ORLANDO, Fla., Jan. 15, 2020 /PRNewswire/ -- Shining a light on the types of hurdles and unfair tactics that timeshare developers have become known for, Reed Hein & Associates (doing business as Timeshare Exit Team) successfully negotiated a path out of the timeshare contracts of approximately 1,300 customers of Orange Lake Country Club in Orlando, Florida. These frustrated Orange Lake customers had reached out to Timeshare Exit Team for assistance, often after other companies, including so-called "resale" companies, had failed to deliver on promises.
In 2017, Orange Lake brought a complaint in a Florida federal court against Timeshare Exit Team alleging that the company "conspired" with attorneys it employs to assist unhappy Orange Lake timeshare owners in exiting their timeshare contracts. On Monday, however, Orange Lake filed a Notice of Complete Settlement with Timeshare Exit Team, to avoid an Orlando jury trial slated to start that day.
In the settlement, Orange Lake agreed that its "paid-in-full" timeshare owners who'd been working with Timeshare Exit Team can now exit their timeshares through Orange Lake's "Horizons" program without having to represent any "financial hardships, health issues or other unforeseen difficulties," as owners seeking out of their contracts via Horizons typically would.
Many of Timeshare Exit Team's customers are burdened with a mortgage and/or lien on their timeshare and are anxious that a foreclosure might cause them to go into collections. In fact, some states allow timeshare developers to seek a judgment against a timeshare owner who falls into default for a "deficiency"—that is, the amount of money that the foreclosure sale proceeds fall short of the total mortgage debt—following a foreclosure. Orange Lake owners who retained Timeshare Exit Team prior to the settlement will no longer face any type of monetary judgment as long as they remain in communication with Reed Hein and Orange Lake. These frustrated timeshare owners will receive a proposal to resolve their mortgage or lien, a deed in lieu of foreclosure, or in some cases, an exit through foreclosure.
Prior to the settlement, three of the claims filed by Orange Lake were successfully challenged by Timeshare Exit Team, including a claim of Tortious Interference with Advantageous Business Relationship as well as two claims of False Advertising. U.S. District Court Judge Wendy W. Berger ruled on the latter claim that "none of the advertisements at issue direct the consumer to cease making payments nor are the allegedly false or misleading statements intended to induce such an action." Shortly before trial, Judge Berger issued an order advising Orange Lake that she had "serious doubts" about their "ability to prove causation and damages" at trial.
"This is a major win for consumers, who can now rest a little easier thanks to this agreement," said Brandon Reed, a founding member of the Coalition to Reform Timeshare and CEO of Timeshare Exit Team. "We've always pledged to take care of our customers, and with this settlement, we're going to provide an expedited path to exit for the Orange Lake customers that we started working with who will now additionally be able to avoid any monetary judgment."
Timeshare Exit Team, the leading timeshare exit company in the U.S., has successfully assisted more than 20,000 people in getting out of their timeshares since its founding in 2012, despite pushback from an industry that brought in more than $10 billion last year. In the face of desperate spin and frivolous legal action from leading developers, Timeshare Exit Team has continued to live up to its promise of ethically and transparently helping consumers who have felt tricked and trapped by an industry that is largely and dangerously unregulated.
"Developers have put consumers through years of stress due to timeshare purchases that owners often go on to regret," said Reed. "We're going to continue to fight on behalf of these consumers and will not stop until the industry changes. At a bare minimum, developers must pledge to adopt the Timeshare Bill of Rights that was put forth by the Coalition to Reform Timeshare."
About Timeshare Exit Team
Timeshare Exit Team is the industry leader in helping people exit their unwanted timeshares. Understanding this hardship, Timeshare Exit Team started in 2012 with one goal in mind: help consumers find financial and emotional freedom from their timeshare situation. To date, it has helped more than 20,000 timeshare owners exit their timeshare contracts. For more information, visit the company online at https://timeshareexitteam.com.
SOURCE Timeshare Exit Team