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Re: Manhattan Club Lawsuit (by Vivien S.):

"An escrow is a financial arrangement where a third party holds and regulates payment of the funds required for two parties involved in a given transaction. It helps make transactions more secure by allowing payments to be released only when all of the terms of an agreement are met as overseen by the escrow company." Most commonly encountered escrow accounts involve the sell/buy of property. The attorney sets up an escrow account to deposit down payment, repair payment and miscellaneous expenses involved with the sale of the property. In our situation, we are legally required to pay the TMC maintenance fee. However, due to unresolved issues between the the owners and developer, the owners can deposit their security to a third party account until the issues are resolved. This theoretically puts pressure on the developer to resolve the issue. The current lawsuit is between the AG and TMC as a result of numerous complaints from owners regarding their frustration in securing the use of their timeshare. The suspicion is that TMC is overselling their timeshare units as well as renting more units than they are entitled to. No mention of the issue of the ever escalating maintenance fees. As individual owners, we can write to TMC and demand an accountability of the maintenance fee. We can withhold payment until we get a satisfactory answer. The more owners decide not to pay their maintenance fee the higher the fees for those who pay. That is the reality of the situation. However, if all the owners decide to place their maintenance fee into an escrow account which is set up with the sole intention of holding the money for maintenance fee, the TMC will be deprived of the funds to operate the TMC. This will certainly hurt them but also the owners. Either way the situation is not good.