[2008] Sandcastle Shift to "Festiva" Points [merged]

[ecwinch]

I think this is not the time to fix up Sand Castle, the economy is not at its best and folks are trying to use their money for more useful items. If the corp. that runs this resort wants to be the partner to us all that it should be it will maintain this resort in a working fashion and make sure it keeps well within its budget and try’s its hardest to keep the owners from incurring any fees.
Soon when the economy comes back they can think of fixing up this resort, but not now.
If they go on and fix it up and send out huge bills to us owners, then they are without dough trying to get us to default so they can steal our deeds.

I am not happy thinking I could be charged to polish something just so it shines, but its ok to patch a leak.

Silly wwRabbit. Cliff has got a huge mortgage he has got to pay. Toward that end I think your goals are not mutually aligned.

 

[Carolinian]

I don't think Festiva would want to present that info. Heck, people who have went to sales meetings and asked for the presentation in writing, were told NO!

I think the most useful thing owners can do, is remain owners. If Festiva can't get enough people to fork over their deeded property, maybe they will go away.

Personally, I like my place at Sandcastle and enjoy it as my home port. I wouldn't want to be an adventure club member, and end up who knows where each year. Don't get me wrong, we do our share of RCI trades, but also enjoy having Sandcaslte as our main vacation destination.

Check your state laws as to what you are entitled to. As a timeshare owner, you are entitled to inspect and copy most records. If the resort is stonewalling on that, something fishy is going on.

Write them a letter, addressed to the appropriate person, send it certified and a copy to the state AG and to the office that regulates timeshare, usually the state Real Estate Commission, and specifically demand to inspect and copy every record that the statute entitles you to. Get to the bottom of what is really going on.

 

[Carolinian]

Given the common lies, scams, and pressure tactics, has anyone thought about talking to a US Attorney of going for the jugular in this situation against the whole operation under the RICO statutes?

 

[Sou13]

Given the common lies, scams, and pressure tactics, has anyone thought about talking to a US Attorney of going for the jugular in this situation against the whole operation under the RICO statutes?

How do we find those "RICO" statutes?

 

[Sou13]

Check your state laws as to what you are entitled to. As a timeshare owner, you are entitled to inspect and copy most records. If the resort is stonewalling on that, something fishy is going on.

Two owners who went to the Southcape Resort manager asking for these records were turned away because the owners' list is "confidential" and supposedly protected by the privacy laws.

I emailed the resort manager with a request to inspect the books and copy the owners' address list while at the resort today. When I asked her whether she'd received my email request she couldn't find it. She had forwarded a previous message to Cliff Hagberg, who has yet to reply. Her answer is the same, that we were told at the owners' meeting that the mailing list is confidential and protected by privacy laws.

Your suggestion about the real estate commission may be worth pursuing. In the meantime, my request to inspect the books while I'm on-site has been stonewalled, JUST AS I EXPECTED.

 

[ecwinch]

Check your state laws as to what you are entitled to. As a timeshare owner, you are entitled to inspect and copy most records. If the resort is stonewalling on that, something fishy is going on.
QUOTE]
Two owners who went to the Southcape Resort manager asking for these records were turned away because the owners' list is "confidential" and supposedly protected by the privacy laws.

I emailed the resort manager with a request to inspect the books and copy the owners' address list while at the resort today. When I asked her whether she'd received my email request she couldn't find it. She had forwarded a previous message to Cliff Hagberg, who has yet to reply. Her answer is that same, that we were told at the owners' meeting that the mailing list is confidential and protected by privacy laws.

Your suggestion about the real estate commission may be worth pursuing. In the meantime, my request to inspect the books while I'm on-site has been stonewalled, JUST AS I EXPECTED.

In regards to the members list, this is the same approach that the Worldmark took. The laws are different in California, but the net result was a lawsuit was filed, with the member initially representing themself (pro se). Court sided with the member, but the issue is stayed, pending on appeal in California.

I would exhaust all non-legal options first. My next step would be to send a Demand Letter outlining your request. If it were me, in my demand letter I would request that they provide the list as required by statue/code, OR provide a reasonable compromise that allows you to contact the members to discuss member issues. Put the ball back into their court. Then if you need to move forward, you can demonstrate how reasonable you were, and how their only interest was to block owner communication.

