Bankrupt Timeshares & ARDA

[flexible Senior Member Find all posts View Profile Close flexible]

At a TS presentation today, the TS rep said that ARDA has a program that provides compensation to owners of bankrupt timeshares which allows for a credit toward purchase of a new ARDA member timeshare.

Any guess if there is any validity to this and/or how to check? Playa Maria in Mazatlan apparently was sold by the bankruptcy court. The new owners CrownBay | Condominio - Hotel Mazatlán Sinaloa México, Bienes y Raíces, Renta de departamentos y condominios arrived the last week of October. The new owners are telling people they have to upgrade to 'validate' their contracts. We deposited weeks with Interval International and another exchange company. They honored an exchanger arriving on November 22, but the exchanger arriving November 29 has had many problems. The exchange company told me they contacted the resort again and are now being told three December 2008 reservations will not be honored. The employees who processed the exchanges several months ago were fired by the new company in late October. There is another thread about Playa Maria on this site.

Several months ago, Mayan said they would take PM in trade but I think it would have only inflated the price of an upgrade. Even though lots of TS will take trade ins for new purchases or upgrades, my guess is it will be difficult to receive anything for a bankrupt timeshare if the new owner does not want to honor the contract.

Any suggestions would be appreciated.

[Barbeque Senior Member Find all posts View Profile Close Barbeque]

Buy resale like from company like Holiday Group or Tri West Timeshare or even from individuals here on Timeshare Forums, TUG or Ebay. If you research what you want to buy and know the market you will save money over buying from a developer even with a credit. Or at least know what the resale market is.. I think a poster here Boca Bum specializes in a points type timeshare Bluegreen but I don't know too much about that one. Check out your options.
Example" Joy In Cape Cod posted a free timeshare on this site today

[btcctomtb Senior Member Find all posts View Profile Close btcctomtb]

At a TS presentation today, the TS rep said that ARDA has a program that provides compensation to owners of bankrupt timeshares which allows for a credit toward purchase of a new ARDA member timeshare.

Any guess if there is any validity to this and/or how to check? Playa Maria in Mazatlan apparently was sold by the bankruptcy court. The new owners CrownBay | Condominio - Hotel Mazatlán Sinaloa México, Bienes y Raíces, Renta de departamentos y condominios arrived the last week of October. The new owners are telling people they have to upgrade to 'validate' their contracts. We deposited weeks with Interval International and another exchange company. They honored an exchanger arriving on November 22, but the exchanger arriving November 29 has had many problems. The exchange company told me the contact the resort again and are now being told three December 2008 will not be honored. The employees who processed the exchanges several months ago were fired by the new company in late October. There is another thread about Playa Maria on this site.

Several months ago, Mayan said they would take PM in trade but I think it would have only inflated the price of an upgrade. Even though lots of TS will take trade ins for new purchases or upgrades, my guess is it will be difficult to receive anything for a bankrupt timeshare if the new owner does not want to honor the contract.

Any suggestions would be appreciated.

Are Resorts in Mexico affiliated with ARDA? American Resort Development Association. Maybe they meant American Rescue Dog Association?

[tonyg Goomba & Super Moderator Find all posts View Profile Close tonyg]

First - assume everything you hear at a timeshare presentation to be false or incomplete. Second, be aware that anything the ARDA does is done directly to help the developers and not the timeshare owner. Anything that happens to benefit the timeshare owner is purely co-incidental.

[dougp26364 Senior Member Find all posts View Profile Close dougp26364]

First - assume everything you hear at a timeshare presentation to be false or incomplete. Second, be aware that anything the ARDA does is done directly to help the developers and not the timeshare owner. Anything that happens to benefit the timeshare owner is purely co-incidental.

Isn't that the truth. I guess ARDA figures since it's the developers cutting the check it's the developers they need to cater to, even though it's the OWNERS making all those $3 to $10 contributions on top of their MF's that provides that check. I gave up donating to ARDA several years ago when I noticed the majority of their lobbying efforts were for the benefit of the developers.

[Jya-Ning Silver Contributor Find all posts View Profile Close Jya-Ning]

Check the Adra site ARDA | Home. I don't think you will see them mentioned anything for that. Their membership is volunteer, and they have no authority to enforce anything to the member. They did ask the US government for bail out TS developer, but that has no intention to help the owners that has the resort bankrupt.

You must mentioned you own the bankrupcy TS and does not want to purchase, and that is why they come out a way to "help" you to make a purchase decision.

If you compare with other people that get offer, you will find they may quote you higher than they give to other owner.

Jya-Ning

[avvaa Junior Member Find all posts View Profile Close avvaa]

Mexico?

plain and simple - stay away from Mexican real estate. Buy American and trade.

[valerieh Junior Member Find all posts View Profile Close valerieh]

Playa Maria / Torrenza fraud

I wanted to share what happened to my grandparents, owners of the Playa Maria timeshare in Mazatlan, Mexico (now Torrenza Botique Hotel). Regardless of their supposedly legally binding contract, new owners took over the property and tripled their maintenance fees. My grandparents can no longer afford to stay there.

