General Discussion

Update on Lawsuit against RCI

What are you talking about. We pay close to 100 dollars a year for membership in their club. The deal is you deposit your week with us with the benefit of being able to EXCHANGE your week within the next two years. That means you have to have inventory for us to choose from. INVENTORY that they are renting out. What R.C.I. was when they started out and what they are now are two totally different things. Just like the insurance industry and many other industries out there in the good ol U.S.of A. they continue to try to find out ways to rip off the consumers who are out working 70 hours a week and trying to take two nice vacations a year. Hoping that you all don't have time to fight them. I certainly understand that maybe 6 weeks before a week is to expire they should have a right to rent out the week, thus giving R.C.I. banked week people time to make their exchanges. My goodness, with todays technology with computers doing a lot of the work, and R.C.I. charges close to 200 dollars to do an exchange. And you don't think we have a right to get an apple to apple exchange. I have a red week, gold crown resort and am usually not even picky with getting a gold crown resort, but I would like to go to a certain location at a certain time. I think we pay them enough to allow us to do that. But when you own everything like R.C.I. does they have basically been threatening someone to do something about it. Believe me it was going to continue to get worse before it got any better. Maybe with this suit it will help it to keep it from getting any worse. I sure hope so. I want to see the Evil Empire get their whipping. Suck it up and do what is right for your customers.

Scott S.

Make sure everyone you know is aware about the law suit and let us all inundate the court having the re-hearing with our objection to RCI stealing our assets (the weeks we as a group have deposited for the benefit supposedly of us all as a group) and ensure they are stopped from renting or selling our assets to some other party' instead of keeping it available for owners to use. They pay nothing for these assets, in fact they charge us to accept them, so they lose nothing when the week expires unused. They should never be able to dispose of our assets for their further gain. This would be an illegal activity called "conversion" in any other business.

Under the current court agreement they get to legally "steal" our assets after 30 days. The lawyers supposedly representing us got their fees and that seems to be all they were interested in. They sold out their clients in this postponed agreement.

If RCI is permitted to rent out banked units at any time as a result of this court settlement, then stop being a member and use the many other exchange opportunities that are available to us. If none of us give them a week they will quickly change or go bankrupt. II may not be the answer, time will tell. However there is Trading Places, Red Week.com, Owners groups, internal exchanges, owners group exchanges, and many others that we can use. IF we get nothing for our week, then why let them profit, donate the week it to charity, find a person needing a vacation who can not afford it and give it away.

Maybe it is time for owners to create and run their own public trading company as shareholders, electing a board of directors and hiring management who are responsible to the shareholders with dividends being paid back to each owner. It has been enormously profitable for RCI. Take a look at the life style of the people running RCI. We do not even know what their salaries are but you can be sure they do not use timeshare weeks because they can not afford to travel in luxury, unlike most of us who were convinced by sometimes unscrupulous sales pitches that we could travel forever more inexpensively by buying time shares.

If we were to harness our votes as one voice in both the USA and Canada, we could get laws changed. Enough voices might get Congress involved in public hearings.

Dave C.

just received this e mai today and thought I would share it with all of you:

From: Settlement Administrator <DoNotReply@weeksprogramsettlement.vertismail.com> Date: Thu, Oct 1, 2009 at 11:35 PM Subject: Important Legal Notice - Please Read To:

You May be a Member of a Class Action Settlement Regarding RCI Weeks® Timeshare Program and Entitled to Benefits

A Settlement has been reached in a class action lawsuit that claims that RCI, LLC unlawfully rented or otherwise disposed of timeshare inventory deposited by members of the RCI Weeks® Exchange Program. RCI denies any wrongdoing.

