Timeshare claims. Is the reward worth the effort, money and time?

Large numbers of unhappy timeshare owners are desperate for a way to break free from burden of their contracts. For many who bought in Spain there is the tempting possibility of not just escaping, but also suing for compensation. But is it too good to be true?

Legal background

Timeshare companies deliberately broke the law for decades and that they should pay for that arrogance is beyond question. They ignored rules designed to prevent them high pressure selling customers into financial decisions that could have a devastating impact on their lives. Resorts knew that the Spanish legal system is archaic and all but impossible for normal people to navigate in order to sue for compensation

This defensive barricade of bureaucracy was considered by timeshare companies to be insurmountable protection against litigation

Firms like European Consumer Claims (ECC) decided there was a market for providing the expertise needed to work with the Spanish legal system, overcome legal trickery by timeshare company lawyers, and obtain financial justice for victims

Floodgates open

Following the first successful compensation award in 2015 the floodgates opened. The leading timeshare companies in Europe have been sanctioned to the tune of hundreds of millions of pounds, awarded to the victims of their illegal sales practices. It has pushed the European timeshare industry to the point of financial collapse

People trapped in expensive, constricting timeshare contracts not only had a way to get out of the contract, but in many cases be financially compensated for being mis-sold into membership in the first place

A chance to escape, and be compensated? This was the perfect scenario and timeshare members couldn't believe their luck. There was a virtual stampede for the services of claims firms

After the honeymoon

With so many timeshare owners queueing up to claim against the resorts who had taken advantage of them, there was soon a shortage of skilled professionals to service them

A number of firms emerged who were not really qualified. They were more greedy than dishonest: eg they wouldn't steal money and would try their best, but often they would fail through lack of experience

There were also outright con artists. These people would pretend to be a claims firm and take the client's money but then disappear

Both of the above would leave the client out of pocket, and it was difficult to tell which firms could actually secure genuine compensation awards. Add to that the waiting time between paying for the service, and actually being awarded the money

Suddenly everything seems unclear, especially when people see the constant barrage of disingenuous negative publicity around timeshare compensation claims, sponsored by the Resort Development Organisation (RDO)

So, should you claim, or not?

There are 4 factors to take into account when making this choice:

• Do you genuinely qualify for compensation? You can check this here. If you are still in doubt (maybe you don't fit the obvious ones, but were still mis-sold) then seek independent advice from a source you know to be credible
• Can you be sure that you are dealing with a genuine company? There are sites with advice on how to do your own research, and also volunteer consumer associations who will give you reliable advice on this
• Can you afford the fee? This is one of those 'speculate to accumulate' moments. Provided you are definitely owed compensation, then spending the money will give you a significant return. Respectable claims companies will only take your case if it is almost a certainty. The success rate of ECC for example is close to 100%. However it goes without saying that you have to weigh your personal finances about paying the initial legal fees
• Can you afford the wait for the compensation? You must be prepared to wait for the legal process to play out. This is getting quicker all the time, but in some cases it can take 18 months or more

Advice

For a free, confidential chat about your relinquishment or compensation claim options, get in touch with our team at ECC. Monday to Friday, during business hours.