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Breaking news from KBV board

magmue

magmue

TUG Member
Joined
Nov 26, 2017
Messages
585
Reaction score
434
Location
Northwest of Normal
Resorts Owned
HGVC: Kingsland
West 57th
Worldmark
Whale Pointe fractional
Point at Poipu (deed)
Lawai Beach Resort
Kauai Beach Villas
Got the email 15" ago:

ASSOCIATION OF APARTMENT OWNERS OF KAUAI BEACH VILLAS

NOTICE OF INDEFINITE POSTPONEMENT OF SPECIAL MEETING

NOTICE IS HEREBY GIVEN that the Special Meeting of the Association of Apartment Owners of Kauai Beach Villas, originally scheduled for Wednesday, July 24, 2024 at 10:00 a.m. HST (via Zoom), to vote on not proceeding with the remediation of Project buildings and pursuant to Hawaii Revised Statutes § 514B-47(a), initialing a partition action of the Project, will be INDEFINITELY POSTPONED.

BOARD OF DIRECTORS

c/o Wyndham Destinations
Agent for ASSOCIATION OF APARTMENT OWNERS OF KAUAI BEACH VILLAS

DATE OF THIS NOTICE: July 16, 2024
 
I took a look at the ongoing lawsuit filed by the whole owners. It looks like they filed a motion to halt the vote; that motion was filed on July 8th. If I am reading the docket correctly, there has not been a hearing on that motion. Presumably, the AOAO Board decided it was prudent to postpone the vote out of an abundance of caution.

The whole owners later filed yet another amended complaint. I have uploaded the Motion to Enjoin and the 2nd Amended Complaint to the folder of other court proceedings I've purchased. You can find them here:

KBV-suit - Google Drive

drive.google.com drive.google.com
 
bnoble said:
I took a look at the ongoing lawsuit filed by the whole owners. It looks like they filed a motion to halt the vote; that motion was filed on July 8th. If I am reading the docket correctly, there has not been a hearing on that motion. Presumably, the AOAO Board decided it was prudent to postpone the vote out of an abundance of caution.

The whole owners later filed yet another amended complaint. I have uploaded the Motion to Enjoin and the 2nd Amended Complaint to the folder of other court proceedings I've purchased. You can find them here:

KBV-suit - Google Drive

drive.google.com drive.google.com
Click to expand...
As you stated, " Presumably ". Why didn't the BOD mention the reason for the indefinite postponement to we the owners? What happens to the vote does it possibly mean nothing like the last vote? Is all this legal and Constitutional? How long does this go on and what happens to the past and future mini special assessments we pay? Does the resort keep deteriorating like is has been? Why not just close the resort and file for bankruptcy? Who are the attorneys representing us and our BOD? Why hasn't a joinder and/or amicus curiae been been considered? In my non humble opinion, this smells fishier than ever. The worst thing is " we the owners know absolutely nothing as to what is factually going on ". I have again asked questions from the contact person designated by the BOD and still have received nothing.
 
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Adding to the intrigue; I would presume that the majority of the votes on the fate of the property are already in, and tabulated. So, somebody knows what would have been the fate of KBV. Law suits happen and mess things up, what I would like to hear is the rational argument for such a lawsuit, and the reasonable outcomes possible.
 
the whole owners.... filed a motion to halt the vote; that motion was filed on July 8th. If I am reading the docket correctly, there has not been a hearing on that motion. Presumably, the AOAO Board decided it was prudent to postpone the vote out of an abundance of caution.
Click to expand...
Thanks, that makes sense as a rationale for postponing. It is not an adequate rationale for their high handed closed mouth approach.