The Settlement affects anyone who was a member of the RCI Weeks® Exchange Program at any time from January 1, 2000 through August 31, 2009. If the Settlement is approved, Settlement Class Members who submit Claim Forms may receive monetary, travel-related or program benefits. Claim Forms must be submitted to the Settlement Administrator by November 20, 2009. If you previously submitted a Claim Form, you do not need to submit a new Claim Form. If you wish to exclude yourself from the lawsuit and keep your right to sue RCI on your own, you must send a written request for exclusion to David Berman, P.C., P.O. Box 111, Morristown, NJ 07963-0111 by November 20, 2009. If you do not exclude yourself, you will be bound by the Court's ruling in the case. If you do not exclude yourself, you can enter an appearance in Court through your own attorney at your own cost. You may also object to or comment on the Settlement. Objections and/or notices of appearance must be filed with the Clerk of the Court by November 20, 2009 and mailed to Class Counsel and counsel for Defendant. The Court will determine whether to approve the Settlement at a Fairness Hearing on November 30, 2009 at 2:30 p.m. at the United States District Court, 402 East State Street, Trenton, New Jersey 08608.

For Detailed Information and a Claim Form Visit: www.weeksprogramsettlement.com, Call: 1-866-783-5876, or Write: Settlement Administrator, P.O. Box 1966, Faribault, MN 55021-6162. Questions may also be directed to Class Counsel by email at rcisettlement@njlawyer.com.

Sharon G.

From: Settlement Administrator <DoNotReply@weeksprogramsettlement.vertismail.com> Date: Thu, Oct 1, 2009 at 11:35 PM Subject: Important Legal Notice - Please Read

Just received this e mail and thought I would share it with all:

You May be a Member of a Class Action Settlement Regarding RCI Weeks® Timeshare Program and Entitled to Benefits

Sharon G.

I also got that email. Maybe I'll submit a claim for my $20 trinket :)

Mike N.

you think you'll get something worth $20...you've got to be kidding me!

Sharon G.

As just posted the following yesterday on the other RedWeek RCI forum: "I spent from about 11:30 p.m. to 2:30 a.m. last night trying to type a summary of the RCI litigation results. RCI does offer a few baubles just to get this over and done with but clearly does not feel the plaintiffs charges were justified. No clear proof of any guilt was presented. Said plaintiffs will probably never believe any proof of innocence. Basically, the judge told everybody to take their marbles, go home and stop bad mouthing each other. RCI promised to get resorts to do a better job of explaining how RCI works (stop promising miracles) and restated most of the rules and explanations of how RCI works which are already on their website for any who take the time to read them. The whole Settlement Agreement runs 44 pages plus attachments. I never did figure out who pays the lawyers. It seems to be a case of "to each his own." A couple of lead plaintiffs got $375 or so for their time. In other words, this was a big waste all around. MD"

In addition, if you read all 44 pages, you will find some explanations of the sources of resort weeks which RCI uses in addition to the ones which we Weeks members bank with them. Some of these are offered for rent and some are added to time available for exchanges. They also mention that when they have excess inventory of one type/location/date, they may "swap" it with another exchange company for inventory in areas where they are lacking. Interesting, if you can cut through the legalese! MD

Mary D.

A follow-up "fairness hearing" for this case (Murillo vs. RCI) is currently scheduled for 2:30 p.m. on November 30, 2009 in Trenton, NJ. Objections can still be filed right up until November 20, 2009.

"Paper positions" taken to date by either plaintiffs or defendant RCI COULD become completely irrelevant IF the judge does not choose to accept or believe the "fairness" aspect of the proposal on the table. Clearly, there is very little (if anything at all) which is "fair" about this proposed settlement; it is nothing more than a handful of meaningless (and very temporary) minor changes in RCI procedures and a choice of ONE worthless little trinket being offered to RCI members in an effort to placate and quiet them. Sadly, many non-thinking RCI members have taken that "bait" already, thereby implicitly but very overtly giving RCI a basis on which to claim that there is "support and acceptance" for this absolute farce of a "proposed settlement".

