Do You Need Help Getting Out of a Timeshare? Timeshare contracts don't have to burden you forever. During our free event, real estate lawyers will show you how timeshare owners have gotten out of their sales contracts. Timeshare Cancellation, Termination & Modification Learn how it's possible to cancel, terminate or modify your sales contract. Regardless of what resort developers tell you, they do let timeshare owners out of their contracts. Developers frequently breach their own contracts and engage in fraudulent activities. Learn how a developer's actions can give you a way out. Deception Has the resort told you that you can't make a reservation? Have they told you that you can't rent your week? Are you paying hidden costs or higher fees? Timeshare owners face many surprises after the sales presentation. We'll explain your options. Sales The timeshare resale industry is rife with unscrupulous businesses. Resale scams require sellers to pay expensive upfront junk fees. Learn how not to become a victim of these fraudsters. Dealing with Runaway Maintenance Fees On average, timeshare maintenance fees increase 8% per year. You might even get stuck paying other costs and assessments as time goes on. The sales team probably didn't tell you about these hidden expenses and fee increases. We'll explain how you can seek relief from this costly headache. Estate Plan If you've decided to keep your timeshare, then the next step is creating an estate plan. Timeshare contracts are "in perpetuity," and your heirs will have to continue paying maintenances fees and other costs. Learn how to dispose of your timeshare to prevent your heirs from inheriting the extra expenses.

1. PotomacLegalGroup.com
Lawyers@PotomacLegalGroup.com
Potomac Legal Group
How to Get Out of Your Timeshare
How to Get Out of Your Timeshare
How to Sell, Cancel or
Modify Your Timeshare Contract

2. What We Will Say Today
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We'll Explain How to Get Out of a Sales Contract.
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We'll Demonstrate How to Modify a Sales Contract.
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We'll Discuss How to Resolve Disputes.
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We'll Show You How to Protect Your Heirs.

3. What Did I Get Myself Into?
Timeshare Contract
Maintenance Fees
Special Assessments
Liability for Other
People's Actions
Maintenance Fee
Increases
Costs of
Defaulting Owners
Burden on Heirs

4. You're Not Alone
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$6.5 Billion in Timeshare Sales
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353,822 Timeshare Intervals Sold
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Average $786 Maintenance Fee Per Interval
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Resort Occupancy 78.9%
Data From American Resort Development Association's Report
“2012 State of the Vacation Timeshare Industry”

5. What Are My Options?
Option #1
Pay Maintenance Fees & Assessments for Life.
Your Children will Continue Paying Them for Life.
Option #2
Retain an Attorney to Create an Exit Strategy.
Option #3
Keep Your Timeshare.
Ask an Attorney to Develop an Estate Plan that
Frees Your Heirs from Life-Long Timeshare Fees.

6. Costs of Timeshare
Purchase & Ownership
Average Purchase Price: $18,401
Typical Closing Costs: $500
Financing Interest: $3,455
60 Months at 6.99%
Maintenance Fees: $39,131
35 Years at $786 with 8% Annual Increase
Expected Special Assessments: $5,000
Over 35 Years
Membership Dues: $4,000
Over 35 Years
Ad Valorem Taxes: $14,183
(35 Years at $396 with 1.7% Annual Increase)
TOTAL: $84,670

7. Real Cost of Ownership
$5,600.00*
Plus Airfare & Other Tavel Expenses
*Each of the First Five Years of Ownership

8. Market Value of Your Timeshare
$0.00

9. Timeshare Contract Rescission
Act Immediately if You Recently
Purchased a Timeshare.

10. Timeshare Contracts
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Adhesion: One Party has the Leverage.
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In Perpetuity: Your Life & Your Heirs' Lives
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Maintenance Fees, Costs & Liability:
You'll Pay Increasing Fees & Share Liability.
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Arbitration: You Can't Sue in Court.

11. What About the Presentation?
Generally, Nothing the Salesperson said in the
Timeshare Presentation is Enforceable.
There have been no other agreements or understandings
between the parties; this Contract contains the entire terms of
the parties agreement. In connection with this Contract, each
party specifically does not rely on the representations and/or
promises of any other party, except as expressly contained
herein. All prior discussions and negotiations are merged
herein and are superseded thereby. This Contract replaces
and supersedes any prior written or verbal
understandings and agreements.