In regards to inspecting the other records, I would prepare that demand letter now, referencing the previous e-mail. I would hand carry a copy to the office. You clearly gave notice that you wanted to inspect the books as permitted by statue.

 

[Fig]

Member Lists and Cliff Hagberg

Cliff Hagberg trustee at Sandcastle and Southcape is always asking us to Google him. He also manages the lists of both HOAs through NEVM. Well here's something interesting that I Googled up:

"NEVM’s resorts are sold-out properties, managed under the auspices of homeowner associations (HOAs). HOA boards are closely regulated by state and federal law and are required to be able to demonstrate that they have honored their fiduciary responsibility while overseeing the resort. New England Vacation Management takes this obligation very seriously, both from the desire to remain in compliance with the law, as well as ethically."

http://askmando.com/authors/brosious_matt/resort_management_software.html


Surely Cliff is familar with Massachusetts General Laws as they pertain to timeshare lists. Chapter 183b, Section 32

(b) The managing entity shall keep reasonably available for inspection and copying by any time-share owner all addresses, known to it or to the developer, of all the time-share owners with the principal permanent residence address of each indicated if known. The managing entity shall revise continually the list of addresses in the light of any information it obtains, and the developer shall keep the managing entity advised of any information he has or obtains.

http://www.mass.gov/legis/laws/mgl/183b-32.htm

Now why would a man who comes onto this board and wants to clear his name and is quoted as taking very seriously legal and ethical issues refuse to let owners see the list? One wonders.

 

[Carolinian]

Right there on Cape Cod, you have already had one success in kicking out developer management and getting a homeowner controlled board. See www.edgewaterownersma.com

You might get some advice and tactical assistance from them.

 

[Fig]

Right there on Cape Cod, you have already had one success in kicking out developer management and getting a homeowner controlled board. See www.edgewaterownersma.com

You might get some advice and tactical assistance from them.

Nice find, Carolinian. They are impressive. A pdf right on the site which is run by owners addressed to the Massachusetts AG clearly spelling out the violation of Mass statues. http://www.edgewaterownersma.com/frequently_asked_questions/sample 93A.pdf I guess they have over 200 complaints filed! Why not do one with the owner list violation for this resort? Owners?

 

[ChrisH]

CALL THE AG Hotline

I emailed the resort manager with a request to inspect the books and copy the owners' address list while at the resort today. When I asked her whether she'd received my email request she couldn't find it. She had forwarded a previous message to Cliff Hagberg, who has yet to reply. Her answer is that same, that we were told at the owners' meeting that the mailing list is confidential and protected by privacy laws.

Your suggestion about the real estate commission may be worth pursuing. In the meantime, my request to inspect the books while I'm on-site has been stonewalled, JUST AS I EXPECTED.[/QUOTE]

Now that they refused to provide you with an owners list you should call the Attorney General’s Public Inquiry & Assistance Center Hotline at 617-727-8400 and site:

Chapter 183B: Section 32. Definitions; list of addresses of owners; ballots; communication expenses; vote allocation; notice; recording amendments

2 (b) The managing entity shall keep reasonably available for inspection and copying by any time-share owner all addresses, known to it or to the developer, of all the time-share owners with the principal permanent residence address of each indicated if known. The managing entity shall revise continually the list of addresses in the light of any information it obtains, and the developer shall keep the managing entity advised of any information he has or obtains.

Ask them what your next step is. Certified mail? OR maybe THEY will contact the resort and tell them to get their act together.
Be able to provide them with names and addresses and email accounts that you contacted over the phone.

Southcape can always say the person didn't know they could release it, they didn't get the email etc. And remember, Cliff is watching you and us - so they were probably prepared for your request and avoided you - I wonder why.

GOOD LUCk, GOOD JOB, YAHOO!

 

[ChrisH]

Racketeer Influenced and Corrupt Organizations Act
The Racketeer Influenced and Corrupt Organizations Act (RICO), 18 U.S.C. §§ 1961-1968, has been used to attack various forms of fraud, including consumer fraud. Civil penalties include treble damages and attorney fees. 18 U.S.C. § 1964. RICO claims must be based on a pattern of racketeering activity or collection of an illegal debt, terms which are defined in the statute and judicial decisions. In addition, there are complicated requirements involving the relationship between the defendant and an enterprise. Case law interpreting RICO is complex and in a constant state of flux, and there is some judicial hostility to it. Thus, care should be taken to follow the latest developments if this approach is considered.

