Wyndham is closing a handful of legacy resorts - dedicated chart/tracker located in the first post for this unfolding set of events

[Twenty20]

Based on what is coming out of the communications to owners and resulting votes, owners are going to be refunded their 2026 fees. There is no screw over job with this one. The bigger question is what happens if an owner already has a reservation for 2026 using 2026 points. I suspect they will cancel their reservation. What about people that have borrowed 2026 points for a 2025 reservation?

No. 2025 fees...and possibly 2024. You can deposit points up to two years out. One lady had been saving up points for a long awaited Hawaii trip and is now going to be out 2 years worth of points she's already paid for.

 

[Twenty20]

Then take the swap. Don't expect Wyndham to hold your account open once there are zero contracts left in the account. If you still have contracts left in the account after these actions, then your expectation holds more weight IMHO.

I think that's a TERRIBLE take. If you've paid MFs under a system that allows you to bank points for use in future years.... Not having any active points for 2026 should not absolve Wyndham of their liability. For that matter, same with points that have been deposited into RCI (and should be usable for two years after deposit). Those are also going poof unless you have a booked reservation and have paid the exchange fee already.

In every other company, this would be considered unearned revenue and would be a liability on the books. Not something you could ever just waive away with a magic wand because the customer is no longer an active customer.

It would not be the least bit difficult to keep an account open and active if it still contains unused points deposited into that use year. This is just simply wyndham screwing people over, and honestly think they could face a lawsuit over it.

 

[comicbookman]

Speculating that if the company doing the transfer has already done the title transfer / records the deed in your name with the Clerk of the Court, you are the legal owner of the interval.

HOWEVER, it's doubtful Wyndham will transfer the contract into your name. So you will likely not end up with any points in Club Wyndham.

My experience is the way these timeshare transfers work is you pay the title company doing the transfer, then docusign all the documents and send back to them. The title company records the deed with the Clerk of the Court, and once that is complete, they send the Wyndham Contract transfer info to Wyndham who processes the points transfer. The Wyndham title department has been cancelling these transfers for resorts they know are closing, but they have no legal authority to "undo" the deed transfer, which is a real property transaction they have no ownership interest in.

What's worse is the people at Wyndham who will ultimately be doing all these conversions and payouts will likely see the previous owner's name on the contract and contact them. You won't be recognized as the owner.

This is a weird gray area, because legally you are the owner, but Wydham will try to pay the person they think is the owner when the property is ultimately sold.

Can you "undo" the deed registration? Maybe, but the previous owner would need to be willing I think.

I'm also not a lawyer but I think this is how it will work. Hopefully you are not out much money.

Since it will not be Wyndham doing any of the payouts, it doesn't matter who they think the owner is. Prepaid maintenance fees will be paid out by the HOA any proceeds will be paid out by the Court appointed overseer. Make sure the HOA is aware of the legal transfer and who the current owner is

 

[Twenty20]

As to what proceeds owners at the Glade can expect.... Peanuts. My back of the envelope math says in an ideal sale situation expect maybe $300/week of ownership.

Still about $300 more than what CWA points are worth, I guess.

 

[Twenty20]

No, my argument is that Wyndham did not have to use bankruptcy. They could have just held the vote to dissolve the TS. Also, Wyndham isn't declaring bankruptcy, the HOA is. Half of your argument is Wyndham does not know that the HOA is filing bankruptcy till the HOA votes. Neither does the HOA. Logically you cannot intend to do something if you don't know you're going to do it. And I suppose announcing any plans could be construed however one likes, it's not special here.

This was fairly well explained by the lawyer this week in the presentation, and makes perfect sense to me. The HOA cannot just sell unless there is unanimous consent by all owners.. something that will never happen. A federal court bankruptcy, however, the judge can order the sale, without unanimous owner consent.

I don't see any other feasible way to complete a liquidation of the property and HOA without a bankruptcy.

 

[Jan M.]

I think that's a TERRIBLE take. If you've paid MFs under a system that allows you to bank points for use in future years.... Not having any active points for 2026 should not absolve Wyndham of their liability. For that matter, same with points that have been deposited into RCI (and should be usable for two years after deposit). Those are also going poof unless you have a booked reservation and have paid the exchange fee already.

In every other company, this would be considered unearned revenue and would be a liability on the books. Not something you could ever just waive away with a magic wand because the customer is no longer an active customer.

It would not be the least bit difficult to keep an account open and active if it still contains unused points deposited into that use year. This is just simply wyndham screwing people over, and honestly think they could face a lawsuit over it.

This is a very black and white situation. Come 12:00am, January 1, 2026, you'll either still be an owner and keep any future reservations and/or points moved forward or you won't be an owner any more and both will cease to exist in the system.

Wyndham is making what any court or judge would view as an acceptable and equitable effort to compensate the owners with the offer of an equal number of CWA points.

If someone turns down the offer and decides to no longer be an owner, why would they think Wyndham has any interest in appeasing them? What value do those owners bring to Wyndham's table if they no longer want to be Wyndham owners? That's the cold, hard truth.

