It is very important to relinquish your timeshare correctly and most importantly, legally.
Here at Legal Exits, we have seen first hand, the problems that some timeshare owners have encountered when attempting to exit. Instances where owners had been led to believe that their timeshares weeks had been successfully relinquished when in fact they hadn’t or where clients had been told that if they were to stop paying their annual contracted fees the resorts would take back the ownerships!
Unfortunately there are a lot of false statements out there that can lead timeshare owners down the wrong path and one of the biggest mistakes that many clients make is to listen to companies who are not necessarily qualified to give legal advice regarding foreign financial and contract law.
In the initial process of purchasing a resort ownership, there are normally 2 contracts. One with the resort itself or their sales and marketing division and one with the appointed management company and committee.
The agreement signed with the management company is a legal document stating that you will cover the costs that are relevant to maintaining the resort and the grounds for the duration of the contract. In return, you can stay at the resort for x amount of weeks subject to availability.
Should the initial company that sold you the ownership close or become dormant, you are still legally obligated to pay the maintenance fees.
Should you decide, for whatever reason, to relinquish your timeshare, make sure you have all the correct legal documentation from the resort and management company absolving you of any further financial obligations.
Legal Exists speaks to people on a daily basis that had been mis-informed that they would no longer own their timeshares if they refused to pay their maintenance fees.
Many clients have found themselves before a judge when the debts are taken to county court. Debts are often passed to debt collection agencies once the debts are in arrears of £5,000 or higher.
Clients can be faced with CCJ (County Court Judgements) against them forcing them to pay the balance, additional court fees and in some cases, debt collection agency fees!