Can It Get More Deceptive?

It’s almost impossible to believe that this level of deception took place during one sales pitch. However, I have no reason to doubt the authenticity of this saga. 

I’ve redacted the name of the developer in question for purely selfish reasons. I have no interest in receiving a subpoena and this developer has a history of attempting to make things miserable for those individuals who threaten to uncover some of the less consumer friendly practices they routinely employ. They’re a real “gem.”

I purchased "points" with REDACTED the end of August when celebrating a friend's birthday weekend. I was provided misleading and false information by the sales representative into the inducement of purchasing. 

She advised 30,000 points was equivalent to 60,000 points as the value doubles in the first 4 months of the year and that 30,000 points could be transferred to $9,000 to cover the yearly maintenance fees and still have leftover for vacation. My friend was with me at the time and asked over and over specifically about this because it seemed as if we'd then be making money on the points. Melinda, the sales rep, assured us this was true. She also advised I could sell weeks to friends or family to add to the value. 

Lo and behold I've found out almost everything she stated was a lie. It's been 3 months and I've been trying to get out. I paid nearly in full, my entire savings, of $60,000. I'm a single mother to three small children and was not expecting to have to pay maintenance fees as the points were to cover this as I was promised. 

I've now taken out credit against myself to pay an attorney to get me out. I tried to resolve with REDACTED stating I just wanted to give it back and I'll take a hit on the $60k I paid out of pocket just to be free. They were unwilling, despite that it's only been three months and nothing has been used. I'm desperately hoping my attorney will prevail as I don't have the funds to cover the $6,000 in maintenance fees they would be drafting January. It is not what I was promised or told. 

Also, my friend whom was with me was somehow added to my account even though he never signed any paperwork or has relation to me. And REDACTED is attempting to have the responsibility fall on BOTH of us when he never touched a paper or had any dealing with their shady tablet closings. His name is nowhere on the "title". If this doesn't go through I'm hoping not to be forced into foreclosure. As a single mother I regret entirely ever stepping foot into the REDACTED sales presentation. Lesson learned.

While this experience is disgraceful, I’m particularly angered by the fact that the developer refuses to take back the timeshare, despite the fact they have $60,000 in cash. The CEO of this developer is fond of touting the “fact” that they are part of ARDA’s Responsible Exit coalition. Several misinformed media sources parrot what this CEO says, without so much as a follow up question. One reporter was “surprised” when I informed her that this developer charged $1,000 per contract to get out. It seems the CEO neglected to mention that in his attempt to get out his narrative. 

Instances like this clearly illustrate the need for more comprehensive timeshare reform. A 24-hour cooling off period, as some are calling for, would do nothing to prevent these sales tactics. 

Guest Post-DelRay South Shore Club Needs Help

Delray South Shore Club, a timeshare condominium chartered in 1981, is one of the only beachfront properties left available for the average person as an economical vacation on the east coast of Florida. 2019 has seen a concentrated effort by speculators to sell this property to a developer despite the owners wishes to remain a timeshare resort.

In 2017 the BOD solicited, then received, an owners vote to continue as a timeshare. The scheme to sell the property began after this vote according to investigations by concerned owners.

A long time owner used many methods, including outright fraud to manipulate the BOD and Owners into consenting to terminate the timeshare and sell the beachfront property to developers. 

There is proof and the search of public records, real estate transactions, BOD meeting minutes and media reports reveal a paper trail. There is documentation of the intent to use the legal system, State Agencies and relationships with public officials and developers to obtain this property for their own enrichment. 

The Florida Condo/Timeshare Compliance Division was used by an owner over 20 times to initiate State compliance investigations and paperwork for the Association. In addition, this Owner sued the BOD for information not available to other owners for information on foreclosures and delinquents. This same Owner and an associate were elected to the BOD with questionably fraudulent resumes.

Unsolicited offers for purchase of the property were tendered with the BOD and Owners were not notified for three (3) months.  

Four out of seven BOD purchased auctioned weeks without timely notification to Owners. BOD members also purchased foreclosed intervals, weeks the Owners paid to have legally foreclosed on, from DSSC on information not shared with Owners for $10 to $500 each week.

The resort was sabotaged twice costing the Association over $20,00 in repairs.

This was reported to the Delray Police with the resort manager stating that he believed this occurred because a developer wanted to buy the property. 

Another survey was sent out by the DSSC attorney asking if the Owners wanted to sell with the count still in favor of keeping the resort.

The BOD has a full list of Owners and sends out missives while owners cannot communicate. The BOD consistently failed to make needed renovations and repairs to the property despite Owners payment of required assessments and maintenance fees.

Despite the Owners expressed wishes to remain a timeshare resort the BOD sent out a proxy vote to all owners regarding the termination of the timeshare and sale of the property. The ‘ballot’ cited renovation/repairs in excess of 1.5 mil not based on any contractor quotes. The ballot was confusing with owners having many questions not answered by the BOD. The DSSC attorney, citing a 92% compliance rate stated, an overwhelming consent vote to terminate and sell. The proxy was not sent as required by Florida Law and there is over 5%, actually 12%, of the Owners that do not want to sell

The BOD is now in a ‘trustee’ position. Nothing is being repaired and the Annual Owners Meeting and Elections required by Association bylaws has been cancelled. 

This property will be sold at below market value to developers that will bulldoze the resort and build multi-level beachfront condos for the wealthy, $5-10 million each.

The BOD was not honest and did not fulfill their fuduciary responsibility to Owners, a legally binding responsibility. The BOD misinformed, failed to inform and used outright disinformation to obtain the result they wanted, the termination of the timeshare and sale of the property to their own benefit. The BOD engaged in self dealing to enhance their financial windfall at their own direction.

Four of the Owners have initiated a lawsuit to stop the sale of the property. The suit asks the court to have the BOD return the fraudulently purchased intervals, toss the flawed proxy vote, order continued operations as a condo association for regular people to vacation until settlement of the suit. The court is asked to require the property to be placed on the open market for a fair bid with detailed information for the Owners to decide to sell or stay. 

These developers have money and connections while we ‘regular people’ from all over the country cannot even communicate the real facts nor request support.

Want to know more? See the website at https://bit.ly/delrayssc

To help us fight big real estate money contribute to the legal fund at https://www.gofundme.com/save-south-shore

e-mail with comments:

transparencyssc@gmail.com

Here’s Another Consumer Crying Foul

This is an actual post/complaint which clearly illustrates the fact that some, perhaps too many, consumers are abdicating their responsibility when it comes to timeshare matters. I have redacted the developer’s name because it’s not about them; it’s about the consumer. 

The sales person kept me for about 4 hours and lied to me about the value of the shares and he also said I can cancel it any time and there is nothing to lose (all Lies) to make me buy the package.

The value of the shares were almost 1/10 of what he told me and I have not been able to cancel it either. It is impossible until after the whole price is paid.

He told me I don't need to read the manual because it's boring and he has told me what I need to know, but he hadn't and cost me $US15000 plus months of stress and sleepless nights.

I can't ever forgive them. Don't bother buying these shares, they are only working for their own benefits not yours.

I am having a hard time finding any empathy for consumers who allow themselves to be put in these situations. There are serious problems that need to be addressed in the industry. Addressing this just wastes time and energy.