tpelton
TUG Member
We have received notice of a vote to be held on March 11 about merging (takeover, ?) of Aviawest Resort Club (ARC) with/by Vacation Internationale.
If on March 11 a merger is voted for - then members would have to choose to join VI for a modest fee and be hit with a 25-60% increase in fees (depending on how many points you may have to convert) or choose to simply allow their ownership to disappear (i.e., walk away without liability).
They have only provided the members with minimal information. There is no additional information available, and they are seeking proxy votes (so that they will have enough votes to push this through regardless of the wishes of those who show up).
I contacted Vacation Internationale asking for more information, and was given the run around. They don't want to provide fulsome information which might allow members to figure out what a poor deal this is.
It seems like there is undue haste and insufficient options for discussion amongst members.
The majority of the directors as of May 2011 were also the owners and directors of the companies filing for bankruptcy protection, I am concerned that they may not have had the best interests of the ARC in mind when they promoted the early transfer of fees (hundreds of thousands of $) to the management company. This money is now apparently lost.
I would like to see this decision on hold - until a formal review by an outside agent can be conducted. I have sent a request for a review to the board, and am waiting for a reply. I am not a lawyer, but it seems that if the ARC board tried to push this merger through without a fulsome discussion, then they are not serving ARC well, and perhaps some legal remedy may be sought.
What is the rush and who benefits from it? Doesn't look like the owners will. Many will simply walk away from their timeshare. What happens to those points?
At the moment there are about 97 condos and 200 million RCI points in ARC - with about 2.5 million dollars of maintenance fees. This club should be viable. Why are we giving it away to VI?
If on March 11 a merger is voted for - then members would have to choose to join VI for a modest fee and be hit with a 25-60% increase in fees (depending on how many points you may have to convert) or choose to simply allow their ownership to disappear (i.e., walk away without liability).
They have only provided the members with minimal information. There is no additional information available, and they are seeking proxy votes (so that they will have enough votes to push this through regardless of the wishes of those who show up).
I contacted Vacation Internationale asking for more information, and was given the run around. They don't want to provide fulsome information which might allow members to figure out what a poor deal this is.
It seems like there is undue haste and insufficient options for discussion amongst members.
The majority of the directors as of May 2011 were also the owners and directors of the companies filing for bankruptcy protection, I am concerned that they may not have had the best interests of the ARC in mind when they promoted the early transfer of fees (hundreds of thousands of $) to the management company. This money is now apparently lost.
I would like to see this decision on hold - until a formal review by an outside agent can be conducted. I have sent a request for a review to the board, and am waiting for a reply. I am not a lawyer, but it seems that if the ARC board tried to push this merger through without a fulsome discussion, then they are not serving ARC well, and perhaps some legal remedy may be sought.
What is the rush and who benefits from it? Doesn't look like the owners will. Many will simply walk away from their timeshare. What happens to those points?
At the moment there are about 97 condos and 200 million RCI points in ARC - with about 2.5 million dollars of maintenance fees. This club should be viable. Why are we giving it away to VI?