Legal tip 1349. Spain Supreme Court beating Timeshare again !
Wednesday, December 2, 2015 @ 4:23 PM
TEAPOT: SPAIN SUPREME COURT BEATING TIMESHARE AGAIN!
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Floating or points systems…. null and void according to Law 42/98. Nullity extends to associated loans, mortgages…
Right to full refund of all paid amounts plus interests
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On recent 2015 September 8th, Supreme Court has reiterated doctrine (initially set in January 2015) on the nullity of Floating / Points systems in Timeshare contracts.
Supreme Court says Timeshare contract is null and void due to two sets of reasons:
1. Omission of mandatory information (Ex art 9.1 Law 42/98) such as:
- Data of Timeshare regime deeds, specifying the date of granting, authorizing notary and protocol number of said Notary deed.
- Land Registry data
- Express mention of the "real or personal" nature of the right
- Proof of deadline of the scheme.
These omissions lead Spain Supreme Court to consider that it is the transmission of" any other right “not covered by the special law and leads to the nullity of the contract
2. The contract lacks the object provided by law and thus infringes the mandatory rule under which the contract must necessarily contain the precise 'description of the building, its location and accommodation on which right lies, expressly registration data and turn which is the object of the contract, indicating the days and hours when it starts and ends´
In addition, Supreme Courts projects nullity resulting from the invalidity of the main contract to other ones connected or complementary: loans, mortgage…
Supreme Court has also set Case Law on nullity of Timeshare contracts when they contain a perpetuity clause
contain a perpetuity clause
Reservoir of "La Vieja", in the river Zumeta, Sierra of Segura, Jaén, South eastern Spain