Coral Resorts, HHI... is this a scam....

[janicebru2004 Junior Member Find all posts View Profile Close janicebru2004]

please help tryin find out if this resort is a scam or u can really use it, just signed can we get out of it now.....

[bigfrank Administrator Find all posts View Profile Close bigfrank]

YOu can always buy cheaper in the resale market, If you are within the 5 day recession period get out

[Glitter Brunello Super Moderator Find all posts View Profile Close Glitter Brunello]

If you bought from the developer, please review this thread:

http://www.timeshareforums.com/forum...nd-cancel.html

There are many others like it if you poke around.

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

South Carolina Code of Laws: Title 27 Chapter 32 Vacation Time Sharing Plans



Have you resolved your concerns about your timeshare purchase?

If not:

When exactly did you buy?

What problems or concerns do you have?

My purchase was a total scam.

Almost NOTHING the salesman said was true, and then later in the contract there's a disclaimer that Coral is NOT responsible for the claims of their salesmen.

In fact.... they claim the salesmen are not really Coral employees.

But my research of SC law with respect to timeshares is that Coral CANNOT divorce itself so easily from their sales pitch:


Title 27 - Chapter 32 Vacation Time Sharing Plans

Section 27-32-110 Prohibited Practices

(3) misrepresent the amount of time or period of time the accommodations and facilities are available to a purchaser;

(7) make misleading or deceptive representations with respect to the contents of the contract or the purchaser's rights, privileges, or benefits under it;

(9) misrepresent the conditions under which a purchaser may exchange his rights to an accommodation in one location for rights to an accommodation in another location;

(10) include in a contract a provision purporting to waive a right or benefit provided for purchasers pursuant to this chapter, or seek or solicit such a waiver during the effective period of these rules; and

(11) do any other act of fraud, misrepresentation, or failure to make a disclosure of a material fact.


Section 27-32-120 Penalties for Violation of Chapter & Effect on Contract

(C) In addition to the penalties provided in this section, a contract for the sale of an interest in a vacation time sharing plan in violation of this chapter is voidable at the sole option of the purchaser and entitles the purchaser to a refund of all consideration paid by him pursuant to the contract.


Section 27-32-180 Forms & Content; Seller's Supervision and Control; etc.

(D) The seller shall supervise, manage, and control all aspects of the offering and sale of a vacation time sharing plan. A violation of this chapter by a registrant employed by a seller as an independent contractor, either directly or through a third party, in connection with the offering or sales of interests in vacation time sharing plans may be considered to be a violation by the seller, as well as by the registrant who committed the violation, if the seller knew or should have known of the conduct constituting the violation.


Section 27-32-190 Registration of Plans & Powers of the Commission [This is a reference to the South Carolina Real Estate Commission]

(A)(2)(c) If it appears that a person, company, or a business organization has engaged or is about to engage in an act or practice constituting a violation of a provision of this chapter or any rule or order under it, the commission, through the Department of Labor, Licensing and Regulation, with or without prior administrative proceedings, may bring an action in the circuit court to enjoin the acts or practices and to enforce compliance with this chapter or any rule or order under it. The commission must notify, whenever practicable, a person or business violating this chapter before recourse in the circuit court. Upon proper showing, injunctive relief or temporary restraining orders may be granted, and a receiver or conservator may be appointed. Neither the commission nor the Department of Labor, Licensing and Regulation is required to post bond in a court proceeding.

(B) The commission may:

(1) make a public or private investigation it considers necessary, either within or outside of this State, to determine if a person has violated or is about to violate this chapter or any rule or order under it, or to aid in the enforcement of this chapter or in the prescribing of rules and forms under it;

(2) require or permit a person to file a statement in writing, under oath or otherwise as the commission determines, as to all facts and circumstances concerning the matter to be investigated;

(3) for the purpose of any investigation or proceeding pursuant to this chapter, the commission or an officer designated by rule may administer oaths or affirmation and, upon its own motion or upon request of a party, must subpoena witnesses, compel their attendance, take evidence, and require the production of a matter relevant to the investigation, including the existence, description, nature, custody, condition, and location of books, documents, or other tangible things and the identity and location of persons having knowledge of relevant facts or another matter reasonably calculated to lead to the discovery of material evidence;

(4) apply to the circuit court for an order compelling compliance upon a person's failure to obey a subpoena or to answer questions propounded by the investigating officer and upon reasonable notice to all persons affected by it, through the Department of Labor, Licensing and Regulation;

(5) issue an order requiring the seller to cease and desist from an unlawful practice and to take affirmative action to carry out the purposes of this chapter if, after notice and hearing, the commission determines that a seller has:

(a) violated a provision of this chapter;

(b) directly or through an agent or employee knowingly engaged in false, deceptive, or misleading advertising, promotional, or sales methods to offer or dispose of an interest in a vacation time sharing plan;

