Antitrust Law Daily Wrap Up, CONSUMER PROTECTION NEWS: Timeshare Operator Banned from Reselling Timeshares, (Jan 24, 2013)

By Jody Coultas, J.D.

The FTC announced today that four individuals connected with an allegedly deceptive time share operation were permanently banned from the timeshare resale business and telemarketing. A judgment and three consent decrees were approved by the federal district court in Orlando. The case was part of the FTC’s ongoing efforts to stop timeshare scams and protect consumers from fraud and deception in the marketplace (FTC v. National Solutions LLC, FTC File Nos. 1123040 and X110042, Civ. No. 6:11-cv-1131-22GJK, announced January 24, 2013).

The FTC charged the operators in July 2011 with violating the FTC Act and the FTC’s Telemarketing Sales Rule by misrepresenting that they had buyers willing to pay for consumers’ timeshare properties, that they would refund consumers’ up-front fee when the property was sold, and that the FTC would review and approve the sales. Customers were often never contacted again, the properties were never sold, and refund demands were ignored or denied. Also, the FTC does not review or approve timeshare sales.

News: ConsumerProtection FederalTradeCommissionNews