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A class action lawsuit says that Wyndham aggressively markets its timeshares and unfairly profits from customers by requiring them to assign their timeshare interest to a trust, from which Wyndham benefits.
Plaintiffs Carolyn Nolen, Windy Kelley, Cara Kelley, and Paula Litton claim that they all have timeshares with Wyndham.
Allegedly, these customers, along with every timeshare purchaser, are required to assign 100 percent of their timeshare interest to Club Wyndham Plus, a program governed by the terms of the Fairshare Trust. In turn, the trust is reportedly controlled by Wyndham.
The Wyndham class action claims that Wyndham does not disclose to customers that the Fairshare Trust is the Fairshare Vacation Owners Association, a corporation controlled entirely by Wyndham. The terms allegedly indicate that the only beneficiaries of the Fairshare Trust are the individual timeshare owners and Wyndham.
Because the trustee is reportedly controlled by Wyndham, and Wyndham profits from the trust, the trustee — Fairshare Vacation Owners Association — profits from the trust, in violation of Arkansas law.
According to the customers’ timeshare trust class action lawsuit, Wyndham violated Arkansas Trust Code, which requires a trustee to administer the trust solely in the interest of the beneficiaries, and dictates that a “trust and its terms must be for the benefit of its beneficiaries.”
The Wyndham class action claims that the Trust Code states that trustees cannot profit from the trust, even if they did not breach the trust in profiting from it.
The timeshare holders argue that the Fairshare Vacation Owners Association’s Board of Directors has the right to change any program or feature of the trust at will, even if these changes are against the best interest of the customers.
During the time period at issue in the Wyndham lawsuit, all three members of the Board of Directors were Wyndham members, and they were able to make changes to the trust even if those changes were not in the best interest of the timeshare holders.
In the words of the timeshare owners, “to gain control over the Fairshare Vacation Owners Association and the Fairshare Trust, [Wyndham] or its affiliated entities appointed its own executives and employees to control the actions of the Trustee.” Allegedly, this led to “tremendous” financial benefits for Wyndham and affiliates.
The Wyndham timeshare class action lawsuit argues that Wyndham’s control of the trust is absolute, and that the company is violating their fiduciary duty to timeshare owners.
The timeshare owners go on to argue that Wyndham requires timeshare owners to pay fees that cover the costs of administering and operating the trust, which only financially serves Wyndham, not the timeshare holders.
Wynham has previously faced claims that the timeshare company misled consumers about its services, and unfairly profited from consumers.
Do you have a timeshare? Tell us about your experience in the comments below.
The timeshare holders are represented by John A. Yanchunis and Patrick A. Barthle II of Morgan & Morgan Complex Litigation Group; James M. Terrell and Rodney E. Miller of Methvin Terrell Yancey Stephens & Miller PC; and Bradford D. Barron of The Barron Law Firm PLLC.
The Wyndham Timeshare Trust Class Action Lawsuit is Carolyn Nolen, et al. v. Wyndham Vacation Resorts Inc., et al., Case No. 6:20-cv-00330-PGB-EJK, in the U.S. District Court for the Middle District of Florida.
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337 thoughts onWyndham Class Action Lawsuit: Hotel Unfairly Profits Off Timeshare Owners
I would like to be added
I would like to be added to the Wyndham class action lawsuit.
We just sold our wyndham contracts
Annual dues are prepaid 2020 pays for 2021 expenses
We paid in full 2021 dues for 2022
Selling our contracts
Wyndham takes bake the points for the full year 2021 that were prepaid in
2020
My guess is that we are due our points thru 2021
And the prepayments for
2022 regardless for what the one sided contract says
In 2020 while I was stationed at Fort Hood, Texas as a brand new private in the US Army, my family and I decided to take a trip to the San Antonio River Walk. We were charmed by the scenery and small Italy like vibes. A few people off the street ralked us into walking into their “tourist info center” where they fabe us free tickets that could only be used today if we attended a small presentation. We did, it was long, they used emotional tactics in their presentations and music and used my wife and kid to pressure me into giving them their dream life. We signed for almost 20k thinking I had just become the best dad in the world. And off we went to enjoy our “free tickets” probably at $125 dollar value. The first time we booked was in San Antonio and the entrance to the “resort” was just some door down an alley you see in crime movie. I decided to visit them and ask questions and learned about rhe non stop maintenance fee changes. We wsnted out but were denied. Ultimately I fell into depression and was dicharged for using cannabis as a coping mechanism. I lost my GI Bill, denied unemployment mid pandemic and denied VA health insurance for my family and I. Our living conditions are bad, my credit runs my life and it is bad because of Wyndham. I havent paod them a dime for a false advertised service I used once disatisfactorily. Please add us to the lawsuit or help me file an individual one. Thank you everyone for sharing, prayers to all.
I want to join this lawsuit!!!!
WYNDHAM TIME SHARE FALSE ADVERTISING
– They lied to me and told me what I wanted to hear to make me purchase the timeshare
– They lied and told me I could register my dog as an emotional support dog and the resorts would allow my pet to come with me. That is not true and we did not find this out until we booked our first stay. By the time we booked, it was too late to cancel. Our sales representative went as far as to give me a website that we can register the dogs at to make sure they are accepted at the resorts.
– They lied to me and told me that I could buy the timeshare as an investment for my business. This is not the case and is strictly prohibited. They went as far as to tell me how much money I could make by selling my stays.
– They offered me a multiple “free stays” that are not free in any way you have to pay for them. Each time we get annoyed and brought up issues, they just gave us more “free weeks”…. that are not free.
– You can never book at a resort that you want to stay at!! But if I call the resort and book outside of Wyndham, there are availabilities.
Bottom line, my sales representative lied to me to get his commission. By the time I found out the system was not as advertised / sold, it was too late. We have been in a dispute with Wyndham since July to cancel the contract and we just heard back today that they are not willing to do so.
I am making formal complaints to BBB along with the FTC about their malicious sales tactics that can ruin someone’s life. My credit has taken a massive hit because I refuse to pay them another dime.
I’m in the same boat, and am about to talk to a lawyer about my options. Even worse, I bought in May 2019, and haven’t been to a single vacation due to the pandemic.
I am in financial debt due to the Wyndahm false sales marketing campaign as described above. Please Add me to this law suit.
Same thing happened to me. I would like to join this class action suit as well.
We have experienced everything that has been mentioned and more! Wyndham just takes takes takes! They don’t care about their owners at all, they just want more money.
We would like to be added to the lawsuit as well.
I would like to be added to this lawsuit. For years Wyndham has been sued , they lose lawsuits and continue to commit the save violations that they have been sued for previsouly. There comes a time to hold Wyndham accountable to the many people who were lied , pressured into purchasing and not fullfilling what was promised
I AGREE! ?? I was pressured into an upgrade when my husband died. As a new widow I went to Lake Tahoe property as a Silver status owner to UN-stress after tremendous grieving from my loss. I was told there was an UPDATE Meeting to attend to advise owners of New properties available for travel and Special Gifts for Owners. Once at their Office High Pressure Sales tactics were used on me when I was not aware I was just a good target for another sale! There were 5 sales hounds around me! I am a Pioneer Owner who first purchased when WM was called TRENDWEST in Reno Nevada. I feel hustled and found out I only had 5 days to get out of a Diamond Contract upgrade! I became ill and was hospitalized.during that time and am angry Worldmark by Wyndham has kept me TRAPPED into paying on an upgrade and dues amounts I am unable to pay. They promised I could get a downgrade back to my Silver Owner status which was nearly paid off but keeps me on a merry go round while past due payments keep climbing! SUCH SNAKES!!