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Author Topic: Points Members and Home Owner Associations Updates from TS Today  (Read 8596 times)
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Date Registered: November 05, 2009, 03:24:59 pm
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« on: November 11, 2009, 01:51:33 pm »

RCI faces another Class Action Suit - Points
TimeSharing Today recently learned that a Points member filed a class action Complaint in the same United States District Court in New Jersey as the Class Action lawsuit by Weeks Members. There are similar allegations in the Points Complaint in that it states RCI engages in a "fraudulent, deceptive and unconscionable marketing scheme" by representing "that only members of the program can access the timeshares," whereas RCI actually engages in the "practice of skimming a large percentage of the timeshares from the system, including many prime timeshares, and renting them to the general public at a profit to RCI, or selling them to vendors who then rent them to the general public."
It is interesting to note that Count II of the 38-page Points Complaint includes: A Breach of Implied Covenant of Good Faith and Fair Dealing. ( See the article below: What the heck is an implied covenant of good faith and fair dealing?)
RCI has filed a motion to dismiss certain aspects of the Complaint. The court has not yet ruled on that motion. A case management conference, setting deadlines for pretrial discovery and other pretrial procedures, is scheduled for October 26, 2009.
If you have not yet read a complaint in a class action lawsuit, take a few minutes to view the Points Complaint at
TimeSharing Today will continue to follow events in this lawsuit as it has done in the in Weeks Members Lawsuit. Another Fairness Hearing in the Weeks Member suit is scheduled for November 30th.
To send your comments, email: Subject: Points Class Action
What the heck is an implied covenant of good faith and fair dealing?
According to The Free Dictionary, it is "a general assumption of the law of contracts, that people will act in good faith and deal fairly without breaking their word, using shifty means to avoid obligations, or denying what the other party obviously understood".
As an example: A homeowner signs a contract with a real estate broker to sell a house. However, the seller always has a reason why the broker can't bring over a prospective buyer or has the house in a complete mess when buyers do get in, so the house can't be sold.
The Points Class Action, mentioned above, includes a claim that RCI's actions are a breach of the implied covenant of good faith and fair dealing. because RCI's actions in skimming weeks from the Spacebank frustrates the plaintiff's expectations and thwarts the fundamental purpose of the agreement, which is access to the deposited weeks.
Please send comments to Subject: Good faith
Weeks Class Action update
Objectors to the proposed RCI Weeks Class Action Settlement are waiting for news regarding a Court determination on whether it will appoint a Lead Counsel for the Objectors.
Two attorneys have submitted applications to be named "Lead Counsel for the Objectors" in order to coordinate Objections and to enjoy more formal status in the case: Susan Collins, a matrimonial attorney from Western New York who owns 9 timeshare weeks, and who has extensive experience with timesharing and exchanges, and Stephan Willett, a former patent attorney whose parents own a timeshare week, and who is has some experience as a class-action attorney. TST's publisher, Shep Altshuler, who has attended the court appearances and has seen both attorneys in action, has supported the appointment of Ms.Collins as Lead Counsel for the Objectors.
A new notice about the proposed settlement is expected to go out within a few days. A link to the 38-page proposed settlement can be found at the bottom of RCI's log-in page. (Readers should be careful when printing the document, or they will print all 291 pages including the attachments!)
A summary of the major points of the settlement prepared by
TimeSharing Today can be viewed by Clicking Here:
What's a Contract of Adhesion?
According to The Free Dictionary, it is "a type of contract, a legally binding agreement between two parties to do a certain thing, in which one side has all the bargaining power and uses it to write the contract primarily to his or her advantage. An example of an adhesion contract is a standardized contract form that offers goods or services to consumers on essentially a "take it or leave it" basis without giving consumers realistic opportunities to negotiate terms that would benefit their interests".
Yup, you're stuck when you go along with an arrangement that fits the above description. So, our questions to you are:
1. Were previously aware of this clause?