 

[dioxide45]

As to what proceeds owners at the Glade can expect.... Peanuts. My back of the envelope math says in an ideal sale situation expect maybe $300/week of ownership.

Still about $300 more than what CWA points are worth, I guess.

Based on the slide deck posted earlier, isn't there 467 units at Glade? Estimate indicated it could sell for $10 million. Perhaps wishful thinking. There will be so many fees and other stuff to be paid out. 4% is lost to the real estate commission and they suggested at least $25,000 to market the property. They have funds they are transferring from reserves to cover ongoing operations, taxes, insurance and such. But imagine all the other fees. Property and title search. Perhaps foreclosing on defaulted intervals. All these proxy mailings. More mailings for more votes in the future. More special meetings. Paying a court appointed trustee if necessary. The billable hours alone from the attorneys is going to take a big chunk from any proceeds. In other words, lots of expenses. I don't know for sure, but I would hazard to guess that at least half of the sales price gets eaten up before any owner proceeds are distributed. That probably puts any payment closer to $200 or maybe even nothing at all. There is certainly no windfall here for owners but one might be able to go out and enjoy a great dinner at a fancy restaurant.

 

[Twenty20]

Based on the slide deck posted earlier, isn't there 467 units at Glade? Estimate indicated it could sell for $10 million. Perhaps wishful thinking. There will be so many fees and other stuff to be paid out. 4% is lost to the real estate commission and they suggested at least $25,000 to market the property. They have funds they are transferring from reserves to cover ongoing operations, taxes, insurance and such. But imagine all the other fees. Property and title search. Perhaps foreclosing on defaulted intervals. All these proxy mailings. More mailings for more votes in the future. More special meetings. Paying a court appointed trustee if necessary. The billable hours alone from the attorneys is going to take a big chunk from any proceeds. In other words, lots of expenses. I don't know for sure, but I would hazard to guess that at least half of the sales price gets eaten up before any owner proceeds are distributed. That probably puts any payment closer to $200 or maybe even nothing at all. There is certainly no windfall here for owners but one might be able to go out and enjoy a great dinner at a fancy restaurant.

$10m. 20,000 intervals/weeks. So $500 before all the expenses, commission etc..

 

[Twenty20]

This is a very black and white situation. Come 12:00am, January 1, 2026, you'll either still be an owner and keep any future reservations and/or points moved forward or you won't be an owner any more and both will cease to exist in the system.

Wyndham is making what any court or judge would view as an acceptable and equitable effort to compensate the owners with the offer of an equal number of CWA points.

If someone turns down the offer and decides to no longer be an owner, why would they think Wyndham has any interest in appeasing them? What value do those owners bring to Wyndham's table if they no longer want to be Wyndham owners? That's the cold, hard truth.

I explained already what unearned revenue is, from a legal and accounting perspective. It's a liability on Wyndham's books. If I prepay for a service from a company, they don't get to just wash away their liability to me because I don't agree to continue to buy even more of their product in the future.

None of anything else you posted does anything to change that fact. I spent years auditing public companies and then years doing financial reporting for them. What is being described by you and others is 1000% wrong

 

[comicbookman]

I explained already what unearned revenue is, from a legal and accounting perspective. It's a liability on Wyndham's books. If I prepay for a service from a company, they don't get to just wash away their liability to me because I don't agree to continue to buy even more of their product in the future.

None of anything else you posted does anything to change that fact. I spent years auditing public companies and then years doing financial reporting for them. What is being described by you and others is 1000% wrong

Then you were a piss poor auditor. You already agreed to the terms requiring you to maintain an account.( Being a member in good standing) If you don't live up to those terms, Wyndham does not have to supply the service. They are providing ways for you to live up to the terms, if you choose to forgo them, not their problem.

 

[Twenty20]

Then you were a piss poor auditor. You already agreed to the terms requiring you to maintain an account.( Being a member in good standing) If you don't live up to those terms, Wyndham does not have to supply the service. They are providing ways for you to live up to the terms, if you choose to forgo them, not their problem.

Wrong again. You simply don't understand. Wyndham is the party not living up to their agreement.

The only way to 'live up' to these terms is to promise to continue buying future product from them, via the CW membership. That has nothing to do with what has already occurred... Which is me giving up my current/prior year use of my timeshare for a promise from Wyndham for future use.

When did you pass your CPA?

 

[paxsarah]

If I prepay for a service from a company, they don't get to just wash away their liability to me because I don't agree to continue to buy even more of their product in the future.

But that’s not what deeded timeshare ownership is. My maintenance fees aren’t prepaying for a service - they’re my financial obligation as an owner of deeded property. I’m not agreeing to “buy” more of their product in the future - I’m choosing whether or not to remain an owner and continue with that financial obligation of ownership.

 

[Jan M.]

No one is going to be asked to buy those CWA points or forced to buy more points. I'm not sure where you got that idea.

Dumb it down for me.