Massachusetts does not have an equivalent to RICO, however Chapter 93A offers many of the same advantages (e.g., treble damages) and it is less complex. RICO may have a broader scope than Chapter 93A and allows for federal jurisdiction, whereas Chapter 93A is limited to Massachusetts state courts.

 

[ecwinch]

Racketeer Influenced and Corrupt Organizations Act
The Racketeer Influenced and Corrupt Organizations Act (RICO), 18 U.S.C. §§ 1961-1968, has been used to attack various forms of fraud, including consumer fraud. Civil penalties include treble damages and attorney fees. 18 U.S.C. § 1964. RICO claims must be based on a pattern of racketeering activity or collection of an illegal debt, terms which are defined in the statute and judicial decisions. In addition, there are complicated requirements involving the relationship between the defendant and an enterprise. Case law interpreting RICO is complex and in a constant state of flux, and there is some judicial hostility to it. Thus, care should be taken to follow the latest developments if this approach is considered.

Massachusetts does not have an equivalent to RICO, however Chapter 93A offers many of the same advantages (e.g., treble damages) and it is less complex. RICO may have a broader scope than Chapter 93A and allows for federal jurisdiction, whereas Chapter 93A is limited to Massachusetts state courts.

It is a federal law. Typically it is invoked when the conspiracy involves a interstate criminal activity or conspiracy (Festiva in NC, NEVS in Mass).

Also see the Bluebeards case in the Virgin Islands. They invoked RICO statues also.

 

[ChrisH]

FYI: Festiva Club "Rules" also posted on Southcape board

FROM: Festival Resorts Adventure Club
Commonwealth of MA
Public Offering Statement

6) Other Club-Related Information
a)As of December 31, 2008, there were a total of 13,200 Members in the Club.

(Gee I was told that Festiva had 100,000 plus members and millions in reserve money)

V) Managing Entity (ies)
…. Each Member, other than the Developer, will be a Class A Member of the Association and is entitled to cast 1 (one) vote for each Point that he or she owns. The Developer (or any Appointee) is a Class B Member of the Association and is entitled to cast 3 (three) votes for each Point that the Developer owns.

…The Developer currently controls the Association, and the Developer has the right to retain control of the Association after a majority of points have been sold.

The Management Agreement has an initial term of five (5) years, commencing August 10, 2006 and expiring August 11, 2011, and will thereafter be automatically renewed for additional five (5) year terms, unless the Members by a vote of at least seventy-five (75%0 of the Voting Power residing in Members other than Developer at a meeting at which at least fifty percent (50%) of the Voting Power residing in Members other than Developer participate, by person or by proxy, elect not to renew the Management Agreement, or the Manager gives the Club sixty (60) days prior written notice…

VII
2) i) Standard Assessments. After the Board of Directors Approves and establishes the Budget, the Board of Directors determines the respective Standard Assessment to be levied on each Member according to the provisions of Section 11.2 of the Declaration. Each Member, including the Developer, shall pay a Standard Assessment for each membership owned.

… Base Standard Assessment: $330.00 per Member
Points Standard Assessment: $0.75 per Point for Members with up to 5,999 Points: $0.65 per Point for Members with 6,000 or more Points.

And then there are those 'special assessments' on top of the Standard Assessments - was anyone told that??????

 

[Sou13]

Could you tell us where you found this "Public Offering Statement"?

 

[ChrisH]

Public Offering

I's in the "Leather Binder" - but all the schedules and exhibits they reference are missing. Couldn't find it online.

 

[Fig]

For some basic Festiva filings click this link and type in the name.
http://corp.sec.state.ma.us/corp/corpsearch/corpsearchinput.asp

Looks like they want to develop and sell timeshares in MA. Maybe they are more involved then Cliff is letting on?

 

[Fig]

I's in the "Leather Binder" - but all the schedules and exhibits they reference are missing. Couldn't find it online.

Maybe they planned to sell securites to pay off the loan and it fell thru when the market crashed? Que cahoonahs! Talk out a loan, buy a bunch of units...pay of the debt by unloading it on investors...then soak the owners for a special assesment to upgrade the property. You get your money back pronto and still get to sell the units down the line for a profit. However, looks like the public offering never took place, so NEVS is carrying millions in debt. Hold on to your pocketbooks folks!

