Wyndham Class Action Alleges Fraudulent Timeshare Scheme

A class action lawsuit accuses Wyndham of falsely representing the value and benefit of vacation timeshares.

Plaintiffs David J. Kriens Sr. and Brenda L. Kriens say they have been Wyndham timeshare owners since July 2015, and have paid more than $80,000 to Wyndham.

The Kriens say that Wyndham has created a “highly organized and fraudulent scheme” to sell timeshares to prospective owners.

Allegedly, the company misrepresents the timeshares in order to entice customers to purchase them, but does not disclose certain prohibitive limitations about the purchases.

The Wyndham class action lawsuit says that Wyndham’s timeshare business is driven by the sale of Vacation Ownership Interests (VOIs). Allegedly, these interests are represented by “points” in Wyndham’s business model.

The Kreins say that purchasers enter into a contract, agreeing to pay a certain amount of money for a certain number of points. These points can then allegedly be used to stay at several resorts owned or operated by Wyndham or an affiliate.

To stay at a resort affiliated with Wyndham, customers reportedly must use the points. The Wyndham vacation class action says that the number of points required to stay at a resort is based on a number of factors.

The Wyndham class action states that some locations and dates of vacation require more points to book, while to book during other times and at other locations uses fewer points.

The Kreins’ Wyndham class action lawsuit says that this much is represented to prospective customers, but representatives for the company do not accurately represent certain limitations of the system.

Allegedly, representatives do not warn customers that they are in competition with other point holders to have access to vacation timeshare spaces.

Additionally, the vacation class action lawsuit says that the company restricts the availability of reservations by using the spaces for marketing and rental income.

The Wyndham false advertising class action lawsuit claims that Wyndham knowingly misrepresents the rentals to plaintiffs in the interest of increasing its profits.

The Kriens call Wyndham and affiliates “sophisticated parties with superior knowledge of complex real estate and business transactions as to each and every [customer.]”

Allegedly, the company was under “continuous duty” to disclose the stipulations and limitations of the contracts, but failed to do so. The customers say they had no choice but to rely on the company’s representations of its products, and were financially injured by it.

This Wyndham class action lawsuit is not the only one of its kind — a separate Wyndham class action lawsuit takes issue with similar points.

The Kreins are represented by Donald S. Hackett III.

The Wyndham Vacation Timeshare Class Action Lawsuit is David J. Kriens Sr., et al. v. Wyndham Destinations Inc., et al., Case No. 6:19-cv-01650-RBD-EJK, in the U.S. District Court for the Middle District of Florida at Orlando.

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