Just an FYI for anyone following the struggles of Point at Poipu Owners over the last year (who were hit with an ENORMOUS assessment with only a few months to come up with the money) - a settlement was reached in the lawsuit brought by a group of angry owners.
This IS travel related because anyone considering purchasing a timeshare needs to be aware of how the management company can change the terms of the agreement at any time, for practically any reason. Apparently over 500 owners defaulted on their units because they either couldn't or refused to pay the assessment.
[From an email sent by Concerned Owners at Point at Poipu]
Our class action lawsuit has resulted in a settlement reached through mediation between the attorneys for the plaintiffs and the attorneys for DRI and the rest of the defendants.
There have been financial concessions. They are now willing to take the remaining two years of payments and make them into FOUR years of payments. This will reduce the amount due in each of the next two years. If the escalation/contingency is not needed (or is lower than originally anticipated) years 3 and 4 will see reduced amounts billed, conceivably with NO funds due at all, rather than collect the contingency fees up front.
They are also going to assume the expense of the defaults ($4M) as they are also collecting the deeds on those intervals. Further, they have agreed to drop $1M of the $1.7M management fees. There were also Governance issues addressed. For all future elections, FULL DISCLOSURE must be made of ANY affiliation with DRI and all of its subsidiaries as well as familial connections. All board members will be educated about "fiduciary responsibility" and "conflict of interest" so as to assure that all is above board. Additionally, the board members will have an "independent" attorney available for consultation with regard to board activities.
This summarizes some of the key points in the Poipu Settlement Agreement - Fully Executed which can be found on our website at http://poipuowners.org/News.html
