requests for help Inside Timeshare receives fall into the category of fraud, yet the industry still does not recognise that they need to change.

Before we start a bit of news from the Spanish Courts.

The lawyers from Canarian Legal Alliance have been at it again this week with a resounding 25 sentences issued against timeshare companies.

These have been broken down as 3 issued from the High Court and 22 from the Court of First Instance. With Anfi receiving 24 judgements against them and Club La Costa receiving 1. The Club la Costa case was heard at the court of First Instance in Fuengirola, Malaga and is the very first case to involve one of CLA’s Spanish clients. (Click on the PDF below for the court sentence).

The other cases were clients from the UK and Scandinavia, with most receiving double the deposits paid and the return of legal fees, all contract were also declared null and void.

The total amount awarded in all these cases is a staggering 828,329€. So congratulations to the clients and also the entire legal team at Canarian Legal Alliance.

Now for our Letter from America.

Timeshare Accountability Group™

FBI and FTC Filing Instructions and Talking Points

April 26, 2019

By Irene Parker

When timeshare members feel they have experienced unfair and deceptive timeshare sales practices, the member should first reach out to their resort in an attempt to resolve the dispute. If informed, “You signed a contract” or “We are not responsible for what our sales agents say,” file a Better Business Bureau complaint and file a complaint with the Attorney General from the state where you signed a contract.

Unfortunately, some timeshare complaints meet the FBI definition of white-collar crime. If the complaint is of a nature that meets the following description, file with the FBI at IC3.gov or file orally by contacting an FBI field office.

# 1 IC3.gov

Timeshare fraud falls under White Collar Crime/Mortgage Fraud/Financial Institution Fraud/Fraud for Profit. click on the link below to read about mortgage fraud. The general definition of white-collar crime is “deceit, concealment, violation of trust, and bait and switch.”  

Fraud for profit: Those who commit this type of mortgage fraud are often industry insiders using their specialized knowledge or authority to commit or facilitate the fraud. Current investigations and widespread reporting indicate a high percentage of mortgage fraud involves collusion by industry insiders, such as bank officers, appraisers, mortgage brokers, attorneys, loan originators, and other professionals engaged in the industry.

Fraud for profit aims not to secure housing, but rather to misuse the mortgage lending process to steal cash and equity from lenders or homeowners.

The FBI prioritizes fraud for profit cases.

https://www.fbi.gov/investigate/white-collar-crime/mortgage-fraud

To file a complaint with the FBI, select IC3.gov from the three choices available. It’s confusing because IC stands for Internet Crime, but it doesn’t have to be about internet crime. That’s just the name of the portal. You can file a complaint on behalf of someone else. At the end of the form it will ask if you are filing on someone else’s behalf.

https://www.ic3.gov/default.aspx

Some of the information that the IC3.gov online form asks for is not necessary – fields like routing numbers, bank addresses. Don’t worry about having all that information. They are not required fields. Victim bank is the bank from where you made payments or the credit card company. Subject bank is where you send your payments.

If you receive additional information after filing an original complaint, there is a handy box to check that asks, “Is this an update to a prior report?” Start the complaint over, but check that box to add the new information.

Step #2 File an oral FBI report 24/7

You can also file orally by contacting an FBI field office. Contact the field office where you signed a contract. Members have reported some agents have spent one or two hours on the phone with them. One member met with her FBI agent!

When you call the field office, select “Submit a Tip” then wait for the white-collar crime prompt. One person ended up in the wrong pew of the right church told they had to have lost a million dollars or more to file a complaint. That’s not true.

Members report the FBI has been responsive, but the FBI agent needs to be convinced getting a lawyer will do nothing to stop the problem of timeshare fraud for profit. Timeshare companies have armies of lawyers and they can drag a proceeding on forever until the member is broke. It is an understatement to say timeshare attorneys don’t look favourably on the arbitration process.

