Today we feature excerpts from Chris Parker, a writer from City Pages and his article called The Plot to Kill Consumer Protection.
Continuing on yesterdays topic of “Bogus” claims companies and “Fake” law firms, Mindtimeshare has also highlighted another company, European Liquidations.
Again this company uses the @consultants.com email address, which as we have said previously it is just a free email provider just like gmail and yahoo.
europeanliquidationsltd@consultant.com
The telephone numbers provided are:
0203 384 3999 and Fax – 0872 751 6998
Unfortunately, Mindtimeshare has very little information and we have been unable trace any company with this name at company house. But it is important to inform readers of all companies that crop up along with telephone numbers and their email address, after all to be forewarned is to be forearmed!
As this article was being prepared Canarian Legal Alliance issued another court ruling, this was from the Court of First Instance in Maspalomas against Palm Oasis (Tasolan). In this judgement the court ordered the return of over 15,000€ plus all maintenance fees and legal interest, the contract was also declared null and void.
The court ruled that the contract infringed Law 42/98 in that it was for a period exceeding 50 years, Contract to be valid must be for a period of between 3 and 50 years, this should also be specified in the contract and explained to the client before the contract is signed. It is clear the Supreme Court rulings are having a severe impact on all contracts that do not follow the stipulated laws.
Now on with today’s article.
Part I – Questions a Timeshare Buyer Never Asks
Does this timeshare contract contain an arbitration clause?
By Irene Parker
Part II – Class Action Lawsuits – Misunderstood by Timeshare Members
Friday’s Letter from America
Tuesday October 24
Excerpts from “The Plot to Kill Consumer Protection”
By Chris Parker
“Should a dispute arise, arbitration forces consumers out of the court system and into arbitration where appeals aren’t allowed, corporations historically wield a huge advantage—when not outright rigging the system—and details of misconduct are kept private,” writes Chris Parker, a reporter for City Pages
http://www.citypages.com/news/the-plot-to-kill-consumer-protection/451334393
“The right to have your dispute resolved before a jury of your peers is as American as it gets; it’s a fundamental core American democratic principle,” says Minnesota Attorney General Lori Swanson. “To think that millions upon millions of consumers are forfeiting their fundamental right to have their day in court because of fine print in a contract….” “Though arbitration may sound preferable to the expense and anguish of court, it hands a major advantage to companies. The costs savings aren’t much: Arbitrators usually charge $300-$400 per hour minimum, and some bill into the thousands of dollars. But arbitration clauses typically bar the consumer from joining class-action suits. The strategy has emboldened fraud on a massive scale.” “In July, the Consumer Financial Protection Bureau ruled that arbitration clauses can’t bar consumers from joining class-action suits. The GOP Congress intends to repeal the rule.”
Sen. Lindsey Graham (R-South Carolina) told the Wall Street Journal that such clauses are “a windfall for the companies, in terms of how you settle their cheating.”
“Even when someone does challenge them, arbitration rulings are usually private, with no appeals and little documentation. Like a tree falling in a vast forest, Wells Fargo’s customers didn’t hear the millions of other victims, and the press remained none the wiser.”
“With consumer protection increasingly whittled away by keen lobbyists and cunning corporate lawyers, the idea was to build an agency whose sole mission was protecting consumers.”
“During its brief life, the bureau has established itself as the only Washington agency more responsive to consumers than to lobbyists. Since 2011, it’s handled 1.2 million complaints, returning over $12 billion to consumers.”
The CFPB and Timeshares
By Irene Parker
The Consumer Finance Protection Bureau has also been the first line of defense for timeshare buyers alleging they were sold or up-sold by deceit and bait and switch. Given the staggering number of reports of deceit and bait and switch on the front end of the timeshare sale, if the CFPB is regulated out of existence, widely predicted, many timeshare members feel the only court that will be left available to them is the court of public opinion, warning unsuspecting consumers as to the minefield of ways the evolution of right to use timeshare points has opened the doors for unscrupulous timeshare sales.
Our standard disclosure is that not all timeshare sales agents are deceptive and not all timeshare companies are predatory.
http://insidetimeshare.com/lesson-timeshare-companies/
I asked ever assessable timeshare attorney Mike Finn of the Finn Law Group which timeshare developers have an arbitration clause. “Diamond Resorts is the only major developer that I’m aware of that has the arbitration clause,” explains Mike. I spoke with other attorneys who say the same.
Banks and other lenders can pick arbitrators. As Minnesota Attorney General Lori Swanson expressed –
“We heard from arbitrators that were blackballed and essentially told, ‘You’re not going to be an arbitrator anymore because you’re ruling for the consumer,’” she says. “That’s one of the problems with arbitration. The court system is paid by the taxpayers. Judges are neutral and their funding comes from the public.” City Pages “The Plot to Kill Consumer Protection”
A common comment on complaint sites and from 170 Inside Timeshare readers reaching out to us for assistance is, “Let’s get a class action going!?” Timeshare members typically confuse the term and substance of a class action. We’re all used to class action ads on television say, for example, a medical device failure. The difference with timeshare is that damages are not uniform, which is necessary for a class action. Some lawyers may call a lawsuit a class action on behalf of only one or two plaintiff class representatives but they are more like individual lawsuits. Real Class Actions involve hundreds or thousands of plaintiffs. More later,
Part II – Class Action Lawsuits – Misunderstood by Timeshare Members
By Mike Finn of the Finn Law Group this Friday’s Letter from America
Why will timeshare developers not acknowledge the flawed business model?
Out of 170 complaints received, 155 of our readers allege they were sold a timeshare by deceit and bait and switch. The contract is perpetual, accompanied by rising maintenance fees. With some of the more gestapo orientated companies, the member cannot sell or give back their timeshare. The problem is magnified when the buyers succumbed to high interest rate loans and higher interest rate credit cards.
We believe Social Media and media outreach is the tortoise chasing the hare. Timeshare default rates are rising and original buyers (like me) are not getting any younger. Inside Timeshare continues to be there for members and advocacy Facebook pages and websites are on the rise – helping members through the 3Rs or F of Timeshare – resolution, when possibly the member just did not understand how to use the program, refund, relinquishment or foreclosure. In America, there is no debtors’ prison, except in the case of refusing to pay child support.
We ask timeshare developers – What would happen to the primary residential home market if home buyers could not sell their property?
Self-help Facebooks
https://www.facebook.com/timeshareadvocategroup/
https://www.facebook.com/groups/DiamondResortsOwnersAdvocacy/
https://www.facebook.com/groups/180578055325962/
Thank you Irene and Chris, also a big thank you to Tammy for proof reading and editing these articles.
As always if you have any comments or would like to share your experiences, Inside Timeshare welcomes them, contact us through our contact page.
If you need help or advice on any timeshare matter do get in touch and we will point you in the right direction. Remember before engaging with any company do your due diligence and your homework, it will save you a lot of bother in the end.
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