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More questions come to mind here... (by Carvan A.):

To DKR14:

You say that only one resort (that is, owners association) has foreclosed on a timeshare held by your corporation despite the corporation purposely not paying the maintenance fees for 36 months or more.

You then use accounting principles to explain this by suggesting that publicly traded banks (owned by stockholders and heavily regulated) delay home foreclosures to inflate their book value by carrying a mortgage on their books that has a much higher value than the value of the collateral (home) that must be "marked down to market value" on their books following a foreclosure. Such a practice would indeed inflate the book value of the bank and could mislead prospective investors in violation of SEC regulations.

But, your comparison with the practices of a publicly traded bank and a Timeshare is comparing apples and oranges. You like to address the Timeshare as a Resort (e.g., Hilton, Westin, Marriott, Hyatt and so on) when in reality it is a group of people who own a small real estate interest in a Timeshare and who collectively have elected a group of directors (owners association) to hire a company (e.g., VCR) to manage the Timeshare. The owners association has no reason to inflate their balance sheet by delaying a foreclosure. They probably delay the foreclosure because it is an expensive process and the market for Timeshares is flat at this time anyway. The OA may also be delaying the foreclosure in an effort to determine who the real owner is. Maybe the OA suspects the corporation is merely the alter ego (court disregards the corporate entity and holds the individuals responsible for the acts done in the name of the corporation), a process known as piercing the corporate veil to prevent fraud or wrongful acts done in the name of the corporation.