(6) make findings of fact in writing that the public interest is irreparably harmed by delay in issuing an order and issue a temporary cease and desist order. Before issuing the temporary cease and desist order, the commission, whenever possible by telephone or otherwise, must give notice to the seller of the proposal to issue a cease and desist order. Each temporary cease and desist order must include in its terms a provision that, upon request, a hearing must be held promptly to determine whether or not the order becomes permanent;

(7) revoke a registration of a vacation time sharing plan if, after notice and hearing upon a written finding of fact, the commission determines that the seller has:

(a) failed to comply with the terms of a cease and desist order;

(b) been convicted in a court of competent jurisdiction, after the filing of the application for registration, of a crime involving fraud, deception, false pretenses, misrepresentation, false advertising, or dishonest dealing;

(8) issue a cease and desist order instead of revoking a registration if it finds, after notice and hearing, that the seller has been guilty of a violation for which revocation could be ordered.


Section 27-32-200 Vacation Time Sharing Recovery Fund

(A) There is created a special fund known as the " Vacation Time Sharing Recovery Fund", which must be maintained by the commission and funded as provided for the payment of claims to persons injured by the acts of persons registered or licensed pursuant to this chapter.

(B) The funds must be held and accumulated from year to year in the State Treasury in a special fund for the commission, designated as the "South Carolina Vacation Time Sharing Recovery Fund". The fund is a continuing fund not subject to fiscal year limitations, and is under the administrative direction of the commission. Expenditures from this fund must be made in accordance with the provisions of this chapter without legislative appropriation. Warrants for expenditures from the fund must be drawn by the Comptroller General pursuant to claims approved and signed by the commission.


Section 27-32-210 Recovery from Fund & Conditions

(A) A person aggrieved by the conduct of a registrant or licensee may seek recovery from the Vacation Time Sharing Recovery fund if:

(1) the facts giving rise to the applicant's claim occurred on or after January 1, 1982, and were based on a specific violation of this chapter;

(2) the applicant has made demand upon the registrant or licensee by certified mail, return receipt requested, for his actual damages and the demand has been refused or ignored;

(4) application for recovery is made not later than one year from the date or discovery of the loss.

(B) Application for recovery must be made under oath and upon a form prescribed by the commission and containing the following minimum information:

(1) name and address of the applicant;

(2) name and address of the registrant or licensee and his last known working address;

(3) amount of recovery sought, together with evidence supporting the claim;

(4) copies of all complaints or other legal process initiated;

(5) disclosure of any partial satisfaction received, offered, or otherwise available from the registrant or licensee, his broker-in-charge, or from a bond or policy of insurance or other source; and

(6) a detailed statement of the events precipitating the loss, together with documents and other evidence supporting the claim.

(C) Upon receiving a claim in proper form, the commission shall forward the claim by certified mail, return receipt requested, to the last known address of the registrant or licensee and to the broker-in-charge of the registrant or licensee. The registrant or licensee and the broker-in-charge shall file a verified answer to the claim within twenty days. If an answer is not filed within twenty days, the broker or registrant or licensee is in default and the commission shall schedule an arbitration of the claim. If the broker or registrant or licensee files a timely answer, the commission shall investigate the claim for a period not to exceed sixty days and after that promptly schedule an arbitration of the claim. The registrant or licensee, broker, commission, and claimant are entitled to present evidence, and question and cross examine witnesses as parties to the arbitration.

(D) Failure of the applicant to comply fully with this section is a waiver of all rights under the section.


Section 27-32-220 Limitations on Payments from Fund

These limitations apply to payments from the recovery fund:

(1) Only the applicant's actual damages are paid from the recovery fund. An applicant may not recover punitive, special, or consequential damages or attorney's fees.

(2) The fund is not liable for more than five thousand dollars for each transaction, regardless of the number of persons aggrieved or the number of time sharing interests involved in the transaction.

(3) The liability of the fund may not exceed in the aggregate ten thousand dollars for any one registrant or licensee in a single calendar year and in no event may exceed twenty thousand dollars for any one registrant or licensee.

(4) If the maximum liability of the fund is insufficient to pay in full the valid claims of all aggrieved persons whose claims relate to the same transaction or to the same registrant or licensee, the amount for which the fund is liable must be distributed among the claimants in a ratio that their respective claims bear to the total of the valid claims or in the manner as the Board of Arbitrators in its sole discretion shall decide. The Board of Arbitrators in its sole discretion is empowered to join in one action all claims having a common factual basis so that an equitable distribution from the fund may be achieved.

(5) If valid claims against the fund exceed the monies it contains, the commission shall satisfy the unpaid claims or portions of them as soon as a sufficient amount of money has been deposited, together with interest at the rate of eight percent a year from the date of award. All claims against the fund must be made in the same order as the awards from it were authorized by the Board of Arbitrators. An award is not a claim against the State if it is not paid due to a lack of funds in the Vacation Time Sharing Recovery Fund.