In addition, they agreed to sell my grandparents ownership, if they agreed to buy into a less expensive maintenance property. My grandparents gave them $17,000 with the contractual condition their share would be sold within 150 days. That time clause has long passed, and they did not sell their share. Now they not only cannot afford the new maintenance fees, but are out $17k!

Is this truly "allowed" according to Mexican law? Has anyone had any success in getting their original contact grand-fathered to maintain their original maintenance fees? Is anyone interested in banning together to sue them?

Thank you!

[Theo Senior Member Find all posts View Profile Close Theo]

My $0.02 worth...

Is this truly "allowed" according to Mexican law?

I don't claim to know what passes for "law" in Mexico, but I would respectfully suggest your (or your grandparents) contacting PROFECO with a detailed and very specific itemization and summary of the facts. PROFECO has influence and leverage over timeshare entities in Mexico.

Pursuing a "lawsuit" in Mexico against a Mexican entity is likely a pipe dream and would be a complete waste of time and energy. Their rules, their game, their home court --- the fact that the plaintifffs are (presumably) U.S. citizens doesn't change any of that.

[JLB Please excuse me, I'm a Dick. Not a moron just a Dick Find all posts View Profile Close JLB]

Sleaze begets sleaze.

[valerieh Junior Member Find all posts View Profile Close valerieh]

I don't claim to know what passes for "law" in Mexico, but I would respectfully suggest your (or your grandparents) contacting PROFECO with a detailed and very specific itemization and summary of the facts. PROFECO has influence and leverage over timeshare entities in Mexico.

Pursuing a "lawsuit" in Mexico against a Mexican entity is likely a pipe dream and would be a complete waste of time and energy. Their rules, their game, their home court --- the fact that the plaintifffs are (presumably) U.S. citizens doesn't change any of that.

Thank you for the advice. I wouldn't want to see them waste any more money if there's hardly a chance of winning. I just thought given that timeshares are used and purchased worldwide, there might have been some international authority to turn to. I'll try PROFECO... Thanks again.

[valerieh Junior Member Find all posts View Profile Close valerieh]

Sleaze begets sleaze.

The original owners of the Playa Maria honored the contract for 10 years. It's the new owners who aren't doing so.

I just don't know how anyone successfully uses a timeshare purchased in Mexico if all they have to do is change the name of the hotel and then re-sell the entire property all over again. (?) That's why I figured there has to be some recourse for this action, or no one would ever buy a timeshare when it becomes known that contracts apparently are *meaningless*.

[Theo Senior Member Find all posts View Profile Close Theo]

The original owners of the Playa Maria honored the contract for 10 years. It's the new owners who aren't doing so.

I just don't know how anyone successfully uses a timeshare purchased in Mexico if all they have to do is change the name of the hotel and then re-sell the entire property all over again. (?) That's why I figured there has to be some recourse for this action, or no one would ever buy a timeshare when it becomes known that contracts apparently are *meaningless*.

I'd never have anything to do with Mexican timeshares personally, but perhaps it bears at least mentioning that timeshares sold in coastal Mexico are not even deeded "ownerships" of any kind in the first place. They are instead merely "right to use" (aka RTU) access contracts, with specifically defined and finite time periods, typically of 20 years duration (..or so I'm told). How that fact interrelates with resort ownership changes under Mexican "law" (...such as it is) I do not claim to know...

[JLB Please excuse me, I'm a Dick. Not a moron just a Dick Find all posts View Profile Close JLB]

Sleaze begets sleaze.

I meant the industry, Ma'am.

[jdnkingpin Junior Member Find all posts View Profile Close jdnkingpin]

I wanted to share what happened to my grandparents, owners of the Playa Maria timeshare in Mazatlan, Mexico (now Torrenza Botique Hotel). Regardless of their supposedly legally binding contract, new owners took over the property and tripled their maintenance fees. My grandparents can no longer afford to stay there.

In addition, they agreed to sell my grandparents ownership, if they agreed to buy into a less expensive maintenance property. My grandparents gave them $17,000 with the contractual condition their share would be sold within 150 days. That time clause has long passed, and they did not sell their share. Now they not only cannot afford the new maintenance fees, but are out $17k!

Is this truly "allowed" according to Mexican law? Has anyone had any success in getting their original contact grand-fathered to maintain their original maintenance fees? Is anyone interested in banning together to sue them?

Thank you!

BEWARE OF TORRENZA. BEWARE OF TORRENZA. They are crooks. They are professional liars and scam artists. I learned it the hard way, but they will get theirs. DO not believe a word they say. If they tell you they can sell your old time share, it is a lie. If they tell you you won't have to pay an annual fee and can rent your weeks and get paid for it, it is a lie. If they open their mouths and say anything, it is a lie. Do yourself a big favor. Stay away from Torrenza. You will be sorry if you don't. There is no amount of incentives they can offer (cash, dinners, etc) that are worth the thousands they will steal from you. More to come with names and dates later on my story. BEWARE OF TORRENZA. BEWARE OF TORRENZA.