The proposed settlement is a complete joke (...although devoid of any actual humor). In the end however, RCI will likely prevail anyhow, simply because the terms and conditions of RCI membership already very clearly state, in writing and on the record, that RCI CAN DO WHATEVER RCI WANTS TO DO WITH DEPOSITED WEEKS. As long as people continue to voluntarily choose to deposit their weeks with RCI despite this indisputable fact, RCI will ultimately continue to do whatever RCI pleases with any and all deposited weeks. The best weeks will be rented out directly to the general public by RCI for huge RCI profits and the "weaker" weeks and the "junk" weeks will comprise the mediocre "exchange inventory" actually available to RCI members.

I'd love to be dead wrong on this, but I don''t expect to be. I despise RCI and wish the likley outcome was different. However, all hopes, wishes and/or magic fairy dust aside, the facts still remain the facts.

Last edited by ken1193 on Oct 12, 2009 07:07 AM

In reply to the Class Action Settlement regarding RCI Weeks, I too, feel that RCI is stealing our accrued weeks and thereby making a profit and not sharing that with the owners. I hope that the Court will resind the Settlement which was brought fourth by RCI,LLC and protect all the TimeShare owners Rights and not make this case one of perpetiuty.

Claire L.

I'm appalled at what RCI is offering for the inconvenience and down right abuse I've experienced as a timeshare owner. The offer: no exchange deposit until unit secured, (I don't find that helpful since I would like to no longer do business with RCI); 2 month extension to membership, (see previous line); $20. credit toward exchange............. The options continue in this unacceptable vein. PLLLLEASSSSE. Frankly, I'm grateful for the people who have taken on RCI and know that they have probably had to fight hard for these options. RCI has made millions on the use of our time shares and needs to step up and make the wrongs right. May they gain integrity: doing what is right even tho it's in-convenient!!!!! (Capt "Sully"). I'm afraid after this is all settled, RCI will only go back to "business as usual". Thanks for this opportunity to share. RA

Ruthan A.

I received a postcard regarding the class action lawsuit against RCI. If I request a claim form and join this action could I possibly incur charges if this action is not approved? It's about time somebody did something.I have owned a RCI weeks timeshare for 20 years and hardly ever got the place I requested.

Bob from Florida

Robert T.

Hi Bob

Recently a website was created and dedicated to helping "objectors" get the word out.

The site was created as an informational resource for each and every current or former RCI "Weeks" Member.

For those that realize that RCI is just offering a "token benefit" and very little in the way of program changes, objecting is something they should seriously consider. Jayjay, if you or any one else interested wants good information about objecting glance at the site. It is very easy to navigate and is quite informative.

http://rciclassactionlawsuit.com/

The proposed settlement needs some serious revision before it is accepted by the Court.

There are literally thousands of folks who are just now finding out that RCI has been "skimming" good weeks as they are deposited and immediately making them available for rent at prices below what the owner of the week had to pay in maintenance fees.

Dave (TUG Username: Goofyhobbie)

David W.

ruthana wrote:
I'm appalled at what RCI is offering for the inconvenience and down right abuse I've experienced as a timeshare owner. The offer: no exchange deposit until unit secured, (I don't find that helpful since I would like to no longer do business with RCI); 2 month extension to membership, (see previous line); $20. credit toward exchange............. The options continue in this unacceptable vein. RA

"Payments" like this are common in class action suits. Years ago I got a notice that I could be party to a class action suit against the makers of the ZIP computer drives because some units were defective. The relief? A couple of coupons good for $2.50 off the purchase of additional disks for my potentially defective ZIP drive. As if.

I didn't bother filing but I did send a letter to the bankruptcy judge requesting that all attorneys' fees also be paid in discount coupons. I'm sure that the lawyers got paid in cash, but I figure that at least the judge got a good laugh out of it.

The RCI relief is a joke. I dumped my TS years ago but I encourage anyone eligible for the suit to object to the settlement. If there are enough objections, the judge may send it back to the lawyers for renegotiation. Or not. But unless someone kicks up a fuss, judges usually go along with the proposed relief.

Orville M.