12. Getting Out of a Timeshare:
Strategies
Strategy #1
Rescission Options
Strategy #2
Fraud, Misrepresentation & Deception
Strategy #3
Real Estate & Consumer Protection Laws

13. Disputes with Developer or
Management Association
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Significant Maintenance Fee Increase
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Inability to Make Reservations
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Poor Services or Physical Maintenance
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Special Assessment on Owners Before Examining
Developer Liability
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New Rules on Usage or Rental

14. Timeshare Resales
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Resale Services aren't Real Estate Brokers.
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Resellers Charge Junk Fees for Listings.
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Many Services are Legitimate but not Effective.
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Ask Them to Prove their Closing Rate Before Signing.
➔
Resale Services Make Money Charging Upfront Fees.

15. Estate Planning
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A Contract “In Perpetuity” Means The Timeshare
Passes to Your Heirs.
➔
At Minimum, You Must Write a Will or Add a Codicil
➔
Will the Timeshare to the Management Association
(or a Relative You Don't Like)
➔
Changing Your Will is a Good Time to Examine Your
Entire Estate Plan.

16. Costs of Getting Out of a Timeshare
➔
Timeshare Resale Company: Up to $3,000+
➔
Real Estate Broker: Typically 6%
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E-Bay: Pay Listing Fees & Closing Costs.
➔
Consumer Advocacy Group: Free or Low-Cost.
You'll Receive Information & Sample Documents
➔
Attorney: Strategy, Demands, & Negotiation: $3,500.
Additional Fees for Arbitration or Litigation.

17. The Process
➔
Review Your Contract & Evidence
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Select a Strategy Based on Your Needs
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Write Fully-Inclusive Demand Letter
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Negotiate & Review Offers with Client
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Enter into a Settlement Agreement.
Alternatively, Arbitrate or Initiate Litigation.

18. What Should I Do?
Any Decision You Make will Cost you Money.
➔
Do Nothing: Pay Timeshare Expenses for Life
➔
Exit Timeshare Contract: Retain an Attorney
➔
Create Estate Plan: Legal & Accounting Fees
Which Choice will Cost
You the Least Amount of Money?

19. Rescission v. Cancellation v. Termination
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➔
“Rescission” generally requires that the parties be restored to
their respective positions before their ill-fated transaction. This
means owners may be entitled to get payment back, the seller
gets the time share back and seller is compensated for the use
of the premises for the nights and days used.
“Cancellation” occurs when either party puts an end to the
contract for breach by the other and its effect is the same as
that of ‘termination’ except that the canceling party also retains
any remedy for breach of the whole contract or any
unperformed balance.”
Uniform Commercial Code 2106(4); see 13 Corbin (Rev. ed.), §73.2; 13 Am.Jur.2d (2000 ed.)
➔
“Termination” occurs when either party, pursuant to a power
created by agreement or by law, puts an end to the contract
otherwise than for its breach.
Uniform Commercial Code sec. 2106 (3)

20. Rescission v. Cancellation v. Termination
Plaintiffs/owners of timeshare were able to cancel
timeshare agreement where contract was not a
contract of sale but rather a lease agreement. Court
found that the agreement was in violation of the
Louisiana Timesharing Act.
Upheld trial court's decision to invalidate contract
where there was an apparent discrepancy between
what Plaintiffs believed they were purchasing and what
they actually bought.
(Agrawal v. Rault Club Ten, Inc., 482 So.2d 184 (La. App. 4 Cir. 1986).