"We're in charge and we know what's best for you. We certainly know what's best for Wyndham. You'll have to trust us. Again."
:wall:
 
It’s a lawsuit. You do not say things publicly that the other side can potentially use. “We cancelled the vote because the whole owners filed an injunction” is easily quoted as “the Board agreed with us [the whole owners]”
 
schreff said:
Why not just close the resort and file for bankruptcy?
Click to expand...
My Brother in Christ, this is exactly what they are trying to do. The whole owners are holding things up. The timeshare owners basically only lose a worthless timeshare and may even make a few bucks. The whole owners are going to be out many hundreds of thousands of dollars each, so they are highly motivated.

tango said:
what I would like to hear is the rational argument for such a lawsuit, and the reasonable outcomes possible
Click to expand...
You are welcome to read the complaints--I've posted them. That's the argument. It may or may not be rational---my oinion is that it is not, but I also don't have the aforementioned hundreds of thousands of dollars at stake. I am not qualified to offer an opinion about what outcomes are reasonably possible.
 
bnoble said:
” It may or may not be rational---my oinion is that it is not….”
Click to expand...
See, that’s the key, anyone can file irrational suits that have no reasonable chance for a favorable judgement. Of course with the legal system that is these days, it might be a stretch to qualify “reasonable arguments”. Otherwise it’s just wasting time and delaying the inevitable.
 
Be objective and read the complaint from the perspective from the standpoint of someone asked to serve on a jury deciding this issue.

As I read it … someone at GPR is thanking god that they are no longer the manager. And someone at Wyndham is regretting they ever put KBV inventory into the Club Wyndham Trust.
 
Well sure. And throw in the fact that the jury pool is being drawn from Kauai, the least developer-friendly island of a group that is already none too happy with the haole. That’s the point of a complaint—to put forth the argument in the best light possible.

But the jury isn’t going to hear just one side, and maybe not even everything that’s in the complaint. For example one of the plaintiff’s experts was DQ’d this month.

More broadly: yes, I think you are right about the good folks at GPR.
 
ecwinch said:
Be objective and read the complaint from the perspective from the standpoint of someone asked to serve on a jury deciding this issue.

As I read it … someone at GPR is thanking god that they are no longer the manager. And someone at Wyndham is regretting they ever put KBV inventory into the Club Wyndham Trust.
Click to expand...
Aloha,
Agree with the conclusion.
GPR was only the IOA manager and never the AOAO manager. There were many issues between them. And Wyndham was the largest owner of units in the IOA.
Jack
 
bnoble said:
For example one of the plaintiff’s experts was DQ’d this month.
Click to expand...
Just to be sure I’m interpreting this correctly, the expert was disqualified?

(Sorry, IANAL, I don’t deal with legal matters very much, and I’m in Texas, where DQ is a place to eat! :p)
 
There are a lot of reasonable claims in that lawsuit, but it's unfortunate they made it specifically about buildings F, G, and H. Those owners have been hit the worst, but their claim that buildings A through E are in perfect shape is completely false.
 
The complaint that there has been foot dragging by management on maintenance issues over the years is probably valid. The complaints about discrimination against the whole owners, are likely shaky. The issue that doesn’t seem to be addressed in complaints is the engineering report about the construction defects in the first place. It seems to me that the shabby construction practices at the beginning leads to the major renovation costs and it would be a stretch to pin that on Wyndham which comes into the picture much later. Of course there is the “should have known” argument which I find challengeable.
 
bnoble said:
I took a look at the ongoing lawsuit filed by the whole owners. It looks like they filed a motion to halt the vote; that motion was filed on July 8th. If I am reading the docket correctly, there has not been a hearing on that motion. Presumably, the AOAO Board decided it was prudent to postpone the vote out of an abundance of caution.

The whole owners later filed yet another amended complaint. I have uploaded the Motion to Enjoin and the 2nd Amended Complaint to the folder of other court proceedings I've purchased. You can find them here:

KBV-suit - Google Drive

drive.google.com drive.google.com
Click to expand...
Hello, I'm new to TS. I recently was in contact with someone to purchase Kauai Beach Villas resale. So far I've provided my contact info but haven't signed anything. Is this not a good decision at the moment ? It seems like there are issues currently between owners and the maintenance of the facilities. I would appreciate the suggestions of others who obviously know more about this. Thank you!
 
It's a terrible decision. Do not buy it.

