The TCA has been keeping a close eye on the vast number of preliminary court cases being heard within Europe concerning unhappy owners in recent months.

Previously, the cases heard have been quite subjective and the burden was on the timeshare owner to prove that they had been unscrupulously conned into an “investment”, misrepresented or signed a purchase agreement under duress.

These cases, although difficult, have accounted for over 2 million euros in successful compensation claims seen through the European courts within the period of 2013 to 2015.  They have also seen some of the big RDO member’s pay out six digit sums within a single court case.

This also doesn’t account for suits that have been settled before court action or settled directly between the resort and clients with non-disclosure agreements signed to minimise the publicity.  The later unfortunately means that other clients in similar situations never get to know how they can recoup their money and sadly just continue paying, even when it jeopardizes the roof over their head.

Since the Spanish Supreme Court’s ruling this year, declaring certain contracts null and void, the speed at which a case can be put together and ruled upon has never been so quick and over 450,000€ already been paid out to timeshare owners since April.  Again – a lot of resorts are requesting that the compensation amount is “undisclosed” so this figure could easily be double.

In the majority of the cases the compensation amount is;

  • Full purchase price paid
  • Legal costs
  • Interest
  • Plus, DOUBLE any monies paid within the “Cooling Off Period” which extends to 3 months from the date of the purchase.
    • and in some cases each year’s maintenance fees, regardless if the ownership has been utilised during those years.

The highest, single compensation pay out that has been reported is for 130,000€ but on average each successful compensation claim is approximately 30,000€.

If you ever felt unhappy with the purchase made, now is the time to seek advice and see if you are due compensation.

 

 


Posted on: July 22, 2016

For more information regarding this article or assistance in any other timeshare related issues please contact the TCA on 01253 804 318 or email: info@TimeshareConsumerAssociation.org.uk


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