You pre-paid for something that no longer exists because your resort isn't part of the Wyndham system anymore. Another way to look at it is the use of the phrase "owner in good standing" in the governing docs. When someone is no longer an owner in good standing they forfeit being able to belong to and participate in the system. Wyndham can't take away their deed or deeds but they can basically kick them out of the system.

I know I'm probably over simplifying with this example. Or not using a good example but you get the idea.

Say a vet offers plan to provide care for your pet. Part way through the the coverage period your pet dies. Does the practice total up the cost of the services you did receive, deduct that from what you paid for the plan, and refund you the balance. Of course not.

Or say you didn't use any services during the covered time but you expect the practice to roll your plan forward another month because you intended to use it but couldn't make your schedule work to get your pet in.

 

[Twenty20]

But that’s not what deeded timeshare ownership is. My maintenance fees aren’t prepaying for a service - they’re my financial obligation as an owner of deeded property. I’m not agreeing to “buy” more of their product in the future - I’m choosing whether or not to remain an owner and continue with that financial obligation of ownership.

That's true for the MF. But there is also a fee for Windham club access. And part of that agreement in the club includes me giving up my club access for the year (within the first 3 months of the use year) with a promise of access to club properties in future years. That's by any means a liability for the club, in the form of unearned, aka deferred, revenue.

At this point I don't really care that much. I'll lose a couple thousand dollars worth of points. But at least I'll be forever removed from the worst consumer product industry in this entire nation. An industry that makes the payday lender industry look respectable.

 

[paxsarah]

But there is also a fee for Windham club access.

I’m not sure what you mean. Do you mean the fee to use the Points Deposit Feature?

 

[Jan M.]

That's true for the MF. But there is also a fee for Windham club access. And part of that agreement in the club includes me giving up my club access for the year (within the first 3 months of the use year) with a promise of access to club properties in future years. That's by any means a liability for the club, in the form of unearned, aka deferred, revenue.

What fee for CWA other than the normal maintenance fees? Maintenance fees you would be paying anyhow for your deeded points if your resort wasn't being dropped.

 

[Twenty20]

No one is going to be asked to buy those CWA points or forced to buy more points. I'm not sure where you got that idea.

Dumb it down for me.

You pre-paid for something that no longer exists because your resort isn't part of the Wyndham system anymore. Another way to look at it is the use of the phrase "owner in good standing" in the governing docs. When someone is no longer an owner in good standing they forfeit being able to belong to and participate in the system. Wyndham can't take away their deed or deeds but they can basically kick them out of the system.

I know I'm probably over simplifying with this example. Or not using a good example but you get the idea.

Say a vet offers plan to provide care for your pet. Part way through the the coverage period your pet dies. Does the practice total up the cost of the services you did receive, deduct that from what you paid for the plan, and refund you the balance. Of course not.

Or say you didn't use any services during the covered time but you expect the practice to roll your plan forward another month because you intended to use it but couldn't make your schedule work to get your pet in.

Your example is nothing more than a version of insurance, and has no comparison to this situation which has a very clear and defined cost and delivery of specific services.

A better example is prepaying for a year of a gym membership. And 6 months into the year, the gym closes the location in your city (but maintains national operations as a going entity)... What would you expect to happen?

 

[Twenty20]

I’m not sure what you mean. Do you mean the fee to use the Points Deposit Feature?

No. There is an annual fee for club Wyndham in excess of the actual MF to the HOA. Don't recall what it is.... Maybe $200/yr?

 

[Jan M.]

Your example is nothing more than a version of insurance, and has no comparison to this situation which has a very clear and defined cost and delivery of specific services.

A better example is prepaying for a year of a gym membership. And 6 months into the year, the gym closes the location in your city (but maintains national operations as a going entity)... What would you expect to happen?

Okay, using your example. If the closest other location is far enough away that I'm unable to get there, that's a me problem and they aren't required to refund my money?

Not pet insurance but a care plan. It would cover say a check up visit, the basic yearly shots, and a percentage off flea and tick products.

I think you're referring to the program fee. That's the fee every owner pays Wyndham for managing the system. IT, the call centers, etc.

 

[RENTER]

As to what proceeds owners at the Glade can expect.... Peanuts. My back of the envelope math says in an ideal sale situation expect maybe $300/week of ownership.

Still about $300 more than what CWA points are worth, I guess.

This is not a perfect comparison because it only involved 4 owners. it was a townhouse quarter share timeshare. Purchase price for each owner was $45,000. When the resort went bankrupt, each owner received $15,000 from the sale of the unit. So, your envelope math is probably close.

 

[paxsarah]

No. There is an annual fee for club Wyndham in excess of the actual MF to the HOA. Don't recall what it is.... Maybe $200/yr?

The program fee pays for the administrative functions that make the points system work - like the call center, website, owner care staff, financial audits of the program, etc. You have access to these services from January 1 to December 31 of each year, regardless of whether you use your points during the regular use year or move them forward. You’re receiving those services in the year you pay the program fee, to put it in your terms.