Following on from yesterday’s article on the constant appeals to the High Court by Anfi and their attempt to either avoid or delay court-ordered payments, we today bring you the news of one company that is doing the right thing. Once again the timeshare company involved is Marriott Vacation Club. As we have published on several occasions, Marriott does appear to be acting in a much more responsible manner compared to Anfi, Club la Costa and Diamond.
The client’s contract which contained several infractions of Spanish Timeshare Law which have also been confirmed by 130 rulings from Spain’s Supreme Court was declared illegal and therefore null and void.
The main infractions were:
- The contract was in perpetuity, when the law enacted on 5 January 1999 clearly states that contracts after this date must not exceed 50 years in duration;
- Points and floating weeks are illegal as they contain nothing of substance, just the right of use subject to availability;
- Taking of any payment within the statutory cooling-off period, even by a third party.
In her judgment, the presiding Judge Maria Jesus Lopez Navarro has not only declared the contract null and void but also ordered Marriott to repay the client 108,895€ The Judge also ordered that 33,448€ be added to the payment in respect of illegally taken payments with the statutory cooling-off period, this is double the amount taken as confirmed by law and the Supreme Court. The judge also ordered the payment of legal interest.
Anticipating the right of Marriott to lodge an appeal with the High Court against the sentence, the CLA Lawyers immediately applied to the court for a “provisional execution of sentence order”. This order forces the company to deposit the required funds with the court, thereby securing payment for the client 100%, pending confirmation of sentence by the High Court.
In this case, Marriott complied immediately by lodging this money with the court, a move we have seen in virtually all Marriott cases.
There are several reasons for Marriott’s stance, first, this reduces the amount of money they have to pay in increased legal interest which the court applies to the awarded amount. By depositing the awarded amount to the court immediately, stops any further accumulation of further interest payments.
It also saves any further increase in the awarded amount as the High Court does have the ability to increase this especially if they find that the appeal was frivolous and designed to delay or avoid payment.
The other reason is one we have mentioned before, Marriott is listed on the New York Stock Exchange, as a result, they have a legal obligation to report everything to their shareholders in their annual reports. In the last two reports we have published, Marriott did inform shareholders of the increase in litigation costs and the fact they had been losing in the Spanish courts.
Below is a link to our last article on this subject from 30 March 2021, this article also includes links to both reports to shareholders and the Securities Exchange Commission.
Information has just been received of a massive victory for Canarian Legal Alliance and one of their Danish clients.
The High Court Number 5 of Las Palmas has confirmed the sentence of the Court of First Instance Number 2 of SBT against yet another appeal by Anfi.
Once again this court has dismissed the Anfi appeal and confirmed a massive award of 251,401€, this also included the payment of 38,925€ which is double the amount taken illegally as a deposit. Added to this will be legal interest and legal costs.
The illegal contract was also confirmed to be null and void in accordance with the original sentence.
It is quite clear the Courts of First Instance and the High Courts especially are following the law and rulings of the Supreme Court to the letter, it is just mind-boggling that these timeshare companies still believe the law is wrong and continue to appeal at every turn.
If you would like further information on this subject and whether you have a valid and viable case, please use our contact page and Inside Timeshare will get back to you.