In Florida call the Tampa Field Office

https://www.fbi.gov/contact-us/field-offices/

Whether filing at IC3.gov or orally, you can provide the name and phone number of other victims, especially if you are aware of similar complaints. That way the FBI can look up other reports directed against the same repeat offender sales agent.

Sheila Brust’s article, “Just the Facts, Ma’am” is about her experience reaching out to the FBI. Sheilah worked for New York Governor’s Office of Employee Relations. The FBI advised Sheila to file with the Secret Service because her allegation also involved credit card fraud.

www.secretservice.gov                                                       

Don’t expect to hear back from the FBI. They don’t work like that. That doesn’t mean they are not listening. It takes volumes of complaints and a pattern of complaints to launch any investigation, whether with the FBI or with an Attorney General.

Filing your own complaint requires dedication and perseverance. Resolutions can be accomplished, empowered with information the member needs to take matters into their own hands. Thinking beyond their own dilemma, members can become one of our volunteer Supporters to help others.

Our Complaint Instructions were revised by a millennial timeshare buyer who followed our complaint instructions to resolve her dispute.

How to File a Complaint revised January 25, 2019

Timeshare member complaints tend to start out convoluted and confusing. We suggest having a friend or neighbor, not familiar with timeshare, read your complaint to see if it makes sense. Provide examples. Expect to be denied. Read the reason for dismissal and respond with a rebuttal.

Saying things like “I can’t afford this” is useless. You can’t go to your home mortgage lender and say “I can’t afford my home mortgage” and expect them to take your house back. You signed a legally binding contract. If there was no deception, you are bound by the contract, although it’s possible to request a contract cancellation due to medical or financial hardship.

We refer to a lawyer about one in ten times when all else fails, or the member does not have the time or energy to follow our process, which is admittedly timeshare consuming. A list of reputable law firms is provided upon request.   

#3 File with the Federal Trade Commission

The FTC online form has a “Timeshare Sales” option. It’s not easy to find. Instructions are in this article. Don’t be discouraged by receiving only a “Here’s some timeshare tips!” response. https://insidetimeshare.com/the-tuesday-slot-13/

Extra Talking Points

You must inform the FBI agent why you experienced unfair and deceptive sales practices. The agent you speak with may know nothing about timeshare basics. Explain the contract is perpetual, there is no secondary market, and when members complain, the company often hides behind the oral representation clause.

Your mission is to convince the FBI that this is not about only a few complaints. This article “Timeshare Foreclosure Explained to Lenders” lists just a few of the Attorneys General investigations and lawsuits, and the St. Louis Better Business Bureau report tells consumers what to watch out for:

Timeshare Foreclosure Explained to Lenders

St. Louis BBB report

https://www.bbb.org/en/us/article/news-releases/18149-dont-fall-for-deception-pressure-and-traps-disguised-as-vacations-a-better-business-bureau-study-of-the-missouri-timeshare-vacation-club-industry?bbbid=0734

Why doesn’t the government do something about this?

  1. There is no federal enforcement,
  2. Timeshare Attorney General Investigations and settlements are usually mere financial speed bumps, comparable to fining an NFL player $10,000. One exception is The Manhattan Club settlement. https://nypost.com/2017/08/17/new-york-ag-reaches-6-5m-settlement-with-manhattan-club
  3. When a member complains, they are shown their initials on the fine print,
  4. Retaining an attorney will not stop unfair and deceptive business practices,
  5. Litigation is time-consuming and expensive,
  6. Arbitration is widely known to be pro-industry. If you lose you can end up paying the resort’s arbitration fees. The resort hires the arbitrators.
  7. The CFPB has been rendered ineffective. Even in the CFPB heyday members could not file a complaint because the borrower often doesn’t even know the name of their lender. You had to select a financial institution from the dropdown menu and timeshare companies are not a choice.
  8. Some lawmakers may be influenced by lobby dollars, as reported by The Daily Courier. https://www.dcourier.com/news/2019/apr/16/opt-out-provisions-timeshare-bill-no-longer-table/
  9. Some state AGs turn a blind eye. At a Florida legislative workshop in Tallahassee March 12 of this year, the spokesperson for the Florida AG reported their office received 1,600 annual timeshare complaints in 2017 and 2018, mostly about the initial sales presentation, 50% seniors, of which the AG engaged only 42 of the complaints, mostly about resales. This spells no enforcement. The Nevada Real Estate Division responded to all our readers with a “You have no proof letter.”
  10. Timeshare members give the ARDA ROC Political Action Committee approximately $5 million dollars annually, often “Opt-Out” donations. We have heard from over 800 timeshare members. Not one could tell us what ARDA ROC even stands for. ARDA ROC vigorously opposed recent proposed pro-consumer changes in Arizona.  