 

[Sou13]

Found at RedWeek.com

Buy or Sell Timeshare Points and Credits
Timeshare points and credits can now be bought and sold on RedWeek.com using the same by-owner, membership supported format as our timeshare rentals and resales. RCI points, Wyndham Vacation Ownership points, Bluegreen Resorts points, and most major timeshare points systems are available.

Festiva Resorts currently manages and owns 16 properties throughout the Midwest, southeast and Caribbean and owns developer inventory at an additional eight resorts. The Festiva Adventure Club, a points-based program that was launched in 2006, allows members to travel throughout the Festiva Resorts network and exchange with Interval International.

Festiva Sailing Vacations, a Festiva Resorts company that operates the Festiva Cruise Club, charters all-inclusive luxury catamaran yachts in four locations in the Caribbean including the British Virgin Islands, the Grenadines, St. Maarten and the Bahamas.

 

[Sou13]

A typo?

VII
2) i) Standard Assessments. After the Board of Directors Approves and establishes the Budget, the Board of Directors determines the respective Standard Assessment to be levied on each Member according to the provisions of Section 11.2 of the Declaration. Each Member, including the Developer, shall pay a Standard Assessment for each membership owned.

… Base Standard Assessment: $330.00 per Member
Points Standard Assessment: $0.75 per Point for Members with up to 5,999 Points: $0.65 per Point for Members with 6,000 or more Points.

And then there are those 'special assessments' on top of the Standard Assessments - was anyone told that??????

I asked where you found this "Public Offering Statement" because you must have made a mistake. The per point assessment must be $0.075 per Point, not $0.75!

In my case I was told that the MF would be $575 for 3500 points. It turned out to be $602, not $575. But at $0.75 per point the MF would be $2,625+330=$2955!

 

[ChrisH]

Oops! Sorry about the math

The statement reads $0.075 and $0.065 per point. Sorry
Chris

 

[Sou13]

Public Offering Statement

The statement reads $0.075 and $0.065 per point. Sorry
Chris

Is there a date on that "Public Offering Statement"?

The "Public Offering Statement" included in the contract with Southcape owners is published at http://www.tugbbs.com/forums/showthr...ent#post687123. It has come to my attention that Festiva Resorts did not register to do business in Massachusetts until January 20, 2009, well after Outfield Marketing began registering conversions at https://72.8.52.132/ALIS/WW400R.HTM...XTP=A&W9FDTA=&W9TOWN=MASH&W9ABR=*ALL&W9INQ=AY

 

[Marvan]

Sandcastle Resorts Deeded Weeks vs Points

During November 2008 we received an undated form letter at our home address titled ”Dear Sandcastle Owner”, from New England Vacation Services LLC. It was sent by Cliff Hagberg Managing General Partner of New England Vacation Management Services LLC. The letter also states that New England Vacation Services LLC has affiliated Sandcastle Resorts with one of the premier vacation companies in the country, Festiva Resorts, in addition to RCI which Sandcastle has always had, and is in the process of affiliation with Interval International. We subsequently received a call from a sales person from Outfield Marketing wanting to schedule an appointment at our home to discuss the new changes that were going to be made by the new owner “New England Vacation Services, LLC”. We requested he send us a written summary, he declined stating it could only be discussed in person. We declined.

We are deeded Time Share Owners at Sandcastle Resorts in Provincetown MA. This year we rented prior to starting our deeded weeks. The day we checked in we received a phone call from an on premise salesman from “Outfield Marketing”. We asked how they knew we were at Sandcastle, we didn’t get an answer but were scheduled to a sales meeting to change from deeded ownership to the point system. A meeting was scheduled with the salesman from Outfield Marketing. He went thru his sales pitch speaking and making notes on sheets of paper extremely fast to the point it was almost impossible to keep up with him. This consisted of the following:
1. Exchanging each deeded week and paying $ 1,000. plus recording fees of $ 195.
each week For this we would receive 3,000 Festiva Resorts points for each week..
This was a one time offer and the payment would increase if we did not act today.
2. To purchase points outright, the minimum purchase is 1,800 points costing $ 6,000.
The charge for each time share week consisting of 3,000 points, was $ 3,995.
3. In addition he stated that our annual maintenance fees would increase dramatically
if we chose to stay with our deeded weeks, there was no current budget and the deficit
of $ 237,000. would soon exceed $ 300,000.
4. The point system with the Festiva Resorts, the maintenance fees would remain stable
due to their large reserve for maintenance and increases would only be a nominal
cost of living adjustment.
5. A benefit with the point system is if you give over 30 days notice to the Resort for a
one week reservation it only costs you 1,900 points versus 3,000 points for less than
30 days notice.
6. After our deeded weeks were transferred to New England Vacation Services, they
would be put into a Trust. There wasn’t a clear explanation what that meant.
7. Some of his notes we could not decipher.
8. He gave us a few days grace period to sign and pay the contract. This was a one
time offer, after the few days the cost of acquiring the points would increase.

