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Has Anyone Been Taken to Court or Fined for Non Payment of Fees?

mikes13

TUG Member
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Jan 15, 2011
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Barnard Castle, North East England, UK
I subscribe to another forum that discusses giving up timeshare and I'm astounded by the number of contributors who are making themselves ill worrying about how they can pay their TS maintenance fees.

Has anyone ever been taken to court and successfully prosecuted for non payment of m/fees or points fees?
 
Since the regulars on this forum enjoy and use their timeshares, you are unlikely to find someone who has defaulted. However, we know from reports from the timeshares that we own, that the board of directors are taking action against deadbeat owners.

This is why - when an owner defaults on their maintenance fees - guess who must pay it? Not the developer or the management company - all the other owners have to pay! At resorts with high rates of default, there have been reports of huge increases in fees.
 
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They can ding you credit report real good. Why do you think they want your SS#, they aren't going to contribute to your pension....
 
Here is an example from Sheraton Vistana Villages in Florida:

2012 MFs: $828.15
Replacement Reserve: $183.73
Total Maintenance & Reserve Fees: $972.63

2012 MF Top 3 fees breakout:
Housekeeping & rooms: $119.29
Master Assn. Dues: $107.90
Bad Debt Expense: $101.60

Bad debt expense exceeds repairs & maintenance and utilities
 
I can't speak from knowing anyone who has personally walked out on MF's but, it's not that hard for a HOA to turn the debt over to collections. While it's possible that they could seek a court order for payment, I believe the cost would outweigh any benefit in increased collections.

The most likely scenario IMO:

Bad debt write off shows up on your credit report

Foreclosure shows up on your credit report

Frequent calls from collection agencies for the next few years attempting to collect this debt.

Over ten years ago I was the victim of identity theft where someone took a Capital One credit card out in my name (auto mailed sent to an old address). I have a dispute letter on file to send to the occasional collection agency who has purchased the debt and is still trying to collect on the debt. So collection attempts could go on for many years unless a bankruptcy filing has been made.
 
Yes, some resort HOA's do go to court for payment of maintenance fees. When I owned a unit in a resort in my home state, I used to check if our HOA was going after delinquent owners via our state's online circuit court access website. Some of the suits were successful, some were dismissed.
 
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