ARDA Fights Against Exit Fraud
A new coalition sheds light on timeshare industry scams.
The American Resort Development Association (ARDA) and ARDA Resort Owners’ Coalition (ARDA-ROC) have created the Coalition for Responsible Exit to help educate timeshare owners and developers about how to stop misconduct by anyone attempting to deceive owners into paying unnecessary or fraudulent fees to sell, change, cancel, or exit their properties.
“We are committed to protecting our owners to ensure they aren’t taken advantage of,” says Michael Brown, president and CEO of Wyndham Destinations. “We support consumer protection legislation and law enforcement’s efforts in cases like these.”
Although the timeshare industry has long been active in combating reseller fraud, the catalyst that prompted the forming of the coalition was a pair of recent lawsuits. One, brought by developers in Tennessee, resulted in the disbarment of a Tennessee-based attorney. Wyndham Destinations brought a second suit against timeshare-exit company American Consumer Credit, which filed for bankruptcy in September.
“Seeing two significant actions against these companies sends a very clear message to others trying to take advantage of timeshare owners: You won’t get away with it,” says Robert Clements, ARDA vice president of regulatory affairs.
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