HARRISBURG, PA — Attorney General Michelle Henry filed a lawsuit on Thursday against Split Rock Investments, LLC, and SCH USA, LLC, collectively known as “Bel Air,” which operates under the name “Bel Air Owner’s Circle.” The lawsuit alleges deceptive business practices and failure to meet promised standards for timeshare owners at the renowned Split Rock Resort in Lake Harmony, PA.
The lawsuit claims that Bel Air made it challenging for timeshare owners to make reservations and provided accommodations different from what they were promised. In some instances, Bel Air falsely represented downgraded accommodations as “upgrades.” Moreover, it alleges that Bel Air charged excessive fees and used unlawful tactics to collect them.
“Consumers who thought they purchased leisure and comfort at one of Pennsylvania’s renowned vacation spots instead had trouble booking, received downgraded accommodations, and in some cases, were threatened over fees,” said Attorney General Henry. “This lawsuit seeks restitution for victims and sends a message that mistreatment of consumers will not be tolerated; my Office will take legal action if necessary to bring wrongdoers to justice.”
The lawsuit also alleges that Bel Air imposed excessive maintenance fee increases above the 7.5% annual cap, charged a usage fee for recreational facilities even when consumers did not use or want to use the facilities, and applied a Mexican VAT tax of 16%, despite neither the resort nor the consumers being located in Mexico. In some cases, Bel Air refused to terminate timeshares for deceased members and continued to bill maintenance fees and assess late fees on those timeshares.
The lawsuit also accuses the defendants of violating the Pennsylvania Fair Credit Extension Uniformity Act by using oppressive and abusive methods to coerce timeshare owners into paying fees. In one instance, the defendants issued a letter threatening to send the consumer’s account to collections, potentially impacting their ability to secure job opportunities, loans for cars, houses, and more.
To help consumers get the most out of their timeshares, Attorney General Henry offers the following tips:
- Only deal with licensed real estate brokers and agents.
- Get all terms and conditions in writing and ensure you understand them, especially regarding timeshare duration, maintenance fees, additional costs, and selling terms.
- If selling a timeshare, opt for companies that do not collect fees until the services are performed, and the timeshare is sold.
- Ask for references from satisfied customers.
- Be cautious of high-pressure sales tactics.
Consumers who believe they have been victims of similar timeshare practices are encouraged to file a complaint with the Bureau of Consumer Protection.
For the latest news on everything happening in Chester County and the surrounding area, be sure to follow MyChesCo on Google News and MSN.