A Resort Lawsuit
The latest Resort lawsuit is in the works, with action being taken by the New York State Attorney General’s office recently at the hotel’s headquarters in Manhattan.
NY State Attorney Eric Schneiderman initiated proceedings on Friday, July 25, 2014 to prohibit any further sale of timeshares by Midtown Manhattan’s venerable resort.
The legal action was instigated in an effort to investigate complaints submitted by multiple timeshare owners, who claimed they were blatantly misled into making the purchase with promises of availability and that rooms at the hotel were reserved for the use of timeshare owners only.
The attorney general elaborated in a public statement that the investigation was in response to the specific complaints made by timeshare owners who were denied usage of rooms based on unavailability, while the hotel kept rooms available to rent to the general public.
Additional Resort complaints surfaced, including aggressively increasing maintenance fees to the point where owners were forced to sell their timeshares for $1, just to alleviate their maintenance fee responsibilities.
Schneiderman acquired an order from the court banning any further timeshare sales at the resort. The hotel’s proprietors and representatives were ordered to show up in court at a later date to provide more information concerning their sales methods and other practices.
Timeshare owners purchased the rights to use the hotel’s rooms and facilities for a specified period of time every year. Problems are arising from the sale of these timeshares at the hotel due to the fact that, although there are only 286 rooms in total, timeshare rights have been sold to over 14,000 members. This causes a shortage of available rooms on prime vacation weeks, as well as the fact that prior to purchase the owners claimed that they were told rooms would only be for the use of timeshare owners, when in fact a block of rooms are made available to the public…further decreasing availability to owners.
The Attorney General revealed that he’d arranged an undercover investigation earlier this year to tape the sales presentation carried out by the resort, which they bill as the “Vacation Ownership Experience.” The undercover investigators found proof that the club’s sales methods utilized what is termed as a “bait and switch” scam, where customers were assured that as owners, they can easily book rooms at the times they prefer, and that rooms at the resort were not made available to the general public.
The club’s sales plan revealed that rooms were, in reality, rented out to the general public. The attorney general’s investigation implicated the club illegally holds back the true details of the operating plan from buyers until well after they’d actually signed contracts and acquired their memberships.
On behalf of the Resort’s developer, the Continuum Company, Mr. Eric Yaverbaum made a public statement expressing that the company intends to cooperate fully with investigation. Among those named to appear before the court is Ian Bruce Eichner, founder of the Continuum Company.
Certain timeshare owners have stated that in order to even have a hope of reserving a room at the hotel, they must book their stay a minimum of 9 months ahead of their intended arrival. As well, there has been an exorbitant increase in the annual maintenance fees over the years that has made timeshare ownership an unexpected financial burden that many owners cannot reasonably justify.
Other timeshare owners at the resort even stated that they’d owned their timeshares for over a decade and were never able to use the facility when they wanted or needed to, paying upwards of $2,000.00 a year for a timeshare that was virtually unusable to them. Timeshare owners reported a 200 percent increase in associated ownership fees over the preceding 10 years.
This is not the first time the resort has been subjected to legal scrutiny. At least twice, timeshare owners have initiated legal action with a resort lawsuit(Another Lawsuit in 2015) …with lackluster results overall having little real impact on the timeshare industry at large.
One resort lawsuit was settled out of court, while the other found dismissal by an appellate court judge. In the court of appeals, it was decided that the hotel had, in fact, divulged the information to timeshare owners that their rooms may actually be rented to anyone at the management’s discretion.
While hotel receptionists would declare there was no vacancy when timeshare owners would call to book accommodations, suites actually reserved and offered to the public with a $450-a-night price tag on the internet to tourists.
The sad truth is, the misleading, shady business practices and sales tactics that the resort is being singled out for are common among nearly all timeshare sales teams. Of course, it is great news that the New York State Attorney General is cracking down on the Resort in 2015 for taking advantage of timeshare owners and not fulfilling their promises. Unfortunately, all too often suits similar to the Resort’s lawsuit are dropped or settled out of court, which further encourages the misbehavior of the timeshare industry. They know that they can keep making billions of dollars using deceptive sales tactics with the risk of the occasional slap on the wrist.
This is why it is so urgent for timeshare owners to take action as soon as possible. Those who have woken up to the slippery timeshare schemes, scams and slight-of-hand maneuvers they are subjected to for having bought into a timeshare in the first place should seek the help of Redemption and Release, LLC. Simply going along with whatever charges, fees and “policy changes” that the timeshare resorts rope them into can literally cost timeshare owners upwards of $100,000.00 or more over their lifetimes…and then be passed on to future generations!
One must truly look at the big picture of their financial futures to understand how important it is to nip timeshare treachery in the bud and liberate themselves from contracts that do not have their best interests taken into consideration. In fact, it is quite the opposite.
Contact the Timeshare Redemption experts at Redemption and Release today for a personal FREE NO-OBLIGATION TIMESHARE CONSULTATION and find out how you and your family can benefit by getting out of your timeshare IMMEDIATELY with no further obligations to timeshare companies who have every intention of raising your maintenance fees to further improve their own bottom lines and boost their stock prices, at your expense.
Call Redemption and Release now toll free at (888)743-9051 to cancel your timeshare and attain Timeshare Freedom.