It was alluded to but not stated that after the conversion to 3,000 points per week we would continue to have our usual weeks at Sandcastle Resorts each year without limitation. We didn’t get to ask our question “could the points required to stay at Sandcastle Resorts ever be increased over the current 3,000 points per week”?

The sales contract forms consisted of legal size sheets numbered 1 thru 8 (with two copies of page one), pages 9 thru 11 missing, letter size sheets numbered 12 thru 18 and unnumbered “Individual Membership Application”, all of which consist of the following pages:
Page
1. New England Vacation Services Festiva Adventure Club Membership Application.
2. New England Vacation Services/Festiva Resorts Adventure Club, Purchasing and
Security Agreement and Truth-in-Lending Disclosures.
3 - 4 - 5 & 6 Terms and Conditions consisting of 26 items.
7. New England Vacation Services Promissory Note.
8. Festiva Resorts Adventure Club/NEVS Purchaser Acknowledgements.
Pages 9 thru 11 missing.
12. Untitled – Contract #. for credit card payment.
13. New England Vacation Services, LLC, Bank Authorization Agreement For Pre-
Approved payments (ACH Debits).
14. New England Vacation Services, LLC, Credit Application and Agreement.
15. Festiva Resorts Privacy Disclosure.
16. NEVS/Festiva Resorts Adventure Club, Addendum to Purchaser Acknowledgment.
17. New England Vacation Services, LLC, Policy Regarding Your Financial Privacy.
18. Notice of Cancellation and unnumbered Membership Application.
Some questions for above forms:
Page 2 Equity upgrade from?? Term 40 years? Did not hear of this during meeting.
Page 8 Membership level. Non term points? These were not mentioned during meeting.
Page 5 – Item 15 Renewal rights for additional ten Years? Didn’t hear about this limitation!
“ 18 No oral or written statements are accepted as part of the contract, only the
wordage which is contained within above documents is accepted. So the rep.
can say or write anything on a sheet of paper to make the sale and if it isn’t
contained within the above documents then the reps. statements are not valid..
Page 16 Par. 2 Membership does not include maintenance fees, but the purchase price does
include the first year’s membership fees for Interval International? What, first
I’ve heard of this! What is the annual membership after the first year? And
what if your not interested in ”Interval International”.
Par. 3 Forms states salesman made no representation about increased maintenance
fees. We were told by rep that maintenances fees would increase greatly.
Par. 5 We did not have the opportunity to ask many questions.
“ 6 Rep. not well informed based on what he communicated to us, and no we were
not satisfied with his sales pitch. AND What are the missing pages 9 thru 11?

That, added to the fast talking salesman and his zooming paper doodling to emphasize his fast talking points. When my wife attempted to ask him questions, he stated “who is running this meeting?” So for all of this we would get relieved of our deeded weeks and thousands of dollars for what benefit that was never made clear? What happens to the deeded weeks and who eventually ends up with them? A complaint letter was filed with MA Attorney General.

I suggest everyone that has had a bad experience file a written complaint to the MA Atty. General, that volume should ensure that an action will be taken. A current list of deeded owners and addresses is a must for us to have to ensure that all deeded owners are informed of the meeting date and to have sufficient votes to overcome the New England Vacation Services LLC votes. To anyone who has made a request for the list of deeded owners and was rejected, that is more than sufficient reason to file a written complaint to the MA Atty. General.