Section 27-32-230 Arbitration; Automatic Revocation of License; & Applicant Receiving Award to Subrogate Rights

(A) A person registered or licensed pursuant to this chapter and a person claiming an interest in the fund shall submit to the decision of a Board of Arbitrators, which is final and binding. The Board of Arbitrators must be composed of three arbitrators, one chosen by the applicant, one chosen by the registrant or licensee, and the commission or its designee. If the registrant or licensee fails to nominate an arbitrator within five days of request or does not respond to the claim, the commission shall nominate the third arbitrator. The decision of the majority rules. Arbitrations must be held at the office of the commission at a time and according to rules of procedure it prescribes.

(B) Upon payment of a claim, the registration or license, of the offending licensee is revoked automatically. The registrant or licensee is not qualified for reregistering or relicensing until all amounts paid on his account are repaid in full to the recovery fund, together with annual interest at the rate of eight percent. This section does not prevent the commission or another authority from pursuing another remedy at law or equity.

(C) An applicant receiving an award from the fund shall subrogate all rights relative to the claim to the commission to the full extent of all amounts paid, including interest, and shall cooperate with the commission in the prosecution of the subrogated claim. Any amounts so recovered against a registrant or licensee or other responsible parties must be deposited into the fund, less the costs and expenses of collection.




[None of this constitutes legal advice, and emphasis has been added in certain places.]



[see SC Codes of Law @ S.C. Code of Laws Title 27 Chapter 32 Vacation Time Sharing Plans - www.scstatehouse.gov-LPITS ]

[janicebru2004 Junior Member Find all posts View Profile Close janicebru2004]

we did cancel our timeshare. Well we sent a certified letter. Just with the scam notices on the internet and then also. We noticed at bottom of agreement they snuck in that we only have partial membership with was every other year rentals. This is not what we were told at meetin. I do want to find a time share in the future just have to find the right one.....

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

Common Scam

I'm glad you were able to get your money back!

This is a common scam. Purchasers agree to an annual ownership and Coral Resorts substitutes a bi-ennial or tri-ennial unit instead. I hope others will post here too, so we can see exactly how many others have been scammed this way.

Most other complaints seem to be about Coral Resorts accepting other timeshare units as a "trade", and they agree to sell these for purchasers in order to satisfy their "down payment".

I'm in the process of attempting to get my money back. The five-day rescission period past a LONG time ago for me. But there's another recourse for me, since a year hasn't past yet.

South Carolina law (see previous post) seems to be very favorable towards consumers. The South Carolina Legislature has implemented legislation which is designed to protect the welfare of the public against misrepresentation or fraud by timeshare pirates.

For all other buyers:

1. Don't get frustrated and stop making your payments. You'll essentially terminate your rights to recover anything. Further, you won't be helping future victims.

2. File a compliant with the BBB to recover your losses and end any future commitment. (South Carolina law doesn't allow you to collect MORE than your actual damages without filing a law suit.)

3. If Coral Resorts does not respond or they agree to a solution which is NOT equitable... the next step is to "demand payment" per South Carolina Law, Title 27 Chapter 32, Section 200 & 210.

4. If they fail to respond within a reasonable time, or if their remedy is insufficient... contact the South Carolina Real Estate Commission and file a complaint. Again, they may help you recover your actual losses, but nothing more. I haven't done this yet, but I'm certainly prepared to go this far and farther.

5. Even if Coral Resorts [DBA Sunrise Vacation Properties] does satisfy your demand for payment... I think a complaint is in order. The South Carolina Real Estate Commission has the right to recommend disciplinary action against Coral, or perhaps an investigation too. I believe the Real Estate Commission is subordinate to the South Carolina Department of Labor, Licensing, and Regulation.

6. I'd send a "carbon copy" to the South Carolina Attorney General. My plan is to send copies to the Federal Trade Commission and the Federal Bureau of Investigation too. Granted, the latter two are very busy, and they'll likely give the State of South Carolina opportunity to resolve the issue without federal assistance. But they should at least be made aware of the situation (i.e. MANY consumers are being ripped-off and it needs to STOP).



Any "settlement" with Coral may include a "non-disclosure clause", which will prevent parties from discussing the details of their experience. All they'll be able to say is that they had a dispute with Coral, and it's now been settled.

But... if I'm not mistaken... this doesn't preclude a citizen from notifying regulatory agencies or law enforcement officials if they think a crime has been committed. I don't think any such contract or agreement would be legal or enforceable.

[Please do NOT consider this "legal advice". You can review South Carolina law for FREE on the internet. The only time you really need to seek legal counsel is later on in the process, when it may be necessary to give testimony before the commission. I'll keep everyone posted.]

[Ryne08 Senior Member Find all posts View Profile Close Ryne08]

I am also happy to learn that your money was returned to you and I hope more visitors to the Island heard about your story,