Judge’s Ruling Demonstrates the Pattern of Fraud and Deception Perpetrated by Exit Firms on Unsuspecting Timeshare Owners  

Consumers Should Report Timeshare Exit Scams to Authorities 

WASHINGTON, June 11, 2019 – A judge for the United States District Court Middle District of Florida Orlando Division ruled against Mitchell Reed Sussman & Associates, a timeshare exit firm, in the case brought on by Westgate Resorts, a resort developer headquartered in Orlando, Florida. In the summary judgment ruling, the judge stated, “Mr. Sussman’s letters informing timeshare owners they successfully exited… are objectively deceptive.” The court also stated that, “Contrary to what owners were told, stopping payments does not effectuate a timeshare exit,” which is a tactic many companies and individuals in the timeshare exit industry attempt to use. 

“This is another case where timeshare owners were deceived into paying large upfront fees for services that the exit company knew it could not deliver,” said VP of Regulatory Affairs and General Counsel of ARDA, Robert Clements. “The court found the scheme didn’t stop there. Owners were told to stop all communication with their timeshare company while the exit company kept them in the dark about the status of their matter. The final insult came when the exit company told the owners they were out of their timeshare, only to find out later that was false, leaving many of the owners in a worse situation with damaged credit, facing a foreclosure and no refund of the fees they paid to the exit company,” continued Clements.  

The court, in its order, not only ruled against the defendant but broadened its statement to include other exit industry players by noting the relationship between “Mr. Sussman and Timeshare Exit Team (Reed Hein & Associates), a self-proclaimed ‘exit’ company that was built on the unlawful and deceptive business model Mr. Sussman ‘pioneered.’” Clements continued, “Many of these exit firms have the same model and tell people it will take 12-18 months for the process to be complete when they know that the services they are promising cannot be delivered.”  

Westgate brought the lawsuit against Sussman for (1) tortious interference with existing contracts and (2) violating Florida’s Deceptive and Unfair Trade Practices Act (“FDUTPA”). (Doc. 7, ¶¶ 90-100, 112-118.) A copy of the entire order can be found here.  

“Our owners were being scammed and told lies,” said Westgate Resorts Chief Business Officer Jared Saft. “Many of these consumers were long-term owners that had happily used their timeshare over many years and were lured into this exit scheme by false statements and misrepresentations, and in all cases were not aware of the fraud that was being committed on their behalf. We are pleased that the judge acknowledged the reckless behavior of Mr. Sussman and clearly outlined the lies that continue to be told by many exit companies. In the past few years, Westgate has launched The Legacy Program where we specifically address and discuss the needs of owners who have enjoyed the use of their timeshare, but due to lifestyle changes or other factors, would like to discuss and explore what options are available to safely and effectively exit their timeshare either to a family member, through a resale or back to the developer,” Saft continued.  

The timeshare industry, which has over nine million owners in the United States and generates over 540,000 jobs and $10.8 billion in federal, state and local taxes in the U.S., has become a target for unscrupulous individuals and companies. Many third-party exit companies present owners with misleading information, often using scare tactics and false advertising, in order to convince unsuspecting owners to sign up for services that require large upfront fees. As a result, the industry has committed to better communicating with owners who want to understand safe ​exit timeshare options, often directly through their developer or property manager, which may be available for exiting their product. This information can be found at responsibleexit.com.  

Author Bio:

Sophia D'Souza is a Content Marketer, Blogger and Story Teller at Timeshare Advice. She enjoys connecting with people, keeping her self updated with the latest in the field of business, technology, travel & fashion and spending quality time with her family.

E-mail me when people leave their comments –

You need to be a member of The Brooklynne Networks to add comments!

Brooklynne Brands & Services


TicketENVY- Find & Buy Sold out Concert, Sports and Theater Tickets Worldwide

SeksCity Toys- Adult Pleasure Aids and Supplies (Must Be 18+)

SportsBrook- Fully Licensed Online Urban Sports Betting and Gaming Platform (Coming Soon)

KaratCity- Helping to provide regular people save and spend GOLD

VerticalRents- Helping Landlords mange and engage their Tenants Easier

MyTeleMedics- Get your Personal and Family Remote Healthcare Services NOW

FunderPass- Crowdfunding Platform for Urban Communty Projects Cause Activism and Upstanding Individual Needs

JesusBless MeCrowdfunding Plarform for Christian Based orgs in the City of Churches


Brooklynne Info Weekly- News nd Events of featured Brooklyn Entrepreneurs and Community Related Issues

Brooklynne Style Daily- Brooklyn & NYC Based Style and Fashion News

Brooklynne Shop- Exclusive Graphic Designs from Featured Artists and Partners

Brooklynne Hookups-  Find Urban Dates and HookUps

Local Business Services

MyGigga.com by The Brooklynne Agency- Full Service Digital Marketing and Development Marketplace

Brooklynne Social - Free Social Media Marketing Mgmt Platform for Brands

The Brooklynne Agency - Office

Phetch.Co Ordering Mgmt

Xpurts by Phetch - Have REMOTE private conferences and meetings with Professional Experts

Go Phetch - Multi Cuisine Order and Delivery Mgmt Facilites and Marketplace for local Ethnic Food Providers in Brooklyn (Coming to NYC HOU DMV  & ATL)

Phetch IT- Order for Delivery Food Groceries Alcohol & Laundry from your favorite Independent merchants in your Area(Coming to NYC HOU DMV and ATL)

Phetch Charg- Start an Electric Vehicle Charging Station at yur Urban locations Tdday