Let us know if you are active duty military, law enforcement, a government worker or a veteran, as we are supported by WhistleBlowers of America. They added timeshare fraud to their March 14, 2018 report before the Committees on Veterans’ Affairs (the Consumer Financial Protection Bureau has since been all but dismantled and we changed our name from TS Advocacy to Timeshare Accountability Group):

United in Speaking Truth to Power

www.whistleblowersofamerica.org @whistleP2P

601 Pennsylvania Ave, South Tower, Suite 900 Washington, DC 20004

Statement of

Ms. Jacqueline Garrick, LCSW-C

Executive Director

Whistleblowers of America

Before the

Committees on Veterans’ Affairs

U.S. Senate

U.S. House of Representatives

March 14, 2018

House and Senate Committee Members:

Whistleblowers of America (WoA) was incorporated in 2017, as a newly focused nonprofit service organization providing peer support to whistleblowers, so we are honored to be able to share our concerns with you today. The majority of our contacts are with Department of Veterans Affairs (VA) employees or veterans who have identified waste, fraud, and abuse, medical errors, denials of care or benefits, discrimination, harassment or bullying.  For doing so, they have suffered reprisal and retaliation. From the report:

Fraud and Scams Against Veterans:

Although WoA recognizes that it is not inherent within the VA mission to protect veterans from fraud and scams that could cost them their benefits, it suggests that it could be assistive in educating veterans against these unscrupulous tactics. For example, WoA has had multiple complaints from veterans related to timeshare deceit and bait and switch tactics, which are defined by the FBI as fraud for profit.  Often elderly veterans are mentioned as being targeted by the Timeshare Advocacy Group, TM which fights for active duty and retired military who fear losing their security clearance, career, homes or other assets.  Foreclosures and financial distress because of these misrepresented investments are happening every day to elderly disabled veterans and their families. In the past, VA has cooperated with the Consumer Financial Protection Bureau (CFPB) over mortgage and other loan scams that caused financial hardships for veterans.  Home loans and timeshare loans are identical as both are reported as foreclosures. WoA asks that Congress consider a role for the VBA Employment and Economic Initiative (EEI) could play in cooperation with CFPB to educate and protect veterans from unscrupulous financial predators and fraudulent practices.

Consider a donation to Whistleblowers of America if you have been helped by Timeshare Accountability Group™

It’s remarkable that a timeshare member must go through this many stressful hoops concerning a product that was sold to be stress reducing. If you have skills that could help others, consider becoming a Supporter. Contact TAG.

Related articles:

3Rs or F of Timeshare

The Timeshare Tax Trap, February 26, 2019

Arizona HB 2639, March 1, 2019

Arizona HB 2639, March 5, 2019

Florida HB 435, March 15, 2019

Florida HB 435, March 19, 2019

Nevada SB, March 22, 2019

Arbitration October 24 2017

Member self-help groups

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://everythingabouttimeshares.com/consider-exchange-options/

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

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

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

Thank you Irene, this information should prove a great help to many of our readers, it is just a shame that we have to resort to this type of action. One day the industry may just realise that it is through their own greed that they are on the receiving end of so many complaints.

Once again the weekend is upon us, whatever you are doing and wherever you are, have a great weekend and join us next week for news and information on the murky world of timeshare.