Last edited by orvillem5 on Oct 16, 2009 05:51 AM

To my mind, the most useful portion of RCI's promises in this case was it's agreement to do more to regulate what resort salespersons say about the ease of RCI exchanges during the next two years. While the law probably required a specific time limit, one would hope that they will continue this indefinitely. There is no doubt that most of us have heard salespeople make promises that would strain God. (Go anywhere in the world, any time.) RCI may be unable to enforce compliance, but more complete and realistic explanations of how exchanges work and where the inventory comes from would go a long way toward preventing some of the current frustration, even if it loses a few sales. MD

Mary D.

I hope you have taken (or will take) the time to send a letter to the Federal Court objecting to the terms of the proposed settlement. It must be postmarked by November 20th. There are a lot of abuses by RCI that must be stopped.

For information on how to officially file an objection go to: http://rciclassactionlawsuit.com/TUG...ettlement.html

Scroll down to Information #6 to read the rules, and print out the form. One sentence is enough. You do not have to list any "reasons" for your objection unless you want to. A large number of objection letters is what really counts in our efforts to obtain better settlement terms . The Judge is already well aware of our complaints. He needs to decide if the proposed settlement is "FAIR". If enough members object, it may lead to further settlement negotiations , or ultimately a trial.

This applies to anyone who is, or has been an RCI Weeks member between January 1, 2000 and August 31, 2009 even if you are no longer a member Please make your voice heard where it really counts.

Marie M.

Does anyone know if Interval International is being challenged on the grounds?

Dan R.

Not yet.

But it is quite likely that IF the proposed settlement in the current RCI "Weeks" Class Action is approved by the Court as is, Interval International, and most other Exchange Companies will point to the RCI settlement and start selling Vacation Time deposited by users willy nilly!

If you are a member of the RCI "Weeks" Class (RCI member or former RCI member between January 1, 2000 and August 31, 2009) you CAN and in my opinion SHOULD object to the proposed settlement.

It is easy to object. A Form Letter is provided at the following link with straight forward instructions:

http://rciclassactionlawsuit.com/TUG_member_information_and_instructions_for_RCI_class_action_settlement.html

Dave

David W.

davidw810 wrote:
Not yet.
But it is quite likely that IF the proposed settlement in the current RCI "Weeks" Class Action is approved by the Court as is, Interval International, and most other Exchange Companies will point to the RCI settlement and start selling Vacation Time deposited by users willy nilly!
If you are a member of the RCI "Weeks" Class (RCI member or former RCI member between January 1, 2000 and August 31, 2009) you CAN and in my opinion SHOULD object to the proposed settlement.
It is easy to object. A Form Letter is provided at the following link with straight forward instructions:
http://rciclassactionlawsuit.com/TUG_member_information_and_instructions_for_RCI_class_action_settlement.html
Dave

Thanks Dave --I'm sending my objection now.

Karen B.

Well, if 5% or more of the owner class refuses the settlement, RCI stated that it will back out of it and then even the baubles will be lost. Why do we keep overlooking the fact that RCI was not judged and found guilty of anything?

Have you read the testimony RCI gave as to the multiple sources of the weeks it offers for exchange and rent? I'd love to see a detailed break down of each of these sounces and how they were used in some specific year, but the fact is that they did not all come from you and me. We belong to RCI, II, and a couple of other exchange companies. All of them also rent timeshares to provide more options for their members with limited ownership.

If, indeed, there is now less available for exchange than in previous years, I am wondering if this could be the outcome of more people owning in resort groups which offer broad internal exchange options. Owners of fixed weeks at individual timeshares had to exchange through an organization like RCI in order to get any variety of vacation experience, so many weeks were constantly deposited. Today, many of us own with resort groups which offer extensive flexibility within their own group for little or no exchange cost, so why should such owners deposit in RCI? We only deposit if we are unable to use or save weeks in any other way or need something specific which our own group does not have.

I am thankful that the exchange companies do tap into additional weeks from resorts with unsold inventory, etc. If 1000 or 100,000 owners deposited their weeks in the pot and took out the same number, how mathematically possible is it for each of them to get the location they want for the one in 52 possible weeks they requested? Consider this. MD

Mary D.

G M.

Last edited by gordonm17 on Nov 18, 2009 01:57 PM