630 Million dollar class action lawsuit settlement for victims of Timeshare Exit Team

[TUGBrian]

I clearly must have missed this headline!

does not appear the insurance company wants to pay this tab! (and I dont blame them)

Timeshare Exit Co.'s Insurer Challenges $630M Class Deal - Law360 Real Estate Authority

Insurance provider General Casualty Co. of Wisconsin on Friday challenged client Reed Hein & Associates LLC's $630 million settlement with a class of Reed Hein customers in Washington federal court, saying the figure was crafted by a plaintiffs' expert with no relevant background.

www.law360.com

 

[TUGBrian]

this website seems to have updates on the case, this happened back in 2023? how did we miss this?

Class Updates

October 17, 2025 The case against the insurance company continues toward trial scheduled for March 23, 2026. Update: August 19, 2024 There has been no monetary recovery yet. After Plaintiffs served…

reedheinclass.wordpress.com

 

[TUGBrian]

also adding to this (as I found it during my searches)

https://www.atg.wa.gov/timeshareexitteam

if you are a washington resident and a victim, appears you are entitled to some compensation!

 

[TUGBrian]

Added to note, I sure hope Dave Ramsey is held accountable for his role in this. FORTY THOUSAND owners/victims, the bulk of those driven to this company by ramseys endorsement directly..... insane

 

[dioxide45]

Added to note, I sure hope Dave Ramsey is held accountable for his role in this. FORTY THOUSAND owners/victims, the bulk of those driven to this company by ramseys endorsement directly..... insane

I haven't heard much else regarding the lawsuit against him.

 

[pedro47]

The winner of this lawsuit are only the timeshare consumers of the state of Washington.

 

[easyrider]

Timeshare exit company's and some if not most of the attorneys that shill for these types of cases are definitely taking advantage of the own forever timeshare problem,imo. The industry needs to fix the exit problem and with many of the large company's they have by offering exit programs.

Bill

 

[TUGBrian]

I haven't heard much else regarding the lawsuit against him.

same, i see occasional updates but they only appear to be procedural vs anything significant... i cant believe a settlement was reached 2 years ago with no real announcement anywhere. heck youd think the industry itself would be shouting that from the rooftops.

 

[pedro47]

Why should you have to paid a timeshare corporation, to take back your timeshare, when you have fully paid off the mortgage and you are current with all your maintenance fees and club fees?

Finally, doing this so-called process, you cannot even used your paid off timeshare to make new reservations ?

 

[davidvel]

same, i see occasional updates but they only appear to be procedural vs anything significant... i cant believe a settlement was reached 2 years ago with no real announcement anywhere. heck youd think the industry itself would be shouting that from the rooftops.

Not a settlement in the traditional sense.

Here is the summary: Reed Hein & Associates dba Timeshare Exit Team (TET) was sued in a class action. They tendered the defense to their insurers, who denied a defense to TET. The case proceeded to arbitration on certain factual issues, then returned to federal court for the approval of a class action settlement. TET basically didn't defend itself and got the huge class settlement entered against it.

TET's insurance company has now intervened to initially fight the settlement, then likely to fight any obligation to pay the settlement. The attached has more factual background if one is interested.

 

[easyrider]

Why should you have to paid a timeshare corporation, to take back your timeshare, when you have fully paid off the mortgage and you are current with all your maintenance fees and club fees?

Finally, doing this so-called process, you cannot even used your paid off timeshare to make new reservations ?

There are costs involved in returning a timeshare is the short answer.

Bill

 

[TUGBrian]

Id have no issue with a resort charging an owner the actual costs of transferring the ownership back as a surrender policy.

 

[Larry M]

There are costs involved in returning a timeshare is the short answer.

Bill

Heh! I returned one in 2006 to an HOA that was managed by Wyndham. They asked me for $150 for attorney fees. That and postage for mailing back the forms they send were the total costs.

 

[easyrider]

Heh! I returned one in 2006 to an HOA that was managed by Wyndham. They asked me for $150 for attorney fees. That and postage for mailing back the forms they send were the total costs.

Thats a good deal, imo. Ive been wanting to give back one of our Worldmark memberships and suposedly the exit is no cost other than keeping the membership current. The problem is I keep making reservations, lol.

Bill