An attorney for Westgate Resorts denied that the timeshare rental company is hiding instructions for canceling purchase contracts in a folder given to new buyers.
The issue of canceling contracts has been a problem in the industry for years, according to watchdog groups. A large black vinyl folder is given to many new buyers, filled with glossy photos, brochures and an owners manual.
But the details for how to cancel a timeshare purchase, which average around $20,000 each, are tucked into a pouch sealed with Velcro.
Kate Saft, an attorney for Westgate, says the folder is a ‘security pouch’ and not a hidden compartment. But Greg Crist, CEO of National Timeshare Owners Association, said his group has fielded calls and complaints from people who are trying to find instruction on canceling. The so-called hidden pouch was also lambasted online at the Timeshare Users Group, a forum for timeshare owners.
“The contract and public offering statement are the most important of all owner documents, yet they appear to be well-concealed inside an alleged hidden compartment and buried under a bunch of marketing materials,” Crist said. “You would be hard pressed to even find this compartment and if you did, you would almost have to rip the binder apart to even open it up.”
He called on Westgate to make the cancellation instructions easier to find.
Saft said Westgate’s salespeople are required to show buyers where the instructions are located in the folder. She said three other documents signed by buyers show the cancellation procedure, and most people get their documents on a CD-ROM.
“We train them and monitor them, and we listen to hear that that specific thing is said, ‘Here’s where your condo documents are,’” Saft said. “If there are any particular owners that have a complaint, we would like them to contact us, or me.”