 

[Fig]

During November 2008 we received an undated form letter at our home address titled ”Dear Sandcastle Owner”, from New England Vacation Services LLC. It was sent by Cliff Hagberg Managing General Partner of New England Vacation Management Services LLC. The letter also states that New England Vacation Services LLC has affiliated Sandcastle Resorts with one of the premier vacation companies in the country, Festiva Resorts, in addition to RCI which Sandcastle has always had, and is in the process of affiliation with Interval International. We subsequently received a call from a sales person from Outfield Marketing wanting to schedule an appointment at our home to discuss the new changes that were going to be made by the new owner “New England Vacation Services, LLC”. We requested he send us a written summary, he declined stating it could only be discussed in person. We declined.

We are deeded Time Share Owners at Sandcastle Resorts in Provincetown MA. This year we rented prior to starting our deeded weeks. The day we checked in we received a phone call from an on premise salesman from “Outfield Marketing”. We asked how they knew we were at Sandcastle, we didn’t get an answer but were scheduled to a sales meeting to change from deeded ownership to the point system. A meeting was scheduled with the salesman from Outfield Marketing. He went thru his sales pitch speaking and making notes on sheets of paper extremely fast to the point it was almost impossible to keep up with him. This consisted of the following:
1. Exchanging each deeded week and paying $ 1,000. plus recording fees of $ 195.
each week For this we would receive 3,000 Festiva Resorts points for each week..
This was a one time offer and the payment would increase if we did not act today.
2. To purchase points outright, the minimum purchase is 1,800 points costing $ 6,000.
The charge for each time share week consisting of 3,000 points, was $ 3,995.
3. In addition he stated that our annual maintenance fees would increase dramatically
if we chose to stay with our deeded weeks, there was no current budget and the deficit
of $ 237,000. would soon exceed $ 300,000.
4. The point system with the Festiva Resorts, the maintenance fees would remain stable
due to their large reserve for maintenance and increases would only be a nominal
cost of living adjustment.
5. A benefit with the point system is if you give over 30 days notice to the Resort for a
one week reservation it only costs you 1,900 points versus 3,000 points for less than
30 days notice.
6. After our deeded weeks were transferred to New England Vacation Services, they
would be put into a Trust. There wasn’t a clear explanation what that meant.
7. Some of his notes we could not decipher.
8. He gave us a few days grace period to sign and pay the contract. This was a one
time offer, after the few days the cost of acquiring the points would increase.

It was alluded to but not stated that after the conversion to 3,000 points per week we would continue to have our usual weeks at Sandcastle Resorts each year without limitation. We didn’t get to ask our question “could the points required to stay at Sandcastle Resorts ever be increased over the current 3,000 points per week”?

The sales contract forms consisted of legal size sheets numbered 1 thru 8 (with two copies of page one), pages 9 thru 11 missing, letter size sheets numbered 12 thru 18 and unnumbered “Individual Membership Application”, all of which consist of the following pages:
Page
1. New England Vacation Services Festiva Adventure Club Membership Application.
2. New England Vacation Services/Festiva Resorts Adventure Club, Purchasing and
Security Agreement and Truth-in-Lending Disclosures.
3 - 4 - 5 & 6 Terms and Conditions consisting of 26 items.
7. New England Vacation Services Promissory Note.
8. Festiva Resorts Adventure Club/NEVS Purchaser Acknowledgements.
Pages 9 thru 11 missing.
12. Untitled – Contract #. for credit card payment.
13. New England Vacation Services, LLC, Bank Authorization Agreement For Pre-
Approved payments (ACH Debits).
14. New England Vacation Services, LLC, Credit Application and Agreement.
15. Festiva Resorts Privacy Disclosure.
16. NEVS/Festiva Resorts Adventure Club, Addendum to Purchaser Acknowledgment.
17. New England Vacation Services, LLC, Policy Regarding Your Financial Privacy.
18. Notice of Cancellation and unnumbered Membership Application.
Some questions for above forms:
Page 2 Equity upgrade from?? Term 40 years? Did not hear of this during meeting.
Page 8 Membership level. Non term points? These were not mentioned during meeting.
Page 5 – Item 15 Renewal rights for additional ten Years? Didn’t hear about this limitation!
“ 18 No oral or written statements are accepted as part of the contract, only the
wordage which is contained within above documents is accepted. So the rep.
can say or write anything on a sheet of paper to make the sale and if it isn’t
contained within the above documents then the reps. statements are not valid..
Page 16 Par. 2 Membership does not include maintenance fees, but the purchase price does
include the first year’s membership fees for Interval International? What, first
I’ve heard of this! What is the annual membership after the first year? And
what if your not interested in ”Interval International”.
Par. 3 Forms states salesman made no representation about increased maintenance
fees. We were told by rep that maintenances fees would increase greatly.
Par. 5 We did not have the opportunity to ask many questions.
“ 6 Rep. not well informed based on what he communicated to us, and no we were
not satisfied with his sales pitch. AND What are the missing pages 9 thru 11?