We loved owning here, and have enjoyed many years of vacations. But, there are significant construction defects in all of the buildings, and the resort is either going to close or require a hugely expensive renovation. The person selling you this knows this, and is trying to take advantage of the fact that you did not.
 
Is this not a good decision at the moment ?
Click to expand...
What @bnoble said.

An ethical seller would have made full disclosure of the serious issues at Kauai Beach Villas. If you read other threads in this forum, you will see that owners have known for more than a year that keeping the resort up and running long term would require a special assessment in the thousands of dollars per week owned. Your seller wants out from under, and is hoping you will not find out that KBV is circling the drain until you have signed and taken over their obligation.

Rescind.
 
Don't do it!!!
 
magmue said:
Got the email 15" ago:

ASSOCIATION OF APARTMENT OWNERS OF KAUAI BEACH VILLAS

NOTICE OF INDEFINITE POSTPONEMENT OF SPECIAL MEETING

NOTICE IS HEREBY GIVEN that the Special Meeting of the Association of Apartment Owners of Kauai Beach Villas, originally scheduled for Wednesday, July 24, 2024 at 10:00 a.m. HST (via Zoom), to vote on not proceeding with the remediation of Project buildings and pursuant to Hawaii Revised Statutes § 514B-47(a), initialing a partition action of the Project, will be INDEFINITELY POSTPONED.

BOARD OF DIRECTORS

c/o Wyndham Destinations
Agent for ASSOCIATION OF APARTMENT OWNERS OF KAUAI BEACH VILLAS

DATE OF THIS NOTICE: July 16, 2024
Click to expand...
magmue said:
Got the email 15" ago:

ASSOCIATION OF APARTMENT OWNERS OF KAUAI BEACH VILLAS

NOTICE OF INDEFINITE POSTPONEMENT OF SPECIAL MEETING

NOTICE IS HEREBY GIVEN that the Special Meeting of the Association of Apartment Owners of Kauai Beach Villas, originally scheduled for Wednesday, July 24, 2024 at 10:00 a.m. HST (via Zoom), to vote on not proceeding with the remediation of Project buildings and pursuant to Hawaii Revised Statutes § 514B-47(a), initialing a partition action of the Project, will be INDEFINITELY POSTPONED.

BOARD OF DIRECTORS

c/o Wyndham Destinations
Agent for ASSOCIATION OF APARTMENT OWNERS OF KAUAI BEACH VILLAS

DATE OF THIS NOTICE: July 16, 2024
Click to expand...
I've just started watching this blog and it's been very informative. This meeting has been delayed but I read something about a September hearing, will this delay effect that hearing or does this suspend everything for awhile? Coming in in the middle has me in a catch up mode. I feel for the owners but like other respondents, as an Interim owner we feel deceived and stuck in a whirlpool.
 
The September hearing is the lawsuit that full-time owners have filed. It was also the full-time owners who filed the injunction to stop the timeshare owner's recent vote on closing and selling the resort. No one knows what the outcome will be.
 
DeniseM said:
The September hearing is the lawsuit that full-time owners have filed. It was also the full-time owners who filed the injunction to stop the timeshare owner's recent vote on closing and selling the resort. No one knows what the outcome will be.
Click to expand...
Thank you, We were going on the info from the letter received and were preparing for the meeting call until we found this forum. Will be following it very closely now.
 
If you really want to keep abreast of things, pay attention to the court case. You can find the (publicly available) documents at Hawaii's online court system. It is case #5CCV-22-0000029. That is currently scheduled for trial in mid- to late-September, so barring additional delays, we should have a resolution of the lawsuit in a few more months.

Personally, I am betting there may be some more delays, as the whole owners recently filed yet another amended complaint. I haven't read it yet, but I presume they are trying to introduce new arguments. If they are successful in doing so, that will drag things out further.
 
Question: Did any of you decide NOT to pay the special assessment into the $4.1 million remediation project of buildings G & H due 04/01/2024? If you choose not to pay, what happened?
 
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