Deadline nears for Bluegreen time-share complaints

June 21, 2010|By Kathleen Brady Shea, Inquirer Staff Writer

The clock is ticking for residents who are dissatisfied with Bluegreen Corp., an $8 billion business that blanketed parts of Pennsylvania with high-pressure time-share marketing.

Consumers have until Thursday to file formal complaints for consideration in a consumer-protection settlement with the Florida company. Bluegreen sold time-shares to more than 5,700 Pennsylvanians, said Nils Frederiksen, a spokesman for the Attorney General's Office.

In response to numerous complaints, the attorney general in October 2008 filed a consumer-protection lawsuit against four subsidiaries of the company: Bluegreen Corp., Bluegreen Resorts, Bluegreen Vacations Unlimited Inc., and Great Vacations Destinations Inc. The suit addressed complaints about allegedly deceptive "contests," do-not-call violations, misleading sales presentations, and improper contracts, according to court records.

On May 28, a settlement was reached, Frederiksen said, adding that the court gave consumers 30 days to file complaints.

Complaints will be reviewed, and restitution will be apportioned according to the extent of the loss, Frederiksen said. He said $200,000 had been set aside for infractions such as do-not-call violations, bogus "free gifts" to attend sales seminars, and broken promises of extra services with purchases.

Restitution related to contracts for time-shares is "open-ended" and could easily exceed $1 million, Frederiksen said, adding that some buyers signed agreements for $20,000 time-shares that included financing and hidden fees, increasing the cost. Some consumers will get their contracts canceled as part of the settlement, he said.

"There may be some people who are happy with their purchase, and we wish them well," he said.

But he said his office "wants to make sure that everyone" entitled to damages completed the paperwork. Consumers who already have filed complaints do not need to take further action, he said.


To File a Complaint

Complaints can be submitted online at www.attorneygeneral.gov or by calling the Attorney General's Consumer Protection Hotline, 1-800-441-2555, during business hours.


Contact staff writer Kathleen Brady Shea at 610-696-3815 or kbrady@phillynews.com.

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