That, added to the fast talking salesman and his zooming paper doodling to emphasize his fast talking points. When my wife attempted to ask him questions, he stated “who is running this meeting?” So for all of this we would get relieved of our deeded weeks and thousands of dollars for what benefit that was never made clear? What happens to the deeded weeks and who eventually ends up with them? A complaint letter was filed with MA Attorney General.

I suggest everyone that has had a bad experience file a written complaint to the MA Atty. General, that volume should ensure that an action will be taken. A current list of deeded owners and addresses is a must for us to have to ensure that all deeded owners are informed of the meeting date and to have sufficient votes to overcome the New England Vacation Services LLC votes. To anyone who has made a request for the list of deeded owners and was rejected, that is more than sufficient reason to file a written complaint to the MA Atty. General.

Great info here. Have you been in touch with these folks? http://sandcastleowners.blogspot.com/

 

[Frank Stevens]

During November 2008 we received an undated form letter at our home address titled ”Dear Sandcastle Owner”, from New England Vacation Services LLC. It was sent by Cliff Hagberg Managing General Partner of New England Vacation Management Services LLC. The letter also states that New England Vacation Services LLC has affiliated Sandcastle Resorts with one of the premier vacation companies in the country, Festiva Resorts, in addition to RCI which Sandcastle has always had, and is in the process of affiliation with Interval International. We subsequently received a call from a sales person from Outfield Marketing wanting to schedule an appointment at our home to discuss the new changes that were going to be made by the new owner “New England Vacation Services, LLC”. We requested he send us a written summary, he declined stating it could only be discussed in person. We declined.

We are deeded Time Share Owners at Sandcastle Resorts in Provincetown MA. This year we rented prior to starting our deeded weeks. The day we checked in we received a phone call from an on premise salesman from “Outfield Marketing”. We asked how they knew we were at Sandcastle, we didn’t get an answer but were scheduled to a sales meeting to change from deeded ownership to the point system. A meeting was scheduled with the salesman from Outfield Marketing. He went thru his sales pitch speaking and making notes on sheets of paper extremely fast to the point it was almost impossible to keep up with him. This consisted of the following:
1. Exchanging each deeded week and paying $ 1,000. plus recording fees of $ 195.
each week For this we would receive 3,000 Festiva Resorts points for each week..
This was a one time offer and the payment would increase if we did not act today.
2. To purchase points outright, the minimum purchase is 1,800 points costing $ 6,000.
The charge for each time share week consisting of 3,000 points, was $ 3,995.
3. In addition he stated that our annual maintenance fees would increase dramatically
if we chose to stay with our deeded weeks, there was no current budget and the deficit
of $ 237,000. would soon exceed $ 300,000.
4. The point system with the Festiva Resorts, the maintenance fees would remain stable
due to their large reserve for maintenance and increases would only be a nominal
cost of living adjustment.
5. A benefit with the point system is if you give over 30 days notice to the Resort for a
one week reservation it only costs you 1,900 points versus 3,000 points for less than
30 days notice.
6. After our deeded weeks were transferred to New England Vacation Services, they
would be put into a Trust. There wasn’t a clear explanation what that meant.
7. Some of his notes we could not decipher.
8. He gave us a few days grace period to sign and pay the contract. This was a one
time offer, after the few days the cost of acquiring the points would increase.

It was alluded to but not stated that after the conversion to 3,000 points per week we would continue to have our usual weeks at Sandcastle Resorts each year without limitation. We didn’t get to ask our question “could the points required to stay at Sandcastle Resorts ever be increased over the current 3,000 points per week”?