ASSIGNMENT OF RIGHTS. By Depositing Vacation Time with RCI, each Member relinquishes all rights to use that Vacation Time and agrees that such Deposited Vacation Time may be used by RCI for any commercially reasonable purpose, including but not limited to the satisfaction of Exchange Requests, for inspection visits, promotions, rental, sale, marketing or for other purposes at RCI's sole discretion, including use in other exchange or accommodation programs.
2. Read it carefully. What does it mean to you?
3. When RCI says that Deposited Vacation Time may be used by RCI for any commercially reasonable purpose, are all uses reasonable?
RCI, as far as TimeSharing Today has been able to determine, relies on this clause when it insists it has the lawful right to rent weeks. When the Plaintiffs Attorney in the Weeks Members Class action law suit was asked if "other purposes" were ever questioned. The reply was that the focus of the lawsuit was on rentals.
Please email comments to Subject: Adhesion
So, why are we doing all this picking and poking?
TimeSharing Today believes a storm is brewing in the timeshare industry. Owners are moving beyond just complaining; they are organizing in many areas of the country and internationally and have either already turned to the courts or are getting ready to do so. Attorneys General have undertaken action to curb scams. It is our belief that 2010 may prove to be an explosive year for timeshare litigation that will affect developers, owners associations, management companies and millions of owners. A multitude of owners are realizing that they have lost control. In some cases, they have learned that they never really had control. Owners are tired of being manipulated, coerced and lied to. Some of these allegations have already been made public in the courts, in print and on various online forums and blogs. The word is out and it won't go away.
TimeSharing Today is committed to covering all aspects of the industry. We have been publishing a lot of painful stories. We have spoken directly to many concerned owners. They are desperate for change in an industry that has so much good to offer but can't seem to effectively regulate itself. The courts may be their only source for relief. But, there are also so many happy tales. Perhaps, many more than the tales of conflict and abuse. Let's never overlook the positive side of vacation ownership. Let's work toward raising the level of good faith and fair dealing every timeshare owner deserves. If we're stuck to a contract of adhesion, let's work toward having that contract result in happy, carefree timeshare vacations. 
Please email comments to: Subject: The industry 
Owners Groups
Ed Hastry-National Timeshare Owners Association.
First, I want to welcome all of our new members to NTOA.  Our membership continues to grow everyday because of all the support services that we offer. Also, members appreciate all the opportunities to meet and share ideas and learn from guest speakers about ways to get more value out of their timeshare ownership.
Shep Altshuler, TST publisher ,has often said, "Providing a means for owners to meet, is necessary to help everyone get the most out of their ownership".  Many of the topics covered in TimeSharing Today are open for discussion. Owners are facing many challenges about rising maintenance fees, resale scams, ways to sell a timeshare during this tough economy, how to make sure your resort is being managed properly and a lot more. 
Hastry has announced  meeting schedules in 2009 and 2010, so this is the best time to become a member.  To join and/or attend our meetings you must join NTOA. The cost is only $75 for TimeSharing Today subscribers to receive all of the association services.  "Hopefully you will want to join and support the only timeshare association that is 100% on your side.  You will not be disappointed and we look forward to hearing from you and meeting you", said Hastry.
To join now or learn more, visit our web site and pull up an application which you can fax to 410-536-0046 or e-mail with your name, address and phone number or call 410-536-0064. Looking forward to you becoming a member.
Florida timehare owners to meet on Nov. 1st - Venice, FL
The Florida Timeshare Owners Group has scheduled its next meeting for Sunday afternoon, November 1st, at the Pelican Pointe Golf & Country Club, in Venice, FL.

All Florida timeshare owners are welcome to join our Group, and attend this meeting.

Guest speakers include Brian Rogers, President of Timeshare Users Group, (TUG), and Keith Trowbridge, President of Executive Quest. 

Mr. Trowbridge, a Member of the Florida Group, will discuss the beginnings of timesharing in 1974, including his being responsible for the first purpose-built timeshare Resort in the USA in 1979. He also wrote the first published book on the subject of timesharing.

Mr. Rogers is responsible for the popular website,, which provides timeshare owners with information, services, and rental & sales opportunities.

For additional information regarding the Florida Group, please contact Frank Debar, Group Coordinator, at (941) 351-1384, or online at


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