The results of the special case were released on Friday and have been placed on the resorts website.
The conclusion is on the last page (51):
VII. CONCLUSION
[118] My conclusions on this special case are as follows:
a) Northmont is entitled to levy the Cancellation Fee;
b) Northmont is entitled to levy the Renovation Project Fee.
The reasons provide a lot of detail for the conclusions.
The results are now posted on the BC Courts website:
http://www.courts.gov.bc.ca/jdb-txt/SC/13/20/2013BCSC2071.htm
How about doing nothing and just ignoring them and not paying. Are they really going to sue for a $3,100 cancellation fee when suing will cost more than $3,100? The fact remains they (Fairmont and Northmont) breached the contract and misrepresented in numerous ways, despite what Justice Loo says.
They do not have to sue us is the issue. They can now take it to collections, and its completely enforceable using that means now. At least for Canadian owners. Also there is no such thing as Consumer rights when it comes to collections in Canada, they can pretty much do whatever they want, or pretty close to it.
That agreement is not just for the timeshare owners to follow, it is also for Northwynn to follow. The judge did not comment on breaches of this agreement but I do know the only way you can get out of this contract is if Northwynn breaches our contract and they did. I still do not have audited statements for 2013 and the ones for 2010,2011, and 2012 were way to late. We have a right to know the financial situation of that resort just as they did when they took over the resort. We have to stand up to these people and not allow them to bully us. I do know if I knew the problems with this resort I would of dumped it. Blame the Alberta Government for this, this resort should of gone bankrupt instead of them writing off 43 million dollars and then turning it over to Northwynn to screw us. Now you know why Alberta Services would not take on this case.Well, the court has ruled that Northwynd can charge a cancellation fee.
No where in all these proceeding have I seen anything that addresses HOW MUCH they can charge or whether what they ask for is justified. I would have paid to walk away back in April but not the amount they have asked for. Wanting the next 20 years of management fees seems to be ridiculous given they can rent these units and keep all the revenue.
Based on the Loo decision it sounds as if they could have asked for any amount. Why not ask for as almost much as the reno fee.
I will wait for more feedback from the lawyers on this and see where it goes but I don't plan on giving them my $3100. Even if it end up in collection or court some time in the future, I will make sure Northwynd ends up with a fraction of this amount in their pockets.
Now that this case has set precedent, just wait until they do this at their other properties and every slimy timeshare outfit in Canada starts with the same BS.
Well, the court has ruled that Northwynd can charge a cancellation fee.
No where in all these proceeding have I seen anything that addresses HOW MUCH they can charge or whether what they ask for is justified.
Why not ask for as almost much as the reno fee.
Read lines 63, 64, and 69 of the ruling.
A collateral agreement is an agreement entered into between the parties. It can effectively be for "any" amount provided both sides agree and it is not an "unconscionable bargain that the courts should not enforce."
You have answered your own question about the reasonableness of the amount. They could have charged you the renovation fee.
And you cancellation fee is not going to help other TS owners about the reno because it goes straight to Northmount pocket and who's covering your part of the maintenance fee or reno fee? No one and that's why the reno is destined to fail.
Who in their right mind would give these bandits any more money. The timeshare we once owned is worth zero and once Northwynn gets all the cancellation and Reno money they will just pocket it. Remember the management fee of 15% for doing nothing. That will still create a shortage for their big Reno job. There will be no end in sight the money they will want to collect from us. I have calculated what the 18 weeks of timeshare will cost me if I pay the Reno fee after only owning this for 12 years and it works out to 245.00 dollars a day after paying 14000.00 dollars to buy two weeks and they threw in a free week,7200 dollars maintenance fees and 12300 dollars for the Reno fee.I had an extended conversation with Michael Geldert regarding the decision by Justice Loo. I believe Michael is as disappointed as I am by the one-sided decision, but also stated he was not completely surprised given the conduct and actions of Justice Loo during the hearings. She appeared to have accepted Northmont’s arguments from the start and did not appear to be open to consideration of any of the arguments submitted by the lawyers for the Sunchaser Timeshare Owners (the “Owners”)
We also faced the problem that Northmont was in many ways calling the shots since they had initiated the Petition. Justice Loo would not allow arguments that Northmont may have already been in breach of the Contract. We were also unable to address the question of Northmont’s responsibility to pay maintenance fees (and Renovation Fees) on the units it controls. If we want to have those arguments heard, we must consider either commencing our own action against Northmont and RVM, or use that argument as a defence against any collection action commenced by Northmont and RVM. And I don't see paying further monies to Northmont as a viable option. I believe they will simply collect as much monies as they can, divert it to their own pockets, and close the Resort in early 2014.
