Top Class Actions’s website and social media posts use affiliate links. If you make a purchase using such links, we may receive a commission, but it will not result in any additional charges to you. Please review our Affiliate Link Disclosure for more information.
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.
Read More Lawsuit & Settlement News:
Mass. Car Dealership Wage & Hour Class Action Settlement
Aseptic Loosening Can Cause Pain Years After Knee Replacement
Gospel for Asia Charity Accused of $100M Donor Fraud in Class Action Lawsuit
Study Suggests Neocate Formula Side Effects May Include Broken Bones
ATTORNEY ADVERTISING
Top Class Actions is a Proud Member of the American Bar Association
LEGAL INFORMATION IS NOT LEGAL ADVICE
Top Class Actions Legal Statement
©2008 – 2024 Top Class Actions® LLC
Various Trademarks held by their respective owners
This website is not intended for viewing or usage by European Union citizens.
337 thoughts onWyndham Class Action Lawsuit: Hotel Unfairly Profits Off Timeshare Owners
Yes I am also an owner and yes do do profit on us in so many ways! Add me
Plenty of potential class action participants with Starpoint Resort Group in Vegas (dba Sapphire, and Jockey Club). 15k cash deposit in 2016 and have stayed 7 times, have made it so difficult to reserve vacation that it’s not even feasible to do so. Total crooks!
I’ve owned a Wyndham timeshare for a few years. I was told the maintenance fees hardly ever went up and if they did it was only by pennies, that is so not true. They have gone up every year that I’ve had the timeshare and not by pennies! Also, every time I arrive at the resort where I have booked my vacation I have to listen to a high pressure sales pitch of how I need to attend a owners update presentation for an hour and they give me something in return. It always lasts longer than an hour and it’s hard to get away from them. I always spend 4 or 5 hours wasting my vacation time listening to their owners update that is actually a sales presentation telling you how you need to purchase more points. I showed up at one of the presentations without my husband because he was watching the grandkids and they had someone escort me out. I paid to vacation and should be able to do so without listening to high pressure sales tactics every time I go.
Wanda, I learned that you can refuse to attend. I know that whenever they offer me the ‘free breakfast’ it is time to say ‘no thanks’.
We used to own timeshares with Windham I Add me to your list. 2016-2017
Add me
Please Add me to this claim!
I’d like to be added to this claim. I brought a time share trial and was unable to use it when ever I wanted to go somewhere it was all booked up and I was told I’d had to buy in at a higher level in order to get what I wanted. Big – Rip – off
Please add me to this Class action.
Please add my name. I own a Wyndham timeshare and was mislead about the the deed and maintenance costs. It’s almost impossible to book a vacation when and where we want it. We were made promises that were not keep or correct. The system is entirely over complicated and deceitful.
Add me please. Presentations made it look so easy to book vacations when and where I wanted to go. We were told owning your vacation will make it much less to travel. Wyndham nickel and dimes you not only with maintenance fees, amenity fees (like wi-fi), booking fees, trade fees, cleaning fees, fees to extend your points are just a few examples.
All ownerships of points are not equal according to the Hawaii presentation or the Worldmark by Wyndham presentation. Wyndham owns and has bought multiple companies to increase there profits without sharing them with the owners. Wyndham say you can use these new aquisitions but when you try there is always no availability or for ridiculous point amounts that were not advertised when you originally purchase your timeshare interest.
The contracts are extremely long with hidden details they do not explain to you. You find out when you are not allowed to do something they said. There is high pressure to buy that moment and they do not allow time for you to read everything. They say everything is being recorded and everything is on the up and up.