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Diamond Resorts Announces Key Victory in Fight to Protect Customers from So-Called 'Timeshare Exit Companies'

1 Planetmedia Will Cease All Timeshare Exit Services, US Consumer Attorney and Henry Portner, Esq. Barred From Soliciting Diamond Resorts Members

Diamond Resorts Logo (PRNewsfoto/Diamond Resorts International)

News provided by

Diamond Resorts

Apr 13, 2020, 14:24 ET

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LAS VEGAS, April 13, 2020 /PRNewswire/ -- Diamond Resorts®, a global leader in the hospitality, vacation ownership and entertainment industries, announces today a major legal victory in its battle to curtail fraudulent "third-party timeshare exit companies." Diamond Resorts has agreed to settle its claims against US Consumer Attorney, P.A. ("USCA"), 1 Planetmedia, Inc. ("1 Planet"), and Henry Portner, Esq. ("Portner") (collectively, the "USCA Parties") in exchange for a monetary payment and other concessions.

As part of the agreement, 1 Planetmedia will cease all future "timeshare exit" service operations and USCA will be forbidden from targeting Diamond Resorts members in the future. Diamond Resorts has also secured a proposed permanent injunction that will terminate the false advertising used by the USCA Parties to mislead timeshare consumers throughout the country.

In March 2018, Diamond Resorts filed its federal court lawsuit against the USCA Parties, and others, accusing the Defendants of violating the Lanham Act by using advertising that was designed to mislead and defraud consumers into using illusory timeshare exit services.  Diamond's allegations have now been established as to the USCA Parties. The USCA Parties have agreed to a monetary payment to Diamond Resorts and will discontinue false advertising and solicitation of Diamond Resorts' members and owners. In addition, the USCA Parties agreed to cooperate in Diamond's efforts against the remaining defendants in the Florida action.     

Diamond has taken an aggressive stance to protect its customers from the disturbing rise of so-called "timeshare exit companies." These unscrupulous companies charge timeshare owners thousands of dollars in upfront fees but do not deliver on their promises to help members transition out of vacation ownership, and instead leave them in financial peril and with damaged credit ratings.

"During these uncertain times we've seen an uptick in financial scams including timeshare exit companies. Now more than ever we are committed to protecting our members," said Mike Flaskey, Chief Executive Officer of Diamond Resorts. "This is a huge win in our fight to stop the fraudulent actions of third-party exit companies. Thousands of vacation owners have fallen victim to these scams and lost millions of dollars. Diamond Resorts is committed to doing everything in our power to put an end to this activity."

Diamond Resorts remains committed to protecting its members from timeshare exit companies, which not only hurt vacationers, but also often break the law. In addition to this case, Diamond Resorts has pursued legal action against 12 companies marketing themselves as timeshare exit companies. Diamond has obtained permanent injunctions in an additional eight lawsuits and had one attorney disbarred.

While the vast majority of members enjoy their vacation ownership, Diamond Resorts also understands that life circumstances can change and provides options for members seeking to safely modify or leave their vacation ownership behind.

About Diamond Resorts

Diamond Resorts offers destinations, events and experiences to help members make a habit of breaking from the routine. From unforgettable getaways to exclusive concert series to VIP receptions and dinners, members turn to Diamond to recharge, reconnect and remind each other what matters most. Our focus on quality resorts, customer service and flexibility means members can return to a favorite resort, book a cruise to explore new countries or attend a once-in-a-lifetime event with the same level of confidence and anticipation. With access to a world of entertainment and activities, a Diamond membership ensures that people are always looking forward to vacation.

SOURCE Diamond Resorts

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