Three historic rulings by the Supreme Court in Madrid have changed the whole nature of Timeshare ownership
Some of these rulings are favourable for Timeshare owners – illegal contracts are Radically Null and Void regardless of the period that passed since they were signed. While some rulings are nothing short of catastrophic – they mean, in effect that the Timeshare owner’s property has been ruled non-existent. Whether the rulings affect the British-based owner positively or negatively they do point to one thing – action is needed.
No.1 Floating Weeks Ruled Illegal
On the 15th of January 2015 the Spanish Supreme Court ruled Timeshare floating weeks null and void. The crux of the ruling was that a floating week contract fails to state clearly the location and duration of property ownership.
For many timeshare owners the implications are horrendous: in effect the asset they own may be declared non-existent, meaning they can neither use nor sell their timeshare week.
This ruling’s implications
This ruling’s implications are very unpleasant if you own a floating week – a week without a fixed apartment or specific time in the calendar – your week could simply cease to exist.
No.2 Timeshare Deposits – Cooling Off Periods
As part of this ruling the Supreme Court restated that if the Timeshare company took a deposit during the cooling off period – and most did – your contract might be declared Null and Void and you could be liable not only for a refund of money paid but also compensation. This ruling affects many Timeshare owners.
Action you must take
To find out if your contract falls under the terms of either section of this ruling you should speak to someone with expert knowledge, as soon as possible. Remember Timeshare companies are quick to slow down compensation claims by endless appeals. Lodging a claim while this ruling is current law is the only sensible thing to do.
No.3 Contracts in perpetuity ruled null and void
On April 3rd 2015 the Supreme Court made another ruling with wide ranging implications for those with Timeshare contracts. The Court ruled Timeshare contracts written, after 1998, for terms longer than 50 years to be Null and Void.
This period of time and this duration of contract would cover many thousands of Timeshare agreements. This would seem a straightforward ruling, but legal discussion still exists around schemes pre-dating 1998.
You must talk through your paperwork with an expert
For many owners this is great news; perpetuity and the thought of leaving an unwanted legacy to family members is the number source of worry for those who call our Helpline.
The fact that these contracts can be nullified, together with the reiteration of the illegality of taking deposits mean that many Timeshare owners stand to gain not only release from an unpleasant situation, but also stand to gain compensation.
More Rulings to follow
Counter actions by at least one major Timeshare resort mean this could drag on for years, if a new round of legal challenges is mounted.
We strongly advise our readers to use the window of opportunity while it exists. Hesitating now plays into the hands of resorts willing to tie up claims in endless legal battles.
Find out where you stand
Few positive situations occur for Timeshare owners and for once the Spanish Courts have provided a potential positive outcome – failing to act now may be the cause of lost money and much regret.