21. Rescission v. Cancellation v. Termination
➔
➔
➔
➔
Plaintiffs entitled to rescind timeshare agreement
where Plaintiffs were "adversely affected by Defendant
timeshare company's violations of Wisconsin
Timeshare statute.
The trial court found that the Defendant failed to
provide Plaintiffs with the necessary documents.
The trial court found that the referral selling plan was
presented to the Plaintiffs on the same day they
signed their purchase agreement, and, hence, before
their five-day right to cancel would have expired, thus
creating an inducement for them not to cancel it.
This then violated both the statute and the
administrative rule.
(Ott v. Peppertree Resort Villas, Inc., 292 Wis. 2d 173)

22. Virginia Code § 55-376. Purchaser's Rights of Cancellation
A. A purchaser shall have the right to cancel the contract until midnight of the seventh calendar
day following the execution of such contract. If the seventh calendar day falls on a Sunday or
legal holiday, then the right to cancel the contract shall expire on the day immediately following
that Sunday or legal holiday. Cancellation is to be without penalty, and all payments made by
the purchaser before cancellation must be refunded within forty-five days after receipt of the
notice of cancellation.
B. If the purchaser elects to cancel a contract pursuant to subsection A, he shall only do so
either (i) by hand-delivering the notice to the developer at its principal office or at the project or
(ii) by mailing the notice by certified United States mail, return receipt requested, to the
developer or its agent designated in the contract. Any such notice sent by certified mail shall be
effective on the date postmarked.
C. If, because of the occurrence of a material change, the public offering statement is amended
between the time of contracting to purchase a time-share and the time of settlement, the
developer shall provide the amended public offering statement to the purchaser and the right of
cancellation shall renew from the date of delivery of such amended public offering statement.
This subsection shall not apply if the public offering statement is amended by the developer
because of a change which is not material or to disclose any change which is an aspect or
result of the orderly development of the time-share project in accordance with the project
instrument.
D. The right to cancel the contract as provided by this section shall not be waivable by the timeshare purchaser and any provision in the contract or time-share documents indicating a waiver
shall be void.
E. A statement of the purchaser's right of cancellation as set forth in subsections A and B shall
appear in the contract above the purchaser's signature line. Such statement shall appear in type
no smaller than any other provisions of the contract, and the caption "PURCHASER'S
NONWAIVABLE RIGHT TO CANCEL" shall appear immediately preceding it in conspicuous,
bold-face type.

23. Maryland Real Estate Time-Sharing Act
Section 114 - Right of cancellation. § 11A-114
(a) In general, a time-share purchaser shall have the right to cancel the sales contract until
midnight of the tenth calendar day following whichever occurs latest:
(1) The contract date;
(2) The day on which the time-share purchaser received the last of all documents required to be
provided as part of the public offering statement; or
(3) The time-share unit meets all building requirements and is ready for occupancy. However, if
the developer obtains a payment and performance bond from a surety to insure completion of
the project as represented in the public offering statement and contract of sale, and files the
bond with the Commission, this item does not apply.
(b) Right cannot be waived.- The right of cancellation cannot be waived by the purchaser or by
any other person. No closing shall occur until the purchaser's cancellation period has expired.
Any false representation made by or on behalf of a developer that a purchaser may not exercise
the right of cancellation, or any attempt to obtain a waiver of the purchaser's cancellation rights,
or a closing prior to the expiration of the cancellation period, shall be unlawful and such closing
shall be voidable at the option of the purchaser for a period of 1 year after the expiration of the
cancellation period. Nothing in this section shall preclude the execution of documents in
advance of closing for delivery after expiration of the cancellation period.

24. Maryland Real Estate Time-Sharing Act
Section 114 - Right of cancellation. § 11A-114
(c) When notice considered given.- Any notice of cancellation given by mail or telegraphic
communication shall be considered given on the date postmarked, if mailed, or when
transmitted from the place of origin, if telegraphed, so long as the notice is actually received by
the developer. If notice is given by means of a writing transmitted other than by mail or
telegraph, it shall be considered given at the time of receipt at the principal place of business of
the developer.
(d) Rights upon cancellation.- In the event of a timely cancellation, or in the event the timeshare plan is one in which time-share licenses are sold and at any time the time-share project is
no longer available to such licensees, the developer shall honor the rights of any purchaser to
cancel the sales contract. Upon such cancellation, the developer shall refund to the purchaser
all payments made which exceed the proportionate amount of benefits made available under
the plan, using the number of years of the proposed plan as the base. Such refund shall be
made within 20 business days of demand or within 5 days after receipt of funds from the
purchaser's cleared check, whichever is later.

25. PotomacLegalGroup.com
Lawyers@PotomacLegalGroup.com
Potomac Legal Group
How to Get Out of Your Timeshare
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