The sales contract forms consisted of legal size sheets numbered 1 thru 8 (with two copies of page one), pages 9 thru 11 missing, letter size sheets numbered 12 thru 18 and unnumbered “Individual Membership Application”, all of which consist of the following pages:
Page
1. New England Vacation Services Festiva Adventure Club Membership Application.
2. New England Vacation Services/Festiva Resorts Adventure Club, Purchasing and
Security Agreement and Truth-in-Lending Disclosures.
3 - 4 - 5 & 6 Terms and Conditions consisting of 26 items.
7. New England Vacation Services Promissory Note.
8. Festiva Resorts Adventure Club/NEVS Purchaser Acknowledgements.
Pages 9 thru 11 missing.
12. Untitled – Contract #. for credit card payment.
13. New England Vacation Services, LLC, Bank Authorization Agreement For Pre-
Approved payments (ACH Debits).
14. New England Vacation Services, LLC, Credit Application and Agreement.
15. Festiva Resorts Privacy Disclosure.
16. NEVS/Festiva Resorts Adventure Club, Addendum to Purchaser Acknowledgment.
17. New England Vacation Services, LLC, Policy Regarding Your Financial Privacy.
18. Notice of Cancellation and unnumbered Membership Application.
Some questions for above forms:
Page 2 Equity upgrade from?? Term 40 years? Did not hear of this during meeting.
Page 8 Membership level. Non term points? These were not mentioned during meeting.
Page 5 – Item 15 Renewal rights for additional ten Years? Didn’t hear about this limitation!
“ 18 No oral or written statements are accepted as part of the contract, only the
wordage which is contained within above documents is accepted. So the rep.
can say or write anything on a sheet of paper to make the sale and if it isn’t
contained within the above documents then the reps. statements are not valid..
Page 16 Par. 2 Membership does not include maintenance fees, but the purchase price does
include the first year’s membership fees for Interval International? What, first
I’ve heard of this! What is the annual membership after the first year? And
what if your not interested in ”Interval International”.
Par. 3 Forms states salesman made no representation about increased maintenance
fees. We were told by rep that maintenances fees would increase greatly.
Par. 5 We did not have the opportunity to ask many questions.
“ 6 Rep. not well informed based on what he communicated to us, and no we were
not satisfied with his sales pitch. AND What are the missing pages 9 thru 11?

That, added to the fast talking salesman and his zooming paper doodling to emphasize his fast talking points. When my wife attempted to ask him questions, he stated “who is running this meeting?” So for all of this we would get relieved of our deeded weeks and thousands of dollars for what benefit that was never made clear? What happens to the deeded weeks and who eventually ends up with them? A complaint letter was filed with MA Attorney General.

I suggest everyone that has had a bad experience file a written complaint to the MA Atty. General, that volume should ensure that an action will be taken. A current list of deeded owners and addresses is a must for us to have to ensure that all deeded owners are informed of the meeting date and to have sufficient votes to overcome the New England Vacation Services LLC votes. To anyone who has made a request for the list of deeded owners and was rejected, that is more than sufficient reason to file a written complaint to the MA Atty. General.

To Marvan,

Great post. Please do visit the blog mentioned by FIG: http://sandcastleowners.blogspot.com/

I created it to host information and paperwork that can be viewed by owners and used to, hopefully, remove confusion about what is going on there. I have urged people to write the AG if they have a legitimate complaint. Yesterday, thanks in part to info on this TUG site, I found the Mass law governing timeshares. This is a big help.

As a group, owners do not know much about the laws and their rights. If there is something wrong going on, we will have to work to get it to stop. Many owners have been harassed by salespeople and been told misleading information by them and others. We need to clear this up.

Please, anyone reading this, look at the blog, participate if you want to, and make a comment which does or doesn't have to be posted. I moderate this blog and will not post flames, rants rumors or such. I will also keep communication private if you indicate that. So it is a way we can get connected, which we need to do as owners since the management is withholding the owners list which we have a right to.

 

[NEVMSLLC]

Hi Frank

Would you have any objections if I were to participate in your blog? If you'd rather I didn't, I'll respect that, but owners have an unusual opportunity here to communicate directly with me and get straight answers. I also offer my email address for owners who wish to communicate with me privately.

I've never understood why owners seem to be happy to email and complain amongst themselves when I'm right here to answer their questions.

Cliff Hagberg