In my opinion, the judgment as it stands gives cart-blanche to Northmont to proceed with their renovation plans and sets a significant precedent for other timeshare operators in BC to proceed with similar actions in other Resorts. It is apparent from reading the Judgment Summary posted on the Sunchaser website that Northmont intends to actively pursue collection of the Renovation Fee or the Cancellation Fee from all Owners. Northmont will conveniently ignore the fact that the judgment only addresses two aspects of the original petition - it does not provide approval to modify the existing contracts by reassigning units and does not provide approval to downsize the Resort.
But also note that Northmont stresses the importance that the Owners obtain independent legal advice. I am urging all Owners to support an action to appeal this questionable decision by Justice Loo. I believe there are ample grounds for appeal on the basis of errors of fact and law in Justice Loo’s decision. Unless an appeal is filed, I believe all Owners will face aggressive collection action by Northmont. To me, the best defence against that action is to be represented by a lawyer and to direct that Northmont address all communication to that lawyer.
I believe that Michael Geldert has demonstrated that he can provide the most cost-effective representation for the Owners and I suggest that all Owners consider signing a retainer agreement with Geldert Law. My understanding is that Michael is asking for a total retainer of $150, significantly less than the other firms. I also understand each of the other law firms have decided not to participate further unless the majority of the Owners that signed as their clients pay an additional retainer much higher than the $150 Geldert law is requesting.
To me, the first priority is to appeal the decision. The next is to prepare a defence against any collection action that Northmont and RVM may commence. And I understand that Michael is prepared to take those actions on our behalf for the $150 retainer, providing a sufficient number of owners join in that appeal
We should also consider commencing an action for damages against Northwynd, Northmont, RVM and the Trustee based on breach of contractual obligations, but only if enough Owners elect to go that route. And we must understand that would involve significantly more legal costs.
Please contact Geldert Law if you wish to have a lawyer represent you for the appeal and to act on your behalf in response to any collection action from Northmont.
Geldert Law - Michael Geldert 778-330-7775 Email michael@geldertlaw.com
I am quite disappointed by the one-sided decision, but also not completely surprised given the conduct and actions of Justice Loo during the hearings. She appeared to have accepted Northmont’s arguments from the start and did not appear to be open to consideration of any of the arguments submitted by the lawyers for the Sunchaser Timeshare Owners (the “Owners”)
You seem to be a very happy person with the the judgement made by justice Loo. How do you think she would rule on Audited Statements being mailed out to timeshare owners in a timely fashion according to the agreement? Do you think it is important for timeshare owners to receive these statements by March 31 of each calendar year so they can decide to stay or sell this terrible investment. Is it just as important as the cancellation fee and the Reno fee?I thought you posted a summary of the hearing. Ah, I found it.
I find it very interesting that the detailed summary you prepared immediately after the hearing did not make any mention that:
1) Justice Loo's "conduct" was inappropriate.
2) She was not open to arguments.
3) That the process was stacked against you.
In fact, nothing in your summary suggests anything except the process was thorough. Yet now that you've lost, suddenly Justice Loo's conduct was inappropriate. That sounds like a rationalisation and an attempt to re-write history which isn't even an opinion, let alone a fact.
Let me guess, there is noone to corroborate your claims.
I know that had I been in your shoes and legal counsel told me we had no chance of winning because the Justice was acting inappropriately, and the process was unfairly stacked against us, I would have started immediately rallying the troops for an appeal. I would have been yelling from the highest mountain and the 6:00 news that I had been wronged. I would have been warning them we were going to lose and planning for it. The one thing I would not have done is prepare a detailed summary of the proceedings that made no mention of these irreconcilable issues.
I wonder if we would have ever learned how unfair Justice Loo was if you had won...