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Club la Costa Fractionals

It’s Friday!

Welcome to the end of another week and the end of our first week with the State of Emergency being lifted, although there is still a long way to go before we see life returning to full flow. One thing that has not been slowed down with the current situation is the number of “scam” companies that have been contacting members of companies such as Club Class and moreover Eze Group. On Wednesday we highlighted yet another Morales and Maxwell, the following day we received yet another email from a reader that has been contacted by them.

Our new reader who is a former client of Eze Group was contacted by one Helen Jones, who claimed that she was working for the government and that they had intercepted a cheque from Morales & Maxwell. I just wonder how they intercepted the cheque?

According to Helen (a civil servant), she was making enquiries to ensure that this was not a “money laundering” operation and that everything was above board. Helen even went as far as giving them the Spanish telephone number for Morales & Maxwell!

Our reader had then to sign a document and provide copies of their passports or driving licences to have the funds released. The following day they received a call from a “lawyer” in the Malaga courts, he explained that he was helping them to obtain and release the funds they claim have been seized by the courts in Malaga.

The following day the “lawyer” called again and this time sounding very convincing, he explained that in order to release the funds lawyers fees of £2,200 had to be paid. If this was not done then they would lose the money and it would go to the government.

Luckily they decided to do a little checking for themselves and came across the article published on Wednesday, they even told the “lawyer” what they had found and read, but this did not seem to put him off in fact just the opposite. Needless to say, they didn’t pay.

Again this is a classic example of why you need to do your due diligence before engaging with any company or paying the huge sums of money they require.

Link to Wednesday’s article.

https://insidetimeshare.com/eze-group-clients-being-targeted-jsd-update/

Some interesting news has emerged from the Court of First Instance in Fuengirola, against Continental Resort Services SL, a selling agent for Club la Costa Fractionals. In this case Club la Costa and Continental Resorts petitioned the court to reject the case on the grounds of Jurisdiction. CLC & Continental claim that the contracts under the terms and conditions were subject to UK law and the Jurisdiction of UK courts.

Fuengirola Court

This was duly rejected by the court in accordance with recent rulings by the High Court (Audiencia Provicial) of Malaga. The case was found in favour of the client with their contract being declared null and void with the return of over 30,000€ plus legal fees and legal interest.

In another twist to this case, the court also ruled that the loan agreement to purchase the fractional which was signed on the day of purchase, (which as we know is the usual practice), is considered under the law to be an “advanced payment” prohibited under the timeshare laws.

Below is a translation of the text from the court:

“that the subscription of a loan by the consumer within the terms of art. 11 constitutes a prohibited advance is ratified by the current Law 4/2012, of July 6, of contracts for the use in turn of goods for tourist use, the acquisition of long-term vacation products, resale and exchange and tax regulations, in whose article 13 is considered within the prohibition of advances the express recognition of debt or the assumption of any consideration by the consumer, before the end of the withdrawal period, that is, there is no need for any financial outlay by the consumer within the withdrawal period”.

This is in accordance with a ruling made by the Audiencia Provincial of Las Palmas de Gran Canaria in February 2013.

So it now appears that signing a loan agreement within the statutory 14 days cooling-off period is considered as an advanced payment which is prohibited, regardless of when the timeshare company receives the payment. So this may just mean that as with “deposits” taken on the day the courts could order the timeshare company to repay the client double the amount.

This case was brought on behalf of UK clients by the lawyers of Canarian Legal Alliance.

PDF of the court ruling translated by Inside Timeshare.

That’s it for this week and remember to do your due diligence when contacted by any company.

Have a great weekend.